Welcome to The CPA Journal Archives

Visit cpajournal.com to read the very latest from The CPA Journal


Managing Your Practice, Managing Your Risk

Joanne S. Barry, CAE

CPAs know about risks and obligations. When a CPA provides an opinion, it's not only the client who relies on that information to be true, but also regulators, the public, stockholders, lenders, and other financial institutions. With so many vested interests, it is not surprising to find that professional liability is a significant concern for most CPAs.

New Program Tailored for Risk Management

As authors Sarah Beckett Ference, Vincent J. Love, and Thomas R. Manisero point out in “Mitigating the Risk of a Professional Liability Claim,” on page 62 of this month's issue, no CPA is immune from being sued, even though some CPAs still believe that if they don't have professional liability insurance, they won't find themselves in court. This is often not the case. That's why the NYSSCPA's Foundation for Accounting Education is establishing a Risk Management Certificate program that will help CPAs learn how incorporating risk management techniques into their practices will increase their firm's profitability and lower their likelihood of finding themselves at the center of litigation. CPAs who complete the program will earn a significant discount on professional liability insurance with Camico, one of the Society's affinity partners.

The program launches in April 2015, in conjunction with a full-day conference at the Society's offices in New York City that will also available via live webcast and, later, on demand. This conference will help participants develop a better understanding of CPAs' liability risks, acquaint them with the real world of CPA malpractice, and provide a greater awareness of the claims rules by which CPAs will be judged. Speakers will review several aspects of a typical CPA firm—firm culture, people, and processes and procedures—that can be leveraged to better protect a firm from risks and the likelihood of being sued.

Attending the conference will earn program registrants the first eight of a total of 40 continuing professional education (CPE) credits that will need to be completed within a two-year period in order to earn the Risk Management Certificate. Ten of those hours are elective courses, such as a 6-credit course that outlines “war stories” from Camico's case files. If you are familiar with this popular feature in The Trusted Professional, you might be interested in hearing more of these morality tales while also earning CPE. Other courses that will qualify for certificate credit include those on data security, best practices for billings and collections, risks associated with serving on nonprofit boards, and other areas of specialized focus.

We are currently finalizing the dates and speakers for the nearly 20 courses that will be available to program registrants. Once completed, look for program details online at http://www.nysscpa.org and in the pages of The Trusted Professional.

Joanne S. Barry, CAE. Publisher. The CPA Journal, Executive Director & CEO, NYSSCPA, jbarry@nysscpa.org.

Search for archived articles, authors, and topics below:


Login or create a new account