Whenever the topic of artificial intelligence and accounting comes up, one of the first questions people ask is: “Is AI going to replace accountants?” And while this fear is understandable, it’s not rooted in reality.
I don’t ever foresee a day when AI replaces accountants. But what I do see is a time when accountants who don’t use AI will be supplanted by those who do. And that time is now – or very soon!
AI is just another tool in the toolbox. Kind of like a lightning-fast but inconsistent helper who’s incredibly useful but who also needs their work to be verified. But here’s the great news: the type of stuff AI excels at is the repetitive, manual, low-value tasks that hold accountants back. AI’s not coming for your job; it’s here to help you focus more on the areas clients truly value.
Strategy
Planning
Decision making
Meaningful conversations
Why We Started Testing AI Early
We began experimenting with AI as soon as the tools became available. We didn’t wait for a “best of breed” solution to appear because we knew that by the time industry standards settled in, we’d want to be ahead of the curve, not at the starting block.
Our mindset of cautious exploration has allowed us to safely figure out what works, where the risks are, and how AI integrates into our existing systems.
Where AI Fits into Our Workflow
Our overarching vision for AI initiatives is to focus on reducing low-value tasks and enhance overall efficiency in these key areas:
Efficiency in monthly accounting tasks
AI assistance in improving advisory deliverables
Better results in tax research
Communication and marketing
No matter what the tool, we are actively developing AI policies aimed at establishing essential standards and security protocols. Key to these efforts is investing in training to ensure that everyone who uses AI employs best practices and fully understands its limitations and shortcomings.
Current Tools and Applications in Use
Firm-wide:
Tax research and support: Thomson Reuters Co-Counsel lets us quickly research tax issues in a secure, reliable way, saving time without losing accuracy.
Client communication: Fireflies records meetings, creates transcripts, and highlights action items so staff can focus on the discussion, not note-taking.
Workflow support: Tikit AI manages IT tickets, and Motion AI helps individual contributors with task scheduling and organization.
Internal tasks: Using Copilot within our secure tenant allows LLM applications and inquiries using client information without risking a data breach.
CAS-specific:
Monthly close: Basis categorizes transactions, reconciles accounts, reviews W-9s, and flags errors, cutting hours of manual review on high-volume accounts.
QBO: We are still in the early stages of exploring QuickBooks’ AI tools, but we see real opportunities for streamlining tasks.
Client deliverables: Beautiful AI ensures reports and presentations are polished, consistent, and engaging.
What’s Working and What’s Not
Going great:
Automating transaction coding and reconciliations
Enhancing client communication
Freeing up staff from “data entry” type work
Things we’re not letting AI handle:
Managing sensitive client data outside of secure, internal environments
Delivering results without human oversight
Pulling insights and checklists from financial statements (Adobe has rolled out AI tools capable of this work, but security concerns keep us cautious for now)
Artificial intelligence works best when engaged as a new form of delegation, where the “AI employee” loves to be micromanaged and needs to have their work checked. AI should support and not replace, and accuracy, security, and client service must remain in human hands.
Tips for Firm Owners Starting out with AI
The biggest mistake you can make as a firm owner surrounding AI is to avoid it. Don’t be afraid that AI is going to replace you, but do be afraid that an AI-supported competitor might.
Start small with the simplest rote tasks
Target low-value work and low-hanging fruit first
Implement one tool at a time and don’t be afraid to switch if it’s not the right software for your organization
Above all else, keep security and protecting proprietary data top of mind
Stop thinking about AI as a means of replacing people and instead consider it a tool for empowering them to do more meaningful, strategic work. Implementing AI isn’t all that different from the principle behind offshoring, a similar delegation technique that frees up your best talent to shine.
Clients don’t care about what’s on line 7 of their tax return or how it got there. They care about expert guidance on the decisions they need to make. Utilizing AI allows your team to develop faster, so you’ll have more advisory experts who can deliver your highest value services.
