The Finance Talent Crunch: Why Acting Early Is Your Best Move in a Tight Accounting Talent Market
Finance and accounting teams keep the organization running smoothly and help keep the lights on! Yet, behind the balance sheets and reports, a growing problem is putting pressure on deadlines, accuracy, and budgets: a shrinking supply of qualified accounting professionals.
From the CFO’s office to the payroll desk, the shortage of skilled accounting talent is real, measurable, and already affecting organizations nationwide. Understanding the scope of this shortage and knowing how to respond can make the difference between hitting your goals and falling behind.
Why the Accounting Shortage Is So Severe
- Declining CPA Pipeline
The number of new CPAs entering the profession has been falling for more than a decade. Between 2019 and 2023, approximately 340,000 accountants and auditors left the workforce—over 17% of the profession—according to a joint report by the AICPA, NASBA, and the National Pipeline Advisory Group. Bachelor’s degrees in accounting have also dropped, shrinking the next generation of professionals before they even enter the field (NYSSCPA). - Increased Demand Across All Sectors
The Bureau of Labor Statistics projects that demand for accountants and auditors will grow 4% between 2022 and 2032, keeping pace with the national average—but in some sectors, like finance, insurance, and technology, demand is significantly higher. Tight labor markets mean employers are competing for the same limited pool of candidates (BLS.gov). - Rising Retirements and Career Changes
Many experienced accountants are reaching retirement age, while others are leaving the profession for roles in data analysis, consulting, or finance technology. The result: fewer senior-level professionals to mentor new hires or take on complex, high-stakes assignments.
The Impact of the Accounting Talent Shortage on Your Organization
The ongoing shortage of skilled accounting professionals is more than an HR headache; it’s a critical business challenge that can ripple through every part of your organization. Open positions don’t just leave desks empty; they create bottlenecks in financial reporting, slow down decision-making, and force overextended staff to take on additional responsibilities.
Here is what we are seeing and hearing in the market right now:
- Longer Time-to-Hire: Positions stay vacant for weeks or months, forcing existing staff to pick up extra work.
- Higher Labor Costs: Competitive offers and counteroffers drive up salaries and contract rates.
- Increased Burnout and Turnover: Overburdened teams are more likely to make errors or seek other jobs.
- Delayed Projects and Deadlines: Audits, reconciliations, and implementations take longer without the right staff in place.
Why Hiring Early Works
Acting before the market tightens around key dates like fiscal year-end, tax deadlines, or major project milestones gives you access to the best talent. Early hiring allows:
- Wider Candidate Pools: You can consider both active and passive candidates before they commit elsewhere.
- Better Onboarding: You have time to integrate new team members and train them on your systems.
- Flexibility to Adjust: If priorities shift, you can reassign or scale contract support without scrambling.
Steps to Get Ahead of the Shortage
Step 1 – Forecast Your Needs
Map your upcoming projects, reporting cycles, and close dates. Identify where specialized skills—like SEC reporting, revenue recognition, or ERP implementation—will be required.
Step 2 – Engage a Specialized Partner
Work with a recruiter who focuses exclusively on accounting and finance roles so that you get candidates vetted for technical skills, compliance knowledge, and culture fit. PrideStaff Financial recruiters understand the nuances of finance roles and can present talent within days.
Step 3 – Build a Talent Bench
Even if you do not have immediate openings, develop relationships with high-quality candidates. Having a vetted shortlist means you can act quickly when a need arises.
Step 4 – Use Flexible Staffing Models
Blend full-time hires with contract or project-based professionals to maintain agility. This reduces risk if workloads fluctuate and ensures you always have the right expertise available.
Proactive Hiring Today Will Save Accounting Headaches in the Future
The accountant shortage is not going away soon. By understanding the trends, acting early, and building a proactive staffing plan, you can protect your operations from disruption and give your team the resources they need to succeed.
Need Specialized Accounting Support?
At PrideStaff Financial, we specialize in recruiting top accounting and finance professionals. Whether you need a full-time hire or contract staff to support closes, audits, or special projects, we can help. Just complete this short form and contact one of our offices today. Explore our locations to find the office nearest you.
