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The Role of Accounting and AI: Shaping the Profession’s Future

Artificial intelligence (AI) is rapidly transforming the accounting profession—ushering in new efficiencies, deeper insights, and a redefined skill set for future accountants (KPMG, 2024); (Forbes, 2024); (NJCPA, 2025). Rather than being a passing fad, AI has become an integral driver in both financial reporting and audit practices, elevating how firms deliver value and assurance in today's dynamic business environment (KPMG, 2024).​


Accountant in the office setting.
Accountant in the office setting.

AI’s Impact on Core Accounting Functions


Across the industry, AI now automates a broad range of manual accounting tasks, from data entry and document verification to error detection and compliance oversight (Forbes, 2024); (NJCPA, 2025). Firms like KPMG are leveraging AI through platforms such as KPMG Ignite to go beyond number-crunching, offering predictive analytics and uncovering patterns and trends vital for strategic guidance (Forbes, 2024); (KPMG Clara, CFO.com, 2025). The result is accountants spending less time on repetitive work and more on advisory and value-added services (NJCPA, 2025).​


Notably, a recent global KPMG study found that 72% of companies are already piloting or using AI in financial reporting, with nearly all expected to do so within three years (KPMG, 2024). Additionally, AI now takes up 10% of companies’ IT budgets, highlighting the rising investment and belief in AI-driven transformation (KPMG, 2024).​


Transforming the Auditor’s Role


AI is not just changing accounting—it is revolutionizing the audit landscape (Forbes, 2024); (KPMG, 2024). The adoption of AI in audits enables swift analysis of vast datasets, superior error and fraud detection, and higher compliance standards (Forbes, 2024); (KPMG, 2024). With AI tools such as Clara at KPMG automating manual tasks and improving audit quality, auditors are being called to evaluate and attest to companies' AI controls and play a key assurance role in governance (CFO.com/KPMG Clara, 2025); (KPMG, 2024).​


AI and the Modern CPA: Privacy, Security, and Compliance


CPABC and experts such as Garrett Wasny stress that accountants integrating AI must be vigilant about privacy, security, and regulatory compliance (CPABC, 2025); (Wasny, CPABC, 2018). CPAs interact with AI daily—embedded AI in accounting software, generative AI for automation, and compliance tools for risk and audit tasks (CPABC, 2025). Responsible AI adoption is essential for maintaining client trust and regulatory standards as technology evolves (CPABC, 2025).​


Real Performance Gains and the Hybrid Model


Performance studies quantify AI’s beneficial effects: accountants using generative AI report 21% more billable hours and close books 7½ days sooner versus those relying solely on manual methods, with noticeable improvement in report detail (Journal of Accountancy, 2025). Rather than replacing accountants, AI acts as an enhancer, allowing professionals to focus on strategic analysis and client relationships—fostering a ‘hybrid intelligence’ model for firms (Journal of Accountancy, 2025); (Forbes, 2024); (KPMG, 2024).​


Key Takeaways for Accounting Students and Professionals


  • AI is fundamentally changing accounting, making processes faster, more accurate, and more strategic (KPMG, 2024); (Forbes, 2024); (Journal of Accountancy, 2025).​

  • Audit and assurance work is evolving: auditors must now provide oversight over firms’ AI systems, not just financial data (KPMG, 2024); (CFO.com/KPMG Clara, 2025).​

  • CPAs must develop skills in AI, privacy, cybersecurity, and compliance to stay relevant (CPABC, 2025); (Wasny, CPABC, 2018).​

  • The integration of AI leads to performance gains—more billable work, faster reconciliations, and deeper client insights (Journal of Accountancy, 2025).​

  • Human judgment, creativity, and ethics remain essential, but AI opens new avenues for innovation and higher-value services (Forbes, 2024); (NJCPA, 2025).​


Accountants and students who embrace the evolving role of AI will be well-positioned for the next era in finance, where technology and human expertise combine to drive superior outcomes for businesses and their stakeholders (KPMG, 2024); (Forbes, 2024); (CPABC, 2025); (NJCPA, 2025); (Journal of Accountancy, 2025)



Sources

  1. CFO.com. (2025, May 15). How KPMG is using AI to revamp their audit practice. https://www.cfo.com/news/how-kpmg-thomas-mackenzie-is-using-clara-ai-to-revamp-their-audit-practice-/748316/​

  2. CPABC. (2025, September 10). AI and accounting: Privacy, security, and compliance for CPAs. Chartered Professional Accountants of British Columbia. https://www.bccpa.ca/news-events/cpabc-newsroom/2025/september/ai-and-accounting-privacy-security-and-compliance-for-cpas/​

  3. Forbes. (2024, April 22). The dawn of a new era: AI’s revolutionary role in accounting. https://www.forbes.com/sites/neilsahota/2024/04/22/the-dawn-of-a-new-era-ais-revolutionary-role-in-accounting/​

  4. KPMG. (2024, September 2). AI in financial reporting and audit: Navigating the new era. https://kpmg.com/xx/en/our-insights/ai-and-technology/ai-in-financial-reporting-and-audit.html​

  5. NJCPA. (2025, June 12). How AI and emerging technologies are transforming the accounting profession. New Jersey Society of CPAs. https://www.njcpa.org/article/2025/06/13/how-ai-and-emerging-technologies-are-transforming-the-accounting-profession​

  6. Journal of Accountancy. (2025, August 19). Calculating AI’s impact on CPAs: New study quantifies time savings. https://www.journalofaccountancy.com/news/2025/aug/calculating-ais-impact-on-cpas-new-study-quantifies-time-savings/​

  7. Wasny, G. (2018, November 27). The next steps for CPABC. CPABC. https://blogs.ubc.ca/jzmanagement/2018/11/28/hello-world/​


 
 
 

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