How Accounting Automation is Transforming the Industry of Public Accounting

The accounting field is complex and demands constant attention. Accountants are the stewards of a company’s financial narrative. Yet, as workloads in finance grow, Gartner data shows that 59% of accountants are making multiple errors each month. Manual processes sap energy and hinder progress, resulting in wasted time and unavoidable mistakes. So, how do you keep up? The solution is simple: accounting automation tools. Let’s dive into what they are, how they work, and how to pick the right one for your needs.

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What is accounting workflow automation and how does it work?

Accounting automation is the process of using software to optimize accounting processes and procedures. In simple words, it streamlines and speeds up routine accounting tasks. Data entry can become tricky when there are too many transactions because even a single missed duplicate can derail the reconciliation process. These are precisely the types of challenges that automation can resolve effortlessly.

Specialized automated accounting software takes care of the data automatically and continuously, apart from a little initial setup and oversight. And this is further made easy with APIs that draw data directly from different platforms, like ecommerce platforms and payment processors, directly into your accounting system. This means you don’t have to gather and enter thousands of transactions manually from multiple sources.

Will automated accounting replace accountants?

The answer is no, automated accounting won’t replace accountants, but it’ll change your roles significantly. As we already mentioned, automation and AI accounting tools excel at handling repetitive tasks like data entry, invoicing, and reconciliation. However, when it comes to complex work like financial analysis, strategic planning, or giving personalized advice, these tools still rely on human oversight.

As automation handles the routine, you can redirect your focus toward more value-driven roles that help businesses grow. Automation enhances your work by delivering real-time data and reducing errors, making them more efficient. Accountants who embrace AI and automation will find themselves stepping into more robust advisory roles, using their expertise to steer critical business decisions.

AI empowers accountants to hone in on critical thinking, ethical considerations, and big-picture — skills that machines can’t replicate. Rather than replacing you, automation will equip you to perform your job more effectively and strategically.

How does accounting automation help accountants handle their tasks?

Accountants often have a lot of tasks to manage, which can take up a significant amount of time, especially during tax season, when everything needs to be done at once. However, as we mentioned, some tasks can be optimized with the help of an accounting automation tool like Synder. How? Let’s take a look at how they can make a difference.

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Automated data entry

Have you ever thought about how long data entry can take? Let’s say your client has a Shopify business, and now you need to transfer all their records to QuickBooks Online. Manually entering a single transaction will take some time. And with hundreds or even thousands of transactions, that adds up to a massive time commitment. While you may get faster over time, the chances of errors, duplicates, or other mistakes remain. These issues can be hard to spot immediately but will likely pile up and cause problems at the worst possible moment. This is where automation shines.

For example, with an automated QuickBooks Shopify integration, you can connect your sales platform to bookkeeping automation software, automatically transferring months of data from one system to another in just a few minutes instead of hours. And the risk of errors will be greatly reduced. While professionals should still monitor the process, automation significantly boosts efficiency.

Tax preparation and compliance

Tax season can be particularly challenging for businesses, especially if they don’t have a dedicated accounting team on board. Combining financial documents, bank statements, income, expenses, and other records is time-consuming and prone to errors when handled manually. This is where public accountants can truly make a difference — especially with the power of an automation solution.

With an accounting software, public accountants can effortlessly organize and access client records, dramatically cutting down on prep time. Many tools even automate tax tracking and calculations with a quick setup, ensuring compliance and reducing the risk of penalties. For public accountants, it’s a game-changer — less time spent on tedious manual work means more time to deliver value and insights to your clients.

Accounts Payable and Accounts Receivable automation

Automation can take a huge load off your shoulders when it comes to Accounts Payable (AP) and Accounts Receivable (AR).

• For Accounts Receivable (AR): Accounting automation enables you to manage AR by streamlining invoice creation, payment tracking, and reminders. For instance, automated systems can send invoices to clients without human input and automatically match payments to invoices, so that everything is accurately recorded. Automated reminders help you follow up on overdue payments without manual intervention, which speeds up collections and improves cash flow for your  clients.
• For Accounts Payable (AP): On the AP side, automation simplifies payment processing and approval workflows. An AP automation software can automatically capture invoice data, match it with purchase orders, and schedule payments to ensure everything runs smoothly and on time. What’s more, automation of approval processes would reduce delays and accelerate vendor payment while sticking within preset approval limits. Automation also enables you to maintain accurate and transparent records, freeing up their time for more strategic tasks.

Invoicing and billing optimization

Manual invoicing and billing can be a real headache — slow and error-prone. Worse, mistakes in this process can even mess up tax filings. But automation steps in as the perfect fix. By using AI accounting tools to analyze historical data, invoice details, and predefined rules, invoices can be automatically routed to the right department or person for review and approval. This smooths out the entire process, cuts through bottlenecks, and speeds up invoice approvals and processing, saving time.

Payroll management

For accounting firms , payroll is an important responsibility, no matter the size of the client’s business. It goes beyond merely calculating wages—it involves ensuring accurate tax deductions and compliance with payroll regulations. With multiple clients and varying tax laws, staying accurate is key. This complex process can take days and must be done every month. Mistakes? They’re simply not an option, because they can directly impact business performance.

Accounting workflow automation software can help with this task as well. It takes care of:

• Сalculating gross and net wages;
• Handling payroll tax withholdings;
• Collecting payroll data;
• Processing payments;
• Generating payroll records.

In a nutshell, these tasks are the first in line for automation, and they’re just the beginning of what you may automate. With the right software, you can easily manage everything in one application. But how do you choose the right tool? Let’s figure it out.

Tips for choosing an accounting automation solution

With a sea of options out there, how do you find an accounting automation tool that perfectly fits your needs? To find the perfect fit, here are tips that can help you make the right choice:

• Define the specific needs of your company;
• Compare software pricing;
• Explore the features on offer;
• Check integration options;
• Review security measures.

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Define the specific needs of your company

When choosing the right accounting automation software, it’s essential to first nail down the specific needs of the clients you’re working with. Every firm faces its own challenges and goals, so understanding what will best streamline your workflow is a top priority. For example, audit-heavy firms may need tools that handle detailed audit trails and multi-client management, while tax-focused firms will look for software with robust tax filing capabilities and real-time updates.

Once you pinpoint where improvements are needed, choosing the right automation software becomes much easier. Here’s how you can zero in on your needs:

1. Consider industry-specific features: Does your practice require advanced audit capabilities, public sector reporting, or fund accounting? Make sure the software is tailored to the specific demands of your field.
2. Assess risks: Scan your accounting tasks for areas prone to mistakes or delays, like data entry or deadlines slipping through the cracks.
3. Review current practices: Evaluate how you’re handling tasks like client invoicing and reconciliation. Find outdated methods or inefficiencies that are costing you time.
4. Map weak spots: Sketch out a simple process map of your current workflows to see exactly where errors or delays are most likely to pop up.
5. Consult with your clients: Gather insights from clients, auditors, or other key stakeholders on recurring issues they face. Their feedback can highlight areas where your accounting processes need improvement, ensuring you meet their needs more effectively.

By identifying your needs from the start, you can confidently choose software that’ll keep your firm running efficiently now and in the future​.

Compare software prices

Pricing can vary widely across different accounting software options. Some operate on subscription models, while others might have a one-time fee. And it’s not just the upfront cost you need to consider — there are often hidden expenses like fees for adding more users, updates, or integrating other tools. As your firm grows, scaling up can also bring added costs, so make sure to pick software that offers good long-term value. Look for a solution that balances affordability with essential features like automation and security, ensuring it meets your firm’s needs without breaking the bank.

Explore the features on offer

Automation software for public accountants should come packed with features that take the hassle out of repetitive tasks and make your life easier. Essential tools like automated invoicing, reconciliation, and reporting are just the start. You’ll also want to make sure the software keeps up with ever-changing regulations, offers detailed audit trails, and lets you customize financial reports to meet your specific needs. Some public accounting firms may need more specialized features to handle nonprofit or government accounting, multi-client support, or even customizable dashboards.

Check integration options

Seamless integration with other software is a must for public accountants. The right accounting automation tool should sync smoothly with your existing systems, like customer relationship management (CRM), payroll, or enterprise resource planning (ERP) software. Good integration makes workflows more efficient by letting data flow effortlessly between platforms. Since public accountants rely on multiple systems for managing clients, tracking expenses, and generating reports, choosing software that integrates well can save a lot of time and hassle.

By integrating different systems, you can streamline your accounting workflow while keeping your data safe and your reports accurate. Its efficiency and protection rolled into one!

Review security measures

When it comes to protecting sensitive client information, security is a top priority for public accountants. Look for accounting automation software with strong security features, such as data encryption, multi-factor authentication, and regular security audits. Ensure the platform follows industry standards like SOC 2 or ISO 27001 to protect your data from cyber threats. Since accountants are entrusted with safeguarding financial data, selecting software that prevents breaches and builds client trust is essential. It’s also good to have a cloud-based solution with reliable backup and disaster recovery options to keep data secure and accessible during outages or attacks.

Conclusion

If keeping up with tasks and deadlines is starting to feel like a juggling act, it’s a clear signal that automation can step in to lighten the load. Automating key tasks like data entry, reconciliation, and invoicing frees you up for more impactful work — whether it’s analyzing financial data or advising clients. And let’s be honest, extra time in an accountant’s schedule is pure gold, especially when managing multiple clients or complex reports.

Now that we’ve covered what accounting automation is and how to choose the right tool, it’s time for you to take the next step. Why wait when the benefits are so clear?