You thought accounting jokes were lame?
Wait until you read the 12 accounting statistics we have prepared for you—dull as the everyday life of an accountant.
We can roast accountants all we want, but the truth is we need them more than we realize. No business can survive without an accountant and there are some aspects of the job that’ll truly surprise you.
That’s why we decided to shed some light on this field and share the most interesting facts about accounting.
Let’s start with HostingTribunal‘s top picks—you won’t fall asleep, we promise.
Fascinating Accountants Statistics for 2021 (Editor’s Choice)
- By 2026, the global accounting software market will reach $11,772 million in value.
- In 2019, the number of employed accountants was 1.28 million in the US alone.
- The District of Columbia is the top-paying state in the US for accountants, with an average salary of $103,930 per year.
- The number of accounting firms in the US in 2021 is 138,000 and it keeps growing.
- 82% of accountants agree that clients’ demands are higher now than five years ago.
- 67% of accountants believe that the implementation of cloud technology contributes to their clients’ success.
- One-third of small businesses spend from $1,000 to $5,000 on accounting services per year.
- 40% of small business owners say that bookkeeping and taxes put a strain on running a business.
Accounting Statistics 2021
We’ll start with some of the basic accounting stats to give you a general idea of the industry. Some of these numbers are important for small businesses, so founders and new entrepreneurs, make sure to read them all!
1. By 2026, the global accounting software market will be worth nearly $11.8 million.
(Source: Accounting Today)
The accountant industry has endured many changes, especially in the last decade or so. The numerous technological advancements have found their way into the field of accounting as well, and that has transformed the way people do their business.
For most accountants, having efficient software can make the difference between succeeding in the business and failing ingloriously.
That’s why accounting stats like the following one are no surprise—the global market of accounting software is projected to reach a staggering $11.8 million by 2026! And, as more accountants recognize the value of having a professional tool to finish the job quickly and effectively, this number will only go up!
Can you guess which country owns the biggest share of this pie?
2. The US is the country with the largest number of accountants—1.28 million in 2019.
The US is at the top of many accounting statistics lists. One reason for it is that the US has the largest number of accountants. A report from 2019 showed that the number of employed accountants was 1.28 million, which hasn’t been achieved since 2012.
If the number of accountants is this large only in the US, what does that mean for the average cost of accounting services for a small business?
3. One-third of small businesses spend between $1,000 and $5,000 on accounting services each year.
(Source: PR Newswire, SCORE Association)
Accounting costs are inevitable but also a constant source of frustration for small business owners (SBO) owners. These costs can vary depending on the company’s size and industry, but they usually go from $1,000 up.
31% of small businesses in the US spend between $1,000 and $5,000 on accounting services every year. When it comes to bookkeeping, statistics show that 40% of SBO claim that costs and taxes are the worst part of running a business.
Just thinking about these accounting spending stats can demotivate anyone from launching a company.
But there’s always an alternative.
Let’s see how SBO owners feel about cloud accounting!
4. By the end of 2020, 78% of small companies will use cloud accounting exclusively.
Don’t underestimate the accounting statistics regarding cloud transformation in this industry. More businesses will adopt this approach and by the end of this year, 78% of all small businesses will decide to shift entirely to cloud accounting.
This shouldn’t come as a surprise—the cloud is the future. Old practices will soon be outdated and adapting to the industry’s latest changes will be the key to success.
Accountant Job Statistics
Many people don’t understand the difference between bookkeepers, accountants, and auditors. Although closely related, they perform distinct functions.
Simply put, bookkeepers keep a record of all transactions; then accountants manage and analyze the company’s financial affairs; and finally, auditors check and verify the work of others.
We mentioned a few bookkeeping industry statistics above, but in this section we’ll focus on accounting only.
Let’s take a look at some of the most popular facts related to the job itself.
5. With an average salary of $165,000/year, the United Kingdom is arguably the best place for accountants.
Compared to the average salary in the US ($75,000 per year) the UK is a dreamland for accountants.
Accountant wages in the United Kingdom start at around $105,000/year—a pretty solid pay. Of course, this is not the case in every industry—the highest-paid accountants are the ones who work in the banking and capital markets sector.
The average yearly salary (including bonuses) for them is around $170,000!
But what do they do to deserve that?
The next few accounting statistics will show us.
6. 79% of accountants feel confident to provide business owners with management advice.
Nowadays, accountants do a lot more for businesses than just their numbers. They see the company’s financial health and are more than qualified to advise business owners how to improve the overall financial stability.
An international survey with more than 3,000 accountants shows that around 79% feel confident in their competency to provide advice on different matters—from management and cash flow to growth models for improved stability and profitability.
If that’s not enough, the accounting industry analysis also shows that accountants are now expected to demonstrate significant technological literacy, providing advice on accounting technologies too.
7. 82% of accountants say that their clients expect more from them than they did five years ago.
This unexpected job growth is related to the adoption of technology in several aspects of accounting.
With AI being introduced into daily operations, a major part of the job is transferred to computers. What’s left is the human side of the job—communication with the client, management tasks, providing advice.
As a result, accountants have no other option but to acquire the skills necessary to keep up with the new requirements.
On the bright side, reducing the repetitive technical aspects of the job will free up more time for training and development. Since 82% of surveyed accountants claim that clients’ requests have changed drastically over the years, this extra time will give them the opportunity to acquire the skills necessary to satisfy those new needs.
Another consequence of the adoption of technology in this field is that accountants’ perceptions of their job have changed too; the following accounting stats reflect that.
8. 57% of accountants believe that technological literacy is the most important skill for anyone who wants to join the industry.
If you thought that affection for numbers was more than enough to pursue a career in accounting, we have brand new accounting statistics that’ll prove you wrong.
Today, accountants are more focused on being technologically equipped to do the job. In a recent Sage survey, 57% of accountants predicted that technology literacy will be the most important skill in the field, followed by relationship building with 46% and business advisory with 44%.
Yes, it’s 2021, so adapting to the current industry trends will be the key to becoming a successful accountant.
So, really, how many accountants have adopted the new practice and what can we learn from the accountant statistics on this matter?
9. 53% of accountants operate in the cloud.
More and more accountants adopt the cloud operating model—it makes their job easier. It gives them the flexibility to work remotely and the data is completely secured.
Not to mention that cloud solutions are cost-effective and save accountants a lot of money. That’s why 53% of the 3,000 in the survey use them.
Enough with the serious accounting and statistics—let’s check out some fun facts!
Accounting Fun Facts
We hope we managed to convince you how important accountants are; but is accounting fun? We hate to disappoint you, but unless this is your passion, the answer will probably be no.
But even so, there are some entertaining facts you should know!
Let’s check them out!
10. Mick Jagger studied accounting before becoming one of the most famous lead singers!
Who would’ve thought, the famous Mick Jagger behind the desk, crunching the numbers, right? But apparently, he’s not the only one.
A lot of other celebrities had a career as accountants before they were famous, like Bob Newhart, Kenny G, and believe it or not, Janet Jackson.
This is probably the most amusing one of all the accountant facts we’ve gathered.
11. Al Capone was brought down by FBI accountants.
Yes, the famous Al Capone was guilty of murder and illegal alcohol supply, but in the end, he was convicted for tax invasion. And it was due to what the special agent and account Frank Wilson did.
Talk about a power move! Putting Al Capone in jail—the former accountant Frank J. Wilson was a dedicated and meticulous crime fighter. Not all heroes wear capes, right?
12. Accountants play a significant role in the Oscars.
The last one from our list of intriguing accountant facts is the following: the Oscars have existed since 1927, but have you ever wondered how the ballots are counted? Apparently, every year since 1935, a team of accountants spends around 1,700 counting the Academy Awards ballots by hand.
This might not be among the most interesting accounting jobs, but it’s most certainly a fun fact.
The Wrap Up!
We hope these accounting statistics showed you that this job could be fun—or at least, not as bad as you might think!
The important thing to remember is that accounting should never be underestimated. It’s a dynamic job, even though some aspects of it are mundane. Accounting is critical if you want to know your company’s financial stability, so be sure to give those guys the respect they deserve!