Heads Up, You May Need Interim Accounting Help this Year!

Think you won’t need interim accounting help this year? Think again!

It’s time to recognize the fact that your accountant probably won’t be around forever. With the trend of accounting professionals changing roles every 3-5 years and the current accounting exodus that the industry is facing, the odds of your current accountant staying in their role for the next 3 years is only moderately likely, the next 5 years are very unlikely, and the next 10 years is almost certainly not going to happen. That means you need to be prepared to utilize an interim accounting services company sooner rather than later. Don’t put off for next year what you should address this year!

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​The odds are that before the year is done, you may experience one of the following common scenarios that we see every day at organizations across the country:

Under Performance
We hear it all the time with new clients coming to us for help: “We hired what we could afford and the person we brought in isn’t doing the job well!” Unfortunately, trying to hire an accountant for less than the fair market rate or hire an accountant fast is typically going to lead to poor hires. In some cases, these hires may be able to stick it out for a little while without raising any significant red flags, but as the 1-year mark approaches their employers will often realize that hiring them was a mistake. It is at this point that the employer will begin to face the reality that they need to make a change.

When your accountant isn’t performing up to par and the root of the problem is on their end (underdeveloped skills, poor work ethic, etc.) as opposed to the organization’s end (inadequate onboarding, lack of ongoing support, etc.), you are going to need to go down the path of implementing a performance improvement plan (PIP) and work with them to get their competency and output up to the level it should be. As you do that, you may need to bring in part-time accounting help to assist with the work so that your organization doesn’t fall behind on key deliverables like tax filings and financial reporting. If your accountant doesn’t turn it around, you will want to bring in an interim accountant to bridge the gap between letting them go and bringing in a replacement.

Unexpected Turnover
Jeff Dunn attributes the recent rise in accounting turnover to four factors – being overworked, a lack of support from leadership, feeling undercompensated compared to other industries, and a lack of respect as high-value contributors. Of these, burnout is the leading cause of accountants leaving their roles. Unfortunately, however, too often employers don’t realize that accountants are getting burnt out in their roles until it’s too late! In other instances, accountants are leaving for a better opportunity in another industry like finance or tech where there is more money to be made. In addition to leaving their roles to go elsewhere, there has been a significant uptick in accountants retiring over the last several years.

But regardless of the reason, the accounting industry is experiencing significant turnover in a way that it simply wasn’t a decade ago. When the loss of your accountant is on their terms, not yours, you will need the ability to bring in an interim accountant quickly to keep things running smoothly until you can hire a replacement.

Short-Term Leave
While covid in in the rearview for most people at this point, some are still dealing with lingering health concerns and complications as a result of contracting it. With the possibility of those kinds of health implications layered on top of routine physical issues that people experience throughout their lives, organizations need to be prepared for the possibility of losing their accountant without warning for a period to care for an aging parent, recover from a disabling injury, or overcome an illness. Planning before you need it is instrumental in minimizing the business disruption that can result from your accountant taking short-term leave.
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Jason McGill explains how important being prepared is when he recounts badly breaking his wrist in a CPA basketball league game and being unable to work productively afterwards, 

Thankfully, the organizations I work with were very understanding and provided the flexibility I needed. Additionally, I had already streamlined most processes so that I could work remotely and meet any important deadlines while I recovered. Many business owners I talk to find themselves in even more dire situations. Recently I spoke with a business whose controller had unexpectedly passed away from a heart attack while on vacation. While it isn’t enjoyable to consider worst case scenarios, businesses do need to consider ‘what if’ scenarios so there is a plan for what to do next.

​If you need an interim accountant, please reach out to us! We offer interim accounting services to companies and nonprofits that need short-term accounting help. We can help you bridge the gap while you search for a new hire to replace a staff member or offer accounting support when your team is overwhelmed with added work related to a special project or audit. Find out how our team of interim accountants can offer their expertise to keep your organization moving forward today!