Over the past few years, accounting has become a popular choice for a second career by many people who realized that their first had them going nowhere. Deciding to change careers when you’ve been out of school for a number of years takes guts. For starters, it’s a confession of sorts. You’re more or less admitting that you made a mistake. Or for those of you that live by the Bob Ross ethos, it was a “happy accident.”
But really, even if the last 5, 7, 10 years has been excellent life experience, how often do you hear someone say, “I sure enjoy my uncertain job prospects, lower-than-average salary, and two roommates. I’ll bet I can do this well into my late 30s!”
What’s that you say? Never heard anyone say that?
Look, it’s cool. People change careers all the time and although no really knows how many times you’ll shift gears, life has a funny way of forcing you down different paths. Plus, since you’ll spend a lot your life working — sorry for the reminder — keeping an open mind about your career is smart.
Who are you? Why are you here?
Speaking of smart, my guess is that you’re reading this post because you are interested in making accounting your second career and, roughly speaking, that is a smart choice. Why? Well, there are all kinds of reasons
- Better than average pay
- The job outlook is good
- It provides you with a flexible skill set
Now you’re saying, “That’s great and all, but is a career in accounting right for me?” Good question. Let’s try to figure that out first.
Who doesn’t love options?
The good news about choosing accounting as a second career is that it gives you a lot of choices. The list of jobs that accountants can have is endless: auditors, tax professionals, consultants, managerial, cost, financial, analysts of all kinds, etc. Public companies, private companies, small, large, and everything in between. Any good business will need an accountant; someone has to count the money, after all. But there are so many ways to count (i.e. account) for it; that’s why accountants enjoy near full employment.
Good with numbers?
Right! The counting/accounting. For those who haven’t picked up on it, we’ll explain — there are lots of numbers in accounting. I know; you’re floored. If you aren’t a fan, then I suggest you stop reading here, click on the ‘X’ in corner of your screen, and see yourself out. No judgment. We’ll wait.
Okay, now that we’ve completed weed-out, round one, we need to proceed with weed-out round two. Click over to the next page.
Wait, you don’t mean, long division?
Liking numbers in a math kind of way is not the same thing as liking numbers in an accounting kind of way. Every accountant I have ever known has a calculator on their desk. Lots of accountants suck at math. Lots of accountants got into accounting because they suck at math. If you are good at math, by all means, study math, become an engineer, invent some stuff. The world needs you. Now, if you mathletes will excuse us…
Great. For those still here, let’s move on.
Liking numbers is essential for a career in accounting; reading balance sheets, income statements (aka P/Ls), cash flow statements, 1040s, 1065s, 1120s, ledgers, journal entries, SPREADSHEETS THAT EXTEND INTO INFINITY, internal reports that have made-up names; you’ll have to make sense of all of them.
“No problem,” you might say, “I’m up for the challenge. Accounting is the language of business and I want to speak it. Just so long as I don’t have to talk to anyone else.”
It’s time for weed-out, round three.
“What we have here is a failure to communicate.”
Communicating with your co-workers, clients, regulators, and anyone else that you may come across during your career as an accountant may be the most crucial skill you’ll need. And lots of young accountants start their careers with severe lack of effective communications skills, particularly writing skills.
“But I’m getting into accounting because I don’t write good!” you might say.
One of the biggest cliches in the accounting world today is the importance of communication. “Anyone looking to build a successful career in accounting needs to excel in written and verbal communication,” says random accountant five years ago
or influential leader in the accounting profession six months ago
. I’ve spoken to professors in some of the top programs across the country and what they keep hearing from accounting firm recruiters, year after year, is that candidates lack the communication skills necessary to excel.
What does all this mean for you, the non-traditional accounting student, the person taking another lap on the career track? It’s an opportunity, naturally.
If you have real-world experience of any kind — in a business setting or otherwise — you have real-world communication experience. You’ve probably had to drop what you’re doing to put out five-alarm fires without starting more of them all while massaging egos and not hurting feelings. Sometimes this is done over email, sometimes over the phone, but it’s not the type of skill you learn in a college classroom.
One annoying trait among fresh-faced recruits is their tendency to show off their smarts. They try to do this by writing long, elaborate emails that explain things in excruciating detail. If you’ve had ANY job that relies on email to a significant degree, you know that NO ONE has time for that. If you don’t get what I’m driving at, then here’s the only post on email
you’ll ever need to read.
Here’s a quick list of some other attributes that you see in a lot of successful accountants, according to people
who talk about these things:
- Tech aptitude
Now that you have an idea what a career in accounting is, let’s debunk some popular myths about accountants. Click on.
Myth #1: You prepare tax returns — NO. NO. NO. NO. NO. NO. NO. NO. NO. NO. NO. NO. NO. Taxes are a common career path for many, but there are plenty of accountants who would rather chew broken glass than work with taxes.
Myth #2: You follow the markets/You’re a personal finance/investment advisor — I don’t know how some people get the impression that accountants are market experts, but it’s a misapprehension made by many. It’s not a bad way for a CPA to differentiate him/herself once a business is built, but investments/personal finance advice is NOT a primary knowledge base for accountants.
Myth #3: Locked in an office, working long hours with a bunch of introverted nerds, little contact with the outside world, and thankless work — You’re picturing characters from Office Space aren’t you? Some combination of a frumpy, middle aged guy trapped in a dark, dingy basement. Or painfully bored people in grey cube farms.
Actually, there is some of that… but don’t despair! Every company needs accountants which means there is a wide variety of work environments, people, industries, and exposure to different elements of business. Plus, lots of tasks performed are value-add so there are plenty of grateful moments with clients and co-workers (some of them show it in funny ways, though).
Running away scared yet? No? Good. Hang in there. The hard part is next.
What it will take to build an accounting career
Okay you know what a career in accounting is and what it isn’t. So what will it take?
First things first — if you don’t have a degree in accounting, it’s likely that you’ll need to get one. In some rare cases you might be able to talk yourself into an accounts receievable/payable role, but those positions have limited career growth and earning potential. You want options, remember?
The good news is, accounting is a widely offered degree so you won’t have to go far to find a school that has an accounting program. And unlike law school, the school you choose makes little difference. If you get a four-year degree, you’ll have the necessary background to get many, many accounting jobs.
However, many, many accounting jobs do require previous experience and many, many people get their start in a public accounting firm. The advantages to starting your Plan B career in a public accounting firm are numerous, but the short version is that it will expose you to a variety of businesses which will, in turn, allow you to pursue a path that is of interest to you. I cannot emphasize that point enough — a career in accounting gives you options. LOTS OF THEM. The best way to maximize those options, IMHO, is to start out in public accounting. This means that you should seriously consider obtaining your CPA designation and depending on where you live
, that may mean having 150 credit hours to your name. Since this is a second-career post, hopefully
that’s not a problem, but it’d be remiss of us not to mention it.
Do not misunderstand, I am not saying — I AM NOT SAYING — that you must start in public accounting to have successful career in accounting. You will, however, be exposed to a number of different businesses and you will have the opportunity to understand various aspects of their operations, particularly if you work at a smaller public accounting firm. And the good news is, there are small public accounting firms all over this great land, virtually in every city, hamlet, village, and one-horse town. This means your local D-III school degree will be perfect for you if you want to stick around and serve the businesses in the area.
Deep breath. And another. And another. Okay, moving on.
Life in an accounting program
If you’re new to our website, you’ve probably taken a spin around and thought, “Wow, there are sure a lot of whiny twerps on this site,” and you’re right! Some people are unhappy, but if you were ask someone, say moi
, they don’t know how good they have it. I think a lot of young accountants suffer from a paradox of choice
. They run blindly into the arms of large public accounting firms after school because they are bombarded with messaging from parents, teachers, and the firms themselves that this is what they should do without contemplating really want they want to do with this versatile degree.
Why am I telling you this? Think of it as a word of caution. Enrolling in an accounting program will mean that you will be SURROUNDED by earnest, wide-eyed overachievers that want nothing more than to land on the roster of one of the Best Places to Launch a Career. They will irritate you. Every time they open their mouths you will want to crush their naivete with the scepter of experience and crush their ideal with tales of reality.
Resist this urge. Stay focused on your goals, whatever they may be for your accounting aspirations, and those grasshoppers will soon be a distant memory. Persist! Persevere! Public accounting! Wait, what?
Actually, accounting programs will test your resolve. You will hate certain classes (probably tax). You will hate certain teachers (probably Intermediate I). You will ask to yourself, on more than one occasion, “Jesus, what did I get myself into?” All of these things are perfectly normal.
One final thing to consider in your “Accounting Is My Plan B career” quest, is that if you’re interested in starting at a Big 4 firm, then you’ll want to be sure that those firms recruit at your school of choice. They do not visit every campus so check with the professors at your prospective school to find out if the Big 4 recruit there.
Moving on…oh, wait… yes, I see a hand. Go ahead, please.
“Uh, yeah. What’s a Big 4 firm?”
OH, RIGHT! Lots of new people. Sorry about that.
A Big 4 accounting firm is one of the following: Deloitte
(aka Deloitte & Touche), EY
(aka Ernst & Young), KPMG
(aka The House of Klynveld), and PwC
These four firms…yes, another question?
“Uh, yeah. Isn’t KPMG a radio station west of the Mississippi River?”
No. I assure you, KPMG is not a radio station west of the Mississippi River.
We good? Great.
These four firms are widely accepted as the most prestigious in the accounting industry. They have hundreds of offices across the globe, employ 150k+ people each, and have rosters full of clients with the brand names you’ve all heard of. Their internship programs are some of the most coveted
in the world, they pay their people quite well and offer generous benefits packages and attractive perks.
Sounds good, doesn’t it? Well, get over it because it’s unlikely that you’ll end up at one of these four firms. Why? Well, the short version is you’re old. The slightly longer and more PC version is your maturity and life experience to date isn’t a good fit with the rest of Big 4 recruits that would make up your starting class. Big 4 firms want to mold (read: chew up, spit out) young, distracted minds that will buy into their culture from the beginning. That’s a difficult thing to do with a person that has already made a run at the working world and might have a family and other responsibilities.
I do not want dissuade anyone reading this to completely dismiss the Big 4; by all means, if they recruit at your school, visit with them at Meet the Firms, interview with them on campus, and if you still like what you hear, go on the office visit and accept their offer if you get one. It may be for you. I just don’t think it’s all that common with Plan B accountants.
Up next: jobs!
What kind of jobs are out there?
As I’ve already said, opportunities will abound in small public accounting firms. If you’re interested in small business, a small public accounting firm is a great place to get exposure to lots of them. Some of the businesses you work with will hand you receipts in shoebox. You will want to strangle them and set that shoebox on fire.
Some of the businesses you work with will hand you meticulous reports and answer your questions clearly and concisely and you will want to run through brick walls for them. You might even want to go work for them. It’s not an uncommon path for many accounting professionals and it’s why I suggest starting out in public accounting.
If everything I’ve written here about public accounting sounds AWFUL and you get your degree and you are still convinced that you have zero interest in going that route, that’s okay. As I said before, your accounting career won’t be an utter failure if you skip public. There are plenty jobs out there that don’t require any public accounting experience or a CPA designation and pay well and will set you up for a nice career.
But know this — if you happen to be up against one other person for a promotion or as a candidate for a job that has a CPA and has public accounting experience, it’s unlikely you will be promoted or offered the job. On paper, you get beat every time. It’s as simple as that.
FINALLY. The good stuff, right?
The good news is that you can expect to start your new accounting job with a decent salary. The most recent data from the BLS
shows a mean annual wage of $71k. That will vary by geography, industry, and experience of course, so your keep your expectations realistic when you start out. Get some experience under your belt and the money will take care of itself.
Are You Experienced?
Speaking of experience, this is really what a career in accounting is made of. Sure, you can a great education, a couple degrees, and land an internship with a prestigious firm, but none of that guarantees a successful career. These things take time; one of the first partners I ever worked for said, “You have to turn over a lot of rocks to get good in this business,” and that’s why pure smarts never wins out.
There’s good news though — getting that experience can be fun! No, really, building your knowledge around this stuff can be interesting; the key being you have to find what you like and stick to it. A lot of people bounce around, wanting to try different things, but if you have a knack for something and you enjoy it, don’t mess around. Dig in and in a few short years (and long busy seasons), people will be coming to you because you’re the expert. I know, it’s a scary thought.
Up next: wrapping up
What are jobs like?
Generally speaking, public accounting jobs are deadline driven. Whether you’re working in audit, tax, advisory, or any of the derivatives of those main areas, your engagements/assignments will have deadlines attached to them. Deadlines are usually a driver of stress, so manage yours — deadlines, stress — well and you’ll be fine. Manage them poorly and you’ll drive yourself crazy.
If you’re more interested working in an industry job, the same can be true with the month-end closing of the books being a monthly routine. Depending on the size of your company, you could be responsible for one or many aspects of keeping the books. The advantage to a small company is that you’ll learn more, faster; often trial by fire. In a large company, you’ll be given a narrower set of responsibilities, often with explicit instructions. If you prove capable, you might earn more responsibility. Either way…yay?
There are a few other nuances to accounting careers that you should know about:
2. Non-accounting experience — Were you a mechanic? An engineer? An artist or musician? All of these professions can be enhanced with a background in accounting. If you were one of these or had another occupration but wanted the stability of an accounting career, the good news is that you can couple that expertise with a prior passion that can lead to…
3. Entrepreneurship — Accountants are trained to understanding how capital moves in and out and around a company. This makes for a great background for those looking to broaden for prior professional pursuits or anyone that simply wants to own their business.
So there you have it. Our guide for becoming an accountant for people who don’t want to be what they are right now. They only thing left to do is get off the Internet and make it happen. OH LOOK, KITTENS
Sorry! Did I mention tht it’s extremely important to focus
? If you have any problems or other questions, we’re here for you. Reach out any time
. Good luck.