With each passing day, technology is evolving at a much rapid pace. The speed of technology has increased so much that it has gained a life of its own. Certainly, technology has been making continuous advancement in every field. If you see technologies such as artificial intelligence and machine learning have already ease out the works of marketers in digital marketing industry. Today, chatbots has replaced the human involvement in communication with customers, right. Same way the finance industry has seen a great shift from manual work to quicker ways of analysis of data. Well, this has actually created a fear in people for losing jobs in accounting sector. That’s where the question arises; can technology replace the accountants in 2021?

technology in accounting

If you also have this question in mind, then you’re at the right place. Here we will talk about whether technology can replace the accountants in 2021 or not.

Let’s get started now.

Artificial Intelligence (AI) in Accounting Industry

AI is one of the center topics in today’s highly technical world. AI is advancing the world at a fast speed undoubtedly it has taken over the mundane jobs of an accountant. According to the study, more than 750 million jobs that require repetitive calculations and keeping records can be managed by AI alone. Moreover, AI technology can handle many accounting functions like tax preparation, audits, managing payrolls, etc. Well, there are many accounting software providers like Intuit, Xero, and Sage have leveraged AI technology into their software to handle basic accounting tasks.

Wanna know what AI can do for accountants? Read below.

Accountants are proficient in managing tasks on their own but there are some tasks which are so tedious and require technology to interfere. Here read some points on how AI is helpful for accountants:

➣Incorporating AI technology into accounting software helps in managing accounting tasks such as bank reconciliation, risk assessment, invoice categorization, audit processes, invoice payment, expense submission, preparation of taxation, and many more.

➣ Management of accounting tasks by AI help accountants save their time and a lot of futile efforts.

➣ Eventually, AI will compel the accountants to develop suitable strategies for the betterment of the organization altogether. It will help them analyse the AI data and allow them to take financial decisions accordingly.   

With these points, would that be mean technology can replace accountants in 2021? Do you think in that way? Well, there are some works that an accountant can perform and technology may not be suitable for it. Didn’t get my point? Let’s understand this in the next section below.

The technology can transform but not replace accountants in 2021  

Yes, you read it right. No matter how much advancement you can see in technology but there are some things which can’t replace human beings. The works which humans can perform, technology might not do that. Certainly, AI technology is capable of handling many accounting tasks faster and efficiently but it doesn’t mean it is the end of accountants. Undeniably, there will always be a need of human element – the human intelligence. As per the leading research firm Gartner, AI is set to create more jobs that it will replace, leaving workers, including accountants with options. So, it is clear that technology will transform the finance industries at a fast speed.

As an accountant should you worry about your job?

No, not at all. Being an accountant, you no need to worry about your job being replaced by AI technology any time in 2021 or near future. Accounting industries, CA firms, and businesses will always need accountants who can analyse and interpret AI data as well as give them consulting services, something which AI can’t do.  Well, with the help of machine learning and AI technology, accountants can surely analyse AI data to give their clients with quality business solutions.

In every way, AI will aid accountants enhance their services. Moreover, it will reduce the risk of liability and accounting data. In fact, advanced technology is more efficient at fraud detection by adding an extra layer of protection for accountants and their clients. AI technology provides more reliable, accurate, and real time data so that accountants can provide effective solutions.

Final words

Now that you have come to the end of this article, this should be clear to you that technology won’t replace accountants as there would always be need of human touch which technology may not fulfill. Rather than worry about it, accountants should welcome and embrace the technology as a strong solution to provide more quality services to their clients. Now you can say that there will always be a secure place for accountants. In case, you want accounting services then you can contact us.

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