Eric Runge

In today’s rapidly evolving landscape, the rise of artificial intelligence (AI) has made some tax professionals a little nervous. AI has ignited a wave of transformation across various industries, and the accounting profession — including certified public accountants (CPAs), IRS enrolled agents and licensed tax consultants — is no exception.

AI-powered technologies have the potential to disrupt traditional accounting practices and raise concerns about the future of CPAs. However, by recognizing the challenges at hand and embracing change, CPAs can not only survive but also thrive in this new era.

The plain truth is that CPAs face a significant challenge — the potential risk of being rendered obsolete by AI. As AI technologies continue to advance, routine tasks such as data entry, financial analysis, and even basic tax preparation can be automated with increased efficiency and accuracy. This raises the question: What role will traditional CPAs play in a world where machines can perform these tasks at lightning speed?

The key to staying relevant and securing a resilient future as a CPA lies in shifting focus and adding value to A-level clients. These are the clients who truly rely on human expertise and personalized advice for their complex financial needs. By understanding their unique challenges and positioning themselves as trusted advisors, CPAs can adapt and thrive amidst the rise of AI.

While AI may excel at processing vast amounts of data and performing repetitive tasks, it lacks the ability to provide the human touch, emotional intelligence and strategic thinking that clients crave. CPAs can leverage their deep industry knowledge, critical thinking skills, and comprehensive understanding of financial regulations to provide a level of service and guidance that AI simply cannot replicate.

One of the greatest assets CPAs possess is not their technical skill — as important as that is — but their ability to build meaningful and long-lasting relationships with their clients. By nurturing these connections and learning to go deeper, CPAs can gain a deep understanding of their clients’ unique goals, challenges and aspirations. This insight allows CPAs to tailor their advice, offer proactive solutions and become trusted partners in their clients’ financial journeys.

To thrive in the age of AI, CPAs must position themselves as indispensable advisors who offer a unique blend of human expertise, relationship-building skills, value-added service and innovative thinking. By partnering with others who have offsetting skillsets and adapting their service offerings to meet the evolving needs of their clients, CPAs can secure their relevance and success in the financial industry.

The rise of AI undoubtedly presents challenges for CPAs, but it also offers tremendous opportunities for growth and innovation. By recognizing the shifting landscape, embracing change and focusing on adding value, CPAs can secure a resilient future and increase their clients’ respect for them as their most relevant advisor. Emphasize the human touch, build strong client relationships, and leverage the skillsets and networks of others to enhance your services. In doing so, you will not only survive, but also thrive amidst the transformative power of AI.

Eric Runge owns Veritas Wealth Management in Gladstone. His blog “The Elite CPA” can be found at tumblr.com/veritasforward. He can be reached directly at eric@veritaswealth.net.