ParaAccountants

THE INSTITUTE OF CHARTERED ACCOUNTANTS OF INDIA
CA and IT
“Vision, Goals & Strategies”
ParaAccountants – India Accounting Globally
Sanjib Sanghi - FCA
I t d ti
Introduction
WHO ARE PARAACCOUNTANTS ?
ParaAccountants assist CPAs/Lawyers, rendering active service in
Accounting, Auditing,Tax & Legal services, enabling Accountants/
Lawyers to concentrate on core processes and strengthen clientrelationships.
relationships
ParaAccountants
are not mere
Bookkeepers!
Through ParaAccounting
A
Accounting
ti
Hierarchy
Hi
h
PROFESSIONAL : Analyze accounting information & trends;study alternative decisions.
ACCOUNTANT
PARA
ACCOUNTANT
: Provide specialised assistance to Professional Accountants/ Lawyers.
BOOKKEEPER
: Supervise accounting clerks & help managers in accounting interpretation.
ACCOUNTING
CLERK
C
: Record & File transactions, specializing in one area, like cash,receivable.
P
ParaAccountants
A
t t
CICA
ICAEW
AICPA
ICAI
ICPAS
ICAA
ICANZ
WE, AS CHARTERED ACCOUNTANTS,
ACCOUNTANTS, CAN
BECOME PARAACCOUNTANTS FOR THE
ENTIRE GLOBE!
I di Th
India:
The N
Nextt Gl
Global
b lM
Melting
lti
P
Pott
Turn Around Time
Intellectual Capital Rich
Low Costs of Operation
Lower Attrition Rate
Telecom & Infrastructure
Geographic Location
“Indians are BORN ACCOUNTANTS!
ACCOUNTANTS!”
P
ParaAccountants
A
t t
OUR USP
“Ya Esha Supteshu Jagarti”
9 RIGOROUS PROFESSIONAL TRAINING,
9 CLIENT-CENTRIC SERVICE,
9 TECHNICAL KNOW-HOW,
9 CERTIFIED EXPERTISE,
EXPERTISE
9 DOMAIN KNOWLEDGE,
R d fi
Redefine
The
Th F
Future
t
INDIA
Becoming
g
“The ParaAccounting
H b off the
Hub
th World”
W ld”
L t’ Account
Let’s
A
t Globally…
Gl b ll
D
Demand
d Opens
O
N
New P
Pastures
t
Dearth of Accounting Graduates in US
AICPA reports a steep decrease in Accounting Graduates over the last decade
with rates falling by over 17%.
250
200
Thous ands
The reasons for decreased enrollments are:
Lower starting salaries,
Changes in student attitudes,
Widespread misinformation,
The 150-hour
150 hour rule, and
Simply not kept pace
150
100
50
0
1993-94
1994-95
Bachelors
1995-96
Masters
1998-99
Accounting enrolments in all Schools in US
D
Demand
d Opens
O
N
New P
Pastures
t
Average salary offered to accountants/bookkeepers in UK, USA & Canada and compared to
India to in Indian Rupees.
1872000
Average Salary (Rs.)
1350000
1116000
50000
India
Canada
USA
UK
Foreign Exchange Rate
Country
Currency
Conversion Rate
India
Rupee(Rs.)
1
Rs.50000
Canada
Canadian Dollar($)
31
$36000
USA
Dollar($)
45
$30000
UK
Pound(£)
78
£24000
Salary
Th P
The
Paradox
d
–India,
I di USA,
USA UK & Canada
C
d
120
Comparison:Population vs Returns filed
Population & R
P
Returns (Crores)
100
80
60
40
20
0
Returns
Population
India
USA
UK
Canada
3
21.25
3.07
2.26
109.67
27.13
5.9
3.22
St ti ti
Statistics
off Returns
R t
fil
filed
d
USA
78.33%
Canada
70.19%
UK
India
52.03%
2 74%
2.74%
0.00%
% of Returns Filed
20.00%
40.00%
60.00%
Percentage
80.00%
100.00%
India
UK
Canada
USA
2.74%
52.03%
70.19%
78.33%
P
Percentage
t
off Primary
Pi
Returns
R t
Filed
Fil d
H
Huge
O
Opportunity
t it ffor Indian
I di
CA
7800
UK (SA 100)
USA (1040)
7500
Canada (T1)
6000
500
India (Saral)
0
2000
4000
6000
Rupees
Comparative Rates for Primary Returns
8000
10000
S
Services
i
– Indian
I di
CA
CAs can d
do ffor CPA
CPAs
Bookkeeping
Tax Returns
Payroll Accounting
Various Reconciliation
GAAP Reporting
MIS & Financial Reporting
O
Overseas
fi
firm C
Concerns
Who would handle my
client’s accounting
data…their work
ethics??
What about my data
security
it & client
li t
interests?
How would the payment
mechanism
h i
b
be?
?
How can I view &
control my Financial
Information?
Is that going to affect my
Financial Decision making?
D
Demand
d Opens
O
N
New P
Pastures
t
Professional Bottlenecks: Overseas
Are always under clients pressure.
Difficult to find and retain quality staff at a price that is
economically feasible
feasible.
Not enough time to keep up on all of the technical literature
necessary to solve clients problems.
Know that a competitor is down the street, trying to market
to their best clients.
Their Problems = Our Opportunities
“Make
Make Hay When The Sun Shines.
Shines ”
R l
Roles
&S
Services
i
off P
ParaAccountants
A
t t
A
Accounting
ti
: Bookkeeping & Write-up, Receivables & Payables, Bank &
Accounts Reconciliation, GAAP Reporting, MIS, Reports &
Trend Analysis, Accounting interpretation,etc.
Legal
: Client Interviews, Conduct legal & documentary research,
Draft
D
ft legal
l
ld
documents,
t correspondence
d
and
d pleadings,
l di
Summarize depositions, interrogatories and testimony.
Taxation
:
Prepare Tax Returns for Individuals, Business & Trust Estate
Returns, Payroll Tax Reports, IRS Filing, etc.
H
How
It Works
W k
ROUTE TO VIRTUALITY
Users are virtually connected,
Can work from any location,
Network is secure,
Data is protected,
Information is in real-time.
It’ss like working online with Clients using Hosted Applications
It
Applications.
H
How
It WorksWorks
W k -ASP Model
M d l
How can a CA practice Globally ?
Indian ParaAccountants – Account for Everything Accountable!!
H
How
It WorksWorks
W k -ASP Model
M d l
The ASP Architecture
Your office network no longer
needs a server
The ASP takes
Th
k away
all problems of keeping a
physical office operating.
Technology is the Key.
Key
H
How
It WorksWorks
W k -ASP Model
M d l
The ASP Architecture
With an ASP, you can access
YOUR network from anywhere,
24X7
Your office
Our Office
From Home
The Beach
Your Virtual Office
H
How
It Works
W k
A ParaAccountant’s Work Model
Reviewed Overseas
Processed in India
Scanned in Overseas
Increase Your Bottomline With Technology
H
How
it works
k
Data Upload
H
How
it works
k
Data Storage
eFileShare enables users to store and share files securely, quickly and simultaneously
through
g the web, eliminating
g the risks & delays
y related to email attachments or traditional
shipment methods.
H
How
it works
k
Data Download
O
Operational
ti
lD
Delivery
li
M
Models
d l
Vi eMails
Via
M il
Virtual Desktop
Dual Monitors
O
Operational
ti
lD
Delivery
li
M
Models
d l
VIA EMAILS
Information received as E-Mail
We log
W
l iin using
i our
User ID and Password.
Client Faxes, Calls or
E M il th
E-Mails
the d
details.
t il
Information received
as E-Mails.
O
Operational
ti
lD
Delivery
li
M
Models
d l
E-Mail containing the
assignment received is
processed by
ParaAccountants.
Processed work sent
back to Overseas
Firms for review.
review
O
Operational
ti
lD
Delivery
li
M
Models
d l
VIRTUAL DESKTOP
O
Operational
ti
lD
Delivery
li
M
Models
d l
Source Docs
Application Software
DUAL MONITORS
Popular Accounting Software
ACCOUNTS
TAXATION
QuickBooks, Intacct,
Peachtree, NetLedger
Turbo Tax, ProSeries,
LaCerte, TaxAct
Simply Accounting, MYOB Plus,
QuickBooks Pro
Pro, Quasar
MyTaxExpress, Cantax – T1,
Cantax – T2
SAGE,IRIS Paye Master,
Simply Accounting,
IRIS Personal Tax, IHT Planner,
SAGE Tax, TurboTax,
IRELAND
SortMyBook,SAGE,
SortMyBook
SAGE
TAS Book,Peachtree
Tax Save Deluxe
Deluxe, IRIS Personal
Tax, Turbo Tax, Proseries
AUSTRALIA
Accpac, QuickBooks,
MYOB, Peachtree
MYOB Tax, Pay Pack, eTax,
PAYG Easy, Turbo Tax,
NZA Gold, Attaché,
MYOB, Peachtree
Quick Tax, Easy Accounts,
Turbo Tax, Proseries
Simply Accounting, Juno,
QuickBooks MYOB
QuickBooks,
MyTax Express, Turbo Tax,
Proseries
USA
CANADA
UK
NEW ZEALAND
SINGAPORE
I f
Infrastructure
t
t
Requisites
Well spaced work place
Necessary furniture and fixtures.
Pentium II,
II 64MB RAM and above.
above
Dedicated Internet leased line(128 kbps – 1:1)
Dual Monitor System or Split Screen ( Min 17” or 19”)
Windows 2000 and Citrix Client Installed
O
Overseas
C
Concerns
Who would
o ld handle m
my client’s acco
accounting
nting data
data…their
their work
ork ethics??
How can I view & control my Financial Information?
What about my data security & client interests?
Is that going to affect my Financial Decision making?
How would the payment mechanism be?
O
Overseas
Fi
Firms E
Expectations
Expectations–
t ti
– DO’s
DO’ & DONT’s
DONT’
Maintain a single exit & entry in workplace
Track your time–how much hours you devoted to each client
Become a CPA/ Lawyer and a member of AICPA/ABA/NALA
Subscribe to journals & magazines of above bodies
Leak any information
Download files or document in floppies, CD, etc.
P i t any d
Print
documentt off clients
li t
Bring any floppies, CD, Paper Sheets in workplace
B
Benchmark
h
k for
f P
ParaAccountants
A
t t
Chartered Accountant/Commerce Graduate with Experience in Accounting firms.
C
Command
d over E
English
li h (O
(Orall & W
Written).
itt )
Knowledge in Application Software like Tally, etc.
Computer savvy with knowledge over Chatting, Browsing, Networking etc.
Knowledge of Global Business & Accounting Practices with idea of GAAP.
Overseas Application Certification from recognized bodies.
g of Operating
p
g Systems,
y
, Networking,
g, PDF & Scanned Images.
g
Knowledge
Persevering & Uphold Client Interest.
Sanjib
j Sanghi
g
ss@cpa2ca.com