Newly qualified accountants...

Newaglish

...who don't know a clue about business!

I was in the bank recently, cashing my FAE cheque, and there were a bunch of other trainees also cashing their bonuses. I noticed that a lot (actually all six I saw) didn't know how to cash a cheque - one literally asked another as they went in "How do I actually cash a cheque? I don't know".

They stood there asking eachother what bank details they needed, and how to find out their sort code. Then they spent about 5 minutes filling in lodgement slips and then went to cash their cheques. They look of relief on their faces once the transaction was over was pitiful.

I just breezed past and handed in my bank card and cheque - this didn't even occur to them.

Does anyone else not think that this is a bit of a failing that you can have all your accountancy exams finished and not even know the basics of what to do in a bank?

Running Bing

Newaglish wrote: »

...who don't know a clue about business!

I was in the bank recently, cashing my FAE cheque, and there were a bunch of other trainees also cashing their bonuses. I noticed that a lot (actually all six I saw) didn't know how to cash a cheque - one literally asked another as they went in "How do I actually cash a cheque? I don't know".

They stood there asking eachother what bank details they needed, and how to find out their sort code. Then they spent about 5 minutes filling in lodgement slips and then went to cash their cheques. They look of relief on their faces once the transaction was over was pitiful.

I just breezed past and handed in my bank card and cheque - this didn't even occur to them.

Does anyone else not think that this is a bit of a failing that you can have all your accountancy exams finished and not even know the basics of what to do in a bank?

No. If they were training to be bankers or cashing checks was part of the job of an accountant then I would see it as a failing but not otherwise. Perhaps there is a chance that in their 23-25 years of life (in which the majority of transactions are carried out using actual cash or electronic transfers) this is the first time they have actually had to cash a cheque?

smcgiff

Newaglish wrote: »

I just breezed past and handed in my bank card and cheque - this didn't even occur to them.

What are these cheque things you speak of? :pac:

LightningBolt

Student still at present, I use to fill out a slip with all details filled in until one day the bank clerk told me I could just hand it in with my bank card and that was that.

ams

no need to rub it in about getting a cheque - I can only dream....!:P

Bren1609

I've touched on this before. When I was still doing my exams about 5 years ago I worked under 2 newly qualifieds who came out of Big 4 after being stuck the whole time in the audit dept filling up audit packs. They couldnt prepare a set of accounts, neither knew how to do a vat return and one of them could not do a bank reconciliation. They would have been on about €45-€50K at the time.

Im in general practice and work on a handful of audits each year. You would not believe some of the accounts that I see which are prepared by qualified accountants. Some of them are so wrong they defy that basic principle of accountancy e.g. Loans from banks disclosed as assets on the BS, Sales recorded as expenses in the P&L.

Whats interesting about it is that most of this goes completely unnoticed because the people they work for are not accountants themselves.

In summary, although Big 4 looks great on the cv at the end of a training contract alot of accountants they turn out are very limited in what they can actually do.

Failed Salesman

Bren1609 wrote: »

I've touched on this before. When I was still doing my exams about 5 years ago I worked under 2 newly qualifieds who came out of Big 4 after being stuck the whole time in the audit dept filling up audit packs. They couldnt prepare a set of accounts, neither knew how to do a vat return and one of them could not do a bank reconciliation. They would have been on about €45-€50K at the time.

<..snip..>

In summary, although Big 4 looks great on the cv at the end of a training contract alot of accountants they turn out are very limited in what they can actually do.

To be fair, I've audited accounts from accountants that didn't qualify for the big 4 and they made the exact same errors. Bad accountants are bad accountants, and come from every part pf practice.

I think the ICAI have noticed your point though, which is why they are putting alot more emphasis on basic accounting principles like double entry in their new syllabus. The amount of people who don't fully understand double entry is unreal!

Hanley

Failed Salesman wrote: »

To be fair, I've audited accounts from accountants that didn't qualify for the big 4 and they made the exact same errors. Bad accountants are bad accountants, and come from every part pf practice.

I think the ICAI have noticed your point though, which is why they are putting alot more emphasis on basic accounting principles like double entry in their new syllabus. The amount of people who don't fully understand double entry is unreal!

Yeah but a lot of people come into the industry at CAP 2 level, so they won't have to do the DEBK exam.

It's funny, I think I did more double entry in school than I did college!!