An overview of accounting professions

Accountants generally work with a company’s finances. Some focus on tasks like payroll or payments from customers. Others handle taxes and auditing.

Modern-day accounting often extends beyond traditional bookkeeping and tax preparation. These roles encompass:

• Strategic advice
• Risk management
• Compliance oversight
• Automation of finance functions
• Environmental, social and governance (ESG) reporting

“Modern businesses rely on a diverse ecosystem of accounting professionals. Each role plays a specialized part in safeguarding financial integrity, optimizing operations and ensuring compliance with ever-evolving tax and reporting standards. Choosing the correct mix of accounting expertise depends on company size, complexity, growth stage and regulatory exposure.”

—Tarik Griffith, accountant

Key roles, skills and duties for accountant roles

While the day-to-day responsibilities of an accountant will depend on the specifics of their industry, some duties and skills may be universal for all accountants:

Accountant duties

Many accountants perform these duties:

• Managing and maintaining accurate financial records
• Evaluating processes and procedures
• Calculating and preparing taxes
• Analyzing the company’s money usage via budgeting, forecasting and variance analysis
• Maintaining legal and financial standards and ensuring regulatory compliance
• Auditing expenses

Skills

Accountants often require the following combination of soft and hard skills:

• Understanding mathematics, Excel modeling and financial analysis
• Performing analysis
• Providing clear communication
• Maintaining organization
• Being attentive to details
• Strong ethical standards, regulatory awareness and a commitment to thorough work

Types of accounting profession

The type of accountant that will benefit your company depends on your industry and company size. Here are some of the most common types of accountants:

Accountant

Accountants can work for an accounting company and take your business on as a client, or you can hire an in-house accountant. These professionals handle financial records and might also prepare taxes and payroll. General accountants can handle a variety of responsibilities depending on the needs of your business.

Accounting clerk

Accounting clerks, also called bookkeepers, generally work under accountants. They handle duties like transactional data entry and organization that may not require as much education or skill as an accountant. They can be useful for large companies that need more than one person to maintain financial information and handle repetitive financial tasks.

Auditor

Auditors are usually employed by an outside firm and review a company’s financial documents, such as payroll, tax forms and investment information, for accuracy and legality. They are typically put in place to evaluate the accuracy of financial statements and adherence to Generally Accepted Accounting Principles (GAAP) and/or International Financial Reporting Standards (IFRS) principles.

Chief financial officer (CFO)

CFOs usually manage an entire accounting department. They are most common in large organizations that have many executives. CFOs are responsible for financial forecasting, advising other executives on financial opportunities and managing a team of accountants.

Controller

Controllers are usually in-house accountants who manage a variety of accounting responsibilities, including internal accounting operations, reporting and policy compliance. They may manage a team or work on their own. Controllers can work for large or small companies.

Financial analyst

Financial analysts are usually employed in in-house corporate finance roles, investment banking roles or asset-management roles, for example. These accounting professionals assess a company’s viability as an asset or investment and handle forecasting, budgeting and market trend analysis. They review a company’s financial documents and determine the value of the company and the risks and benefits of investing.

Payroll manager

Payroll managers handle all aspects of a company’s payroll processing, compliance with tax law and employee benefits. They will track employee work hours, assess deductions for unpaid time off or add money for commissions or bonuses. They may also participate in hiring and training new employees. They are usually in-house employees.

Forensic accountant

Forensic accountants review a company’s financial records in cases of fraud. They will reconstruct spending or other financial activities to determine the legality of certain activities. Forensic accountants are almost always third-party accountants and do not work for individual companies.

Tax accountant

Tax accountants are usually third-party accountants that companies hire to manage their taxes, specializing in federal, state and local tax compliance strategy, tax law and preparation. They often work with a variety of clients and are only hired during tax time.

Finance manager

Finance managers assess the company’s long-term financial goals and develop strategies to meet them. They can work in-house or be hired for a short-term project, depending on the company’s needs.

Accounts payable (AP)

Accounts payable accountants manage all the money a company spends. Usually, this includes things like payroll, invoices to others and general company expenses. They are almost always in-house employees.

Accounts receivable (AR)

Accounts receivable accountants manage all company income. Primarily, the income in question is payment from customers for products or services. They may also issue invoices to customers and follow up on missing payments. Accounts receivable accountants are almost always in-house employees.

Accounting professions are broad, covering roles including financial record management, payroll management, analysis, compliance oversight and more. To help you decide which roles to hire for, consider the duties you are looking to cover, your budget and the size of your business.