Going Concern

CPA Exam

The AICPA, NASBA and Prometric Announce Successful Launch of the New CPA Exam

Adrienne Gonzalez
January 11, 2011

Even though only two testing days passed from the time CBT-e launched and the time the press release came out, the AICPA, NASBA and Prometric are very excited to announce the successful launch of the new CPA exam.

Via the AICPA:

The American Institute of Certified Public Accountants, National Association of State Boards of Accountancy, and Prometric today launched the new Uniform CPA Examination, called CBT-e, which includes for the first time questions on International Financial Reporting Standards among other sweeping and significant changes.

Changes were approved by the AICPA Board of Examiners based on input from state boards of accountancy in response to an Invitation to Comment, and a Practice Analysis designed to ensure the exam tests the modern knowledge and skills that are relevant for today’s entry-level CPAs. The new IFRS questions and other changes to the exam are the first major revisions since the CPA exam was computerized in 2004.

Overall, more emphasis is being placed on skills assessment using case study-based questions known as Task-Based Simulations. Authoritative literature in the CPA exam incorporates use of new Financial Accounting Standards Board codifications of U.S. Generally Accepted Accounting Principles. Professional responsibilities including ethics and independence have been added to the Auditing and Attestation section.

“The testing of IFRS knowledge and other international standards is a response to change in the business world in which new CPAs operate,” said Craig Mills, vice president of examinations for the AICPA. “We are proud and excited to be introducing innovations in this evolution of the computer-based test that both validate and update the content of the exam and improve the experience for candidates. The exam is one of three key requirements, along with education and experience, that help state boards and the profession maintain the highest standards and protect the public interest.”

In related news, I will be speaking with the AICPA this afternoon about the new exam and thanks to your input, will be interrogating them on score releases, potential changes to passing scores, the integrity of the exam (since the old timer paper and pencil folks continue to rag on the new exam as too easy) and the continued evolution of exam content beyond 2011. I’d like to ask them when the hell BEC is going to be more than a junk drawer but having seen some of the new 2011 content on that section, I have to say it looks like they are working on consolidating the most random CPA exam section into a more streamlined piece of psychometric awesomeness. It isn’t too late to get me your questions for the AICPA’s exam unit so if you have one that you haven’t gotten to me yet, get on that or drop it in the comments and I’ll try to sneak it in.

I’ve also spoken to at least a handful of candidates who tested last week and so far feedback is positive on the new format as I suspected it would be. For the love of Excel, please don’t get stressed out over international standards as you shouldn’t expect to receive an exam made up of 70% new content. Try 5 – 10% max.

Update to come on Friday.

Accounting News Roundup: PwC Alum Will Be FASB Technical Director; Accounting Firms Excited for Cross-Atlantic Probing; AMD CFO Gets Unexpected Promotion | 01.12.11

Caleb Newquist
January 11, 2011

SEC Inspector General Probes Khuzami’s Role in Citi Settlement [Bloomberg]
The U.S. Securities and Exchange Commission’s internal watchdog is reviewing an allegation that Robert Khuzami, the agency’s top enforcement official, gave preferential treatment to Citigroup Inc. executives in the agency’s $75 million settlement with the firm in July. Inspector General H. David Kotz opened the probe after a request from U.S. Senator Charles Grassley, an Iowa Republican, who forwarded an unsigned letter making the allegation. Khuzami told his staff to soften claims against two executives after conferring with a lawyer reprecording to the letter.

U.S. accounting board names technical director [Reuters]
The board that sets accounting rules for U.S. companies said it has named a former PricewaterhouseCoopers LLP partner as technical director to oversee staff work on new accounting standards. Susan Cosper will start at the Financial Accounting Standards Board on Feb 1. She succeeds Russell Golden, who was named to the board in September, FASB said in a statement on Monday.

Goldman Opens Up to Mollify Its Critics [WSJ]
In a 63-page report released Tuesday, Goldman says that for the first time in its 142-year-history, it will start disclosing how much revenue comes from the firm’s own trading and investing. The reporting change, which comes after an eight-month review and a bruising lawsuit against the firm by the Securities and Exchange Commission, will begin with Goldman’s fourth-quarter results later this month. The firm’s power and motives have been repeatedly questioned since the financial crisis erupted, in part because Goldman weathered the mess far better than most banks and securities firms.

Rosen Seymour Shapss Martin & Co. expands operations through merger [AW]
It was a busy merger Monday.

Accounting and Consulting Firms Morrison, Brown, Argiz & Farra, LLC And ERE, LLP Join Forces [MBAF]
Annnndd it continues.

Top six firms welcome US and UK audit co-operation [Accountancy Age]
International chiefs of PwC, Deloitte, Ernst & Young, KPMG, BDO and Grant Thornton, have produced a joint statement in which they say the agreement between the watchdogs will aid market confidence in the auditors’ work. Yesterday the US Public Company Accounting Oversight Board (PCAOB) and Professional Oversight Board (POB) in the UK agreed that they will co-operate in regulating audit firms.

The Audit Model Is Broken — “Re:Balance” Has Its Third Birthday — And The Message Hasn’t Changed [Re:Balance]
Happy Birthday to Re:Balance.

Amateur Fraud Fighters Who Do the SEC’s Job For Them Can’t Be SEC Whistleblowers, Sorry [JDA]
The Sam Antars of the world aren’t eligible for the glitz and glamour that so many SEC whistleblowers enjoy.

AT&T Preps iPhone Plan [WSJ]
On Tuesday, Verizon Wireless is expected to announce that it is getting the Apple Inc. phone around the end of the month, people familiar with the matter have said, ending AT&T’s three-and-a-half-year exclusive run with the iconic device. The announcement will kick off a battle as the two carriers fight to lure defectors and win over new customers. AT&T is expected to run new ads that will highlight what the carrier says are the iPhone’s greater speed and better functioning on its network, a person familiar with the matter said.

AMD CEO resigns, CFO named interim chief [Reuters]
Advanced Micro Devices Inc Inc’s chief executive resigned on Monday as the world’s No. 2 maker of PC microprocessor chips said it was seeking a new CEO to boost the company’s growth, sending shares down nearly 4 percent in after-hours trading. AMD said the resignation of Dirk Meyer was the result of a “mutual agreement” with the board of directors and that Chief Financial Officer Thomas Seifert will become interim CEO, effective immediately, as the company looks for a permanent replacement.

Did We Also Mention Our Flexible Work Schedule Arrangements?

Caleb Newquist
January 11, 2011

“We stand by the audit opinions issued by Ernst & Young relating to the financial statements of Lehman Brothers.”

~ Sarah Jurado, a spokeswoman for Ernst & Young in the UK, who sounds like she’s got the talking points down, quoted in Bloomberg.

Deloitte

Your First Melodramatic Farewell Email of 2011 Comes Courtesy of Deloitte

Caleb Newquist
January 11, 2011

While some of you are understandably ~~broken up~~ CRUSHED that Natalie Gulbis is off the market, there are some who are emotionally exhausted from their experience in the Big 4 and aren’t looking forward to another busy season. That got one Green Dot to thinking:

Hey Caleb,

The following email is making its way around the company, it’s a good bye email from a staff out of the NE region. At first I thought it was funny, but after reading it again, I found it quite troubling. As today marks the start of another busy season, I thought you might want to share this with your readers and stress the importance of mental health. The re end of the day, this is just a job. I think that staff, particularly staff straight out of school, have trouble understanding that. The email ends on a high note and it sounds like he is going to get the peace he really needs, but I hate to think about the hundreds of other people in this industry (this is not a uniquely Deloitte issue) who find themselves in similar situations.

Keep up the good work!

Sincerely,
Concerned at Deloitte

Before we get to the farewell email, we aren’t making light of anyone’s personal situation and certainly not the importance of mental health but for crissakes people, your job is not life or death. If your job is weighing on you to the point of misery, talk to someone you trust. And if you need to take a mental health day, or take a leave of absence or just LEAVE, then do so. There’s no point in pushing yourself beyond your limits. We’ve seen it first-hand and it’s not pretty. Just because some people enjoy (and thrive) under the torture of 60-70 hour work weeks that doesn’t mean that you have to. And if you happen to observe a co-worker slowly losing it, take it upon yourself to ask how that person is doing.

ANYWAY, here it is:

Subject: One day I was sitting wondering to myself, why do people do things to intentionally cause themselves pain?

Hi everybody,

I’m sure some of you have forgotten who I am, and I’ve forgotten who some of you are too, not most but some. I’m sitting here in my old desk in the 2wfc on the 9th floor where I worked during the 2009 audit busy season. I’m writing to inform you that I have decided to part ways with the old uncle D.

I’m not sad and I hope you aren’t either, because this isn’t an end it’s just a new beginning. During my time at Deloitte I meet so many amazing people that I can’t even count them all, so many people have touched my life deeply. I wish I could spend more time with each one of you, and I can. I’m only an email away. During my time here I had a lot of fun, there was a lot of pain, more pain and sadness then I can even hope to describe in a single email. But more and more I’m choosing to only remember the good times, which is making me a better person, a happier person.

Which brings me back to the question I asked myself. Why do people do things to intentionally cause themselves pain? After coming back to the office and reflecting back on my time here I can start to understand. Sitting here in my cold dark cubical on the 9th floor, located in the furthest most isolated corner of the floor, overhead there is no office light as the other cubicles around which all have a single UV light positioned in the ceiling over head, so it’s the darkest cubical around.

Now coming back to all this I can finally see why, why I sacrificed my happiness to sit and stare at a computer monitor for 12 to 14 hours a day. You might be saying, it was because you had too, this was your job. But in our society, in modern America no one can make me or anyone else do anything. I could have just as easily not came in, I could have decided to just leave the firm. But day after day I kept coming. Why? Now looking back I see that it was two things. The first but not most important was my loyalty to the people I worked with, the second was my own fear.

The answer to my fear lies in a song I used to listen to several times every day during the 2009 audit busy season. The song “Drones” by Rise Against is a description of the modern office worker, the song helped me to feel that someone out there understood how I felt, that I wasn’t alone. It speaks office workers who keep coming back to work, to work their lives away. They come back to work every day in order to serve a faceless queen (aka: Money, C.R.E.A.M.). A god which can never love them back or help them attain love because it’s at the end of the day it’s only an object. Yet the people keep working to make that paper.

Well enough of my rant about money. I wanted to thank everyone, even the system which is Deloitte. I want to thank you all for everything you taught me, and all the fun and crazy experiences I had will never be forgotten.

To all the people whom I complained too, didn’t listen too, and got angry with. I am sorry, I want you to know I appreciate all of you dealing with my nonsense and being patient with me, and teaching me. I understand how difficult I can be to work with, and sometimes even be around. I’m sorry if I made your lives harder.

Please keep in touch.

One love,

-[redacted]

P.S. Yes I am crazy, and no I don’t need help

P.S.S. My email is [redacted] Please feel free to write me any time.

Big 4

The New York Times Takes the Big 4’s Work-Life Balance Bait

Caleb Newquist
January 11, 2011

Late(r) on Friday, the New York Times published an article championing the accounting firms for their commitment to providing a flexible work arrangements for its employees. The article, as you would expect from the Times, provides numerous examples of how the policies of the Big 4 and other major accounting firms make life extra-peachy for their employees.

The article leads off with none other than a firm who has been in desperate need for good press:

As the peak season for the nation’s accounting firms begins, David Leeds’s team at Ernst & Young is once again bracing for two months of 60-hour weeks auditajor bank in Atlanta.

In years past, those grueling weeks often fueled nasty marital spats about missed dinners and children’s tantrums over forgotten basketball games.

Not any more. At Ernst & Young, as at the nation’s other major accounting firms, workplace flexibility has been built into the culture — even during crunch time. [our emphasis]

Every Monday morning, the 15 people on Mr. Leeds’s team meet and lay out the personal commitments that might interfere with work — basketball games, teacher conferences, Pilates classes, weddings. They arrange to cover for each other, helping make the busy season tolerable for everyone. Despite the auditing team’s six-day weeks, one Auburn University graduate, for example, is taking next Monday and Tuesday off to see the school’s football team play in the national championship bowl in Arizona. And Mr. Leeds plans to escape to New Orleans for three days to see his daughter run a marathon.

“We face very tight deadlines from our clients, but at the same time we try to make sure that team members have the flexibility they need,” said Mr. Leeds, a partner at the firm.

Parent-teacher conferences! Pilates! The Bowl Championship Series! From the sounds of it, you’d think being the an E&Y partner on a banking client was like whistling dixie (in Atlanta anyway). We’ll give this Atlanta team the benefit of the doubt (unless someone wants to email us with a different story) but the Times gives you the impression that the gambit of the industry is sympathetic to your family time and college gridiron road trip ambitions. Even during busy season. More untrue, this could not be.

We could go on with anecdotes about a senior manager’s spouse being in the hospital or the lack of flexibility given to a single dad OR not allowing someone to scoot out an hour early to see their girlfriend because she’s in from out of town but that really isn’t necessary. Examples such as those are simply provide you with a the spectrum of firms being at their absolute worst. What about the lion share of employees at these firms? Chances are, if you walked over to 5 Times Square and pulled aside the first person you saw with a E&Y backpack, they’d tell you that they are preparing to be sleep deprived for the next three months and if you told them they would get a dozen days off in that time frame, they’d be thrilled. Furthermore, if you were ask them if their partner had weekly meetings to ensure that everyone’s extracurricular activities were being respected, they’d look at you like you had three heads.

We won’t dismiss the firms’ efforts entirely because as we said, the Times cited several examples of employees who have taken advantage of the flexible schedules but the article is full of the rhetoric candidates and employees hear regularly when it comes to work-life balance. The best example being one of the last quotes from E&Y partner Brooke Sikes, who is out of Dallas:

“The firm very much rewards you for your performance,” she said. “It’s not about punching a clock. It’s not about face time.”

Not really much needs to be said. Reactions to this statement and any other thoughts on the current work-life efforts by your firm are welcome at this time.

Flex Time Flourishes in Accounting Industry [NYT]

Career Center

Should a Tax Rockstar Transfer to a New Consulting Gig Prior to Busy Season?

Caleb Newquist
January 10, 2011

Welcome to another MOANday edition of Accounting Career Emergencies. In today’s edition, a tax vet is looking to move into consulting with their current firm but in a new office. The current office wants this “star performer” to stick around for busy season but ultimately the decision lies with our hero, who is concerned about burning bridges if they jump before busy season starts. What’s a tax rockstar to do?

Recently had your heart broken? Are you a miserable auditor with no one to turn to? Or an overachiever who needs help convincing their colleagues that you’re not just some know-it-all? Email us at advice@goingconcern.com and we’ll be your shoulder to cry on (and then slap some sense into you).

Back to the David Lee Roth of taxes:

Hi. I am currently with the tax department and thinking about doing a switch to consulting with my same firm, but a different office. The new position will offer better opportunities and as a bonus, better pay. I have already told my department leaders about this switch.

I think this will be a good switch for me, but am afraid there might be some burned bridges on the way since busy season is about to start and I am one of their star performers. They insist that I stay until busy season is over to make the switch because of the extra work load they will have. The final decision will be up to me, but I don’t want to burn any bridges.

Dear DLR,

First off, let us just congratulate you on the new consulting gig. It’s easier said then done to leave a successful run in one area to try something relatively different (without more DETAILS it’s difficult to know how different your new gig is).

Fortunately for you, your humble editor has some experience with a similar situation. Back in the mid-Aughts, I was granted a transfer from Denver to New York. My transfer was approved in the fall, however the leadership in Denver put forth the condition that I spend one more busy season in the MHC. Looking back on it, I’m glad it worked out that way because I was able to spend one more year working on a client I enjoyed and it better prepared me for my engagements in New York.

In your case, you are switching practices so perhaps you could care less about grinding out another busy season with your tax comrades. Similarly, if you’re the rockstar you claim to be, it probably isn’t too motivating to know that you’re going to bust your ass for 3-ish months but then not have your performance considered for your year-end review.

But you’re obviously torn between your giddiness of a new career opportunity and the possibility of rubbing some people the wrong way if you decide to leave them behind. Honestly, I’m a big believer in doing what you want to do, especially when given the option. So, you shouldn’t be surprised when I say move on to the consulting gig now. I understand that you don’t want to cause any friction but if they are “insisting” that you stay for busy season why did they allow you to make the decision? If they need you so bad, they would “require” you to stay. That’s what Denver did to me but again, their need was probably far greater than New York’s.

But here’s a NEWSFLASH: The team will make it through busy season with or without you. If your colleagues have integrity and support your ambitions, this is a non-issue. Chances are, some of them are completely comfortable no matter what decision you make. Others won’t be. Don’t worry about pleasing everyone because you’ll ultimately fail in that endeavor. If you want to join the consulting team now, then do it. Your tax colleagues will survive and if some of them hold it against you, then you’re better off getting the hell away from them. Good luck.

PCAOB

The UK Invites the PCAOB Over for Tea (and Some Audit Probing)

Adrienne Gonzalez
January 10, 2011

Convergence may not be that far off after all, here it is 2011 and now we finally have U.S. and U.K. audit harassment agencies working together to share information and polish up that whole bit about protecting investor confidence in capital markets. It may or may not have something to do with the collapse of Lehman Brothers (personally I think the paranoid mistrust in foreign accounting systems – or perhaps just ours – goes back a tad more than that) but soon enough the PCAOB will have an in (after at least one failed attempt) and get a chance to ~~harass~~ inspect foreign firms. We anticipate that this announcement will bring it with it a fantastic new acronym so we can all keep track of who is who.

The Public Company Accounting Oversight Board today entered into a cooperative agreement with the Professional Oversight Board in the United Kingdom to facilitate cooperation in the oversight of auditors and public accounting firms that practice in the two regulators’ respective jurisdictions.

This agreement provides a basis for the resumption of PCAOB inspections of registered accounting firms that are located in the United Kingdom and that audit, or participate in audits, of companies whose securities trade in U.S. markets. The PCAOB previously conducted inspections in the United Kingdom with the POB from 2005 to 2008, but has been blocked from doing so since that time.

Acting PCAOB Chairman Daniel L. Goelzer welcomed the arrangement, which will lay the foundation for the PCAOB and POB to work together to promote public trust in the audit process and investor confidence in capital markets.

The PCAOB can thank the Dodd-Frank WSCRA which amended SOX to permit the PCAOB to share information with foreign audit agencies under certain conditions.

In light of this event, we’re wondering what happens when the two work together sharing “information.” Does it get a brand new acronym that celebrates this new dawn in inter-obnoxious-regulatory-gossiping (IORG) or does it become a hybrid acronym like the Public Professional Company Oversight^2 Board Board or PPCO^2BB? Surely we can do better.

Party at the PCAOB DC office this evening to celebrate, bring your own acronym suggestions and IFRS pocket guide.

News

(UPDATE) Accounting Firm Merger Monday: Dixon Hughes, Goodman & Co. Combine to Form Dixon Hughes Goodman

Caleb Newquist
January 10, 2011

~ Update includes Goodman & Co. quote in fourth paragraph.

Late last week we heard some rumbling about a merger between High Point, NC-based DIxon Hughes and Virginia Beach, VA-based Goodman & Co. and lo and behold, this morning the press teams from both firms have dropped us the press release announcing the merger and a link to this page that includes details on the merger, a letter to clients, a list of office locations and FAQs.

The combination, effective March 1, will make Dixon Hughes Goodman the 13th largest firm (by revenue) in the U.S. with a combined revenues of over $280 million. This places them one spot ahead of Baker Tilly Virchow Krause and behind directly behind Plante & Moran (this is going by Accounting Today‘s count). The combined firm of Dixon Hughes Goodman will have 30 offices (with HQ in Charlotte), in 11 states with 1,700 professionals. The firm’s leadership will consist of Thomas H. Wilson, Managing Partner of Goodman & Company, as the Deputy Chairman and Chief Operating Officer, Charles Edgar Sams, Jr., Chairman of Dixon Hughes, will continue to serve as Chairman and Kenneth M. Hughes, Chief Executive Officer of Dixon Hughes, will also remain in that position.

Both firms ranked very high in Vault’s Accounting 50, with Dixon Hughes coming in at #5 and Goodman & Co. landing at #15. Goodman ranked very high in some notable categories including #2 in compensation, #3 in business outlook and #1 in green initiatives.

The press release states that Goodman & Co. “retain all of its existing Virginia, Maryland and Washington, D.C. offices,” which we interpret as “no reductions in headcount” ~~but we’re waiting to confirm~~ and we’ve confirmed this with Goodman’s Gary Thomson who said, “we anticipate an increase in the near term as we take new industry specialties to our new markets.”

On a far more exciting note, Goodman & Co., by virtue of this merger, has broken into the Elvis-impersonation market, of which Dixon enjoys a sterling reputation.

Congrats to both firms on the merger and we wish them many happy years together. Obviously, the honeymoon will have to wait – busy season and all. We’ll keep you updated on any further developments.

Accounting News Roundup: PCAOB Gets UK Clearance; Accounting Will Remain a Hot Career; Tax Reform Won’t Happen Overnight | 01.10.11

Caleb Newquist
January 10, 2011

Political Heavy Hitters Take on College Bowls [NYT]
Playoff PAC gets the Times treatment, “They are not just producing attack adng after the bowls’ finances. In complaints to the Internal Revenue Service, they have raised questions involving three of the four bowls that make up the five-game Bowl Championship Series about interest-free loans, high salaries, lobbying payments and lavish perks for some bowl executives. They have also made accusations about illegal campaign contributions.”

Lehman’s Repo-105 Auditors in U.K. Lose Shield From U.S. Accounting Probe [Bloomberg]
U.S. inspectors blocked from examining whether British auditors of Lehman Brothers Holdings Inc. improperly cleared questionable accounting will get access to the books under an agreement set to be announced today. Authorities in the U.S. and U.K. have settled a jurisdictional dispute that since 2008 has prevented the U.S. Public Company Accounting Oversight Board from reviewing British auditors of U.S. companies, according to a person familiar with the agreement and documents obtained by Bloomberg News.

Verizon Finally Lands the iPhone [WSJ]
The largest U.S. wireless carrier will make the long-awaited announcement at an event Tuesday in New York City, people familiar with the matter said. The phone will make its way to Verizon Wireless stores around the end of January, a person familiar with the matter said. The move will for the first time let U.S. consumers choose the network that carries their iPhone and perhaps give them additional pricing options that could affect their monthly bills.

PTINs a Pain for Some CPAs [JofA]
All paid tax return preparers, including CPAs, now must use a PTIN when signing all tax returns, forms or claims for refund (except for certain specified returns and forms—see Notice 2011-6), and must have obtained or renewed an existing PTIN to prepare returns after Dec. 31, 2010. In addition, persons who exercise discretion or independent judgment to prepare all or substantially all of a tax return, form or claim for refund (again, apart from certain specified ones) must likewise obtain or renew a PTIN, whether or not they sign the return, form or claim for refund. The PTIN requirement is part of the IRS’ broader effort to establish minimum standards for all paid tax preparers that will eventually include, for preparers who are not CPAs, attorneys or enrolled agents, testing and continuing education.

Gulbis confirms Johnson relationship [Fox Sports]
Sorry, guys.

Clifton Gunderson buys N.M. accounting firm [MJS]
Seventh merger for CG since May 2010.

China may launch first-ever property tax in Q1 [Reuters]
China is set to further clamp down on the country’s buoyant housing market by imposing a long-debated property tax for the first time in the southwestern city of Chongqing, domestic media reported on Monday. Chongqing has “in principle” won approval from the Ministry of Finance and may introduce the property tax as early as this quarter, the China Securities Journal cited the city’s government as saying.

Accountant accused of stealing from Libertyville Boys Club [LCNS]
Nots-so-pro-bono.

Hot job for the next decade? Try ‘accountant’ [CPA Success]
Great. More MSM articles about accounting being a hot career. Bright side: more GC readers!

My Top 10 Priorities for Improving Internal Auditing [IIA/Marks on Governance]
Aka: internal audit resolutions.

Public Offering Said to Be Unlikely for Zynga This Year [DealBook]
The company that brought you Farmville will remain focused on have people spend their investing dollars on their games rather than their stock. For now.

Playboy Agrees to Hefner’s Offer to Go Private at $6.15 a Share [Bloomberg]
Playboy Enterprises Inc., the owner of the namesake adult magazine and online properties, said it agreed to be taken private by founder Hugh M. Hefner for $6.15 per share. Hefner’s offer to buy the Class A stock and Class B shares he doesn’t own represents an 18 percent premium over the Class B closing price of $5.20 a share on Jan. 7, the company said in a statement today. Hefner said in July he would pay $5.50 a share in cash for the stock he doesn’t already own.

Kyl: Tax reform could take time [On the Money/The Hill]
Newsflash.

You’d Be Wrong If You Thought Americans for Tax Reform Were a Bunch of Humorless Killjoys

Caleb Newquist
January 8, 2011

For all we know, ATR was behind the video from earlier today and then we found this from last night:

Great Night for Illinois Taxpayers!

Illinois Democrats were dead-set on raising the state’s personal income tax by a whopping 83 percent. But in a stunning and miraculous turn of events, they decided to go easy on their already mightily-struggling constituents. In a deal reportedly reached tonight, Gov. Pat Quinn and legislative leadership decided to with a mere 75 percent income tax increase, coupled with a modest 102 percent cigarette tax hike that will gently nudge countless jobs across state lines and steal a disproportionate amount of impoverished Illinoisans’ income with a wink and a smile.

We like what the author, Josh Culling, did there but the only problem is that he felt it necessary to brief readers with the following, “The above, of course, is laced with sarcasm and disappointment.” OH THANKS! We really thought we were on a “Rahm for Mayor” site for a minute there.

Career Center

Another Fed Up Auditor Needs Help Making a Move

Caleb Newquist
January 8, 2011

Welcome to the Friday edition of Accounting Career Emergencies (aka: why doesn’t anyone want to poach me?). In today’s edition, an E&Y audit staff has HAD IT with her trade. Problem is, she’s concerned that she might be doomed for “long hours and boring work.” Plus, she’s already has passed the CPA exam and needs to meet the hours requirement. Is her career doomed to boredom and lack of certification?

Need career advice? Recently been tempted by a sexy corporate suitor but don’t want to disappoint the boss? Thinking about turning to extreme measures to get revenge on a co-worker? Email us at advice@goingconcern.com and we’ll run down a cauldron.

Back to fed-up-auditor du jour:

I am currently working at EY in auditing at the staff 2 level. I am miserable in audit and have been trying to stick out my time here until at least senior status, but I’ve come to realize that I just cannot take 9 more months of this work. As such, I am currently exploring my options as to what else is available out there for me.

I have already passed the CPA exams and the only thing holding me back from obtaining my CPA is the CPA hours requirement. Can you recommend a transition job that will get me AWAY from audit but still allow me to put the work hours towards my CPA? I understand that financial advisory is one option and I am considering looking into such positions at Deloitte (because of their large FAS practice). However, the problem is that I’m not sure how different the nature of the work will be in financial advisory. Will I be met with long hours and boring work, similar to audit?

Can you PLEASE help a sista out?

Thanks!
– Concerned About My Own Going Concern

Dear Concerned Sista,

Will you “be met with long hours and boring work?” If by, “boring work” you mean “Microsoft Excel” and by “long hours” you mean, “more than 9 to 5” our response is “possibly” and “HELL YES.” We will not address the question about “long hours.” That is a matter of record all over this site. As far as the work, if it’s the nature of auditing you find dull, you’ll be glad to know that advisory services has many interesting practice areas but think about it, you have an accounting degree (presumably), for crissakes. There will be numbers and spreadsheets involved (if that’s what you find boring). What, exactly, were you expecting? Flip cup tournaments broken up by 2 hour lunches?

The good news is, the season is ripe for people looking to move to another Big 4 firm. However, you might be a little short on experience to jump over to Deloitte FAS. These practice areas are very specific and with only a couple years under your belt, it will be a tough sell. Obviously, this shouldn’t dissuade you but you’re officially on notice that it’s an uphill battle.

As far as your CPA is concerned, many states allow work experience in areas outside public accounting so unless your state has very specific requirements for licensure, you’ll be fine. This means you should take a hard luck about what you do like about accounting and make a decision from there. Keeping in mind that this could mean getting out of the Big 4 altogether. Good luck.