AI reshapes junior roles, Big Four face nimble AI rivals, and the SEC clarifies stablecoin accounting

Welcome to our weekly digest—a space to reflect on where the accounting profession is headed and how it’s evolving in real time. Each week, we bring you a curated roundup of recent headlines, ideas, and innovations shaping the future of the industry.

From emerging technologies and shifting talent pipelines, to strategic mergers and evolving client expectations, the profession is in motion. Our goal is to surface stories that matter—whether you’re leading a firm, advising clients, or just ruminating about what comes next.

In last week’s issue, we looked at how AI and automation are accelerating the rise of strategic advisory services, the shakeup of firm rankings through bold M&A and specialization plays, and FASB’s move to ease credit loss forecasting burdens. This week, we explore how PwC is reshaping junior roles in response to AI, why nimble startups may outpace the Big Four in the race for AI leadership, and what the SEC’s new stablecoin guidance means for accountants. We’re also highlighting emerging fraud risks from AI-generated documents, fresh funding for AI-powered tax research, and practical steps for managing burnout.

Let's dive in.

🔍 Top headlines

PwC shifts junior training as AI takes over entry-level audit work

PwC is rethinking how it develops talent, with a plan to have junior accountants performing manager-level responsibilities within just three years. As AI automates routine audit tasks such as data gathering and processing, new hires will begin their careers as reviewers and supervisors, PwC AI assurance leader Jenn Kosar told Business Insider. That change is driving a “back to basics” approach to training, placing greater emphasis on audit fundamentals, critical thinking, negotiation, and professional skepticism—capabilities that once emerged only after years of experience.

The shift comes alongside the firm’s “assurance for AI” service, launched in 2024, which helps clients ensure responsible and effective AI use. For Kosar, the technology’s impact is less about replacing people and more about accelerating their professional growth. By moving early-career accountants into higher-value, judgment-driven work, PwC aims to strengthen the profession’s skill base and its ability to deliver deeper client insights.

Big Four may struggle to outpace nimble AI-focused rivals

A growing class of boutique tax and accounting startups is positioning itself to outmaneuver the Big Four in the race to leverage AI. Going Concern spotlights one VC-backed venture aimed at high-net-worth clients, which plans to acquire smaller practices and lure top talent. These firms are building AI into their operations from day one, with a singular focus that enables them to move quickly and adapt in ways large, multi-service organizations can’t easily match.

Former EY UK chief Hywel Ball told Financial Times that smaller firms have an edge: They can integrate AI without the cultural and structural hurdles that come with a vast global network. For the Big Four, one way to keep pace may be acquiring agile, tech-first competitors rather than developing every capability internally. The contest ahead isn’t only about resources; it’s about speed, strategic focus, and the ability to pivot when the opportunity strikes.

SEC offers interim guidance on stablecoin accounting

The SEC has issued new staff guidance clarifying that certain US dollar–pegged stablecoins may be classified as cash equivalents if they carry a guaranteed redemption right and maintain value stability linked to another asset class. The stopgap measure comes as the agency develops broader cryptocurrency regulations under Chair Paul Atkins.

The guidance follows April’s clarification that “covered” USD stablecoins won’t be treated as securities, and that related issuance and redemption activities do not require SEC registration. Both changes align with Atkins’s Project Crypto initiative to position the US as a leader in blockchain innovation, while reducing regulatory friction for market participants.

For accountants and auditors, this offers a clearer framework for classifying qualifying stablecoins on the balance sheet, an area long marked by uncertainty and inconsistent practice. It may also create new advisory opportunities, from assessing eligibility to strengthening redemption mechanisms and navigating evolving disclosure requirements.

💻Technology & innovation

AI and automation accelerate shift to strategic advisory

The 2025 Intuit QuickBooks Accountant Technology Report finds firms adopting AI and automation are shifting from compliance work to strategic advisory—and seeing strong gains. Nearly half of accountants now use AI daily, with 93% applying it to higher-value services like forecasting and portfolio management. Automation use is even higher at 95%, boosting efficiency and accuracy.

Challenges remain: resistance to change, rising costs, and fragmented tech stacks. Firms are responding by investing an average of $20,000 in tech this year, prioritizing AI (64%) and automation (45%), and standardizing tools. Nearly all see benefits from standardization, and with 79% expecting advisory demand to grow and 75% prioritizing tech skills in hiring, innovation is fast becoming a core competency.

One-third of accountants can’t spot AI-generated fake receipts

A survey of 1,000 US and UK finance professionals found that 32% admit they couldn’t identify an AI-generated fake receipt, while 30% have already seen a rise in fraudulent receipts over the past year. The poll also revealed that 42% have suspected a colleague of submitting a fake or altered expense, and 34% have felt pressured to approve a questionable claim.

Advances in image generation tools have made creating realistic fake receipts fast and scalable, outpacing many automated detection systems. With the launch of ChatGPT 5.0, Medius’s chief product officer warns the problem will only grow, calling it a “frontline finance challenge” rather than a niche IT issue.

Blue J raises $122M to expand AI tax research platform

Generative AI tax platform Blue J has secured $122 million in Series D funding led by Oak HC/FT and Sapphire Ventures, with participation from CPA.com and other investors. The capital will fuel team growth, product development, and market expansion.

Blue J’s conversational interface delivers answers to complex US, Canadian, and UK tax questions, drawing on a curated database of authoritative law and millions of prior queries. The company has doubled revenue and customers in 2025, positioning itself as a potential new standard for tax research by boosting speed, accuracy, and accessibility for tax professionals.

🧠Practice management

Infinite Ties debuts practical CAS certification program

CAS training platform Infinite Ties has launched a yearlong Staff and Senior Certification Program to address the profession’s shortage of practical, role-specific advisory training. The program combines 48 hours of instruction with self-paced video modules, a sandbox for hands-on practice, monthly peer discussions, and ongoing assessments. Topics range from accounting fundamentals and financial statement mastery to CAS technology, automation, and client service.

Designed for staff and senior-level professionals at Infinite Ties member firms, the initiative aims to prepare participants to step confidently into advisory—the fastest-growing area in accounting—while helping firms meet rising demand without sacrificing billable hours for training.

How leaders at CPA firms can manage employee burnout

Amid the accountant shortage, evolving regulations, and rapid tech changes, CPA firms face new burnout risks, especially among top performers carrying heavier loads. Robert Half’s Steve Saah notes that overperformance can hide disengagement until it becomes a retention issue.

Leaders should watch for warning signs, such as declining work quality, withdrawal, or excessive hours, and should act early to protect well-being. Key strategies include rebalancing workloads, offering ongoing development, bringing in extra support during peak periods, using technology to cut repetitive tasks, and encouraging open dialogue about stress. Modeling healthy boundaries, such as limiting after-hours communication and taking time to recharge, can help create a more sustainable culture.

Why great leaders never stop managing

Harry M. Kraemer, former Baxter International CEO and now Kellogg professor, argues that the best leaders are also strong managers. While conventional wisdom separates visionary leadership from day-to-day management, Kraemer says the two are inseparable: leaders must still recruit talent, allocate resources, and execute plans effectively.

 Good managers, he notes, are culture carriers who inform, empower, and champion their teams, skills that remain essential at the leadership level. Kraemer likens the dual role to “flying an airplane” to see the big picture, then “drilling with an oil rig” to address problems in detail. Management experience grounds leadership in practical execution, while leadership skills expand perspective and drive long-term change.

🏢 Firm news and mergers

Cherry Bekaert acquires Jameson & Company CPAs

Cherry Bekaert has acquired Jameson & Company CPAs, a Bedford, MA–based firm specializing in outsourced accounting for small federal government contractors and grantees. The deal expands Cherry Bekaert’s Government Contractor Consulting Services practice, adding expertise in grants compliance and deepening its presence in the Northeast. Jameson’s team brings experience from the Defense Contract Audit Agency, the Defense Contract Management Agency, and the private sector, enhancing the firm’s ability to help clients navigate complex federal regulations while maintaining a personalized service approach.

PwC to acquire fintech consulting firm Kunai

PwC plans to acquire Kunai, a San Ramon, CA–based software consulting firm specializing in AI, cloud engineering, and product development for financial institutions. The move strengthens PwC’s engineering capabilities in the financial services sector and supports its strategy to deliver end-to-end digital transformation services. Kunai’s expertise spans mobile and web development, automation, and core banking systems, enabling PwC to better serve existing clients and expand into new markets. The deal is subject to customary closing conditions.

Aprio expands Northeast footprint with DeFalco & Co. CPA

Aprio has acquired DeFalco & Co. CPA, a New Jersey–based firm with offices in Hoboken and Scotch Plains. The move grows Aprio’s Northeast presence, with three offices and a team of over 150 professionals, strengthening its ability to deliver tax, audit, and advisory services across the region. The deal builds on Aprio’s recent expansion in major US markets and its ongoing investment in AI and automation to scale services and deliver measurable value to clients.

📅 Events, podcasts & webinars

WATCH

In the Know: AI-driven Accounting Agent

In this episode of In the Know, Intuit introduces Accounting Agent, a new AI-powered QuickBooks Online feature designed to streamline bookkeeping. It identifies transactions ready to post, gathers missing context from clients without requiring logins, detects anomalies in financial reports, and offers AI-assisted reconciliation. Built with input from accountants, the tool aims to reduce manual review, speed up transaction processing, and improve accuracy—while keeping ProAdvisors in full control.

REGISTER

Virtual Conference: AI Strategies for Tax and Accounting Firms

On August 20, join AI Advantage: Strategies for the Modern Tax & Accounting Firm, a free one-day virtual conference offering CPE/CE credit. Sessions include Intuit’s AI vision, practical tools to boost efficiency, and strategies for expanding advisory services. You’ll leave with an action plan for integrating AI into your practice—and access to ongoing monthly webinars for deeper learning. Can’t attend live? Register to watch on demand (no CPE).

🗣️ Quote of the week

The future of accounting is unfolding every day, and it’s being shaped by professionals like you who are exploring new ideas, testing what works, and finding better ways to support clients. Whether you’re growing your skill set, expanding your services, or simply staying curious about what’s next, we hope this issue gives you a few useful sparks.

We’ll be back next week with more insights, trends, and tools to help you keep moving forward—one step, one win, and one update at a time.