Top 3 Accounting Trends for 2024 Every Business Should Know

TOA global states, From 2018 to 2023, the global accounting services market grew 2.9% per year, showing new opportunities. To keep up, your firm should follow the key accounting trends for 2024. Accounting methods are changing with new technology so stay updated. According to Rick Johnson , SAGE found that 90% of accountants believe the field is shifting toward tech. Automation is shaping the future. Partnering with a vendor can help you save money and improve efficiency.

Samantha Wilson Stated that the best accountants don’t see numbers; they see the possibilities in the money. Expertise accelerated reviews of the accounting industry each year. Read on to find out.

Trends to watch in 2024

"The best accountants help people succeed." – Brian Clark

1. Cloud-based accounting solutions

Cloud-based accounting software is an online tool for managing your financial records. Unlike regular software, this type stores data on remote servers. Popular cloud-based accounting options include QuickBooks Online, known for its user-friendliness and features. Xero, praised for its simplicity and suitability for small businesses. Zoho Books, offering a comprehensive suite of business tools. FreshBooks is a great choice for freelancers and small service businesses. While Sage Intacct is ideal for mid-sized businesses with complex needs.

Cloud-based accounting offers easy access, affordability, and scalability. It enhances teamwork, security, and compliance. As remote work grows, cloud accounting will be essential for businesses. Accountants should provide business advice and financial planning to become trusted partners. To do this, they need to reduce routine tasks, simplify their work, and embrace technology.

According to Intuit , Eighty-eight percent of SMBs favor cloud accounting for improving collaboration with their accountants. Key benefits are faster processing, secure access, and cost savings, with 61% already using it. But, only 37% of accountants have adopted cloud solutions. 90% of SMBs see technology changing accounting, but 40% feel their accountants are too traditional. Despite this, 56% want to collaborate on modern solutions. 58% see cloud accounting as beneficial for business growth.

2. Sustainability and green accounting

Green accounting is becoming important as businesses recognize their impact on the environment. It tracks environmental costs and benefits, helping companies integrate sustainability into finances. Businesses are using green accounting to measure environmental impact. This helps them follow rules and improve their reputation. Sustainability creates long-term value.

Sustainability accounting tracks a company's social, environmental, and economic impact. ESG (Environmental, Social, and Governance) measures a company's sustainability and ethics. ESG goes beyond sustainability accounting to include stakeholder interests.

According to Wall Street , In 2021, Apple Inc. issued a $1.5 billion green bond to support green projects. This shows how Apple values the environment in its financial decisions. The money reduced carbon emissions, saved water, and promoted renewable energy. Apple detailed its spending and promised to track its environmental impact.

Green accounting offers various benefits and challenges. It helps companies make better decisions and plan for the future. It also promotes efficiency, aids risk management, and builds trust. But, it can be complex and data-intensive, often relying on subjective assessments. Companies may resist change, and initial implementation costs can be high. Additionally, the lack of standard reporting methods can make comparisons difficult.

3. Cybersecurity

With more financial data online, cybersecurity is crucial for accountants. They need strong security measures to protect sensitive information. Compliance with laws like GDPR and CCPA avoids breaches and maintains client trust. Accountants must use the latest security to protect data and privacy.

The CIA Triad has three key parts in cybersecurity. Confidentiality keeps information private and secure. Integrity ensures data accuracy and security. Availability ensures data access with backups and recovery plans. Together, these elements help safeguard information systems from threats.

According to the INAA group , Phishing tricks accountants into sharing sensitive information through fake emails or messages. Vishing uses fake phone calls, often with AI-generated voices, to request sensitive info. Phishing attacks rose by 50%, and vishing increased by 554% due to tools that create fake sites and voices. Accounting firms should hire cybersecurity experts and install multi-factor authentication.

Conclusion

"The best accountants make sure money is fair." – Melissa Davis

In 2024, accounting is all about smarter tech and transparency. AI speeds up tasks, cloud accounting gives flexibility, and sustainability reporting builds trust. Businesses that adopt these trends will succeed.

New technologies are changing finance, but human expertise is still vital. The right mix of technology and experience helps manage challenges and improve operations. At Expertise Accelerated, we offer experts for all your finance and accounting needs. With years of experience, we provide premium finance and accounting services.