Do you know that each year, over 300,000 jobs are outsourced from the U.S, and that includes accounting and finance jobs. More CPA firms are outsourcing their accounting talent offshore to meet rising demand, cost reduction and competitive advantage. In case you operate a CPA company, this trend is much more than a business plan; it has become a necessity.
In this blog, we will explain why offshore accounting talent can be a great match for your firm, where to find top talent, exactly how to begin and what you should expect to make this move work for your firm.
Why is Offshore Accounting Talent Trending?
Let's face it, operating a CPA Firms in the U.S is difficult. You have complicated tax laws, tight due dates and clients who expect fast results and excellent service. Hiring local accountants is costly and finding competent individuals is getting harder each year.
Here is where offshore accounting talent can help:
1. Cost Savings
Hiring offshore accountants can save you 30% to 70% on labor costs. This is because the cost of living and wages in countries including India, the Philippines and Vietnam is less than the U.S.
2. Access to Skilled professionals
Many offshore professionals are U.S CPA equivalent, hold advanced degrees and are experienced in global and U.S accounting standards (such as the IFRS and GAAP). They are not just "good enough"; many of them are actually top notch professionals.
3. Scalability
During tax season or busy periods you can scale your team rapidly by hiring more offshore help. No long term commitments or high onboarding costs.
4. Time Zone Advantage
Your offshore team can work even when you sleep. This 24/7 model helps you serve clients a lot quicker and keep your firm productive all day long.
Common Offshore Accounting Duties
Offshore accounting talent can do much more than bookkeeping services. You can hire offshore team members to replace people like:
- Bookkeepers.
- Staff accountants.
- Payroll professionals.
- Tax preparers.
- Audit assistants.
- Financial analysts.
- Accounts payable/receivable clerks.
They can manage your daily tasks, assist your U.S team, and give you time for higher value services like consulting or sales.
Where to Find Top Offshore Accounting Talent?
Now that you understand why it may be worth considering, let’s talk about where to find offshore talent. The top 3 regions that U.S CPA firms look into :
1. India
India has an enormous pool of English speaking, educated accountants. A lot have overseas certifications and know U.S tax laws. Indian firms usually provide structured offshore staffing solutions along with data security protocols.
2. Philippines
Strong English skills & customer service culture are the hallmarks of he Philippines. Filipino accountants are usually experienced in U.S tax preparation, payroll and QuickBooks Accounting.
3. Latin America
Countries like Mexico, Colombia and Costa Rica supply accounting talent in comparable time zones as the U.S. Communication is simpler and cooperation is more effective because of cultural similarities.
You can hire talent directly via employment platforms or via outsourcing businesses specialized in accounting and finance.
How to Get Started with Offshore Hiring
Beginning with offshore hiring need not be a challenging task. Follow the steps to make it easier:
Step 1 : Identify What You Need
Pick which tasks to outsource. Is it bookkeeping? Tax prep? Payroll? Start small, pick one or maybe two functions to test the waters.
Step 2 : Pick the Right Partner
You can:
- Hire individual freelancers on Upwork or Toptal.
- Use an offshore staffing agency.
- Partner with an accounting outsourcing business.
Look for providers with:
- U.S CPA experience.
- Good reviews & references.
- Strong data security policies.
Step 3 : Set Clear Expectations
Make job descriptions, establish KPIs and describe when and how tasks must be done. A great onboarding plan defines everything.
Step 4 : Use the Right Tools
Cloud tools like QuickBooks Online, Slack, Gusto, Xero, Zoom along with Google Workspace make collaboration simple. Give your offshore team the exact same tools your local team uses.
Step 5: Stay involved.
Check in often. Establish weekly meetings, monitor progress and also offer feedback. Offshore teams perform best when they feel valued and included.
Challenges to Watch Out For and How to Fix Them
Hiring offshore talent is not easy. What you should look out for and how you can deal with them :
1. Communication Gaps
Not everyone works or speaks the exact same way. Maintain communication with video calls and chat apps. Be clear and patient with explaining tasks.
2. Time Zone Differences
This might be a blessing or perhaps a curse. Be clear about when you need people online and set core working hours that overlap with yours.
3. Data Security
You have sensitive client info. Be sure your offshore partner signs NDAs, utilizes protected methods and also follows U.S privacy rules like GLBA (Gramm-Leach-Bliley Act).
4. Quality Control
Use checklists, templates and review procedures to control quality. You can even have a local staff person review offshore work first.
Tips for Long term Success
After you have built a successful offshore team, here’s how to keep things running smoothly:
- Build a strong company culture: Celebrate milestones, thank them and treat offshore staff as you do your real team.
- Offer training: Provide them learning resources and tools to grow.
- Give frequent feedback: What gets measured, gets improved.
- Secure your data: Purchase secured cloud systems and VPNs or password managers.
Respectful, professional treatment of your offshore team means loyal, productive and skilled employees for your business.
Read | Offshore Accounting Solutions Designed for USA Small Businesses
Conclusion
Offshoring is not only for large companies. Today, smaller U.S CPA firms are making use of offshore accounting talent to expand faster, save money and remain competitive. In reality, more than half the businesses outsource some aspect of the accounting, with that amount likely to increase, Deloitte said.
With access to the best offshore accounting talent you can:
- Reduce costs.
- Improve turnaround times.
- Get more clients.
- Offer greater service.
And most of all, you can focus on what you do best, i.e., growing your firm and developing relationships with your clientele. In an economic climate where borders are not involved, now is the time to think global.
