What Is Accounting Automation?

We’ve all been there: it’s the end of the month, statements are piling up, the clock is ticking, and you still have hours of work left to complete before you can clock off. It’s certainly not the most exciting part of running a business.

Luckily, though, the days of manual data entry are quickly passing. Today, automated accounting software is taking center stage.

Accounts payable automation technology, as well as automation in accounting finance and auditing, is rapidly changing the way businesses go about accounting. And that’s something to celebrate.

Automation software isn’t just about reducing the amount of time you spend chained to your desk doing repetitive tasks (although it does that too!); it also has the power to practically eliminate errors, increase accounting accuracy, streamline your processes, and much, much more.

Stick with us as we explore accounts payable automation technology in detail. We’re going to dig into some software comparisons and answer some of your most pressing questions.

Let’s begin!

In this article, you will learn:

• Key benefits of accounting automation
• Accounts payable automation: The future of invoice management
• Accounting automation in finance and auditing
• How QuickBooks supports accounts payable automation
• Best practices for implementing accounting automation
• Automation in small businesses: Is it right for you?
• Why automation is key to modern accounting

Key benefits of accounting automation

In 2025, over 40% of accountants use some form of automated accounting software. And a huge 76% believe that newly-qualified accountants (graduates) will use even more automation/AI than they do.

So the trend is clear: automation is here to stay—if not totally revolutionise accounting for good.

But why are accountants across the business world—including right here in the Philippines—using more and more automation tech?

Here are just a few reasons:

• Improved efficiency: Put simply, automation makes life easier. Much easier. Accounting tools like QuickBooks seriously slash the amount of time businesses have to spend on repetitive tasks like data entry for invoicing and bank reconciliation. That, in turn, frees up time and employees for other high-value activities like financial analysis and strategic planning.
• Cost savings: Before you panic, we’re not talking about laying off accountants. Instead, we mean that automation has the power to reduce money lost. That’s because automation tools effectively eliminate human errors that could lead to financial discrepancies or penalties. Plus, cloud-based software is much cheaper than expensive hardware.
• Enhanced accuracy and compliance: We hate to say it, but automation tools are just more accurate. Sorry. Manual accounting processes are prone to errors, which can lead to financial misstatements or compliance issues. Automation makes financing and compliance a whole lot more accurate.
• Real-time financial insights: Many leading accounting tools offer instant access to financial data. Businesses can then use that data to make better strategic decisions and manage cash flow more effectively.

How automation improves accuracy in accounting

We’ve mentioned that automation in accounting, finance, and auditing is reliably more accurate than data entry by hand. But what exactly does this mean? And how does such software even work?

Let’s explore:

• Error reduction: We all know that manual data entry can be prone to mistakes. Duplicates, miscalculations, incorrect categorizations—you name it. But software isn’t subject to human foibles. They use predefined rules and algorithms, essentially guaranteeing accuracy. 
• Compliance maintenance: Philippine businesses spend hundreds of hours ensuring compliance with accounting regulations. And those regulations can switch up pretty fast, too. But automated accounting software incorporates real-time updates and built-in compliance checks. They can even provide documentation when required.
• Accurate financial reporting: Again, ‘real-time’ is key here. Automation tools enable real-time data collection. This ensures your financial reports are always based on the most current and accurate information. They even consolidate disparate financial data for insights it might take a human accountant weeks to notice!

Accounts payable automation: The future of invoice management

Are you finding invoicing a constant struggle? Accounts payable automation technology could be the answer.

Accounts payable automation streamlines the entire invoicing process from start to finish (including receiving, approving, and paying) by replacing manual tasks with digital workflows. Accounts payable automation with QuickBooks uses advanced OCR tech to capture and consolidate invoice data so you don’t have to.

Here’s how it works:

• Invoice capture: AP automation software scans and extracts data from invoices. No more manual data entry!
• Validation and approval: The system then matches invoices with purchase orders and payment terms, automatically flagging discrepancies for review.
• Payment processing: Once you’ve approved a payment, it’ll then be scheduled and processed automatically. This helps you get paid/pay on time.
• Reporting and auditing: Of course, the system keeps records of all transactions, too. That’s great news for insights and compliance.

Another major plus of AP automation is better cash flow management. Not only does such software help you keep an eye on outstanding payments, but it also helps you take advantage of early payment discounts and avoid costly late payment penalties, too.

Here’s why AP automation is crucial for Philippine businesses:

• It cuts costs and time wasted by swapping manual entry for automatic entry.
• It enhances accuracy and compliance by minimizing errors.
• It improves supplier relationships—pay on time, keep everyone happy.
• It strengthens financial control with real-time analytics.

Accounting automation in finance and auditing

Automated accounting software isn’t just handy for invoicing. It also brings huge benefits in finance and auditing, too. Accounting automation integrates with financial operations to take your financing to a whole new level.

Don’t believe us? Here, we’ll show you what we mean:

Integration with financial operations

We’ve already talked about accounts payable, but what about accounts receivable, payroll, tax reporting, and so on? Weel, there’s good news: automated accounting software can speed up almost all accounting processes you could imagine.

How? Software can consolidate financial data from multiple sources. That means fewer discrepancies and real-time financial tracking. 

Plus, it automates repetitive tasks. Think of all those activities you spend hours doing manually every month: transaction categorization, bank reconciliations, expense management—the list goes on!

Enhancing the auditing process

One of the best aspects of accounting software is that it keeps organized digital records of just about everything. That means a clear audit trail wherever and whenever you need it.

Businesses can benefit from:

• Real-time data access
• Internal controls and compliance with regulatory standards
• Massive error reduction in auditing

Ensuring financial integrity

We’ve already covered how automation tools can effectively eliminate manual errors and spot mismatches. But it goes one step further: it provides role-based access controls, which keeps your financial data safe from unauthorized interference. AI-driven anomaly detection features may even flag suspicious transactions automatically!

Will accountants be automated?

Here’s a question we get asked a lot: will accountants be automated? It’s a scary question to contemplate, sure. But we’re here to put your mind at ease.

There’s no doubt that accounting is relying more and more on automation. But any and all technology—especially technology handling sensitive material like finances—must be overseen by humans. It can do the bulk of repetitive input, but it can’t check its own work.

That’s probably where the future of accountancy lies. Accountant will retain high-level roles in:

• Overseeing automated processes
• Human-checking automated results
• Acting on AI-driven financial insights
• Managing supplier/client relationships
• Ensuring automation tools have the right parameters and are up-to-date

And don’t forget: automation will make the accountant’s life much more fulfilling. It will take the mundane tasks out of the equation and replace them with higher-level, more personal activities instead!

So no, accountants won’t be automated in full. There will still be a role for highly-trained accounts in most businesses—at least for the foreseeable future!

How QuickBooks supports accounts payable automation

QuickBooks is a top contender in the accounts payable automation technology world. Businesses across the Philippines and throughout the world use QuickBooks software for streamlining their accounting every single day. And it’s no wonder why.

Through its built-in AP tools and third-party integrations, QuickBooks simplifies everything from invoicing and approvals to payment scheduling and compliance. 

Here are just a few of the key AP automation features QuickBooks boasts:

• Automated invoice processing: Ever heard of OCR? OCR—Optical Character Recognition—is tech designed to make invoicing quicker and easier. Essentially, it lets users scan invoices and extract data, which QuickBooks can then categorize automatically.
• Bill management and payment scheduling: QuickBooks lets you set up recurring bills and manage payment schedules at the click of a button. This helps pay on time, every time—and avoid late fees!
• Bank and credit card syncing: Just to make life even easier, QuickBooks can sync with bank accounts to enhance its real-time analytics capabilities. Cool, right?
• Approval workflows: Keep your payments secure with multi-level approval processes for invoices.
• Third-party AP integrations: QuickBooks doesn’t work in a vacuum, either. It integrates with other popular platforms like Bill.com and Melio for better audit trails and international transfers.

QuickBooks seamlessly becomes part of your financial management ecosystem. It’s one of the most highly recommended software providers for automating AP on the market, making real-time financial processing and reporting quicker, easier, and crucially, more affordable.

Best practices for implementing accounting automation

The idea of totally rebooting the way you go about accounting can be daunting. But with the right software and the right attitude, it can be surprisingly simple.

However, there are a few things to think about before you sign up to anything. For instance:

• Assess your needs and goals: You might not need a full-service software. Take a look at your particular pain points (maybe you’re having trouble with invoicing and cash flow, for example) and look for software that addresses them.
• Ensure smooth integration: You don’t have to go all-in in one go. Try to use APIs or built-in integrations to connect automation tools with existing software. Also, spend time training your employees in new systems.
• Maintain security and compliance: Make sure that any tools you use comply with Philippine regulations (find a software that specifically works in your country).
• Continuously monitor and optimize: Accounting is never ‘over’. Ensure you’re always on top of your finances by tracking automation and looking for areas where you could improve your processes.

Automation in small businesses: Is it right for you?

Automation is making waves in just about every industry there is right now. And to be sure, it offers many incredible benefits. But that doesn’t mean it’s right for everyone.

Before you decide on an accounting automation software for your business, you should probably take some time to consider a few factors that could play a role. For example:

• Cost vs Value: There may be startup costs involved with automation, as well as regular monthly payments. Small and medium-sized businesses should look for affordable software designed for businesses at their stage.
• Ease of use: Software can vary a lot in terms of ease-of-use. User-friendly interfaces reduce training time and improve adoption.
• Integration: It’s also a good idea to find solutions which can sync with your existing payroll, banking, and invoicing systems—again, this’ll drive down adoption time.

Why automation is key to modern accounting

We’re not here to tell you how to do your accounting. But we are here to help you do it as efficiently as possible. With that aim, we recommend you consider automated accounting software as a possible way forward.

Automation is revolutionising the business world. Tools like QuickBooks have the power to streamline major aspects of accounting, including invoicing, compliance, auditing, and more. And as more and more of your competitors grasp this technology by the horns, those who don’t risk falling behind.

Luckily, getting started with accounting automation is easy. Try QuickBooks for 30 days totally free, and discover the difference it can make to your financial operations!