Accounting Standards Public & MACPA Annual Meeting & Town Hall - June, 2015 #PIU15

Annual Meeting & Town Hall!

http://www.cpa.com/sites/default/ﬁles/default_images/cpapogo_press.gif! Thank You to Our Sponsors us&ei!

MACPA.CNF.IO Select your session, and join the conversation. Vote for a question Respond to Poll Ask a Question

Demographics – 320 people! 320 people in attendance with an average of 20.7 years as CPAs! Business Industry Corporate! NonProﬁt! Government! Public Practice Audit! Public Practice Tax! Consulting CFO Advisory! Public Practice Financial Planning! Other!

How was this busy season?! Compared to last year!

Generations in Attendance! Traditional born btw 1925 1945! Baby Boomer born btw 1946 1964! Gen X born btw 1965 1979! Gen Y Millenial born btw 1980 2000!

What are your top challenges?!

Are you Future Ready?! Future Ready is the capacity to be aware, predictive, and adaptive of emerging challenges, tech innovations, and trends and changes in business, population, and social environment.!

3 Membership Organization 1 Lookout Post 2 Laws, Regulations, & Standards 4 L > C2

Lookout Post

Trends in the Profession

What is causing change today?

Leadership

Learning

Learning 1. Social! 2. Mobile/Nano! 3. Cloud! 4. Collaborative (MBSN)! 5. Competency-based!

Technology

Workplace

Generations

Gen-X

Lookout Post Trends by Segment: Public Practice Corporate - Business & Industry Young Professionals Students

What does this mean for Small Practitioners? Sleeter Group Survey 2014 The research: Anticipation is showing up across our Profession.

Maryland Public Company Collaboration •  Learning & Talent Development •  Global Structure of Finance Function •  Managing Risk & Innovation •  Insight to Action

1.  Private Companies Dominate! 2.  Private Companies create wealth & jobs! 3.  Private Companies invest and drive growth! 4.  Private Companies are agile & nimble and drive innovation !

What does this mean for Young Professionals? 11 Things Young Professionals Want You to Know 1. More collaboration. 2. More transparency. 3. Encourage initiative. 4. Focus on strengths. 5. Expect the unexpected. 6. Take time to save time. 7. Look beyond the billable hour. 8. Engage your team in your vision. 9. Be realistic. 10. Train your staff and expect accountability. 11. Take a financial risk on leadership.

What does this mean for Students? Top 5 Things They Want:! 1. Work-Life Balance! 2. Career Growth & Stability! 3. Competitive Pay! 4. Flexibility! 5. Learning & Development! Top!

want to throw everything up and see where it lands. They want to make it someone else’s problem. But I hav

Gradual then Sudden! Exponential growth fueled by Technology (Moore’s Law)!

What Got You Here, Won’t Get You There. So What?!

1 Lookout Post 3 Membership Organization 4 L > C2 2 Laws, Regulations, & Standards

Laws, Regulations, & Standards

News you’ve got to stay on top of

Federal Laws & Regulations

Supreme Court - SCOTUS ACA and Tax Credits! Perez vs Mortgage Bankers! FTC vs NC State Board of Dental Examiners! Wynne Case - MD out-of-state tax credits! SCOTUS Allows federal challenge of CO “Amazon Tax”!

DOL Pension Audits

Data Act

Board of Public Accountancy (Licensing Is

Current issues with your license •  Employee Benefit Plans Peer Review •  Responding to the Board •  CPE Tracking and Reporting

Financial Accounting Standards

Accounting Standards Public & Private Companies Private Companies-‐ Small Business Public & Private Companies Private Companies Private Companies-‐ Small Business State & Local Gov’t Federal Gov’t Financial Repor-ng IFRS (IASB) IFRS-‐SME (IASB) GAAP (FASB) GAAP-‐PCC (FASB) FRF-‐SME (AICPA) GASB FASAB Audi-ng IAASB IAASB PCAOB ASB (AICPA) ASB (AICPA) ASB (AICPA) GAGAS Yellow Book GAO GAGAS Yellow Book GAO Ethics IFAC IFAC PEEC (AICPA) PEEC (AICPA) PEEC (AICPA) PEEC (AICPA) PEEC (AICPA)

•  Rev Rec Financial Accounting Standards •  Cash Flow •  GASB 67, 68 •  Fair Value

MACPA Practice Monitoring Task Force! Responds to AICPA! Position Paper!

New Code of Ethics •  Intuitively arranged •  User-friendly online code: aicpa.org/newcode •  Enforceable rules and principles not changed •  Minimum substantive changes to interpretations •  Non-authoritative guidance referenced •  Effective December 15, 2014 •  Additional year for Conceptual Frameworks

1 Lookout Post 2 Laws, Regulations, & Standards 4 L > C2 3 Membership Organization

Membership Organization

Connecting CPAs to our profession, each other, and the world at large.

Student Group Town Hall

NYPN

Women to Watch

Committee and Chapter Activity

MACPA Groups

http://cpa.tc/21g!

https://twitter.com/macpaCPE! twitter.com/macpaCPE

Sales Tax Resources for MACPA The MACPA Accountants Resources Center gives you the tools you need to lead your clients through the complexities and dynamic challenges of sales and use tax compliance.

MACPA Legislative and Regulatory Advocacy

What is the #1 Thing MACPA does! for CPAs and CPA Firms that nobody else does?!

Legislative Advocacy “From then on, they are no longer isolated men, but a power one sees from afar, whose actions serve as an example; a power that speaks, and to which one listens.” – Alexis de Tocqueville, on the power of Associations in Democracy in America

3 Levels 2 Objectives 1.  Offense: Pass Proactive Bills 2.  Defense: Stop Bad Bills 1.  Federal 2.  State 3.  State Board of Accountancy

Federal Laws & Regulations

State Laws Passage of MD Mandatory Peer Review Legislation

Board of Public Accountancy (Licensing Is

Our challenge 40% turnover in legislature Governor Attorney General Secretary of DLLR Key Committees 3 House •  Economic Matters •  Ways & Means •  Judiciary 3 Senate •  Education, Health & Environment •  Budget & Tax •  Judicial Proceedings

CPA Day in Annapolis - 1/29/15

Our 2015 MD agenda 1. Appeal Bond Reform 2. Expanded definition of attest 3. Build new relationships with legislators 1. Stop Sales Taxes on Services 2. Stop Comparative Fault by Trial Lawyers 3. Monitor 2,500 active bills in MD legislature Numbers Count! Defense Offense

How we did it 1.  Build and maintain Key Relationships with legislators and regulators (PAC, meetings and events) 2.  Grassroots capabilities through membership - we can target specific legislators by committee and district 3.  Financial support of key legislators via our PAC 4.  High profile events that increase visibility of CPA Profession (CPA Day for legislators and Swearing-in for DLLR/State Board)

Your career, forward, faster.

CGMA Competency Framework

Our Magnetic Firm / Company Framework!

MACPA Upcoming Events

Innovation Summit 2015 June 23, 2015

Leadership Academy August 26-28, 2015

Summary of MACPA Today

Lighting the Way for the Shift Change

http://cpaguide.macpa.org!

Senator Feldman said Maryland is the best state in the nation to have your CPA license.

The Next Chair of the AICPA Kimberly Ellison-Taylor

Learning 1. Social! 2. Mobile/Nano! 3. Cloud! 4. Collaborative (MBSN)! 5. Competency-based!

Tom’s Favorite Tools “Use the tools, don’t let the tools use you.” – Francine McKenna @retheauditors •  Twitter •  Linked-In •  Blog •  Slideshare.net •  Evernote •  Tweetdeck.com •  Hootsuite.com •  Zite.com •  Kindle

Our Digital Transformation Strategy 1.  Digitization & workflow –shifting resources and systems to growth areas 2.  Virtualization – Moving IT infrastructure to cloud 3.  Transformation to cloud – Increase use of existing systems of engagement 4.  Transformation to cloud – New cloud based systems – accounting 5.  Transformation to cloud – Move AMS and MACPA website

We identiﬁed three major goals for making this shift:! 1.  Help employees identify and address the challenges and opportunities that have the greatest imp 2.  Help employees strengthen high-impact connections by enabling them to collaborate easily with o 3.  Amplify the impact of those efforts by building an infrastructure that allows small improvements to

Membership Organization

1 Lookout Point 2 Laws, Regulations, & Standards 3 Membership Organization 4 L > C2

L>C2

“In a period of rapid change and increasing complexity, the winners are going to be the people who can LEARN faster than the rate of CHANGE and faster than their COMPETITION.” - Tom Hood, CPA.CITP.CGMA

92% of CPAs are! NOT Future Ready!! Future Ready is the capacity to be aware, predictive, and adaptive of emerging challenges, tech innovations, and trends and changes in business, population, and social environment.! Source: CPA.COM 2014 CPA of the Future Study!

How Extraordinary Leaders Double Proﬁts

Competencies – Research & Examples

Strategic Thinking! External Awareness! Vision! Continuous Learning! Innovation! Creativity! Problem Solving! Prioritization! Business Acumen! Decisiveness! Inﬂuencing/Persuading! Emotional Intelligence! Consensus Building! Collaboration! Inspiration! Risk Management! Anticipatory Organization:! Finance / Accounting Edition!

L>C2

Why CPAs?

Thank You for Coming

Accounting Standards Public & MACPA Annual Meeting & Town Hall - June, 2015 #PIU15

Tom Hood, CPA,CITP,CGMA

Accounting Standards Public &