CPA Firms Grow Despite Economic Downturn


Even when faced with the economic uncertainty of 2008, CPA firms weathered the changes pretty well, according to CPA Firm Statistical Analysis Reference Handbook 2009, a publication by the Institute of Management and Administration.

The Accounting Office Management & Administration Report on which the handbook is based found that owner compensation rose slightly over the prior year’s averages. Compensation averaged $347,071 for the highest paid partner groups (pay only, not counting any bonuses, perks or benefits). Owners in the middle range averaged $204,292, and the lowest paid owners averaged $153,918. Net income per partner averaged $283,364, up from $280,009 in the previous survey.

Despite the economic downturn, more than half the firms surveyed had actually raised rates during the fiscal year and are also still investing in technology and marketing, spending an average of 5.2% and 2.7% of revenues on those initiatives, respectively.

Source: IOMA, www.ioma.com/cpa.

SPONSORED REPORT

States look to unclaimed property for revenue

This free report outlines the escheat process, common types of AUP, how different states are handling it and how companies can plan for potential audits and liabilities.

PODCAST

Using drones to enhance audits

Hermann Sidhu, CPA, global assurance digital leader at EY, walks us through EY’s exciting new project to use drones to help audit large warehouses and outdoor inventories.