The shortage of accountants in the nonprofit sector is discussed with Jerilyn Dressler, Director of Strategic Partnerships at YPTC.com (Your Part-Time Controller). Jerilyn highlighted the challenges nonprofits face in hiring and retaining accounting professionals, especially those with CPA (Certified Public Accountant) qualifications. She pointed out that many CPAs are nearing retirement age, and there’s a shortage of students majoring in accounting.
The conversation covers the differences between accountants and CPAs, with Jerilyn explaining that while CPAs handle annual financial statements, audits, and regulatory filings, accountants work with organizations throughout the year. She stressed the importance of having professionals with nonprofit-specific expertise, as nonprofit accounting involves unique rules and regulations not found in for profit accounting.
Jerilyn also shared statistics from the American Institute of CPAs, indicating that 75% of CPAs reached retirement age in 2020, contributing to the shortage. Additionally, she discussed efforts to attract younger talent to the accounting profession by highlighting the potential for technological advancements and AI adoption in accounting roles.
The conversation emphasizes the critical role of finance and accounting teams in nonprofit organizations, as they are involved in every aspect and decision-making process. Jerilyn encourages NPO’s to bridge communication gaps between departments and leverage their tech to streamline processes and attract and retain accounting talent.
This quick episode ends with Jerilyn sharing her personal journey into accounting, highlighting the versatility of an accounting career, suggesting it’s an attractive option for those considering a career change or just entering college.