Art of Accounting: Nine predictions for the future

Published January 2, 2023 10:04 AM

1 Min Read

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Even without a crystal ball, I can predict nine certainties for this year and beyond:

Client needs and services will be different than they are today

Our profession and the need for our services will be much different in the future. Some of the changes in the last 10 years have been revolutionary. Being prepared is the way to protect your practice. This is similar to the previous prediction, but I do not believe seeking new opportunities can be overemphasized.

Today’s unfilled to-do list will be tomorrow’s anachronism

I am pretty sure 90% of your to-do list will be left undone. Just look at the age of some of the holdovers. Most people spend time on their urgent and important projects, but rather than focusing on their most important projects, they work on the urgent but not important projects. Then when they have some free moments, they update their to-do list. Eliminate everything other than the important priorities and resist the temptation to assume responsibility or accountability for anything else.

You will be older

This is not a bad thing (actually it is very good), and that will make you think and act differently and with a different energy level. I can't tell you how to prepare for this, but you need to recognize this reality. You should consider passing off some of what you are doing now to younger partners and staff.

You will either be financially secure or you won’t be

This can be dealt with with very little effort. Resolve to fully fund your retirement plan and let the magic of compounding help secure your financial security. If you are not making enough right now to do this, then increase your fees forthwith so you will be on that track. Deposit the funds monthly the same as you make your other necessary payments.

If you do not have your affairs in order, you will cause consternation, anxiety and costs for your family while they settle things

This includes a will and the accompanying documents, a buy-sell agreement if you are in a partnership, a practice continuation agreement if you are a solo, and a listing of where everything is and who to go to for assistance.

I would have liked to finish this list with an even 10, but every one of these nine predictions is prescient and should be heeded. Start the year on a good note by getting started to work on what I suggested here.

Have a good, healthy, peaceful, successful and happy year.

Do not hesitate to contact me at

emendlowitz@withum.com

with your practice management questions or about engagements you might not be able to perform.

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