The Future of Work

What is the Future of Accounting? Here Are My 2025 Predictions

Dec 16, 2024 Katie Thomas, CPA

2025 is right around the corner. A lot has happened over the last year. The persistent talent shortage continues to challenge teams across the industry. At the same time, advancements in technology, from AI to automation, have opened doors to new ways of working—streamlining processes and unlocking potential for growth.

As we move into 2025, I predict it’ll be a transformational year. Why? 

Let’s find out. Here are my predictions for 2025.

Accounting Departments Must Adapt to the Talent Shortage

The talent shortage is nothing new – the profession has been dealing with it for years now – and based on research, it’s about to get worse before it gets better. The research:

  • Points to a 160,000 shortage in CPAs
  • Estimates that, over the next decade, the number of available accountants will decline by another 30%


Yikes! That’s not good news. 

However, there are steps teams can take today to manage the shortage.

Success in 2025 will depend heavily on how well leaders create a workplace that attracts and retains top talent. This begins with fostering a fulfilling environment. CFOs, it’s crucial you review your department and ask:

  • Are there growth opportunities? Accountants want a pathway to success. They want to advance in their positions and tackle new challenges. Mentor and support your workforce to help them achieve these goals.
  • Do you offer flexibility? Flexibility is a major talking point this year and one that, I think, is undervalued. At a time when many employers are trying to implement return-to-office mandates, including Amazon, JPMorgan, and Blackrock, you might find your business retains accountants because you offer flex time or even some level of remote work.
  • When it comes to tools and technology, are you utilizing ones that allow your accountants to do their jobs more efficiently and focus on higher-level tasks that they enjoy?

Attracting and retaining existing talent begins with creating an environment where accountants feel supported and valued, but this isn’t the only strategy to consider when addressing this challenge.

Another prediction I have when it comes to talent is that accounting departments will begin to look outside of students majoring in accounting or currently in an accounting position to fill certain roles. For example, I know of a company that hires and trains employees from Chick-fil-A. While these individuals have no prior accounting experience, they are seen as excellent cultural fits and are easy to train. Companies that adopt this approach, hiring for potential and investing in training, will not only fill open roles faster but will also stay ahead of the competition in 2025.

Creating an environment that attracts and retains talent while thinking outside of the box to find new talent is a critical piece of managing the talent shortage puzzle, but it alone does not solve it. CFOs will still have to learn how to do more with less. With all of this in mind, I’m predicting that accounting departments will lean heavily on technology in 2025.

Tech Will Drive Meaningful Growth by Streamlining Tasks

While the shortage isn’t expected to get better any time soon, CFOs can make strategic changes to mitigate its impact by strategically leveraging technology. 

Automation and artificial intelligence (AI) are all the talk these days, and for good reason. They help streamline tasks that save teams valuable time. I foresee that as teams become more comfortable using AI for everyday tasks, they will begin leveraging this technology to support strategic business growth, inform decisions, and drive value across the organization as a whole. For example, AI might be used to generate new insights or predict financial trends that CFOs and teams wouldn’t have seen otherwise.

That being said, AI is just one part of the equation. In the accounting landscape, the future of technology will be focused on adopting interconnected solutions.

Why?

Piecemeal workflows often lead to inefficiencies and frustration among accounting teams. When teams use multiple tools to complete different tasks, collaboration can also be challenging.

Centralized platforms, on the other hand, drive efficiency and collaboration by streamlining tasks from one single solution. Teams save time when they’re not hopping from one platform to the next, experiencing information getting lost in transit, and everyone is on the same page because the entire team has adopted the solution (in an ideal world).

For example, solutions like FloQast’s Accounting Transformation Platform empower teams by providing a suite of tools to streamline workflows, glean insights, gain visibility across financial processes and more – all from one centralized platform.

However, transitioning to an interconnected solution will remain a challenge without the CFO’s support and encouragement. As we move into 2025, the CFO’s role will continue to evolve, becoming a driving force behind technology adoption and financial transformation.

The CFO Role Will Continue to Evolve

The role of a CFO will shift and evolve in 2025, as financial transformation takes center stage. In the coming year, CFOs will be even more focused on aligning the organization’s financial functions with its overarching goals to help drive business success.

CFOs who equip their teams with forward-thinking skills and agile tools will also find opportunities for collaboration across departments and greater involvement in strategic decision-making.

Compliance will continue to be a key component of financial transformation in the coming year, and CFOs will need to leverage technology to transform compliance into a strategic asset that supports success. 

Currently, only about 16% of organizations go beyond simple box-ticking when it comes to compliance. But in the realm of financial transformation, compliance is more than just a regulatory obligation.

For example, it can:

  • Reduce the risk of penalties and reputational harm that can negatively impact an organization’s finances and performance.
  • Build trust with stakeholders and pave the way for new opportunities, like sustainable financing.

To support compliance and help teams navigate the complexities of digital transformation, CFOs will be championing technology adoption while fostering innovation and leading cultural shifts.

Final Thoughts

The future is an open book, but as we move into 2025, I see technology and the shifting roles of CFOs as key drivers of change and innovation in accounting. Financial transformation will continue to be a central theme, and CFOs must lead the way in ensuring teams are adopting technology to streamline processes, support success, and align financial processes with the organization’s primary goals.

Interconnected solutions and AI will help teams do more with less in an industry that’s facing a stubborn talent shortage. But beyond technology, CFOs must also prioritize creating environments where accountants feel supported, valued, and fulfilled. By combining innovative tools with a focus on employee satisfaction, CFOs can empower their teams to focus on tasks that drive growth and long-term success.