Journal of Accountancy Podcast

Latest Episodes:

How one small firm drastically cut its busy-season hours Aug 03, 2023

Show notes

Johanna Sweaney Salt, CPA, CGMA, used to work 100 hours a week during busy season. As the founder and managing partner of Gray, Salt & Associates LLP, she believed it was her responsibility to put in the time needed to make her small firm a success.

Today, Johanna remains a full-time partner at the firm, and her son, Dalton Sweaney, CPA, is now the managing partner. His desire a few years ago to spend more time with his young children prompted him to ask his mother if they could make changes to make busy season less crazy.

She said yes, starting a multiyear journey that has freed Dalton up for more dinners with his family and has cut her busy-season hours almost in half. What changes did they make and how have they kept the firm running profitably?

What you'll learn from this episode:

· How the firm began a move to cut back on both total hours and hours worked in the office.

· The remote work toolkit that assisted in the business transformation.

· How a hard minimum set by the firm helped to maximize profits.

· When, how, and why the firm fires clients.

· The firm's ideas about four-day workweeks.

Fraud, football, and a viral video: A midsummer compilation Jul 28, 2023

Show notes

This episode is a midsummer look back at insights from selected 2023 podcast guests, from a Super Bowl CFO to the AICPA vice chair.

Why the disconnect? Risks are everywhere; risk management is not Jul 20, 2023

Show notes

A survey report that focuses on enterprise risk management (ERM) and offers tools for risk practitioners is the focus of this episode of the JofA podcast.

The 14th edition of The State of Risk Oversight, a report produced jointly by the AICPA & CIMA, together as the Association of International Certified Professional Accountants, and the ERM Initiative at North Carolina State University, shows that the volume and complexity of risks continues to be prominent on the radar of leaders at U.S. organizations of all types and sizes. However, complete and formal ERM processes are just as common now as five years ago, after the survey showed nearly a decade of increased interest in ERM.

Mark Beasley, CPA, Ph.D., a professor at N.C. State and director of the school's ERM Initiative, analyzes the disconnect, explains why a post-pandemic sigh of relief is not a good sign for risk managers, and shares some of the questions that organizations can ask themselves to improve their ERM practices.

What you'll learn from this episode:

· An overview of the annual survey, and why it appears that interest in establishing complete and formal risk management appears to have leveled off.

· Beasley says there's a "false sense of security" related to risk management.

· Why defining an organization's crown jewels is a key first step in risk management.

· The obstacles that inhibit some organizations' risk management efforts.

· Questions related to risk management that can be part of your next company strategy meeting.

S corps. and Rev. Rul. 2008-18 F reorganizations Jul 13, 2023

Show notes

In this podcast episode, a collaboration between the JofA and the Tax Section Odyssey podcasts, Tony Nitti, CPA, partner—National Tax at EY, joins April Walker, CPA, CGMA, lead manager—Tax Practice & Ethics at AICPA & CIMA, from ENGAGE 2023.

The main topic of their discussion is Rev. Rul. 2008-18, delving into S corporation reorganizations.

Related resources

Rev. Rul. 2008-18 — Postulates two situations in which an S corporation becomes a qualified subchapter S subsidiary (QSub) of a newly formed corporation that will qualify as an F reorganization. The ruling also provides new guidance on the proper employer identification number (EIN) to be used by the entities in each situation.

Private equity and F reorganizations involving S corporations — The Tax Adviser, Sept. 1, 2020

6 reasons an S corporation wouldn't need a PLR | Tax Section Odyssey — Rev. Proc. 2022-19 provides procedures to allow S corporations and their shareholders to resolve frequently encountered issues without requesting a PLR.

What you'll learn from this episode:

· How S corp. buyers can protect themselves against the risk of invalid S elections.

· An overview of Rev. Rul. 2008-18 and a hypothetical example of its applicability.

· A review of Rev. Proc. 2022-19 and fixes to invalid S elections.

· The extra step when an S corp. owns 100% of a qualified Subchapter S subsidiary.

Where do we go from here? Career advice for high performers Jul 07, 2023

Show notes

Donny Shimamoto, CPA/CITP, CGMA, the founder and managing director of Intraprise TechKnowlogies LLC, recently co-hosted a conference session on feedback – specifically, how high performing employees sometimes get a low amount of valuable feedback.

Such high performers can have their development halted if they fail to seek out the right feedback to advance in their careers, Shimamoto said.

Shimamoto also reflected on the recently completed AICPA & CIMA ENGAGE, highlighting the words of Carla McCall, CPA, CGMA, the AICPA vice chair, about asking for help.

What you'll learn from this episode:

· Donny Shimamoto's reflection on last month's AICPA & CIMA ENGAGE.

· Why employees identified early as high performers sometimes fail to receive meaningful feedback.

· Shimamoto's comparison of performance reviews and financial statements.

· Why an ENGAGE session about mental health resonated with him.

The key role accountants will play in the shifting definition of value Jun 29, 2023

Show notes

As the components of a company's value change, the role of finance must adapt to what it reports and how it manages tangible and intangible assets. That shift was underscored with the release of new global sustainability standards by the International Sustainability Standards Board, and it's the topic of this episode of the JofA podcast.

Ash Noah, CPA, CGMA, FCMA, managing director—Management Accounting and ESG for AICPA & CIMA, together as the Association of International Certified Professional Accountants, explains briefly what the two standards are and what he sees changing for organizations going forward, in the U.S. and elsewhere.

Noah wrote a blog in May about the new imperative for accountants related to reporting on environmental, social and governance (ESG) factors.

In this episode, he goes into more detail about what the new standards mean for business and the profession.

What you'll learn from this episode:

· Noah's description of what is addressed in the new standards, IFRS S1 and IFRS S2.

· Details on types of intangible assets.

· How the release of the standards is likely to affect U.S. companies.

· The AICPA & CIMA vision around the standards, according to Noah.

· How the role of finance changes with the release of the standards.

CPAs and cannabis businesses – a 2023 update Jun 22, 2023

Show notes

Advising legal cannabis-related businesses is a growing opportunity for CPAs. The landscape is ever-changing, on regulatory and other fronts.

Andrew Hunzicker, CPA, the founder and CEO of Dope CFO Certified Advisors in Oregon, and Ron Seigneur, CPA/ABV, founder and partner at the firm Seigneur Gustafson LLP in Colorado, joined the JofA podcast recently to provide an update on what has changed in the industry as well as highlights of the upcoming AICPA & CIMA Cannabis Industry Conference, Aug. 14-16 in Boston.

They discuss common questions CPAs have, how laws and regulations have changed over the years, and more.

What you'll learn from this episode:

· An overview of the cannabis industry's regulatory landscape since one of the speakers was on a JofA podcast episode in 2020.

· What attendees can expect at the AICPA & CIMA Cannabis Industry Conference in August.

· Details about accounting-specific guidance as it relates to cannabis businesses.

· The questions that Hunzicker and Seigneur often get about advising cannabis businesses.

· A list of some of the specific niches that make up the cannabis industry.

Advice to CFOs: Be agile and adaptable in the face of rapid change Jun 15, 2023

Show notes

Chris Ortega is an upbeat person, as anyone who's seen him present at a conference knows. But he also understands that, economically, times are tough, and he has advice for finance professionals to manage through the uncertainty.

Ortega also shares how his role at conferences has changed since he first began volunteering, why he likes coming back to AICPA & CIMA ENGAGE, and what he sees for the future of financial planning and analysis (FP&A).

What you'll learn from this episode:

· Chris Ortega's career progression from financial planning and analysis (FP&A) analyst to consultancy CEO.

· How the realm of FP&A and CFOs has changed in the past 18 months.

· Ortega's advice for CFOs related to building up cash reserves.

· The value Ortega found in volunteering to be on the planning committee for a conference.

· His answer to the question, "In five years, what does FP&A look like?"

The power skills needed to lead effectively — from the AICPA's vice chair Jun 08, 2023

Show notes

Carla McCall, CPA, CGMA, was a prominent speaker at AICPA & CIMA ENGAGE 2023 for good reason. On this episode of the Journal of Accountancy podcast, McCall, recently named AICPA vice chair, discusses her career path and interest in volunteering while also serving as managing partner of the firm AAFCPAs.

McCall shares some of the key traits of leaders, what her firm is doing to address capacity issues, and one aspect of feedback that she considers difficult.

What you'll learn from this episode:

· An overview of McCall's career in public accounting.

· Why gaining an outside perspective has helped McCall and her firm.

· How she has learned to delegate responsibilities over the years.

· An obstacle McCall faced regarding mentorship early in her career.

· What she looks forward to in her role as AICPA vice chair.

Summing up economic sentiment: Less revenue, more pessimism Jun 01, 2023

Show notes

CPA decision-makers in business and industry weren't optimistic at the end of last year, but their outlook grew a bit sunnier as 2023 began. Now, as 2023's midpoint approaches, the outlook of finance executives is again taking on a more pessimistic tone in a quarterly survey. Contraction plans are more common, and projections for revenue and profit have declined.

Ken Witt, CPA, CGMA, AICPA & CIMA's associate director–Management Accounting Research and Development, discusses the results of the Economic Outlook Survey in this podcast episode.

What you'll learn from this episode:

· An overview of second-quarter survey results.

· Why Witt now says that the fourth quarter of 2022 may not represent "the bottom" in terms of sentiment.

· How the high-interest-rate environment is affecting companies.

· Examples of more stringent lending requirements that businesses are facing.

· The hiring outlook and projections for the coming 12 months for revenue and profit.