August 2011 Newsletter
President's Message
Marja Beltrami, President
From a technology standpoint, I have submitted my photo, wrote this meager article and sent it all via my ipad; connected to my office computer, all over the meager AT&T standard “E” data connection. I tried scamming some wireless from a parking lot but it just wasn’t working.
Ok, to be honest, I am currently fishing the upper Kenai. Family is in town. They have come all the way to Alaska and they believed us when we said we’d love to see them! Along with that I have writers block. I hope that each one of you has a week or two or a month or the whole darn summer off for that matter. We can be glad we are a part of an industry with a calendar that affords us that luxury if we choose.
So take care of yourself, take care of your staff and enjoy some time off in one of the most beautiful places on earth. It’s actually good quality control. It’s important to demonstrate quality control from the top down! Play hard, play safe, play often!
Why am I a member of the AKCPA?
Jacque Briskey, CPA
I’ve been an active member of AKCPA since I arrived in Alaska in 1985. Why? AKCPA provides great opportunities for networking with my peers, and for my professional growth. The other members support me professionally and personally with direction, or answers, or just as a sounding- board for whatever is on my mind. Through my association with AKCPA, I’ve learned a great deal that cannot be experienced in any CPE class. My membership affords me the chance to give back to the profession that feeds me and my family. I’ve served as President and Treasurer, and on many of the committees that meet the needs of the members. I’ve given my time to AKCPA over the years, but I’ve gotten so much more in return.
Inactive CPA Licenses
By Lisa M. Rogers, CPA
The State of Alaska provides for both inactive and active licenses to practice as a certified public accountant (CPA). One of the areas where Alaska’s statutes and regulations governing the practice of public accountancy are not in sync with the Uniform Accountancy Act is with respect to inactive licenses. Generally, the Board of Public Accountancy will renew a CPA license if the licensee completes the required continuing education in addition to all the other requirements for continued licensure. However, an individual holding a license who is not engaged in the practice of public accounting may maintain the license in good standing by notifying the board that the individual is inactive and paying the required fee. However, the individual with the inactive license does not have to attend continuing professional education (CPE) and may not be fully qualified to do work as a CPA.
The Uniform Accountancy Act provides that inactive licensees must place the word “inactive” adjacent to their CPA or PA title on any business card, letterhead, or any other document or device, with the exception of their CPA certificate or PA registration, on which their CPA or PA title appears. Alaska does not require that the inactive status of the license be disclosed by the licensee. The Alaska Board of Public Accountancy and the legislative committee are considering whether Alaska should conform to the Uniform Accountancy Act with respect to inactive licenses. The legislative committee welcomes your thoughts on this matter. Please send comments to lisa@rogersandco.biz.
PAC Seeks CPA Candidates for Public Office
By Lisa M. Rogers, CPA
One of the primary purposes of the Alaska Society of CPAs Political Action Committee is to support CPAs who are candidates for public office. If you know of a CPA who is running for public office, please inform a member of the legislative committee who will contact the Political Action Committee. Better yet, join the legislative committee and make your voice be heard. Current members of the legislative committee include Mike Cook, Lisa Rogers, Don Rulien, Steve Sheaffer, Max Mertz, Chris Swalling, Kevin Branson, and Mark Schneiter.
August CPE
New Critical Decisions in Selecting the Best Retirement Plan for Small Businesses in 2011
August 24, 2011 Anchorage, Alaska
Several tax changes took place in 2011 which affect individuals and small businesses. Many retirement plans have hidden tax benefits practitioners are unaware of, or even limitations which might not make a particular plan the right choice. It is crucial that practitioners have all of the tools and knowledge necessary to make an informed decision to meet their client’s needs. In addition, make sure your client is in compliance with the Internal Revenue Service and Department of Labor regulations. Come to this information-packed session and find out which retirement plan is right for your client and understand the best way to design, implement and administer the plan to maximize the tax benefits.
http://www.akcpa.org/cpe/calendar
The Top 50 Mistakes Practitioners Make and How to Fix Them: Estate Planning & Administration
August 25, 2011 Fairbanks, Alaska
George Washington once said “To rectify past blunders is impossible, but we might profit by the experience of them.” Estate planning and administration is one of the most complicated areas of the tax law and mistakes are made every day. Make sure you or your client is not the next victim! We will show you 50 different ways mistakes are made and guide you through ways to ensure you avoid the same errors. Tax law changes are fast and furious in the estate tax area so stay abreast of the key changes and make sure you avoid the most common mistakes which can have a serious impact on your client’s financial wealth.
http://www.akcpa.org/cpe/calendar
AICPA and NASBA Launch Website to Assist CPAs with U.S. Mobility Laws
A joint project of the AICPA and the National Association of State Boards of Accountancy, the new CPAmobility.org website provides helpful information, updated regularly, on state practice privilege requirements for CPAs, commonly referred to as “mobility” laws, for all 50 states and 5 U.S jurisdictions. In four simple clicks online, CPAs can learn whether their existing home state registration is mobile and allows them to work in other jurisdictions without additional notice, or whether further paperwork is required. CPAmobility.org also has been optimized for use on mobile devices to ensure easy access while out of the office.
Leveraging Technology Tools in Your Firm
By Roy Keely, Xcentric
Leverage and accounting firms go hand in hand. This is a statement most partners intimately understand, as it’s their paychecks that are dramatically impacted, positively or negatively, by the firm getting the leverage equation right. While many of us grasp the staff leverage concept, we rarely understand how to properly leverage other aspects of our business effectively. That said, the chief tool in each of our offices is technology.
Here are two definitions to consider before we take a deeper dive:
Tool: the use of non-life to enhance life (spear, rock, pencil, computer, etc.)
Organizational Leverage: the streamlining of operations to increase effectiveness
These are very simple definitions that, if properly understood in the context of your firm, can make a world of difference not only with year-end earnings but also year-end enjoyment- the YEE’s if you will.
Gaining Leverage: Where’s the best place to start?
In other words, “What is the lowest hanging fruit when attempting to gain organizational leverage?” I find that the 2 biggest areas for improvement are internal collaboration and client interaction.
Internal Collaboration
In 2011, meetings do not equal collaboration, thus many organizations are left scratching their heads when attempting to make sense of organizational effectiveness. Siloed information can go a long way with a sole practitioner but does very little good in a leverage, multi-partner model. What are firms doing to take steps in the right direction? Here are some tools that can help:
Tool #1: Internal Social Media (the new intranet)
By deploying an internal social media site an organization can enjoy a living, breathing place for the organization to stay up to date on all aspects of the ‘organism’ (client wins and issues, firm news, tax updates, etc.). I talk at length here about these kinds of sites and why they are good. Here, I will speak first hand of one example. At Xcentric, we used to have a management meeting every Monday for 1.5 hours going around the room addressing different departmental issues, etc. That was before we implemented ‘Talk’ (our name for the internal social media tool we use). Now, 2 years later, we meet for 1.5 hours once a month. On top of that, 90% of the time the meeting doesn’t even last 1.5 hours. Why? Because all major and minor issues are being discussed in the web. What’s better, it’s all documented, searchable, and never stale. The skeptic would be right asking, “what about the time you spend using the tool?” I will not argue that it’s another place to log in and another site to check and update; however, if implemented correctly, it’s a no brainer as far as we are concerned.
Who provides these tools?
Tool #2: Cloud
By moving to the Cloud, firms can truly enjoy the leverage that comes from employees working effectively and securely location independent. Today’s culture is going mobile and most accounting firms are entering this new reality kicking and screaming. Many partners think that if they have smartphones that makes their firm ‘mobile.’ This is far from the goal we should all have for our organizations. Here’s a good litmus test on whether your firm is truly mobile or not: if your office burned down, would it impact your business? The answer is an obvious yes; however, would it cripple it? Many accounting firms write DR plans to mend this gap; however, as soon as transparency enters the conversation, the firm would be completely crippled if they lost their physical location. If this is the case for your firm, you are not mobile yet.
Who provides these tools?
Xcentric (yours truly)
Client Interaction
“No news is good news” is no longer the maxim of the day. When new business poured in you weren’t all that concerned with how often, well, or uniquely you communicated with your client base. But now, in 2011, the wind has largely been sucked out of the net-new revenue category and client retention is the top priority of most firms. Luckily, tools have matured over the last 3 years and are ready to be utilized by your firm. Here are a few:
Tool #1: Portals
People have come to expect 24-hour service but not necessarily via personal interaction. They want information at their fingertips and now there is a way to provide this without working until midnight and answering emails at all hours of the day. Becoming self-service to a greater degree, so long as you maintain personal touch, allows you to grow deeper, more dependent relationships.
Who provides these tools?
Tool #2: Content
Every time you help one client you can possibly help 100 more. Of course, I am not talking about nuanced billable work, but the general questions every individual/business has regarding their finances and getting them in order. You are the trusted voice on this matter and, if you help one client, chances are you can turn that answer into an article, blog, or other piece of content that can be leveraged on your website, local news media, twitter, etc. Making content available and using it as a tool to deepen client relationships as well as inform prospects of your knowledge is a no brainer. I wrote another post on how to leverage your blog here.
Who provides these tools?
YOU! If you haven’t already, it’s time to start learning and developing content yourself.
Tool #3: CRM
It’s painful when the left hand doesn’t know what the right hand is doing. This is one of the reasons CRMs exist and why, ultimately, they will find their way into your organization. As communication continues to get more fragmented and frequent, keeping tabs on both the client and internal resources will only grow in importance. Using an excel document to keep tabs on business development efforts, marketing campaigns, client cross-selling, and referral initiatives is like using a hammer & nails to build a sky-scraper. Having the proper tool in place to enhance the efforts mentioned above is crucial before rallying the troops around a cause that, if attempted without the tool, will likely lead to a false start.
Who provides these tools?
Roy Keely serves as Director of Marketing at Xcentric, which specializes in Cloud Computing and IT consulting for CPA firms. Roy graduated from the University of Houston with a degree in Marketing and has extensive experience in marketing, branding and sales. Roy can be reached at 678.297.0066 x525 or info@xcentric.com. For more about Xcentric, go to www.xcentric.com or follow them at www.xcentric.com/blog and www.twitter.com/xcentric.
