5 Accounting Skills Employers Want for Higher Salary | Career-Boosting Skills Every Accountant Needs

Summary

In this video, Kritika Pandey outlines five essential accounting skills that every accountant must master for career success. The skills include banking management, invoicing, GST return filing, inventory management, and balance sheet management. These skills are crucial for securing a good job, ensuring job performance, and commanding a competitive salary. Kritika emphasizes the importance of automation in these tasks, particularly in GST and inventory management, and highlights that mastering these skills will make accountants indispensable in any company. Viewers are encouraged to subscribe for more insightful content.

Takeaways

• 😀 A good accountant should be proficient in five key skills to build a successful career and secure a good salary.
• 😀 The first essential skill is banking management, including tasks like bank reconciliation, check management, and documentation.
• 😀 Invoicing management is crucial for accountants, ensuring proper billing and understanding when and how much tax (like GST) to apply.
• 😀 Knowledge of GST return filing is a must, especially with the shift to automation. Accountants should be familiar with filing systems like GSTR 1, GSTR 3, and GSTR 9.
• 😀 Inventory management is a vital skill, which involves entering purchase, sale, and production data, and understanding stock management systems.
• 😀 Manual work is outdated; accountants should be skilled in automating tasks using accounting software for efficiency.
• 😀 Maintaining the balance sheet is a critical responsibility for an accountant, involving tracking assets, income, expenses, and fixed assets.
• 😀 A CA's role is to audit the balance sheet, but the accountant's role is to prepare and maintain it.
• 😀 Mastery of these five skills will make accountants more valuable in the job market and help secure higher salaries.
• 😀 Continuous learning and adapting to new skills and tools is necessary for career growth in accounting.
• 😀 A strong foundation in these five skills can help accountants move to better companies or positions if their current job doesn't offer desired growth or salary.

Q & A

Why is banking management considered the first skill every accountant must master?

Banking management is essential because it involves tasks like bank reconciliation, check management, and documentation, all of which are fundamental to managing a company's financial transactions and ensuring accuracy in financial reporting.

What is the importance of check management in banking management?

Check management involves understanding how to handle both outgoing and incoming payments made via checks. It’s crucial for ensuring that payments are processed correctly and timely, maintaining the financial integrity of the company.

How does invoicing management affect an accountant's work in a company?

Invoicing management is important because accountants are responsible for creating accurate invoices that include correct tax applications (like GST). It ensures compliance with tax laws and prevents errors in financial reporting.

Why is knowing how to apply GST critical for accountants?

GST is a major tax applicable to most items in India. Accountants must understand when and how to apply GST to sales transactions, and ensure the proper filing of GST returns, as failure to comply could result in penalties.

What does GST return filing involve and why is automation important?

GST return filing involves submitting tax returns detailing GST transactions. Automation is important because it eliminates manual errors, ensures compliance, and makes the process efficient, as manual filing is outdated and time-consuming.

Can you explain the role of an accountant in inventory management?

Accountants must record various types of transactions related to inventory, including purchases, sales, and stock adjustments. They should also manage stock levels and ensure the accuracy of inventory records, which is crucial for financial reporting.

What should an accountant know about stock management in a company?

An accountant should understand how stock is tracked, stored, and managed across various locations in the company. This ensures that inventory data is accurate and reflects the company’s financial health.

Why is the balance sheet management a critical skill for accountants?

Balance sheet management is critical because accountants are responsible for preparing and maintaining the balance sheet, which includes assets, liabilities, income, and expenses. An accurate balance sheet is vital for financial transparency and audits.

What is the difference between an accountant’s and a CA’s role in balance sheet management?

Accountants are responsible for preparing and maintaining the balance sheet, while Chartered Accountants (CAs) audit the balance sheet to ensure its accuracy and compliance with accounting standards.

How can mastering these five skills help an accountant’s career?

Mastering these five skills—banking management, invoicing management, GST return filing, inventory management, and balance sheet management—will make an accountant more efficient, valuable to employers, and eligible for higher-paying roles in reputable companies.