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Independent resettlement & recruitment guide for serving Armed Forces & Veterans

Accountancy and Book-keeping


Accountancy and Book-keeping

Careers

05 Jan, 2024

Whether you want to work as an accountant or book-keeper yourself, or if you’re thinking of starting your own business and need to get more of an idea of what looking after your own finances involves, read on …


What’s involved in accountancy and book-keeping?

Accountancy presents a career filled professional growth through qualifications, international opportunities, and the potential for a lucrative income. Accountants, typically possessing higher qualifications, often branch out to establish their businesses or transition into broader management roles. Their expertise involves overseeing, interpreting, and providing guidance on financial matters. This often extends to specialized areas within accounting and can include functions like auditing. . Many accountants go on to use their qualification to set up their own business or to move into general management.

Bookkeeping
, on the other hand, involves recording financial transactions. Bookkeepers, also known as accounts or finance clerks, play a crucial role in managing financial records, including invoices, payments, and receipts. In larger organizations, they often collaborate with senior finance professionals, supporting the overall financial management process.

For individuals leaving the armed forces, many military roles involve aspects akin to accounting responsibilities, such as managing assets, overseeing budgets, or handling financial records. Transitioning into accountancy or bookkeeping could be a viable option, leveraging existing skills and experience in financial management. Pursuing further qualifications in these areas could facilitate a smooth transition and enhance career prospects in the field.


Transfer your skills

- Military Experience and Financial Duties:
Within the armed forces, various roles involve handling finances, managing assets, overseeing budgets, or maintaining financial records. This experience can be highly relevant to both accountancy and book-keeping roles in civilian life, even without formal qualifications.

- Second Career Opportunities:
Accounting is esteemed and valued as a skill set in the civilian job market. Military personnel engaged in financial responsibilities during their service can leverage this experience to pursue accounting or book-keeping careers, either full-time or combined with other professional duties.

- Training While Working:
Pursuing accounting qualifications can be done remotely while engaged in other careers, allowing individuals to gain necessary skills and credentials while working in unrelated fields. However, achieving full qualification often necessitates practical experience in addition to theoretical knowledge.

Transitioning from military roles involving financial management or asset oversight can present viable pathways toward civilian accounting or book-keeping careers, leveraging existing experience as a foundation for further professional development.

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Accountancy closeup of young accountant


How do I qualify as an accountant or book-keeper?

Several professional bodies (see below) regulate the training and work of accountants in the UK, but as a general rule qualifying as an accountant will involve three years of study, exams and relevant employment. Training for professional exams is provided by employers. Early responsibility and fast promotion are available if work and exam results are satisfactory.

The main professional bodies are described below. For details of others, please see ‘Useful info’.

Institute of Chartered Accountants in England and Wales (ICAEW)

• ICAEW members are indeed employed across various sectors like industry, finance, commerce, and public practice. Their roles cover a wide array of professional activities including auditing, financial reporting, taxation, personal finance, corporate finance, financial management, and information technology. Becoming an ACA involves a three to five-year training contract, passing ICAEW exams, and fulfilling work experience requirements. Full details can be found on the ICAEW website.

Chartered Institute of Public Finance and Accountancy

• CIPFA focuses on financial management within public services, allowing chartered public finance accountants to influence financial decisions and assess the financial viability of proposals in evolving service environments. Find out about CIPFA’s Professional Qualification system on its website.

Association of Chartered Certified Accountants

• ACCA provides qualifications enabling careers in financial or management accountancy, with professionals working across various sectors such as public practice, financial services, healthcare, industry, commerce, and the public sector. Find details of its qualification scheme on its website.

Chartered Institute of Management Accountants

• CIMA qualifies professionals as chartered management accountants, enabling them to apply financial skills to enhance management decision-making. Their expertise is crucial for positions ranging from executive chairman to junior project analyst. Find full details of CIMA’s management accounting qualification on its website

Association of Accounting Technicians

AAT remains the UK's leading body for accounting staff qualifications and memberships at the technician level. It equips individuals for roles across diverse industries and organizational sizes, from accounts clerk to financial controller.

Institute of Financial Accountants

• IFA membership caters to financial accountants in senior positions across industry, commerce, and practice, playing significant roles in financial management, often operating at the board level. They also offer specialized qualifications like the Diploma in IFRS. find full details on its website

International Association of Book-keepers

IAB offers various qualifications for bookkeepers, providing exemptions for holders of other accountancy awards. Their syllabus covers diverse areas, and successful completion often leads to higher-level qualifications with other accounting bodies.

Association of International Accountants

AIA serves as an internationally recognized body for auditors, emphasizing the advancement of the accounting profession both in the UK and globally. Their Professional Accountancy Qualification requires three years of accountancy experience alongside successful completion of a range of exams.

For military personnel considering transitioning into accounting or financial roles, these bodies offer diverse paths and qualifications, often recognizing prior experiences and enabling growth within the accounting and financial management spheres.


Accountany checking accounts


A Guide to ELCAS Funding for Accountancy and Bookkeeping

The Enhanced Learning Credits (ELC) scheme stands as a valuable resource for armed forces personnel transitioning into civilian life, offering financial support for pursuing further education and training.

For those eyeing a career in accountancy or bookkeeping, the ELC scheme can facilitate the acquisition of essential skills and qualifications required in these fields.


Understanding ELCAS Funding:

  • ELC Scheme Overview:
    ELCAS funding empowers service leavers to undertake educational programs provided by approved institutions listed on the ELC website, as long as the courses are at level 3 or higher.
  • Financial Support:
    The scheme provides financial assistance for service leavers' professional development, assisting with the costs associated with relevant courses, certifications, or qualifications.

Utilizing ELCAS Funding in Accountancy and Bookkeeping:

1. Choosing Suitable Courses:
Look for ELCAS-approved courses specifically designed for accountancy or bookkeeping, covering topics like financial accounting, management accounting, auditing, taxation, or related software training (e.g., accounting software proficiency).

2. ELCAS Eligible Providers:
Identify institutions or training centres recognized by ELCAS that offer comprehensive courses in accountancy or bookkeeping. Ensure the selected courses meet the level 3 or above criteria for eligibility.

3. Certification and Qualifications:
Aim for courses that lead to recognized certifications or qualifications in accountancy or bookkeeping. This may include qualifications from professional bodies like ACCA, CIMA, AAT, or ICAEW.

4. Transition Support:
Many educational providers offer tailored support for armed forces personnel transitioning to civilian life. Look for programs offering mentorship, career guidance, or work placements to ease the transition.


Making the Most of ELCAS Funding:

Research and Planning:
Explore the ELC website to identify approved providers and courses relevant to accountancy and bookkeeping. Consider your career goals and the skills required in the industry to make informed choices.

Maximizing ELCAS Credits
:
Understand the credit allocation available under ELCAS and plan strategically to make the most of the allocated funds for the chosen courses or qualifications.

Seeking Advice and Guidance
:
Leverage the resources available on the ELCAS and Quest websites, offering detailed guidance on how to optimize ELC funding for educational pursuits. Engage with career advisors or educational counsellors for advice.

Application Process
:
Once a suitable course is selected, follow the application process outlined by ELCAS and the chosen educational institution to utilize the credits effectively. The ELCAS funding scheme offers armed forces personnel an excellent opportunity to transition into a promising career in accountancy or bookkeeping by facilitating access to high-quality educational programs and professional qualifications. Leveraging these resources can significantly enhance prospects in the industry and ease the transition into civilian professional life.


Finding a job

Transitioning from military service to the diverse landscape of accountancy and bookkeeping offers various opportunities. Roles range from high-level positions, like finance directors in large corporations, to part-time roles managing accounts for local businesses. These opportunities span public and private sectors, including positions in public practice accounting firms and in-house departments within companies.

For armed forces personnel, leveraging leadership, decision-making, and attention to detail skills acquired during service greatly enhances prospects in this field. Utilizing veteran-friendly employers, engaging in networking within the industry, and pursuing certifications or courses through ELCAS funding further ease the transition. Tailoring resumes, showcasing relevant skills, and seeking mentorship and guidance contribute to a successful transition into this rewarding industry.

Accountancy Female accountant

Accounting and book-keeping for business start-ups

Maintaining accurate accounting records is crucial when considering self-employment or starting a business, especially concerning tax compliance. Clive Lewis, Head SME Issues at the ICAEW, emphasizes the legal requirement to maintain accounting records for businesses. These records not only facilitate accurate tax reporting but also play a pivotal role in effectively managing the business. Good record-keeping practices contribute significantly to running a business efficiently, aiding in informed decision-making and financial stability.

For individuals transitioning from the armed forces into entrepreneurship, understanding the importance of maintaining accurate accounting records becomes essential. It ensures compliance with tax regulations and provides a structured financial foundation to sustain and grow a newly established business.


HMRC checks on tax returns

To satisfy tax authorities, maintaining accurate accounting records is essential. HMRC, responsible for overseeing tax returns, conducts compliance checks if there are suspicions regarding the accuracy of self-assessment, Corporation Tax, or VAT returns. These investigations may lead to issuing assessments or amendments to collect any outstanding tax. Taxpayers possess the right to request reviews or appeals against HMRC decisions, including the option for an independent tribunal hearing.

Moreover, HMRC regularly inspects businesses to ensure proper record-keeping. Initial contact may involve a phone inquiry to evaluate if businesses are meeting legal record-keeping obligations. Subsequently, HMRC might arrange on-site visits to assess compliance. Failing these compliance checks or business records assessments may result in businesses facing additional tax payments along with penalties.

  • For more information, click here

Records for Value Added Tax (VAT)

Every business registered for VAT is required to maintain financial records that comply with the guidelines provided by HMRC.

  • For more information, click here 

Records for employers

HMRC indeed mandates all businesses employing staff to maintain accurate records for Pay As You Earn (PAYE) and tax calculations. The introduction of Real Time Information (RTI) necessitates that employers inform HMRC about their payroll concurrently with employee payments.

  • For more information, click here 

Limited company accounts

It is a requirement of the Companies Act that every company should keep proper accounting records of money received and paid, of all sales and purchases, and of assets and liabilities.

For more information, click here


The ICAEW’s Clive Lewis has contributed a series of features to QUEST, under the title ‘Preparing for business’, highlighting all you need to know about starting and running your own business. Enter the words ‘Clive Lewis’ into the search function on the Quest website to find out more.

For further information about starting your own businessclick here to read our in-depth Business Start-up feature.

To view our full list of Accountancy and Book-keeping training courses - Click here