Top 3 Essential Accounting Trends to Watch for in 2025

New year, new tax season. For accounting professionals, this is a recurring reality. And in 2025, businesses face several big trends that stand to impact how the year will play out.

Let’s take a look at the three biggest trends now and what they mean for your business.

1. Adapting to Staff Shortages with Automation

The top trend defining the accounting industry in 2025? The talent shortage. It continues to plague the profession as the number one issue for small and mid-sized firms. According to Accounting Today, 17% fewer students are taking the CPA exam. There’s also an eight percent decline in accounting master's degrees and a three percent decrease in the number of graduates who hold bachelor's degrees in accounting.

Without enough accountants to meet client demand, tax prep automation is crucial. Firms should look for tools in 2025 that save time, reduce effort and help small teams work smarter.

One recent survey found that just 43% of firms currently automate tax processes and apply it to 25% or less of their tasks. Yet the opportunities for tax workflow automation abound. Today’s technology makes it possible to:

• Collect, verify and process client information
• Capture legally binding e-signatures
• Complete forms with existing client data
• Calculate client deductions, liabilities and credits
• Request reviews of completed returns automatically

Automating these tasks alone can save firms hundreds of hours, freeing understaffed teams to focus on increasing the customer base and moving the business forward.

2. Increased Focus on Efficiency to Reduce Burnout

A lack of qualified professionals and limited automation means many accountants also face burnout in 2025. Already, nine in 10 suffer from exhaustion and inefficiency at least some of the time. The top two contributing factors to this burnout are work overload and a lack of control over the amount that needs to get done.

Looking ahead, there is a solution. But it will require many firms to reimagine the role technology plays in day-to-day activities. Handling more engagements in 2025 means finding ways to get more work done in less time—while simultaneously delivering the exceptional experiences today’s clients have come to expect. The best way to achieve this? Offload more time-consuming, repetitive tasks to document workflow software.

For example, the Progress ShareFile file-sharing and storage solution helps save companies an estimated 4.25 hours* per client tax return. One customer saved more than $30,000 a year by consolidating tools and reducing the time it takes to intake client data and complete tax returns—including complicated ones involving cryptocurrency.

Related read: Ultimate Guide to Business Process Automation

3. Supporting Compliance with Technology

On top of staffing shortages and overwhelm, accounting firms also face increased pressure from ever-changing tax laws. In the same, previously mentioned survey, fast-changing regulations are a top challenge for accounting professionals—third only to attracting talent and time management issues. And those tax rules aren’t just frequently revised. They’re also often difficult to interpret.

To keep pace in 2025, firms must have the right technology and resources in place to help lower risk. Using tools built to support compliance is a must since this type of technology is designed to reflect the latest regulatory environment. This is especially true when it comes to complex security standards in highly regulated industries, where failure to use the right encryption and data management practices can result in hefty fines and penalties—not to mention reputational damage.

Related read: The Future of Work: Workflow Automation Trends Shaping 2025

Looking Ahead

The accounting landscape is likely to be marked by a shrinking talent pool and increased workloads. But these don't have to define your year. With the right technology and tools, it’s relatively easy to save time, reduce workloads and stay compliant. Not sure where to begin? Start by reimagining your firm's account workflows to make this tax season as smooth and seamless as possible.

*This calculation is an estimate only based on internal research using current prices and is subject to change. ShareFile is not responsible for the content, results, or accuracy of the estimated information and actual results will vary.