How technology has transformed accounting

The always evolving technology has changed the way of working and perception of people in many fields. On one side, it has helped the professional to become quick, accurate and effective while on the other side, it has helped the common man or we can say the customers, to get better services and products. The technological advancement has allowed many fields and industries to grow enormously, but one of the fields which has witnessed these changes on a much larger scale, is accounting.

Technology is one of the biggest driving forces behind the evolving accounting firms. According to a Journal of Accountancy study of almost 1,750 firms, 70% of accounting firms uses the remote access to their network and half of them are doing it through cloud. Use of mobile and introduction of cloud computing has helped accounting firms to enhance productivity, improve client relationship, boost their speed and increase accuracy. So let’s see the different ways through which technology has transformed accounting.

Earlier, the process of making long accounting reports required a lot of time and effort and that’s why errors in reports were not a surprise. But with the introduction of accounting software like QuickBooks, Drake, Sage 50, etc., such human errors has been minimized to zero. Even data storage and its safety have become very easy with these fully functional accounting software and when these software are hosted on cloud then their productivity and functions enhances dramatically.

To handle the accounting of a business, one doesn’t need to be a pro at accounting because the new accounting apps have made everything so easy that now even a non-accounting professionalcan perform complex accounting tasks, very easily. Those days are gone when one needed to spend years on learning various accounting terms, processes and takingcore training. Now accountants are not only limited to making reports, but they actively participate in decision-making, forecasting and other important business processes through solutions like Hosted QuickBooks, hosted Drake and other accounting and tax software.

With the help of modern accounting software, finding deeper and better insight from a data has become very easy. By using the various functions and tools of these software, analysis of company data can be made much more effective and efficient. Innovation in reporting and their simple display for better understanding has made the life of accountants very easy. The quick and easy report generation has helped accountants to spend more time on better analysis and deeper insight by reducing the time spent on the cumbersome accounting processes.

The accounting data is one of the most important data for a company. Loss of such files and folders can result into a complete disaster. Earlier, the security of accounting data was always on the verge, whether in physical format or on local devices. But with the introduction of cloud computing, the accounting data has now become ultra-secured. The new accounting technology allows accountants to encrypt the data which makes it fully secured, like in the case of QuickBooks Hosting. There are also various security and safety standards maintained on the cloud so that the user can work without worrying about data breach or hack.

The perception of a geeky accountant has now changed to a tech-savvy professional and this has been made possible due to various technological advancements in the accounting industry. Use of technology is very much necessary to have better, quicker and accurate results and accounting industry has fit in like a glove in this always evolving era of technological advancement.