What does an accountant do? Key roles and responsibilities

Think accounting is all about number-crunching and spreadsheets? While those are certainly part of the job, you might be surprised to learn how many different roles and responsibilities fall under the umbrella of accounting. Accountants might do anything from essential bookkeeping tasks to in-depth financial analysis to representing taxpayers in IRS disputes—so there’s a treasure trove of valuable skills that accountants can provide.

Whether you’re considering a career in accounting or trying to understand how an accountant can benefit your business, this post will help outline the core responsibilities of an accountant. Let’s explore an accountant’s specific duties, learn about the different types of accountants, and review the essential skills they need to succeed.

Jump to:

• Why accountants are important
• Accountant demand and trends in 2025
• Duties and job responsibilities
• What are the different types of accountants?
• Important skills an accountant should have
• Dedication to ethical standards
• The biggest challenges for accountants
• Daily duties of an accountant
• What’s the median salary of an accountant in 2025?
• Choosing an accountant for your business
• How to become an accountant

Why accountants are important

Accountants keep the business world moving with their essential services. Some of the reasons accountants are so important include:

• Accountants handle the key bookkeeping tasks, such as reconciling bank statements and validating payroll, that every organization needs to maintain its basic operations. 
• Accounting services are even more critical during tax season. Most businesses use trained accountants to file their tax returns, saving paperwork headaches and reducing the change of painful IRS penalties.
• Accountants help organizations stay compliant with financial and reporting rules, so they can avoid penalties and maintain a clean reputation.
• Accountants are necessary for practically any type of organization that has a budget, revenue, and/or payroll. From universities to nonprofits to government agencies, organizations in many different verticals need accounting services. 
• Some accountants provide more complex services such as financial analysis and strategic planning, which are invaluable to businesses charting their financial future.
• Some companies are legally required to use accountants with certain credentials. Publicly traded companies, for example, must have their records externally audited by a certified public accountant (CPA). 

With such diverse opportunities available within accounting, and with critical needs accelerating in the accounting sector, it’s easy to see why accounting continues to be a growing field. How quickly is it growing? We’ll look at the facts next.

Accountant demand and trends in 2025

Figures from the U.S. Bureau of Labor Statistics show that the accounting profession continues to grow. BLS data predicts that over 90,000 new jobs have or will become available in accounting between 2023 and 2033 as the market for accountants expands by 6%. In total, an average of over 130,000 jobs for accountants are expected to become available. 

Multiple studies have also shown that there’s a major unmet need for more accountants in the U.S. The CPA Journal notes the ongoing shortage of new accountants entering the profession, with 68.9% of managers at private companies and 82.4% at public companies stating that recruiting accounting talent has been a challenge for them. While learning accounting skills isn’t easy, it can be the gateway to a lucrative and in-demand career for those who take to the work.

Duties and job responsibilities

An accountant’s responsibilities can vary by position and organization, but here’s a general overview of their duties and what each one entails.

Prepare and review financial statements

Accountants give businesses a clear snapshot of their financial health by preparing and reviewing key financial statements. These documents usually include the so-called “Big Three” accounting statements): 

• Balance sheets, which show the company’s assets and liabilities
• Income statements, which show the company’s revenue, expenses, and profit/loss 
• Cash flow statements, which show how much cash moves in and out of your business

These statements are cornerstone elements of any SMB manager or owner’s decision-making toolkit, but they can be complex and time-consuming to prepare, even for a small business. Some organizations may also require their financial statements to follow accounting standards like GAAP or IFRS. An accountant’s skills and training allow them to take on these tasks more efficiently and help ensure that financial statements are accurate.

Tax preparation and planning

Accountants are also typically responsible for filing, organizing, and maintaining a business’s tax documents. Businesses are required by the IRS to keep financial records, and part of accounting training includes learning relevant standards for keeping these records organized and compliant. They help make sure that all transactions are correctly recorded and verified.

In addition, accountants usually handle the day-to-day tax compliance functions every business has to follow. These include ensuring that payroll taxes (such as Social Security and Medicare taxes) are deducted correctly from employee checks, and that businesses make any required payments like quarterly estimated taxes.

Accountants can also play a critical role in helping businesses deal with revenue agencies like the IRS. A CPA or IRS Enrolled Agent has legal privileges that allow them to represent their client or employer in dealing with IRS actions like audits. 

Conduct audits

In accounting, an audit is a detailed review of a company’s financial statements and/or processes. Not all accountants conduct audits, but those who do play a key role in a company’s operations. 

Accountants might conduct either internal or external audits, depending on their job responsibilities. Here’s the basic difference:

• Internal audits originate inside the company and are usually conducted by in-house accountants. Their purpose is to improve company processes, such as payroll, risk management, or record-keeping. Internal audits can be a part of a firm’s standard procedures, or they might be one-off projects designed to address specific challenges.
• External audits are typically conducted by third-party independent accountants, often working for an auditing firm and almost always with CPA licenses. With an external audit, the focus is typically on verifying compliance and accuracy in the company’s financial records. Some external audits, like those conducted by the IRS, are focused on detecting fraud or tax evasion, while others might happen at the requests of investors or lenders.

Financial operations and analysis

Accountants also analyze a company’s financial performance to spot trends and interpret financial data. This can help businesses make smarter decisions and improve operations in a variety of ways. 

Often, accountants help optimize a company’s financial operations. For example, they might help a business improve its cash flow by eliminating inefficiencies in its payables and receivables workflow. Accountants are also a crucial part of the budgeting process, both during budget creation and throughout the year, when they can analyze budget variances and help keep spending on track. 

Furthermore, accountants offer an invaluable resource for major financial decision-making. When a business owner faces big decisions like applying for a new financing round or expanding to a new location, an accountant’s services are critical for developing scenarios and forecasts to help leaders make the best decision. 

Risk assessment and management

Risk assessment involves identifying potential financial risks and developing strategies to mitigate them. Businesses hire accountants to think about these “what ifs” to keep them safe and stable from these possible issues. 

An accountant who works in risk management will often be part of the effort to develop response plans for common financial risk scenarios, from market downturns to credit risk to liquidity issues. Accountants team up with risk management specialists, legal counsel, and other stakeholders to make contingency and continuity plans that can make the difference in keeping a business afloat during an emergency scenario.

In an age when data breaches are increasingly common, accountants may also work with IT and cybersecurity professionals to implement internal controls for financial data protection. From detecting irregularities in records to vetting accounting software deployments for compliance, accountants are more critical than ever in keeping financial data safe.

Regulatory compliance 

Accountants keep up with the latest financial regulations and make sure the businesses they work with comply with all legal requirements so they can avoid penalties. Tax compliance is one facet that we’ve talked about, but accountants’ compliance responsibilities may extend to other types of financial operations as well.

Payroll is a common source of compliance work for accountants, especially in small companies that may not have a dedicated HR specialist. In addition to payroll taxes, they may be responsible for tasks like maintaining workers’ compensation and benefit records, and for ensuring that working practices like overtime pay follow the Fair Labor Standards Act (FLSA).

Accountants are also often responsible for keeping a business compliant with industry-specific accounting regulations. These might include HIPAA compliance for protecting patient information in healthcare accounting, or RESPA compliance for disclosures in the real estate industry.

Accounting management

Some accounting professionals occupy management or leadership roles. These accountants often have responsibilities above and beyond typical accounting duties, often including leading accounting teams, overseeing financial operations, and representing the company in financial discussions. 

Accountants who manage internal teams directly often have titles like Accounting Lead or Accounting Manager. At the highest levels, accountants can hold titles like VP of Finance or Chief Financial Officer. Some accountants may also hold specialized positions like Director of Financial Planning, which focuses on long-term financial goals, or Risk and Compliance Director, which specializes in regulatory, tax, and risk issues.

What are the different types of accountants?

Accounting is a diverse field with various specializations. Here’s a look at the different types of accountants and what each job demands:

Certified Public Accountant (CPA)

Certified Public Accountants (CPAs) are highly qualified professionals who have passed the CPA exam and met additional state certification requirements. They handle a wide range of accounting tasks, including auditing, tax preparation, and financial consulting. Businesses and individuals rely on CPAs to help them make informed financial decisions.

Management accountant

Management accountants work within organizations to create budgets, analyze costs, and develop plans to help businesses improve profitability. Ultimately, their main objective is to help businesses understand their finances so they can make strategic decisions.

Auditor

Whether they work within a company or for an outside firm, auditors examine a business’s financial records to ensure they’re accurate and comply with regulations. This auditing process helps maintain financial integrity, prevent fraud, and build trust with stakeholders. 

Forensic accountant

Forensic accountants specialize in investigating embezzlement and fraud. Using accounting, investigative, and audit skills, they analyze financial data and trace assets to determine if the financial activity is illegal, which they can then use as evidence in legal proceedings. 

Government accountant

From local to federal, government agencies rely on these accountants to manage public funds and ensure taxpayer money is used responsibly and according to regulations. Their responsibilities can vary depending on which type of agency they work for, but government accountants typically handle budgeting, financial reporting, and audits.

Financial accountant

These professionals create reports and statements that show how a company is doing financially. They ensure these reports are accurate and easy to understand for investors, regulators, and anyone interested in the company’s financial health.

Tax accountant

When tax season comes, businesses and individuals alike count on tax accountants to prepare tax returns, find deductions, and ensure they follow tax laws.

Important skills an accountant should have

Accountants require a diverse set of skills to excel in their roles and contribute to a business’s financial health. Here are the key skills every accountant needs:

Analytical and critical thinking

To interpret financial data accurately, accountants need to have a sharp mind for analysis and critical thinking. When looking at the numbers, they should be able to spot patterns, trends, or any unusual activities and determine whether these anomalies are indicators of potential issues or opportunities for the company.

Communication

Accountants need to be great communicators because they have to explain complex financial information in a way that management and investors will understand. Whether it's writing reports, giving presentations, or just chatting with their team, clear communication is key.

Organization

Organization is another important skill. Accountants manage a large amount of data, documents, and deadlines on a daily basis. Having a strong organizational backbone keeps everything in order, making sure nothing slips through the cracks.

Business acumen

Great accountants don't just focus on the numbers themselves. They also need to understand how businesses work and what's happening in the market. Ultimately, this helps them give strategic advice and make sure operations align with the company's goals.

Dedication to ethical standards

This profession requires a commitment to strict ethical standards. Accountants often face situations where they must make tough ethical decisions. Their dedication to doing the right thing helps build trust with stakeholders and the accounting profession as a whole. These are some of the key ethical principles that accountants are required to follow.

Accuracy and integrity

An accountant should always strive to maintain the highest standards of accuracy and integrity in their work. To maintain the confidence of the decision-makers who rely on accurate financial data, whether managers or investors, it’s critical that accountants avoid shortcuts, carelessness, and concealment of mistakes, whether their own or others’.

Accountants who misrepresent data might do so through accidental negligence or willful dishonesty, but the consequences can be equally disastrous. From investor lawsuits to regulatory issues to financial miscalculations, the worst-case scenarios of accounting errors and fraud are often extremely serious, and mistakes can easily compound themselves if they’re not caught early.

Objectivity and conflicts of interest

Personal relationships, financial relationships, and external or career pressures can all incentivize an accountant to stray from their ethical principles by covering up financial misdeeds or committing other ethical violations. The collapse of Arthur Andersen, an accounting firm revealed to have major conflicts of interest in its accounting contracts, serves as a cautionary tale about the need for accounting ethics.

To maintain their integrity as objective interpreters of financial data, accountants must proactively manage potential conflicts of interest. If an accountant could be subject to a conflict of interest, it’s important that they disclose it, and they might be required to recuse themselves from certain operations. Accounting standards like the International Code of Ethics for Professional Accountants provide standards for how accountants are expected to deal with conflicts of interest. 

Confidentiality

Accountants also handle some of a business’s most sensitive financial data, including its profit and loss, assets, debt, and more. Even an action as simple as discussing a client’s data in a public place can violate confidentiality standards. When accountants purposefully or accidentally share this information with unauthorized parties, it can lead to significant financial consequences for the companies involved, as well as potential reputational damage for both the business and the accountant. 

Training for accountants includes learning confidentiality standards as defined by accounting codes of ethics. Before starting any new accounting duties, an accountant should carefully review the relevant confidentiality rules and ensure that they’re ready to do their duty in protecting their client’s critical business data. Of course, it’s equally important to know the circumstances under which an accountant is required to divulge confidential information, such as during an IRS investigation.

The biggest challenges for accountants

Every career and profession has its difficulties — so what are the big challenges that accountants can potentially expect to face during their careers? These are some of the most common.

Technological change

As with many other professions, technology is bringing big changes to accounting. Cloud-based accounting software, AI automation, and sophisticated data analytics tools have quickly become standard in the accounting field. These technologies have the potential to create big jumps in productivity and service quality — but only if accountants know how to use them correctly. 

Successful accountants will respond to these challenges by embracing rather than resisting them. By learning how to use cloud accounting software, or building LLM AI tools into their workflows, accountants can use technology to make sure they’re providing the best service to their clients and employers. 

Labor shortages

The accountant shortage that we mentioned earlier has the potential to impact accountants who are already working in the industry. When new accountants aren’t entering the workforce quickly enough or in sufficient numbers, accountants who are already working may end up shouldering the burden of increased demand for their services. 

Fortunately, new technology is rising to meet the moment here, too. It’s now easier than ever to find qualified help from an accountant or CPA online through QuickBooks Certified ProAdvisor, where you can connect with local accountants who understand your needs and have relevant qualifications.

Work-life balance

Work-life balance is another common challenge for accountants. Hours can be long, and crunch times can be difficult, especially during the peak tax season when many accountants are under tight deadlines to get their clients’ tax filings in on time.

Accountants who want to prioritize work-life balance should consider which sector they want to work in. For some types of accountants, such as public accounting auditors, investing time and staying cool under pressure are part of the work. Other accountants, especially ones who work in-house for businesses, may find that their jobs are more conducive to keeping traditional 9-to-5 hours — although this can vary depending on the company’s culture. 

Regulatory changes

The ever-evolving regulatory environment is another major challenge for many accountants. Tax laws change every year as the IRS and Congress introduce new regulations, and accountants are responsible for keeping up. 

Technology can help accountants stay on top of these changes. Cloud-based accounting software solutions like QuickBooks automatically update their internal databases to comply with new tax laws, so accountants can work with the confidence that they’re following all the relevant rules. 

Evolving roles

Accounting is heading for new frontiers as the industry automates and streamlines its roles. Increasingly, AI-enabled accounting solutions can handle the “grunt work” of number-crunching in spreadsheets, although a human hand is still required to verify the quality of the work.

In place of these bookkeeping-focused roles, many accounting jobs are evolving to focus on strategic advice and analysis. From cost-cutting to tax efficiency, business owners increasingly expect their accountants to be ready to assist with high-level financial decisions. Thus, getting a CPA license is often important for accountants who want to fill these roles, and an MBA is frequently a good complementary qualification that can open up many executive and director-level roles.

Daily duties of an accountant

Accountants wear many hats to keep a company’s financial operations on track. Here’s a glimpse into the typical duties they handle each day:

Maintaining and updating financial records

Every day, accountants meticulously maintain and update financial records for accurate reporting and compliance. This involves recording transactions, managing ledgers, and ensuring all entries are correct and up to date.

Analyzing financial data

Accountants review trends, identify discrepancies, and provide insights that help businesses make informed decisions. This analysis supports everything from daily operations to long-term strategic planning.

Preparing financial statements

Balance sheets, income statements, and cash flow statements all come from the work of an accountant. These statements are vital for stakeholders and regulatory compliance because they provide a clear picture of the company’s financial performance. 

Performing account reconciliations 

To ensure accuracy and maintain the integrity of financial records, accountants perform regular account reconciliations. This process involves comparing internal records with bank statements and other external documents to identify and resolve any discrepancies.

Budgeting and forecasting 

Accountants develop budgets, monitor actual performance against budgeted figures, and adjust forecasts as needed. This ongoing process helps businesses plan for the future and manage their resources effectively.

Tax-related tasks

Tax-related tasks are part of an accountant’s job, especially during tax season. They prepare tax returns, ensure compliance with tax laws, and develop strategies to minimize tax liabilities. To help businesses avoid penalties and optimize their finances, they must also stay in the loop on tax requirements.

Additional project work

Beyond routine tasks, accountants often work on additional projects, ranging from implementing new accounting software to conducting financial audits or supporting mergers and acquisitions.

What are the main differences between a bookkeeper and an accountant?

Bookkeepers are responsible for the day-to-day financial transactions of your business. They maintain accurate records of income and expenses, process invoices, manage payroll, and reconcile accounts. Their primary focus is on ensuring that all financial data is recorded accurately and systematically. Think of bookkeepers as the meticulous organizers who lay the foundation for your financial records.

Accountants, on the other hand, take the data provided by bookkeepers and analyze it to offer a broader perspective on your business's financial health. They prepare financial statements, conduct audits, and provide strategic tax planning and compliance. Accountants also offer valuable insights and advice based on financial analysis, helping you make informed decisions to grow your business. They bring a higher level of expertise and are often involved in more complex financial tasks and strategic planning.

What’s the median salary of an accountant in 2025?

According to the US Bureau of Labor Statistics, the median salary for an accountant in the US is approximately $80,000 — but the salary of an accountant can vary based on factors such as experience, location, and specialization. Check industry salary guides and local job listings to get a more accurate view of what accountants in your area are earning.

Experience

Like people in almost any career field, accountants can command higher salaries as they gain experience and move to higher positions. Salary data from the HR consulting firm Robert Half shows key differences between the 50th percentile salaries for general accounting positions at various levels of the accounting industry, including:

• Entry-Level Staff Accountant: $60,500
• Staff Accountant: $71,500
• Senior Accountant: $94,250
• Accounting Manager: $109,750

Location

Accounting positions may also pay more in certain locations than in others. Many factors influence the geographic distribution of salaries, including local cost of living and local demand for those occupations. Fortunately, since accounting services are essential in practically every industry, accountants can often find steady employment in a wide variety of locations.

According to 2025 data from Robert Half, these are the 50th percentile salaries of a staff accountant in several different regional cities around the US:

• San Francisco, CA: $96,525
• New York, NY: $97,598
• Jacksonville, FL: $69,355
• Dallas, TX: $80,080
• Minneapolis, MN: $75,433

Specialization and Skills

Obtaining new qualifications and upskilling into specialized accounting fields can also significantly boost an accountant’s earning potential. Becoming a CPA, for instance, is one common way that accountants advance their career prospects. The rigorous training and testing required of CPAs ensures that their skills are top-notch. Accordingly, Indeed lists an average salary of $92,877 for a CPA vs. an average salary of $65,333 for a general accountant.

Some of the top paying industries for accountants and auditors, as listed in 2023 data from the Bureau of Labor Statistics, include:

• Optical media manufacturing (Mean accountant salary: $133,140)
• Web search, libraries, archives, and other information services ($132,450)
• Software publishers ($126,250)
• Media networks and content providers ($122,720)
• Computer and peripheral equipment manufacturing ($118,090)

Hiring managers are also looking for some especially important skills that can increase an accountant’s pay range. According to the 2025 data from Robert Half, these are the top skills, and what percentage of managers said they’d increase salaries for them:

• Financial reporting (40%)
• Financial modeling (35%)
• Technology expertise (34%)
• Management experience (30%)

Choosing an accountant for your business

As small businesses grow in size and complexity, owners and managers often don’t have the time or expertise to handle accounting tasks. Most eventually choose to either hire an accountant as an employee or work with an accountant on contract. If you’re looking for accounting help, these are some of the most important factors to keep in mind.

Identify any needs specific to your business.

To find an accountant whose skills match your needs, it’s important to identify what your business needs from an accountant. Some of the most common needs that many businesses have are:

• Experience in a specific industry
• Expertise with a particular accounting software solution
• Skill with important integrations such as CRM or invoice software
• Experience in dealing with challenging situations like IRS audits or back taxes
• Knowledge of specific state, federal, or international laws
• Ability to manage common processes like payroll and tax filing
• Expertise in subjects like cash flow management or cost reduction

Consider which credentials you need from an accountant.

An associate’s or bachelor’s degree in accounting is the minimum qualification that many employers look for in an accountant. These degrees provide a foundational knowledge of accounting and bookkeeping that allows an accountant to perform the essential functions of their job.

For many businesses, a Certified Public Accountant (CPA) license is the gold-standard credential for an accounting professional. CPAs undergo rigorous training and are required to pass a difficult four-part exam, including sections on professional ethics. Other credentials that may be relevant include Certified Management Accountant (CMA) for corporate accountants and IRS Enrolled Agent for tax accountants.

Understand your accountant’s pricing models.

If you’re working with an accountant on contract, it’s important to understand the model they use to price their services. Some accountants ask for a project-based flat fee, while others bill by the hour. Some work on retainer, performing a set amount of work for month for a set fee, while still others offer tiered subscription services.

Whichever you prefer, make sure to ask about an accountant’s pricing structures before they begin work for your business. Double-check the details in your contract before sending any work, and verify which services are included in the accountant’s fees to avoid surprise charges later on. 

Use QuickBooks to connect with accounting candidates instantly.

The QuickBooks Certified ProAdvisor Directory gives you instant access to a deep pool of accounting talent. Each QuickBooks Certified ProAdvisor has completed our training and certification programs, so you can be confident that you’re hiring a skilled pro with a deep knowledge of QuickBooks accounting. 

For accountants who want to grow their client base, meanwhile, becoming a Certified ProAdvisor can be one of the smartest career moves you can make. Self-paced training options allow accountants to level up their QuickBooks skills, and webinars and in-person instruction help keep your skills current and up-to-date. 

How to become an accountant

To get hired as an accountant, you’ll need a combination of education, certification, and practical experience. While no two career paths are the same in any field, the majority of accounting professionals today have completed some variation of this process:

1. Earn a bachelor’s degree in accounting or a related field. Many universities offer comprehensive accounting programs that cover essential topics such as financial accounting, auditing, tax accounting, and business law. A degree in accounting provides the necessary background in the basics of accounting that every accountant needs to succeed in their career.
2. Learn about the different types of accounting jobs and consider which ones fit your interests and needs. From being an in-house management accountant for a Fortune 500 company to tracking criminal activity with forensic accounting, there are many different directions that accounting can take you. If you can start exploring these interests before you finish your degree, you’ll be even better prepared for your future in accounting.
3. Consider earning additional credentials, such as your Certified Public Accountant (CPA) designation. Becoming a CPA requires passing the CPA exam and meeting state-specific education and experience requirements. Other valuable certifications include the Certified Management Accountant (CMA) and Certified Internal Auditor (CIA), as well as tech-oriented certifications like QuickBooks ProAdvisor. This step is optional, but it can be a big help in getting the accounting job that you want.
4. Gain experience and apply for jobs. Starting with an internship or via a temp agency is a common path for many new graduates to entering the accounting industry. Working in adjacent sectors like banking or insurance can also be a smart way of acquiring transferable skills. Finally, some accountants (especially CPAs) decide to go freelance—a potentially tough road, but one that offers lots of independence and experience.
5. Expand and maintain your credentials with additional certifications or advanced degrees, such as a master’s in accounting or an MBA. Remember to keep up with any continuing education requirements for your CPA certification or other credentials.

Accounting is a fascinating and multi-dimensional field that will continue to be relevant for years to come. To learn more about the core competencies accountants need, see our guide to the top accounting skills.