Public and Private Accounting

Someone once told me a story about a house and its basement; he made a point saying that people pay attention to things like an attractive kitchen or number of bathrooms and bedrooms and not at the basement although the basement is the most important part of the house. The basement makes up the house’s foundation and holds up the rest of the house so that would make it the most important part of room in the house. He continued by explaining how accounting was the foundation of everything, it helps hold everything together and with it you can do anything.

A degree in accounting is much more than what it seems, an accounting major can do a finance majors jobs but a finance major cannot do an accounting major’s job. An accounting major can do a marketing major’s job but, a marketing major cannot do an accounting majors job. As accounts we are responsible for a lot of important information that holds the business world together.

Get quality help now

RhizMan

Verified writer

Proficient in: Accounting

4.9 (247)

“ Rhizman is absolutely amazing at what he does . I highly recommend him if you need an assignment done ”

+84 relevant experts are online

Hire writer

On the Harvard Business Review, Peter Bakker, wrote an interesting article called Accountants Will Save the World, where he explains how accounting is single handled the most important aspect of the business world. Bakker states “To get all businesses involved in solving the world’s toughest problems, we must change the accounting rules”. Bakker believes accountants are the key to a brighter future.

History of Accountants

According to John R. Alexander in the History of Accounting, “unlike most other modern professions, accounting has a history that is usually discussed in terms of one seminal event – the invention and dissemination of the double entry bookkeeping processes.

”(Alexander, P1). In the United Sates alone, as of 2010, there are 1,216,900 people with a profession in the field of accounting.

The question of where accounting originated from also crossed my mind. In a History of Accounting, Bekker claims that “Some argue that accounting developed purely in response to the needs of the time brought about by changes in the environment and societal demands. Others claim that the development of the science of accounting has itself driven the evolution of commerce since it was only through the use of more precise accounting methods that modern business was able to grow, flourish and respond to the needs of its owners and the public. Either way, the history of accounting throws a light on economic and business history generally, and may help us better predict what is on the horizon as the pace of global business evolution escalates.”(Bekker, P1).

Public Accounting

On the website of the Institute of Public Accountants define Public Accountants it says that Dun & Bradstreet's international definition of 'public accountant' is 'Independent public Accountants perform many functions, including auditing financial statements, designing financial accounting systems, assisting in managerial accounting function, providing managerial advisory services, and tax preparation. The public Accountant may perform services for corporations, partnerships, individuals, and other organizations'. Public accounting is an extremely client oriented business, in other words it’s a job for you a “people person”. Good Sales Skills. This is people skill at the next level. Crucial if you aspire to become a partner or own your CPA firm. You need to solicit business for your firm and good sales and marketing skill (and keeping your professionalism at the same time) is a very important skill. People skills are very important to have when being a public accountant because you are dealing with a wide range of people, with different demands and different personalities. The job can be really stressful between dealing with different clients as well as all kinds of co-workers. Also, with the job come long hours because there are a lot of very strict deadlines for the firm and for clients. Late nights and overtime are very common, especially if you are one of the “newbies” or fresh out of college kids.

Private Accounting

If you Google, “the definition of private accounting”, I’m provided with an answer of “private accountant) An accountant hired as a salaried employee to deal with a company's day-to-day accounting needs.”. When I think of public accounting I think of a very stable “9-5” job expect around the end of the month/ year. Private accounts work for companies preparing their financial statements in house for external users. The BYU School of Accounting published article which included information about private accounting describing, “Private Accounting works inside all business, government, and nonprofit entities. Private accountants choose a specific employer for their career and bring the tools, skills, and know how needed to succeed. Private accountants are integral part of the success of any organization and many public accountants eventually work in the private accounting sector.”. Although it is true that on average a private account makes less than a public accountant, some may argue that having a steady schedule and more stable work environment in worth more to them than a pay.

Where do I see myself in the world of Accounting? No matter how much I try to deny it or run from it deep down I know my future is right around the corner. When I ask myself “what’s next?”, I get a little scared but, in a good way. I’m now a sophomore at Montclair State University so I know I have to start planning for my future which is right around the corner. The first thing I would like to do is keep my grades as high as possible so I can take advantage of the 5 year program that Montclair offers its accounting students. After graduating with an MBA, I would love to find a job in a public accounting firm, at that say time I plan to start studying for my CPA exam. Ideal I see myself working as a public account at the beginning of my career.

I definitely see myself as a person who can deal with all kinds of people. I grew up with 5 brothers and sister, and in a house filled with all kinds of personalities you learn to adjust and deal with all kinds of problems. I don’t think I’d mind working long hours, I guess you could say I’m a workaholic, I tend to lose myself into my work when I’m really into it. Although I really like the idea of public accounting, I do think after a few years I’d like to find a job as a private accountant. I plan on having a family and I would prefer a more 9-5 kind of job. I read that transitioning to from public to private accounting is a lot easier than the other way around so hopefully things will work out in my favor. The future is something I use to think being way ahead in time but, now being in school each semester is a step closer to something that is right around the corner: graduating and heading into the world to put my degree.