AI and Accounting - An Update

Since we last wrote about this topic, AI has exploded and you have probably been inundated with information on how your accounting practice can benefit from using AI. The emergence of artificial intelligence will certainly impact our firms, but smart accountants and CPAs in Pennsylvania will find ways to work AI into their practices, adjusting their services to take advantage of the strengths that AI offers in order to grow and expand with the new opportunities AI provides. 

People in all fields of endeavor wonder if AI could be a threat to business; however, jobs that require higher-level skills such as human judgment, decision-making, nuanced communication, creativity, and imagination cannot be replaced by AI, and the need for accountants will continue to grow. 

At a basic level, AI allows you to automate repetitive tasks, such as invoice processing and reconciliation, reducing human error. It can generate automatic questions for clients when key information is missing. And it can dramatically decrease time and expense, streamlining formerly paper-based transactions and keeping accurate track of all documentation. 

AI’s greatest strength is its ability to analyze large volumes of data very quickly. This power can be harnessed to help accountants in many different aspects of their work. For example, AI can make it possible to identify anomalies or potentially fraudulent activity. AI can cross-reference company data with regulations to help maintain regulatory compliance. It can comb through the massive tax code and identify all possible tax opportunities to minimize tax liability for your client.

AI’s tremendous number-crunching power will also quickly provide you with insights and analytics to help you advise your clients in decision-making, goal-setting, and risk management. AI will be able to provide real-time analysis, identify patterns, analyze historical data, and identify future trends, thus aiding in budgeting, forecasting, cash flow, and developing market plans.

• AP automation
• Purchase order management
• Invoice processing
• Auditing
• Automated tax compliance
• Fraud detection
• Virtual digital assistant for queries
• Data analysis
• Predictive analytics
• Pricing analysis
• Forecasting
• Strategic planning and scenario generation
• Market analysis
• Regulatory research and compliance

Many AI-assisted services may now be within your reach to add to your services, now that the onerous work of grinding through mountains of paperwork can be done in a matter of seconds by your AI program, freeing you for the more challenging and more satisfying work of analyzing, advising, and providing creative solutions to your clients. Connect with our PSTAP members to continue the conversation and find out how to apply AI to your firm.