Category

Accounting

Personalized Training Plans Offer More Meaningful Professional Development

By | Abila, Accounting, Government, Grant Management, HR, MIP Fund Accounting, Nonprofit, Professional Development, Training | No Comments

CPAs, like other professionals, need an additional 40 hours of continuing education units annually to maintain their certification. Even if your industry does not require taking continuing education courses, everyone benefits from refresher courses and keeping abreast of changes and developments in their industry.

There is great value to designing a personalized plan for continuing professional development. These plans build a customized training roadmap for individuals, so that instead of taking a prescribed set of courses to meet your continuing education requirements, you create your own curriculum. Here’s why they work.

The Benefits of Personalized Professional Development Plans

  1. Relevant: Personalized course plans are highly relevant. They take into consideration your currently level of skills, interests, and needs, as well as those of your employer or company. You can choose the courses that are right for you and fit your personal learning goals.
  2. Flexible: You choose when you wish to take the courses, creating a plan that lets you take courses on the weekends, at night, or even during your lunch hour. You aren’t locked into a set schedule.
  3. Higher completion rate: Because the courses in your personalized plan are relevant and on a schedule that meets your needs, they tend to have a higher completion rate than other courses.
  4. More feedback and interaction: Some personal development plans include interaction with a mentor or trainer, providing more personalized feedback and interaction from the one to one mentoring.
  5. Noticeable difference: Personal plans offer you the added bonus of being able to identify specific goals to work towards. You can document progress toward your goals through milestones and checkpoints. Not only does this help you achieve them, it also helps you see both the ‘before’ and ‘after’ picture. You can see just how far you’ve come.

Does Personalized Professional Development Stand Alone?

Most companies blend both personalized development with general professional development activities,  offering both the benefits of personalization and group interaction that’s valuable for team building and shared knowledge.

Why Professional Development Matters

Lifelong learning is important for all professions. While we tend to think of professional development for teachers, accountants, financial managers, others benefit from continually sharpening their skills.

Professions change over time. New governmental and IRS regulations, for example, may change how accountants and financial planners manage specific tasks and functions. Yes, you can read about these changes in professional journals or online bulletins from the managing organizations, but in some cases, in-depth professional development through workshops, conferences, or classes may be the best way to completely understand something new.

Technology is changing how CPAs manage data, how sales and marketing professionals do their jobs, and how human resources managers organize their files. By taking additional professional development courses in technology-enhanced areas, you’ll be able to maximize the use of such  developments to create a stronger, better organization.

Welter Consulting

Welter Consulting bridges people and technology together for effective solutions for nonprofit organizations. We offer software and services that can help you with your accounting needs. Please contact Welter Consulting at 206-605-3113 for more information.

Going Faster Isn’t the Answer. How Nonprofit Leaders Improve Decision Making.

By | Abila, Accounting, Budget, Data, MIP Fund Accounting, Nonprofit | No Comments

The phone is ringing off the hook and you have 3,000 emails waiting for an answer. Meetings are booked back-to-back and your desk looks like someone dumped a file cabinet on it. If that sounds familiar, it’s time to take a deep breath and rethink how you’re handling your day.

We each get 24 hours in a day, and some of that time must be spent on things like sleeping, eating, and personal needs…but many of us feel that if we can cram more into our workdays, we’re improving our productivity. We take classes on productivity, buy fancy journals or add apps for time management, and wonder what we’re doing wrong when we get buried under an avalanche of work.

Where we go wrong is easy to spot. We think that by going faster and working harder, we’ll eventually catch up. We try to multi-task, cram more tasks into each hour, and find new ways of working while commuting, showering, or sleeping (okay, that’s an exaggeration, but how many of us would find ways to work if we could while we sleep?).

Instead of working harder and doing more, noted professor Harry Kraemer of the Kellogg School suggests a radical new approach to managing the deluge of tasks facing most professionals. Rest, reflect, and reset is the mantra of the truly successful person.

Why Doing More Isn’t Better

The problem with always trying to do more is that you never have time to do what will truly make an impact.

Authentic and effective leadership requires thoughtful planning. Leaders may have natural talent and abilities, but they must put those talents into action after considering the facts around them. Without the time to reflect, the action may be ineffective.

Self Reflection Leads to Better Decisions

Leaders know that they have two main tasks: to prioritize what is important and to find the resources needed to get the important tasks completed. But you can’t prioritize if you don’t take the time for self reflection.

Self reflection is more than thinking about what you’ve done during the day and what you’d like to accomplish tomorrow. It includes thinking about what you need to do differently.

If you’re so busy you don’t have time to breathe, let alone think, you won’t be able to think outside of your current situation. You’ll continue to try solutions that haven’t worked but are comfortable and familiar. And when it comes to problem-solving, comfortable and familiar are not a leader’s friends.

Systematized Self Reflection for Leaders

To make self reflection a reality instead of a wish, it’s important to systematize it. By setting up a system for reflection, observation, and action, you incorporate self reflection into your day.

The following steps may make it easier to incorporate self-reflection in your leadership skills.

  1. Set aside 15 minutes for writing out your reflection.
  2. Write down your thoughts about the day. Include questions, problems, and tasks you need to tackle next.
  3. Keep a running list of items to follow up on as well as the second list of items to explore.
  4. Consider both big-picture thoughts as well as the minutia of the day.
  5. Make self reflection a daily habit.

Self reflection builds strong leaders, teams, and companies. It’s a simple task that only takes 15 minutes a day to complete. Instead of constantly speeding up and trying to do more in a day, taking a brief break to reflect, refashion, and recommit to our goals can help build a better company and create stronger leaders.

Welter Consulting

Welter Consulting bridges people and technology together for effective solutions for nonprofit organizations. We offer software and services that can help you with your accounting needs. Please contact Welter Consulting at 206-605-3113 for more information.

CPA Continuing Education – Ideas and Tips for Professional Development

By | Abila, Accounting, Audit, CPA, Grant Management, MIP Fund Accounting, Nonprofit | No Comments

Passing the CPA exam is only the first step in a long series of challenges for CPAs. One ongoing challenge is meeting the required 40 hours annually of professional development.

Large, public accounting firms and big corporations may arrange to send their CPAs for annual professional development workshops and classes to help you meet the 40-hour requirement. CPAs who own their own businesses or who work for smaller companies don’t have that luxury.

It can be difficult to take time away from your own accounting practice to take classes that satisfy your continuing education requirements. Let’s face it; if you can take a week off, you want to go to the beach or the mountains, not to a stuffy meeting room. It can also be expensive to pay for airfare, hotel, and workshop fees.

There are alternatives to the typical round of workshops and conferences offering professional development hours for CPAs. On-demand learning is the latest method of distance learning that offers flexibility with the quality for certification credits.

On-Demand Learning for CPAs

On-demand learning for CPAs consists of online courses, workshops, and seminars. Those that receive CPA credit hours count towards your annual 40-hour certification requirement.

You can find on-demand learning from many providers:

  • Companies offering workshops in conjunction with products or services
  • Consulting firms offering on-demand learning on a variety of accounting topics
  • Professional organizations and groups
  • Local colleges and universities
  • Online learning organizations and companies offering a variety of classes.

In all cases, check to make sure that the workshop you are interested in attending qualifies for CPA certification requirements.

Factors to Consider When Choosing Learning Opportunities

There are several factors to consider when assessing on-demand learning opportunities. These include:

  • Quality: You’re going to spend 40 hours each year participating in workshops and classes. Make sure they are of the highest quality and relevant to your needs. Look for courses that address relevant topics. Instructors should be fellow CPAs or otherwise highly qualified to teach the subject matter. It’s also helpful if instructors are currently working as CPAs. People who are currently working as CPAs and senior accountants can answer questions and offer insights into common workplace scenarios more easily than those with solely academic qualifications.
  • Affordability: One of the best things about on-demand learning is its affordability. Because most on-demand courses can be taken online, you immediately save money on travel expenses. You can also sandwich them into your day, taking them at lunchtime, in the evenings, or on weekends if they are pre-recorded. Most online courses and other on-demand learning opportunities are reasonably priced. Some are even free. A subscription-based continuing education provider can also provide greater savings, with an unlimited number of courses available to you during the subscription period.
  • Speed: Another great benefit of on-demand learning is that it is self-paced. You can take classes as you need them. You don’t have to wait for a specific conference or workshop. Although it’s not smart to leave your continuing education requirements until the last minute, if you do get to the end of the year and find yourself lacking a few course hours, you can usually find an on-demand course to take online that will let you complete your requirement in record time.

Who doesn’t like to save time or money while learning valuable information? On-demand professional development answers the need for CPAs to finish their 40 hours of annual continuing education in a way that fits their needs.

Welter Consulting

Welter Consulting bridges people and technology together for effective solutions for nonprofit organizations. We offer software and services that can help you with your accounting needs. Please contact Welter Consulting at 206-605-3113 for more information.

Are You Ready for the FASB Accounting Standards Update (ASU) No. 2014-09?

By | Abila, Accounting, Audit, CPA, FASB, Nonprofit | No Comments

By now you’ve probably heard of FASB Topic 606. This is an accounting standards update that seeks to provide greater clarity to organizations on how to report revenue. After the initial release of the update, several clarification statements have been issued to help organizations and companies prepare for the new guidelines. As you’re getting ready to implement the new standards (they go into effect for certain not for profits starting December 15, 2017, and for most others December 15, 2018), it’s important to understand both the gist of the update as well as the clarifying statements that have been issued.

What Is FASB Topic 606?

FASB 606 deals with revenue from contracts with customers. FASB Accounting Standards Update No. 2014-09 seeks to streamline statement preparation, as well as provide better disclosure to the public and to others. Clear, transparent reporting is essential for nonprofits; it helps build trust between nonprofits and their constituents. With FASB Topic 606 and Accounting Standards Update No. 2014-09, the revised guidelines are intended to help nonprofits clearly disclose their relationship with their customers and the revenues such relationships and contracts provide.

Another reporting area that FASB No. 2014-09 seeks to improve is the ability for people to compare financial statements. If revenue is reported differently, it makes it harder to compare them across entities. If revenues follow a consistent reporting pattern, they can be compared more easily.

Clarifications on the Original Statement

Accounting professionals charged with the implementation of this revised standard have asked for, and received, clarification on several items. First, intellectual property issues required several clarifying statements. Organizations who license their IP needed information on how to record revenues. A nonprofit health association, for example, who licenses a special ‘badge’ that packaged food companies can put on their products to indicate they meet specific dietary guidelines needs to understand whether they should record revenues at once or over time as they occur.

So far, FASB has issued four clarifications:

  1. ASU No. 2016-08, which addressed principal versus agent considerations.
  2. ASU No. 2016-10 identified performance obligations and licensing
  3. ASU No. 2016-12, clarified a narrow scope improvements and practical expedients directed at items such as the reporting of noncash consideration, contract modification and completed contracts at transition, collectability matters, and similar matters.
  4. ASU No. 2016-20 which correct loan guarantees, contract costs—impairment testing, and provision for losses on construction-type and production-type contracts. Because this area is so complex, interested people should keep up to date with any further changes on 2016-20.

Caution: Implementation Ahead

With all of the clarifications and updates, it’s difficult to say whether or not organizations are truly ready to implement the new rule. Although many indicate that they are, it may be wishful thinking.

A few other cautions have come above. The new rule indicates that transaction prices should be allocated to each performance obligation based on the stand-alone price. Software companies are paying particular note of this requirement since it may accelerate revenue recognition for their products.

Another area where this may impact revenue recognition is on bundled items. Revenue recognition for bundled, package items may now be considered one item instead of many.

Lastly, revenues must be recorded when it appears probable that they can be collected. For nonprofits, this means that they cannot record as donations or revenues money left to them with conditions attached unless it becomes very clear that those conditions will be met.

Confused? Let Welter Consulting Help

If you’re confused about all the FASB changes and the implementation of these new guidelines, Welter Consulting can help. Welter Consulting bridges people and technology together for effective solutions for nonprofit organizations. We offer software and services that can help you with your accounting needs. Please contact Welter Consulting at 206-605-3113 for more information.