How to Automate Your Accounting Tasks with AI (and Avoid Costly Mistakes)

How much of your accounting can AI handle? From automation to compliance, discover how AI is altering finance and what it means for accountants.

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How to Automate Your Accounting Tasks with AI (and Avoid Costly Mistakes)

With 85% of companies having trouble filling finance manager positions, the accounting and finance industry is experiencing a talent shortage. Fewer accounting graduates are joining the sector, which means that businesses have more work to do and fewer experts to do it.

Despite accounting digitization, 76% of CFOs believe manual activities take too much time. Teams spend hours on permissions, invoice reconciliation, and data entry, which leaves little room for long-term financial planning. Shifting regular tasks to automated AI accounting software frees the teams to concentrate on analysis and budgeting rather than tedious administrative duties.

This post covers how AI-powered accounting solutions can automate key tasks, their benefits, and how businesses can seamlessly shift from manual accounting.

What Is Accounting Automation?

Accounting automation uses AI-powered software to manage accounting, financial reporting, and compliance duties like data input, transaction categorization, and account reconciliation. It connects with financial systems to ensure that data flows seamlessly between processes.

AI improves automation by evaluating past data, detecting anomalies, and offering information such as cash flow projections. This enables firms to make smart financial decisions using real-time data.

For example, automation pulls invoice details in accounts payable, matches them to purchase orders, and processes payments, eliminating mistakes, avoiding fraud, and expediting transactions.

Instead of replacing accountants, automation reduces the amount of time spent on basic operations such as receipt sorting and transaction reconciliation. This change allows experts to concentrate on cost-cutting measures and financial planning.

Video source: YouTube/AI runtheshow