The accounting industry’s digital transformation has helped accounting professionals streamline operations, improve client services, and stay ahead of the curve — thanks to the continued integration of technology into day-to-day work. Ledgers bound in paper and cumbersome manual calculations are a thing of the past as accounting professionals adopt automated processes, artificial intelligence, and data analytics to provide more value to their clients. As a result, accounting professionals are leveraging technology to weather an ever-evolving business landscape, and provide robust services to their clients that meet the unique needs of today's fast-paced and highly-competitive environment.

The 2024 Intuit QuickBooks Accountant Technology Survey unpacks how technology is arming the industry with the tools it needs to stay ahead, stay responsive, and stay resilient. New data from the QuickBooks-commissioned survey of 993 accountants and bookkeepers throughout Canada highlights the following important trends:

• Advancements in cloud accounting and digital technologies rank as the single greatest positive impact on the profession over the last 5 years.
• 90% of respondents agree that a willingness to learn and adopt new technologies is just as important as traditional accounting skills to succeed as an accounting professional today.
• On average, accounting firms are earmarking $30,000 to spend on accounting tech over the next 12 months.
• 99% of respondents have used AI to help clients over the last 12 months.
• Respondents point to an unimproved economy as the #1 threat to the industry's future.
• 91% of respondents agree that more tech-advanced clients are better prepared to weather economic challenges such as inflation and high interest rates than less tech-advanced clients.
• 91% of respondents agree that if the workforce does not stop shrinking, accounting professionals will need to rely on technology even more for business success.
• Client financial and technology management needs are on the rise.
• More than 9 in 10 respondents say technology will cut time with compliance.
• More than 8 in 10 respondents say technology will help elevate the quality of advisory work.
• Implementing or optimizing accounting technology solutions is the service respondents say they’ve delivered that has contributed the most to their clients’ increasing profits (for purposes of the report, profitability is anything above breaking even or above $0).

Jump ahead:

• Leaning into technology for success
• Unleashing the power of AI
• How the economy is affecting accounting professionals and their clients
• Outsourcing and profit gains
• Closing the talent gap
• Client lists and client needs are growing 
• Tech is optimizing client services 
• Client tech considerations
• Don’t lose the human touch
• Sample and methodology

Leaning into technology for success

Ahead of remote work and increasing globalization, respondents rank advancements in cloud accounting and digital technologies as having the single greatest positive impact on the industry over the last 5 years. Not far behind is the impact of AI and machine learning. 

Accounting professionals have invested more in technology over the last 12 months 

Accountants and bookkeepers are reaffirming their commitment to technology and the added advantages. Over the last 12 months, respondents’ firms invested an average of $27,000 in accounting technologies — an increase from the average $26,000 investment reported last year*.

Accountants and bookkeepers earmarking more for future tech investment 

Looking ahead, the momentum behind tech investments isn’t slowing down. Respondents report having an average of $30,000 earmarked for accounting technologies over the next 12 months — climbing up from last year’s average of $27,000*.

AI, machine learning, and automation tools lead investments for the year ahead

With $30,000 earmarked for accounting technology spend over the next 12 months, accountants and bookkeepers are clear on where they see that investment going. More than 50% of respondents say they foresee their businesses investing in AI (64%), machine learning (60%), and automation tools (55%). 

Technology adoption just as important as accounting skills

Nine in 10 (90%) respondents agree that a willingness to learn and adopt new technologies is just as important as traditional accounting skills to succeed as an accountant or bookkeeper today. 

With a shifting landscape demanding more support for clients each year and the need to stay ahead, accounting professionals capitalizing on tech adoption have a competitive edge. One in 2 (50%) respondents identified their businesses as early adopters of digital tools. 

Back to top

Unleashing the power of AI

Advancements in technology are reshaping the accounting profession, and the use of AI is leading the charge. Accounting professionals are embracing AI to boost efficiency and help give them the foundation necessary to provide strategic business advisory services. 

Accuracy, not jobs, is the primary concern about AI

Survey findings suggest accountants are likely more concerned about accuracy than AI replacing them. While all respondents expressed some concerns about the advancement of AI in the accounting industry, job replacement (9%) was low on the list. For respondents, accuracy and reliability of AI-generated information (39%), data privacy (21%), and cost of implementation and maintenance (17%) ranked as the biggest AI concerns.

Accountants and bookkeepers are putting AI into action

Nearly all respondents (99%) say they’ve used AI to help clients over the last 12 months. Topping the list is real-time financial insights (61%), fraud detection and prevention (60%), and data entry and processing (59%). 

Accounting professionals aren’t just leveraging the power of AI for client services — they’re also applying the power of AI for business success. All respondents say they’ve used AI for firm operations over the last 12 months (100%). Client communication and engagement (67%), managing client portfolios (62%), and marketing (60%) top the list. 

Ethical AI 

Accountants and bookkeepers are leveraging AI with ethics top of mind. For those who have used AI, more than 9 in 10 (94%) indicate that AI usage has been under formal ethics guidelines. And more than 60% say guidelines have come in the form of a committee or panel responsible for overseeing the ethical use of AI (64%) or a formal notice to clients on how their firms are using AI (64%). 

Back to top

How the economy is affecting accounting professionals and their clients 

While Canada's annual inflation rate hit a three-year low in April 2024, a higher overnight rate continues to squeeze borrowers. Respondents understand that economic factors, like interest rates, can significantly impact business growth and spending, and point to a challenging economic environment that doesn’t improve as the greatest risk to the profession’s future — far ahead of a shrinking workforce.

Profitability takes a hit

Accounting firms aren’t immune to economic tides. Reduced profitability due to increased costs of doing business (60%) is the top challenge respondents’ firms have faced during the current economic landscape.

Technology can create resilience in a hard economy 

As businesses continue to grapple with the realities of inflation and higher interest rates, accounting firms find themselves under increasing pressure to adapt in order to remain profitable and competitive. One of the key ways that accounting firms can manage this challenge is by embracing technology. Nearly 9 in 10 (89%) respondents agree that accounting firms making more use of technology are more likely to survive periods of inflation and higher interest rates. 

Inflation and higher interest rates are a top client challenge

Respondents say maintaining profitability despite inflation and higher interest rates has been the biggest challenge clients have faced over the last 12 months. More than 3 in 10 (37%) say it’s been the greatest difficulty for clients — more than twice the number who say compliance (18%) or scaling their business (14%). 

As the top challenge clients are facing, inflation and higher interest rates have impacted everything from the cost and availability of loans to profitability. Three in 5 respondents say clients have had to carry the burden of higher costs of assets for their business (61%) and increased difficulty obtaining financing or loans (60%) — and more than 1 in 2 (54%) say it’s hitting their clients with lower returns on savings and investments. 

Inflation and higher interest rates could inhibit clients’ growth with no change — but technology can help weather the storm 

Although inflation has cooled, businesses aren’t out of danger yet. More than 8 in 10 (87%) respondents agree that while the rate of inflation has slowed, high prices and higher interest rates still pose a threat to their clients’ growth over the next 12 months.

With the pressure of the higher cost of borrowing, clients leveraging technology for innovation, risk mitigation, and a deeper understanding of their financial performance are one step ahead. Nine in 10 (91%) respondents agree that more tech-advanced clients are better prepared to weather economic challenges such as inflation and high interest rates than less tech-advanced clients.

Back to top

Outsourcing and profit gains

Outsourcing has emerged as a powerful tool for enabling accountants and bookkeepers to shed much of their compliance workload so they can focus on advisory work with clients. 

Outsourcing is building a better business model 

All (100%) respondents have outsourced at least part of their work over the last 12 months. General ledger and transaction management (60%), accounts payable and receivable processing (59%), and tax return preparation and filing (57%) are the top 3 outsourced services.

Outsourcing is positioning accounting firms to be more efficient, scale-up, and manage risk. For respondents that have outsourced work, improved efficiency and quality of work (63%) are two of the biggest benefits. Others include increased ability to scale (62%) and improved risk management and compliance (62%). 

Outsourcing is allowing accountants and bookkeepers to save time on compliance work and leading to new growth opportunities. By enabling firms to cut down on the time dedicated to compliance, outsourcing is allowing them to invest more heavily in business advisory services, where deeper relationships and higher margins can be achieved. Data from this year’s survey shows that more than 9 in 10 (93%) respondents agree that outsourcing can help drive profit growth by allowing firms to spend more time on advisory services.

Back to top

 Closing the talent gap

As the industry grapples with an ongoing talent gap, technology has emerged as a critical tool. Accountants and bookkeepers aren’t just using technology to both to attract and retain top talent — they’re also using it to bridge the gap with increased efficiencies. Data from this year’s survey finds that 9 in 10 (91%) respondents agree that if the workforce does not stop shrinking, accounting professionals will need to rely on technology even more for business success.

Hiring challenges persist

The accounting industry is standing at a crossroads with the advantages of tech advancements, but the strain of a talent shortage. From last year to this year, hiring struggles persist. More than 9 in 10 (97%) respondents say hiring has been a challenge across the board. The concern appears to be growing particularly for early-career professionals with 1+ years’ of experience compared to last year.*

Leveraging technology to hook talent

With fewer qualified accounting professionals entering the field, a smaller labor market means the competition for top talent is ratcheting up. As the pressure to attract top candidates mounts, respondents are again looking to technology for solutions. All respondents say their businesses will leverage the latest technologies to attract and/or retain top talent (100%). Other benefits to attract/retain talent include competitive salaries and comprehensive benefits (100%) and regular training and skills development (100%). 

Technology is giving accounting firms the upper hand in a competitive market. Respondents pushed “attracting and retaining top talent as a tech-advanced firm” to the top of the list of biggest competitive advantages technology is enabling, with 1 in 4 (25%) saying it’s giving firms a competitive edge.

Client lists and client needs are growing 

Despite a talent shortage, accounting professionals are growing their client lists and seeing increasing needs among clients. More than 7 in 10 (77%) respondents report expanding their client lists over the last 12 months, with an average increase of 33%. Expanded capacity due to technology investments tops the list of reasons behind client growth. Nearly 7 in 10 (69%) who experienced client growth over the last 12 months point to this as a driver. Not far behind is increased demand for value-added advisory services (60%) and improved client satisfaction leading to client referrals (60%).

Financial and technology management in demand 

Clients are demanding more from their accountants and bookkeepers. A larger share of respondents indicate that clients have needed more support with financial management this year (79%) compared to last (64%)*. 

As accounting professionals step up to be strategic business advisors, clients are increasingly relying on them to help navigate a constantly-evolving technology landscape as well. In addition to financial management, a larger share of respondents indicate that clients have needed more support with technology management this year (79%) compared to last (73%)*. With businesses needing to integrate various technologies into their operations, the role of the accounting professional has evolved to cater to the full spectrum of their clients’ needs. 

Back to top

Tech is optimizing client services 

As last year’s survey insights revealed, technology is helping free up time to focus on taking on more of an advisory role to clients. This year’s data is painting a clearer picture of how. Technology is cutting time with compliance, and creating a new standard of excellence when it comes to strategic business advisory. 

Streamlining compliance and unlocking new business opportunities in the year ahead 

From crunching numbers to strategic business consulting, technology has pushed the accounting industry in a new direction with new opportunities on the horizon. Looking ahead, technology is helping unlock compliance efficiencies as a first step. Respondents say technology will help save time with preparation and filing of tax returns (98%), bookkeeping and financial reporting (97%), cost accounting and budgeting (95%), and regulatory compliance and reporting (95%) the most.

By streamlining compliance tasks, technology is making it easier for accountants and bookkeepers to dedicate more time to strategic business advisory services, increasing face-to-face time with clients and making their client interactions more meaningful. As a result, businesses are increasingly turning to accounting professionals as trusted advisors, rather than just compliance specialists. Accountants and bookkeepers are stepping up to the challenge and leveling up their work. More than 8 in 10 respondents expect tech to elevate the quality of their advisory services over the next 12 months, particularly business strategizing (99%), risk management (97%), and financial forecasting and modeling (96%). 

With the aid of technology, it’s no surprise that strategic business advisory is taking up a significant share of accounting professionals’ time. On average, nearly half (49%) of accounting professionals’ work is dedicated to strategic business advisory.

Client tech considerations

Just as accountants and bookkeepers are embracing technology and enjoying business success, their clients are following suit. On average, more than 2 in 5 (46%) of respondents’ clients have grown profits over the last 12 months (for purposes of the report, profitability is anything above breaking even or above $0). For respondents whose clients have experienced profit growth, implementing or optimizing accounting technology solutions (66%)  is the service they say has contributed the most to their clients’ increasing profits.

Tech-advanced clients boost business 

Accounting professionals aren’t just leveraging technology for added benefits in their work — they’re also partnering with tech-advanced clients. On average, more than 1 in 4 (27%) respondents’ clients are considered “tech-advanced.”

Tech-advanced client rosters mean better efficiency, accuracy, and communication. Respondents unanimously agree — working with tech-advanced clients is a boost for business. Increased efficiency and accuracy (63%) takes the lead in the biggest advantages that come with these partnerships. Not far behind is keeping job satisfaction high (60%) and better communication (56%). Working with tech-advanced clients has a positive impact on profitability as well. One in 2 (51%) respondents say working with these clients boosts their firm’s profits. 

Working with tech-advanced clients is providing greater opportunities for accountants and bookkeepers — to the point where tech adoption has become a major consideration for client fit. Accounting professionals aren’t just on the lookout for high-growth potential (77%). Seven in 10 respondents (70%) are also weighing clients’ use of technology in assessing whether they’d be a good fit for their business — far ahead of potential revenue/cost benefit (48%).

 Don’t lose the human touch

Soft skills such as communication, collaboration, and problem-solving are just as important for success in today’s industry as tech proficiency. While AI and technology can offer accuracy and efficiency, the ability to build positive relationships and think critically still holds weight.

Balancing the tech approach with a human approach 

Nine in 10 (91%) respondents agree that soft skills are just as important as traditional accounting skills to succeed as an accounting professional today. Similarly, prioritizing human touch and connection with clients and staff is just as much of a competitive advantage as technological capabilities (92% agree). 

Thinking critically is another valuable skill for today’s accounting community. Given the detail-oriented work accountants  and bookkeepers do day-to-day and the growing importance of strategic business advisory, it follows that the ability to identify and troubleshoot complex issues (97%) ranks as one of the top critical soft skills for the modern-day accounting professional — along with the ability to collaborate effectively (97%). 

Sample and methodology

Intuit QuickBooks commissioned an online survey in April 2024 of 993 accounting professionals (all adults aged 18+) throughout Canada (excluding Quebec). Two in 5 (40%) respondents own an accounting or bookkeeping business. Three in 5 (60%) are employed by an accounting/bookkeeping firm as an accountant/bookkeeper. Two in 5 (41%) work for firms with more than 100 employees. Nearly 3 in 5 (59%) respondents work for firms with 0-99 employees. Three in 5 (60%) respondents are male and 2 in 5 (40%) are female. Seven in 10 (71%) respondents are white. The second largest racial group is Asian (7%). Percentages have been rounded to the nearest decimal place so values shown in data report charts and graphics may not add up to 100%. Responses were collected using Pollfish audience pools and partner networks with double opt-ins, random device engagement sampling, and post-stratification based on census data to ensure accurate targeting and results. Respondents received remuneration.

*Note: The 2024 survey sample excludes accountants/bookkeepers who work in-house at non-accounting firms — whereas the 2023 survey sample included these respondents. Response comparisons year-over-year have been estimated comparing 2024’s sample to the 2023 respondents who did not work in-house at non-accounting firms.  

Disclaimer

This content, report and materials are for informational purposes only and should not be considered legal, accounting, financial, investment, or tax advice, or a substitute for obtaining such advice specific to your business. Additional information and exceptions may apply. Applicable laws may vary by state or locality. No assurance is given that the information is comprehensive in its coverage or that it is suitable in dealing with a customer’s particular situation. Intuit Inc., or its affiliates do not have any responsibility for updating or revising any information presented herein. Accordingly, the information provided should not be relied upon as a substitute for independent research. Intuit Inc., or its affiliates do not warrant that the material contained herein will continue to be accurate nor that it is completely free of errors when published. Readers should verify statements before relying on them.

We provide third-party links as a convenience and for informational purposes only. Intuit Inc. or its affiliates do not endorse or approve these products and services, or the opinions of these corporations or organizations or individuals. Neither Intuit Inc. nor its affiliates assume responsibility for the accuracy, legality, or content on these sites.