Why Accountants Quit Public Accounting Firms

Blake and David meet with Geoffrey Brown of the Illinois CPA Society to examine some key findings from ICPAS's recent retention report, including top reasons for turnover, where departing accountants are going, and ideas for improving work-life balance.

Meet Our Guest, Geoffrey Brown

Learn more about the Illinois CPA Society (ICPAS)

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00:09 Welcome: Geoffrey Brown Joins The Show
00:42 Discussing the Retention Report and Key Findings
01:12 Exploring the Reasons for Turnover in the Accounting Profession
03:01 Where are Accountants Going After Leaving Their Firms?
04:17 The Role of Workplace Culture in Retention
05:27 The Disconnect Between Firm Leaders and Employees
07:31 How Can Firms Address Work Life Balance Issues?
09:40 The Impact of Turnover on Remaining Employees
11:23 Addressing the Supply Issue in Accounting
12:32 The Role of Firm Culture and Work-Life Balance in Retention
16:57 Does the Accounting Business Model Need to Change?
19:56 The Impact of Firm Acquisitions on Employee Retention
20:53 Positive Changes and Future Challenges in Employee Retention
22:25 Thanks For LIstening and How to Find The ISCPA Survery

[sarahpaciocco]

I've been in public accounting for five years in audit and I can say that I will not stick around until partner unless things drastically change. It blows my mind that I've had to go through so much education, obtained my CPA within a year and still feel like I'm working myself to death. I can't understand why busy season lasts forever. This time of year, I forget to eat because I'm so busy, and I think a lot of time is spent on "am I reaching my hours" as opposed to "am I being efficient or profitable." Additionally, as a hard worker, I get MORE work than low performers instead of getting more work life balance because I'm doing a great job. I have a daughter and am a single mom and I don't feel like I'm able to take care of myself, I sleep very little now because I'm making sure she gets to do all of her activities and is keeping up with her work. What I don't understand is my firm could allow me to reduce some hours (from 2300 to more like 2100) but I may have to take a 10-15% pay cut. My job doesn't get easier even in that case. I think we have these metrics to try to make things fair but is it really?

[aaronchandler]

Some of us think about the “payout” that would happen after 20 years. But if you have to wait 20 years the “payout” sounds more like back pay. So we bounce.

[smallbeans]

Im on my 2nd busy season and it's very clear that public accounting is not the place to be unless you are greedy as hell and want to stick to it till partner it's always best to get your CPA and do a few years to get the hell out as soon as possible. The work is as dirty as it gets and you get no recognition, no time for family, nothing not even good pay

[AmberTheAwesome]

I earned my bachelor's at 35. I was not inexperienced in office settings, no stranger to long hours, and used to not feeling like I was paid what I was worth...BUT... the NEVERENDING busy season was too much.

[aldrogo]

Two busy seasons isn't talked about enough - and it seems like it's gotten worse every year after COVID. I'm a Senior manager in tax and had been on the partner track but now looking to pivot to an industry or government position for better WLB.

I feel like my entire year is either busy season or trying to take care of errands I didn't have time to do during busy season. I don't even have kids I have no idea how working parents in public accounting do it...

[LishaVictorian]

I’m loving the solutions with flexible hours and work from home options. It definitely helps the blow of working so many hours. It’s so cringy to hear employers fight to have accountants come in the office full time when COVID showed us it’s extremely possible to be successful remotely. Love this episode ❤

[joeymazzeo]

I mean... let's be honest, it's the salaries. Work life balance has obviously been a talking point for decades in this profession. I have no problem pushing for the insane hours and high-pressure deadlines, but if my work-life balance is going to be non-existent, can I at least get paid enough to justify that? Sticking around for partner to eventually get that "pay off" when I'm 35-40 years old is a joke considering the landscape of our current economy. Thats why young people gravitate towards other opportunities and leave public accounting behind.

[purepositivity]

One of the problems is the pay. If you divide your salary by 70 hours per week, the fast food worker makes more money than you. The firm owners or partners are so greedy that they don’t want to pay their staff accountants overtime pay. I think if you start paying people overtime, then you’ll see the shortage won’t be as bad because employees know that even if the WLB sucks, at least they are properly compensated. Another problem is the firm is being disrespectful for expecting their staff accountants to put in 60-70 hrs per week. That means they don’t care about you, they don’t value their employees. The whole industry needs to change or stop this immoral unethical practice. No wonder, accountants leave in droves. And 20 years till partner, are you nuts???😂 That’s usury, taking advantage of people.

[skeeterbodeen]

CUNY Baruch class of ‘93 and a CPA… And nothings changed, huh. It was no secret back then that the Audit firms take advantage of these young grads - so I’m glad that they’re finally feeling the pain. My advice kids go to white collar industries like Finance, engineering, consulting, or aerospace, etc. Basically look for high margin companies bc otherwise you’ll be ask to do shady stuff all the time….(and never work for a closely held/family owned biz).

[squirlyvibe]

This is a prime example of talking a-lot but saying nothing. They covered general issues that could cover many industries but I didn’t notice anything in depth or different than any other general info statement for the field of accounting and finance. Saying things like “people generally know what there getting into” is not a real informative way of diving into the conversation.

[miguelgaribay]

Go after people who have experience in very high stress jobs, think police, fire, EMS, military. Maybe it’s just me, I have military and EMS experience, but I’m making the career change into accounting and one of the reasons is the potential of decreased stress at the workplace, think: no life and death type of stress.

[KP-usld]

Public accounting will always be a flop because changing the current model to benefit/attract employees would imply less payouts to partners and that will never happen.

[tlungu]

should public accountants go on strike?

[jonathansgilman]

I have experience working oil and gas up north. One thing that I constantly saw was employers saying absolutely anything to get an employee and then not following through. This is the fastest way to burn through employees. Sn accounting example is work from home, or work-life balance promised in the interview, but then not following through. Then blame it on fit

[ryancapewell]

Just don't go into public accounting, become an accountant for a private company, become a CFO

[stickmanfinance]

He's so right, if u stick it out in public accounting it's rewarding. But long hours in your 20s is a hard pill to swallow

[guitarislife]

Good luck convincing me to ever go back to public accounting. I get paid more and only work 40 hours per week. You guys have fun with all that.

[skeeterbodeen]

I was always fascinated by how many Accounting Emergencies I’ve wasted my weekends on. Acctg is about as B&W as biz can get… there should never be an Acctg emergency… it’s a red flag of upper mgmt.

[cazu]

The pay isn’t good enough and the hours are too much

[Frozenheart]

In big 4 accounting firm and I've been in tax for more than 4 years, I am telling you it is not fun. I had to work days without sleeping and it is insane.