Busy season strains seniors, AICPA readies QM resources, and FASB sets environmental credit rules

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 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. This week, we explore the mounting pressures of busy season on senior accountants, new AICPA resources to help firms meet looming quality management deadlines, and FASB’s first-ever standard on environmental credits. We’re also highlighting fresh research on AI’s impact on monthly close, the rise of transparent client conversations around technology, and the importance of human-first advisory.

Let's dive in.

🔍 Top headlines

Survey shows senior accountants most strained during busy season

A new survey from recruitment firm Distinct highlights how mid-level staff tend to carry the heaviest burden of busy season. Of 110 North American tax and audit professionals polled, 54% described the 2024–2025 tax season as stressful, with senior accountants the most affected and 75% reporting high stress compared with just 22% of associates. Long hours were widespread, with nearly 80% working more than 51 hours per week, and many managers and partners logging more than 70 hours.

Work-life balance also took a hit, with three-quarters of respondents rating it as “fair” or “poor,” and nearly half of seniors calling it “poor.” Recognition lagged, as well, with seniors and managers rating it below 6 out of 10, compared with 7.6 for partners. 

Distinct’s leadership warned that mid-career burnout and low recognition could pose retention and succession risks. The survey pointed to solutions ranging from better workload tools and automation, to flexible schedules and wellness programs.

AICPA updates quality management resources ahead of December deadline

The AICPA has rolled out new resources to help firms implement the quality management (QM) standards that take effect on December 15, 2025. At the heart of the update is SQMS No. 1, “A Firm’s System of Quality Management,” which requires firms to design risk-based, scalable systems to ensure engagements are performed in line with professional standards. The revised practice aid now includes deeper guidance on assigning responsibilities, walking through the eight components of a QM system, and tailoring implementation for firms of all sizes, including sole practitioners. It also introduces firm-size–specific libraries of sample risks and responses, a fillable risk-assessment template, and expanded direction on documentation and evaluation.

The AICPA also issued a second practice aid on monitoring and remediation, refreshed its QM Hub, and scheduled fall webcasts and training. With systems due by year-end and evaluations required beginning in 2026, these resources aim to help firms not just comply, but strengthen quality and consistency across their practices.

FASB issues first US accounting rule for environmental credits

The Financial Accounting Standards Board (FASB) has approved its first standard for how companies account for environmental credits, covering renewable-energy certificates, carbon offsets, and cap-and-trade allowances. The rule establishes a single model: Credits are recorded at cost once they’re likely to be used to settle an obligation or sold, with adjustments if plans change. Public companies will adopt the standard in 2028 and private firms in 2029, with early adoption permitted.

The final update reflects months of debate. In its proposal last year, FASB had suggested broad disclosures on credit holdings and obligations, which many businesses argued were excessive and potentially harmful to competitiveness. In response, the board scaled those requirements back; companies will disclose how credits are used and the financial impact of any changes, but not total holdings. 

Some concerns remain, with one board member questioning reduced transparency and companies warning of potential income-statement volatility under the liability rules.

💻Technology & innovation

Study shows AI shortens monthly close by a week

A joint study from MIT Sloan and Stanford Business School finds that generative AI is driving major efficiency gains in accounting. Across 79 small- and mid-sized firms, AI use cut an average of 7.5 days from the monthly close, increased report detail by 12%, and shifted nearly 9% of staff time from back-office processing to higher-value work. Accountants using AI also supported 55% more clients per week and logged more billable hours, signaling real gains in productivity. Researchers noted that the biggest benefits went to experienced professionals, who used AI outputs strategically while maintaining oversight. The study reinforces that AI augments rather than replaces judgment, boosting capacity while keeping accountants central to quality and trust.

Basis builds AI agents to scale accounting workflows

Founded in 2023, Basis is using OpenAI’s latest models—including GPT-5—to power AI agents that take on structured accounting tasks, including reconciliations, journal entries, and financial summaries. The platform routes each workflow to the best-fit model, with GPT-5 handling complex reasoning and GPT-4.1 used for speed-sensitive interactions. Transparency is a major focus for the company, which makes sure that agents surface the data and logic behind their recommendations so accountants can review and retain control. Firms using the system report time savings of up to 30%, freeing capacity for client advisory and growth. As OpenAI’s models evolve, Basis expands what its agents can handle, positioning AI as a trusted collaborator rather than a black box.

🧠Practice management

Emotional intelligence emerges as a key advisory edge

As advisory services become central to firm strategy, a new perspective argues that technical expertise alone won’t set firms apart. Amy Vetter, CPA.CITP, CGMA, highlights how emotional intelligence, active listening, and presence can transform client relationships, turning routine meetings into conversations that build trust and loyalty. Practical techniques, such as pausing before responding, reflecting on client concerns, and avoiding jargon, help advisors connect on a deeper level and better tailor guidance. The article also emphasizes self-awareness, noting that how firm leaders show up is as important as what they deliver. For firms, cultivating these skills isn’t just about client retention; it’s about making advisory more meaningful and sustainable.

Firms emphasize transparency with clients on AI use

As AI becomes more embedded in accounting workflows, firms are finding that openness with clients is essential. Practitioners report that questions about how AI is used, and how data is safeguarded, now come up in nearly every engagement. Firms such as EY and PKF O’Connor Davies say these conversations often start with clients, but when they don’t, firms initiate them to address concerns over privacy, model choice, and human oversight. Some firms are adding AI language to engagement letters, while others use newsletters or direct updates. Leaders stress that transparency helps build trust, showing clients that AI enhances quality and efficiency without replacing professional judgment.

🏢 Firm news and mergers

Citrin Cooperman expands in California with BPSD acquisition

Citrin Cooperman Advisors has acquired Woodland Hills, Cailfornia–based Barkin, Perren, Schwager & Dolan (BPSD), adding three partners and more than 20 professionals to its Southern California practice. The move strengthens Citrin Cooperman’s foothold in Los Angeles, and bolsters its work in entertainment and professional services. BPSD brings more than 50 years of local reputation for client service and industry expertise, making it a strong cultural and strategic fit. The deal is part of Citrin Cooperman’s ongoing growth strategy, which includes more than 30 acquisitions since 2019 that have made it one of the most active consolidators among top US firms.

SAX acquires Maddaloni, Nydick & Keenan in first post-Cobepa deal

SAX, a top 100 national accounting and advisory firm, has announced the acquisition of Parsippany, New Jersey-based Maddaloni, Nydick & Keenan (MNK). MNK brings 35+ years of client-first service and a strong reputation for staff development and steady growth. The deal adds to SAX’s East Coast presence and expands its service capabilities, bringing the firm to 70 partners and more than 360 employees across five offices and a nationwide remote workforce. It also marks SAX’s first transaction since securing a minority investment from Cobepa, underscoring a growth strategy centered on scale, innovation, and cultural alignment.

📅 Events, podcasts & webinars

WATCH

In the Know: QuickBooks on the Intuit platform

In this episode of In the Know, Rodrigo  Salas walks through the new QuickBooks experience on the Intuit platform. The demo covers streamlined navigation, the customizable app carousel, enhanced search, and the new business feed that surfaces AI-driven insights. With a phased rollout now underway in the US, this video helps accountants see how the updated interface centralizes client work and reduces friction across daily tasks.

QuickBooks Online’s new look and AI features

QuickBooks Online has rolled out a modernized interface and expanded AI tools in 2025, and Hector Garcia, CEO of Quick Bookkeeping & Accounting, walks through the updates in a detailed tutorial. The video covers everything from new navigation and search to changes in bank feeds, the customer hub, and project workflows, helping accountants get up to speed on the platform’s latest capabilities.

LISTEN

On the Books: Growth, change, and the future of CAS

In this episode of On the Books, Ted and Jessica sit down with Kane Polakoff, CAS practice leader at CohnReznick, to explore the rapid expansion of client advisory services. The conversation covers shifting talent needs, the role of technology, and the importance of change management, along with Polakoff’s take on making CAS a more attractive career path for the next generation of accountants.

🗣️ 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.