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FloQast aims to make CPE fun with Audit Jamz accounting music

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FloQast, an accounting software developer based in Los Angeles, recently debuted Audit Jamz, an accounting music album that provides an enjoyable way for CPAs to earn continuing professional education credit.

The album, which dropped in October, comes from FloQast Studios, which also produces the YouTube sitcom series PBC, featuring several former cast members of “The Office” working for an accounting department at a tech startup.

The Audit Jamz album includes a compilation of different genres on each track, inspired by the compilation albums of the late 90s and early 2000s, with CPE credit provided by FloQast’s FloQademy

FloQast office exterior

“The idea came as we were brainstorming creative ways to get CPE credits out there and make them more fun to get,” said FloQast CEO Mike Whitmire. “That’s really the purpose of our FloQast Studios group. A big part of it is to produce CPE content that’s a little more entertaining while educational at the same time.”

FloQast director of strategic planning Drew Carrick, also known on YouTube as The Rapping CPA, and FloQast Studios head Josh Sims teamed up on the project. 

“Josh Sims is an incredible musician, and he was able to come up with all the music,” said Whitmire. “We wanted to do an album where each song was from a different genre. Josh would create the music, and it’s amazing. You could just be like, ‘Hey, man, make a country song.’ And he could go and make a country song. You can say, ‘Hey, make a rock song.’ And he can make a rock song. We’re able to do all that internally. And then Drew Carrick from the FloQast Studios team went ahead and wrote the lyrics and did all the rapping and singing and all that good stuff.”

Last month, FloQast also debuted a new book, “Shift Happens,” co-authored by Whitmire and  FloQast accounting operations evangelist Stefan van Duyvendijk. Despite the jocular title, it takes a more serious professional approach than Audit Jamz.

FloQast CEO Mike Whitmire
FloQast CEO Mike Whitmire

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“That’s more about what we see in the industry today, and where we really think it’s going,” said Whitmire. “It’s about the rise of the operational accountant and the operational mindset, thinking really less about numbers and the derogatory beancounting type notion. It’s more about helping the organization drive more operational efficiency. What we found is accountants are really good at process improvement and workflow management, and if they can take that skill set and really drive it across the organization, they’re able to produce really, really big results. That’s more about the professional landscape, how we view the change going forward.”

Meanwhile, FloQast Studios is getting set to debut the third and final season of PBC, a sitcom whose cast has included Danny Trejo from “Machete” and Kate Flannery and Creed Bratton from “The Office.”

The final season is expected to be released by the end of the year, and there may be a wistful note as it concludes. “I would say it’s a very satisfying and melancholy end to the series,” said Whitmire.

He sees an educational role for the series, even though there’s no CPE credit. “On the PBC side, that’s an attempt to really highlight accounting, explain what we do from behind the scenes,” said Whitmire. “I don’t think there’s an actual good understanding of what accountants do on a regular basis, if you ask the average person on the street, and we’ve actually done this before. We sent Drew down to Venice, and we had him ask people what accountants do. The answer you get, time and time again, is taxes. And then the second answer behind that is kind of wealth management, which I found to be an interesting answer that we got on the street there. But the reality is, most accountants work inside corporations. They’re part of the team. They go through various struggles together. There’s a lot of team bonding, and I find that to be one interesting factor of accounting that’s really left out of the equation is how much it is a team sport. You really start to develop relationships with your team. You’re in it together, you’re trying to hit deadlines together. That camaraderie, to me, is one of the more rewarding parts of being in the profession, and that’s just not highlighted. And as you’re going through the series, you’ll see our accounting department going through all those trials and tribulations that a growing accounting department has to go through. It’s about really pulling together as a team to get through it.”

FloQast has also been advancing its software, taking it beyond the close management features it originally highlighted. The company recently showed off its latest offerings at its Take Control user conference. 

“We got to unveil all of our new products that we’ve put out in the last year,” said Whitmire. “2024 was a really heavy year for product investment for us, and we were able to unveil a lot of that at our user conference. The big shift we’re making is we started out with month-end close management, and that was sort of the focus upfront. And we think with the platform that we built out and a lot of the automation capabilities that are now possible because of AI, we’re at a point where we can really help transform accounting departments at large, and so we have broader positioning now. We call ourselves an accounting transformation platform, and our goal is to really help automate a lot of the mundane work and drive big operational efficiencies within an accounting department.”

He sees a significant role for AI in the program. “We think AI is a great tool for automating a lot of this mundane work and puts accounting and accountants in a position to really help close the work-life balance, take care of some of that mundane work and hopefully elevate them to do the more interesting stuff that we really learned about in college when we were taking these accounting courses,” he said. “It’s more the technical side of it, less of the rote work side of it.”

Advanced technology is needed as accounting firms and departments have more trouble filling open jobs amid the shrinking talent pipeline, which is one of the subjects of his book. 

“I do think it’s a really dire situation,” said Whitmire. “We actually are going down in the number of accountants that are able to do this job on a year over year basis, and the demand for accounting is going to continue to go up. So we have to close that talent gap somehow, and we believe technology is the best way to close that talent gap. And so the idea of the talent gap is one of the big discussions within the book. Not only are we going to be losing people in the profession, there’s going to be more standard accounting work to be done, and our role is going to shift to drive more efficiency. And so to do all of that, you simply have to lead with technology, and the people who are able to make that change and adapt to the new technologies that are coming out are really going to be the people who are effective and successful going forward. And that’s one of our goals at FloQast, is to build technology that accountants can leverage to automate their own work. We really want to put the power in the hands of the accounting department, because we think they’re best suited to take a look at how they can optimize and automate their own work.”

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Small business employment and wage growth slackened in 2024

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Job growth and hourly earnings growth moderated in the latter part of 2024, according to the payroll processor Paychex.

The Paychex Small Business Employment Watch tracks job and wage growth at U.S. businesses with fewer than 50 employees and found the national jobs index was relatively unchanged (0.02 percentage points) in December and has changed little since the summer. Hourly earnings growth was 2.96% in December, staying below 3% for the fifth month in a row.

“The pace of job growth among U.S. small businesses downshifted slightly as 2024 progressed, yet small businesses remained resilient throughout the year.” said Paychex president and CEO John Gibson in a statement. “As we head into 2025, small business owners continue to face some challenges such as access to growth capital, rising health care costs, and ability to hire qualified talent. In spite of this, optimism and hiring intentions improved to close the year — both trends that will be worth watching as we begin 2025.”

Weekly earnings growth (2.54%) slowed to a four-year low in December, and weekly hours worked growth (-0.43%) remained in negative territory year-over-year for the 21st consecutive month, hitting its lowest level since July 2022. Three-month annualized hourly earnings growth (3.02%) was above 3% for the first month since April. Tampa (4.56%) topped the rankings among metropolitan areas for hourly earnings growth for the second month in a row. 

The national small business jobs index averaged 100.22 in 2024, representing modest employment growth. However, the national jobs index slowed 1.32 percentage points from 101.21 in December 2023 to 99.89 in December 2024.

The Midwest ranked as the top region for small business employment growth for the seventh month in a row, at 100.20 in December. Wisconsin, at 100.77, led the way among Midwestern states and ranked in second place among all states for job growth in December, marking its best rank since March 2020.

For the second month in a row, Dallas (101.73) and Houston (101.16) ranked in first and second place, respectively, among metropolitan areas for job growth in December.

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Accounting

In the blogs: Great minds

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Trump’s tax policy guy; states copy the feds; what’s in a name; and other highlights from our favorite tax bloggers. 

And we’re off

  • Current Federal Tax Developments (https://www.currentfederaltaxdevelopments.com/): Out with the good news and in the bad: Matthew Hutcheson, convicted of wire fraud in 2013 and sentenced to 17 years, had his remaining sentence commuted by President Biden as part of his end-of-term pardons. Three days into this year, though, the Tax Court tagged Hutcheson for taxes on what he’d embezzled that led to those convictions.
  • TaxProf Blog (http://taxprof.typepad.com/taxprof_blog/): A look at Ken Kies, named by Trump to be Treasury assistant secretary for tax policy. 
  • Don’t Mess with Taxes (http://dontmesswithtaxes.typepad.com/): Time’s running out for 2025’s first batch of taxpayers who got filing extensions due to disasters in 2024.
  • Mauled Again (http://mauledagain.blogspot.com/): A new year, an old problem and a fresh, different stage: A look at a recent IRS warning about tax lies on social media.
  • TaxConnex (https://www.taxconnex.com/blog-): Every new year brings a ton of developments in all varieties of tax (with the next couple of years being People’s Exhibit A). Sales tax, driven by burgeoning ecommerce, again has more than its share of trends on tap.
  • U of I Tax School (https://taxschool.illinois.edu/blog/): A look back at this blog’s top entries of 2024 include such topics as employees versus contractors, 1099-Ks and the ever-popular beneficial ownership information reporting.
  • John R. Dundon II EA (http://johnrdundon.com/blog/): Why the blogger recommends voluntary BOI filing no matter the back and forth on the subject in courts.

Great minds

  • Taxbuzz (https://www.taxbuzz.com/blog): “Rob Gronkowski and Elon Musk Agree: It’s Time to Simplify the U.S. Tax Code.”
  • Tax Vox (https://www.taxpolicycenter.org/taxvox): States can be labs for tax moves, but the reverse can also happen: The federal Child Tax Credit has inspired Minnesota to launch its own credit.
  • The Buzz About Taxes (http://thebuzzabouttaxes.com/): In the landmark Bruyea v. United States decision, the U.S. Court of Federal Claims has ruled in favor of a dual Canadian-U.S. citizen, allowing a treaty-based foreign tax credit to be applied against the NIIT.
  • Institute on Taxation and Economic Policy (https://itep.org/category/blog/): How undocumented immigrants do pay a hefty share of taxes.
  • Gordon Law (https://gordonlawltd.com/blog/): Could Puerto Rico become the next big crypto tax haven?

Detail-oriented

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Accounting

IRS, Treasury finalize rules for clean electricity tax credits

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The Treasury Department and the Internal Revenue Service released final rules Tuesday for the Clean Electricity Investment and Production Tax Credits in Sections 45Y and 48E of the Tax Code.

The tax credits, also known as the “technology-neutral credits,” aim to reduce energy costs and meet growing demand created by major investments in the U.S. economy. 

To receive the full value of the credits, taxpayers need to meet standards for paying prevailing wages and employing registered apprentices, helping ensure more clean energy jobs are good-paying jobs, and growing career opportunities for workers in the clean energy sector. The technology-neutral Clean Electricity Production and Investment Tax Credits are also eligible for bonus credits related to siting projects in energy communities and meeting certain standards for using domestic content.

According to an analysis from the Department of Energy, the tech-neutral credits, along with other Inflation Reduction Act and Bipartisan Infrastructure Law provisions, are expected to save American families up to $38 billion on electricity bills through 2030.

The final rules issued Tuesday provide more clarity and certainty about which clean electricity zero-emissions technologies qualify for the credits, including wind, solar, hydropower, marine and hydrokinetic, geothermal, nuclear, and certain waste energy recovery property. The Treasury and the IRS expect to soon release the first Annual Table confirming this list of qualifying technologies. The final rules also include guidance to clarify how combustion and gasification technologies can qualify in the future, including on how lifecycle analysis assessments compliant with the statute will be conducted.

“The final rules issued today will help ensure America’s clean energy investment boom continues – driving down utility costs for American families and small businesses, creating good-paying construction jobs, and strengthening energy security by making the U.S. more resistant to price shocks,” said Treasury Secretary Janet L. Yellen in a statement.

However, the new rules face pushback from the incoming Trump administration, with President-elect Trump saying Tuesday, “We’re going to try and have a policy where no windmills are being built.”

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