The Wall Street Journal has published nearly a dozen articles over the past 18 months addressing the current and future shortage of accountants.1 Most recently, the CEO of one of the Big Four accounting firms penned an op-ed titled “The Dying Language of Accounting.” In the piece, he expressed deep concerns about the profession’s future.2 According to the American Institute of Certified Public Accountants (AICPA), 75% of CPAs are expected to retire within the next decade. At the same time, enrollment in university accounting programs is on the decline. Despite the gravity of the situation, surprisingly few people are aware of this trend, and even fewer are reading The Journal’s articles. While accounting and accountants may lack a glamorous image in our society, they play a critical role in the economy, and we are already beginning to feel the consequences of this shortage.
The impact is widespread. As more accountants retire, an increasing number of individuals are scrambling to find new accountants just before tax season. However, the effects extend beyond personal finances. Last year, several states failed to file their annual comprehensive financial reports for the previous year until as late as August. In 2024, about 70 public traded companies delayed their annual reports due to an accountant shortage, which was a 40% increase from the previous year. According to Fortune magazine, the accounting shortage has also led to a surge in errors within earnings reports.3 Meanwhile, the IRS continues to grapple with a backlog of returns due to staffing shortages of accountants. Public sector entities, including municipalities and schools, are struggling to attract and retain qualified accounting professionals.4
That said, this issue is not insurmountable—it is a challenge filled with opportunities. To start, more people need to be aware of it. In my opinion the accounting profession could use a good PR campaign.
Kumbie Mtunga
- https://www.wsj.com/opinion/the-dying-language-of-accounting-cpa-licensing-fede2e74
- https://www.wsj.com/articles/not-enough-accountants-the-cfos-tenure-might-get-a-little-shakier-9085c9cd
- https://fortune.com/2024/03/01/accounting-shortage-earnings-report-mistakes
- https://micpa.org/docs/site/educator-assets/2021-trends-report.pdf?sfvrsn=bfb9c261_2