The podcast discusses the risks of e-filing taxes, deepfake video calls causing theft, AI accounting startups raising money, major accounting firms turning to private equity, the impact of 150-hour rule on diversity in the accounting profession, and Google's Gemini AI release.
Obtaining both the CMA and CPA certifications can lead to an average annual salary increase of $38,000 for accountants.
Google's new AI language model, Gemini, offers improved capabilities compared to its predecessor, Bard, and is comparable to GPT-4 in performance.
Baker Tilly's acceptance of private equity funding raises questions about the future of traditional partnership models in the accounting industry.
Deep dives
Dual certifications mean big bucks for accountants
Accountants who hold both the CMA and CPA certifications earn an average of $38,000 more annually compared to their non-certified peers. The dual certification demonstrates a higher level of expertise and can lead to increased job opportunities and higher salaries. Obtaining both certifications may require additional education and passing exams, but the potential financial benefits make it a worthwhile investment for accountants.
Google releases Gemini, an AI language model
Google has introduced Gemini, a new AI language model that replaces its previous model, Bard. Gemini is said to be on par with the performance of GPT-4 and offers improved capabilities, particularly in understanding complex questions and providing thorough answers. Gemini can be accessed through the Gemini.google.com website and utilizes Google's powerful search engine to provide relevant information and resources to users.
Gemini vs. GPT-4 and other AI language models
Gemini, the new AI language model by Google, is being touted as comparable in performance to GPT-4. With enhanced abilities in understanding complex questions and providing detailed responses, Gemini offers a competitive alternative in the AI language model landscape. Additionally, Gemini utilizes Google's search engine to offer relevant and reliable information to users, positioning it as a strong contender in the AI language model space.
Private Equity Investment in Baker Tilly: A Shift in Firm Structure and Ownership
Baker Tilly, one of the top 10 accounting firms, has accepted private equity funding, marking a significant shift in firm ownership. The private equity firms, Helman and Friedman and Valaeus Capital Partners, now hold a majority stake of 55% in Baker Tilly Advisory Group LP. As a result, the firm had to split into two groups, one focused on audit attest and the other encompassing all other services. This move raises questions about the future of traditional partnership models and the potential impact on staff and future partners.
The Debate Over E-Filing and the Role of Lobbying in the Accounting Industry
An opinion piece in the Wall Street Journal has sparked controversy by promoting paper tax filing over electronic filing. The author argues that paper filing is safer and cites past data breaches as examples of electronic filing risks. However, critics point out the potential risks of paper filing such as mail tampering or misplacement. Meanwhile, lobbying spending by the Big Four accounting firms in Congress has come under scrutiny. Despite their significant revenue, the firms have collectively spent only $9.4 million on lobbying, leading to discussions about the accounting industry's political influence and the need for increased lobbying efforts to address industry-related issues.
Blake and David discuss a wealth of timely topics, including the risks of filing taxes electronically versus by mail, the impact of the 150-hour rule on diversity in the accounting profession, and how major accounting firms are turning to private equity funding to accelerate growth. They also explore news from the artificial intelligence space, including Google's unveiling of Gemini, as well as ADP's new AI assistant, and examine how deepfake video calls enabled the theft of $25 million.
