The accounting industry plays an important role in the global economy, with billions of dollars flowing through businesses, governments, and individuals each year.
Despite the industry’s prominence, many outside of it may not fully understand the scale or impact of accounting practices.
By examining key statistics and facts, we can gain insight into trends, challenges, and opportunities shaping this essential field.
This page aims to present an overview of relevant accounting industry statistics, providing a clearer understanding of its scope, growth, and evolving nature.
1. Accounting Market Expected to Reach $735.94 Billion in 2025
The accounting industry is projected to experience significant growth, with the global market value reaching $735.94 billion by 2025. This expansion reflects the increasing demand for accounting services as businesses and economies grow.
2. Accounting Services Market Value Was $544.06 Billion in 2020
In 2020, the global accounting services market was valued at $544.06 billion. This figure highlights the substantial role accounting plays in the financial health of businesses and organizations worldwide.
3. 40% of New Staff Choose Practices Based on Reputation
Reputation plays a critical role in attracting new employees, with 40% of staff choosing a practice over competitors due to its strong reputation. This emphasizes the importance of maintaining a positive image in the accounting industry.
4. Average Accountant Salary is $55,459, CPA Salary is $65,289
On average, accountants earn $55,459 annually, while designated CPAs have a higher average salary of $65,289. This salary difference reflects the added expertise and responsibilities that come with becoming a certified professional.
5. Median Annual Wage for Accountants and Auditors Was $73,560 in 2020
As of May 2020, accountants and auditors earned a median annual wage of $73,560. This reflects the steady demand for accounting professionals and the stable income opportunities within the field.
6. 70% of Small Businesses Lack an Accountant
Approximately 70% of small businesses do not have an accountant, with over half of them relying on the owner or manager to manage financial duties. This highlights a significant gap in financial expertise for many small businesses.
7. Accounting Software Market to Reach $11.8 Billion by 2026
The global accounting software market is expected to grow to $11.8 billion by 2026. This growth demonstrates the increasing reliance on technology to manage financial processes and streamline accounting tasks.
8. Big 4 Accounting Firms Created Over 1 Million Jobs and Generated $56 Billion in Revenue in 2018
In 2018, the Big 4 accounting firms—PwC, KPMG, Deloitte, and EY—created over 1 million jobs worldwide and generated a total revenue of $56 billion. Their dominant market presence showcases the scale and influence of these global firms.
9. 58% of Large Companies Use Cloud Accounting
As of recent reports, 58% of large companies are already utilizing cloud accounting solutions. This shift toward cloud-based accounting demonstrates the industry’s embrace of technology for greater efficiency and scalability.
10. Global Market Size for Cloud Accounting Estimated to Reach $4.25 Billion by 2023
The global market for cloud accounting is projected to grow from $2.62 billion to $4.25 billion by 2023. This rapid growth reflects the increasing adoption of cloud solutions for accounting tasks across businesses worldwide.
11. 86% of Small Business Owners View Their Accountant as a Trusted Advisor
A significant 86% of small business owners consider their accountant to be a trusted advisor. This highlights the vital role accountants play in providing financial guidance and advice to businesses.
12. 60% of Small Business Owners Lack Confidence in Their Financial Knowledge
Approximately 60% of small business owners feel they lack sufficient knowledge about finance and accounting. This gap in expertise underscores the importance of professional accounting services for business owners.
13. 64.4% of Small Business Owners Use Accounting Software
As reported by Statista, 64.4% of small business owners use accounting software. This reflects the growing trend among small businesses to utilize digital tools for managing their financial records efficiently.
Standing Out as an Accountant in Today’s Market
The accounting industry continues to evolve, with significant growth driven by technological advancements, an increasing demand for financial expertise, and a more dynamic global economy. As businesses of all sizes rely on accounting services to maintain their financial health and regulatory compliance, the demand for skilled accounting and bookkeeping professionals remains high. The industry’s expansion highlights the vital role accounting plays in shaping business success and providing valuable insights into financial performance.
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