The Definitive Guide To Life Post External Audit

Landing your first accounting job after university is an exciting experience. From your first interview through to starting on your first day, there's a buzz about the entire process. 

Like everything else, reality has a certain way of kicking in eventually and bringing you back down to earth. The sheer volume of clients, long working days and study requirements takes a toll. 

The biggest challenge you might be facing right now is figuring out what to do next. The internal questions you have within yourself can be the most daunting, "should I stay or should I go?", "is it the right time to go?", "what do I want to do?", "how do I do it?".

Don't worry, I've got you covered. Here's how to figure out, plan and make your move out of external audit. 

Stick or Twist? 

The first thing to consider is, what are you looking for? Is what you're looking for available with your current employer? Is what you're looking for available somewhere else? 

There are excellent reasons to stay. Accounting firms have clearly defined pathways. The rise from trainee to a manager is relatively quick, the work is highly structured, and there's an excellent support network in place. You have familiarity with your clients and potentially a team of people you can mentor and develop. Beyond what your job is, the company you work for has fantastic brand recognition and if you're with a Top 10 firm, potentially worldwide recognition. 

While there are excellent reasons to stay, there are also great reasons to leave. You might feel a lack of recognition from your clients, the sense that some clients think that auditors are annoying (you're just doing your job!) or that you could add more value to a single company. 

The most common reason people leave is work-life-balance. Sixty hours a week might look like part-time hours to you. Generally, industry is more favourable to those seeking work-life-balance. Sometimes it will be over 40 hours per week (sometimes much more depending on your position), but as a whole, it's nowhere near the same level as an accountancy firm. 

When To Go

There's no right or wrong time to leave. Whether you're with them for three days in or 30 years in, go when the time feels right for you. 

Your employer is likely to say, "the longer you stay, the better the external opportunities". In fairness, it is an entirely accurate statement. Up until you reach a manager position, this is the point where the market starts to react differently. Managers tend to be already earning roughly the same as they would from a job in industry. The competition for roles at that remuneration level is high, and some companies favour relevant industry experience over a pure audit background. 

Once you hit senior manager, you may find yourself taking a pay cut to move to industry. As with anything, there is an exception. A senior manager from audit can relatively easily step into a Controller role at a similar remuneration level. 

The most natural time to jump ship is somewhere between the completion of your training contract and an assistant manager level. 

What To Do?

Operational Accounting (Financial Accounting)

The "classic" first move. Your new job title will likely be something along the lines of "Financial Accountant" or "Finance Manager" depending on when you decide to leave. The day to day involves month-end closes, journal entries, etc. If you see yourself becoming a Controller, this is the ideal route. 

Technical Accounting

Technical Accounting teams assist in the accounting of complex transactions such as business combinations, M&A, and derivatives. Technical accountants keep businesses up to date with relevant changes, guiding business units in the application of group policy. 

Internal Audit

You may never want to hear the word audit again, after all, it's what you're trying to get away from. While external audit may not have been for you, internal audit has a lot to offer. With no month end or quarterly closes, the workload is relatively consistent. Internal audit gives instant access to senior business stakeholders across a variety of departments. Internal audit may also involve travel, a fantastic opportunity to see the world. 

Financial Planning & Analysis (Management Accounting)

Far and away the most desired move out of external audit. FP&A offers the chance to influence major financial, operational and strategic decisions. These roles involve analysing and making sense of, a mountain of different types of complex data. 

While the practice is becoming less common, some businesses still like to hire external auditors in an operational capacity before transitioning them into the FP&A team. 

Change Services Lines

An option you should consider is a change of service line. Audit may no longer be for you but tax, risk, management consulting etc. are viable options. Sometimes it's easier to move to another firm to change service lines. Audit teams are famously understaffed, and they might be reluctant to let you go. 

How To Do It?

Evaluate what is important to you and pick the relevant path. Get niche on your interests. If fashion, cosmetics or retail are your thing, hone in on those companies in your area and follow their careers page. Alternatively, you could look at doing this with your professional services firm by asking to be transferred or put into an in-house role. 

Speak to former colleagues who've made the type of move you want to make. They can provide invaluable insights into interview processes, salary levels, availability of opportunities etc. 

Look at job boards. Start familiarising yourself with the current opportunities available in the market and what they're looking for. Look purely at hard skills required and ignore waffly requirements such as commercial awareness. 

Update your resume. Use what you've seen and heard to emphasise your relevant skills. If FP&A is what you want to get in to, write about your ability to write VBA, your ability to influence senior stakeholders and your relevant achievements. 

Reach out to relevant clients. If you work on the EY audit of Primark and believe they're the type of company you want to work for, send the relevant managers messages letting them know you are interested in working for them.

Talk to specialised recruiters. A recruiter skilled in what you want to do will be at the heartbeat of the market. They see a lot of job specs and understand what skill sets are getting matched to the roles you want. A good recruiter can advise you on your first step out of audit and where this step is likely to lead over the coming years. 

Ultimately, no job is perfect. In an ideal world, you would spring out of bed and feel absolute joy in what you do. Find a position which offers you meaning and purpose. If that isn't what you currently get, embrace the job market. You will find something a lot brighter.