The Journal Entry - Spring 2024

THE IMAGE OF A CPA WITH PRESIDENT JASON TOMLINSON

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CEO’S MESSAGE

SUSAN SPEIRS, CPA

For the last several years, as a profession, we’ve continued to struggle with pipeline and the future of the CPA. Last year we spent a lot of time discussing 120 v. 150 hours of education in order to qualify for a license.

Through surveys, focus groups at conferences and Leadership Council meetings, you have indicated that there needs to be more than one pathway to licensure, and that, perhaps, one of those pathways could be a combination of 120 with some sort of variable of 30 hours. The AICPA has created the ELE (Experience, Learn and Earn) model and NASBA has created another program that would encompass an additional 30 hours. We continue to study and review research that indicates that the current licensure statutes enacted 30 years ago have not produced better CPAs. Surveys conducted by the UACPA have also indicated that we would not be compromising the CPA license if we looked at pathways that include 120 hours education plus additional work experience (2000 – 4000 hours), experiential components or some sort of competency.

In the meantime, Minnesota has dropped legislation that would create pathways to include 120 hours plus two years’ experience. South Carolina is also in the process of navigating alternative pathway legislation. We know that there are several other states working on legislation to create alternative pathways.

In our January 2024 Leadership Council, participants gave us permission to explore alternative pathways to licensure.

We know that whatever we do, changes will need to be made to our statute and rules. As we are connected to 53 other jurisdictions, we know that jurisdictions will move more quickly than the UAA (Uniform Accountancy Act) Committee, and that NASBA and AICPA will be encouraged to gather around the table and provide language that will work in statutes so that substantial equivalency and mobility are minimally impacted during transitions. Changes made to statute and rules need to continue to protect the public as well as maintain a standard of rigor.

While creating alternative pathways will not solve the CPA shortage, it is important that as a profession we don’t take a back seat to the never-ending changes surrounding us. Our profession will continue to evolve, and as a part of evolution, we need to have guard rails and standards in place that allow us to be nimble, perform that which we are engaged to do, and protect the public.

As we prepare for our summer Leadership Council, I challenge you all to submit ideas for viable alternative pathways. Please email me at ss@uacpa.org. n

IMAGE AND STRATEGY FEATURE

CHANGING THE PERCEPTION OF THE PROFESSION AND PLANNING FOR THE FUTURE

BY JASON TOMLINSON, CPA

What an exciting time to be a CPA! It is an honor to serve as the president of the UACPA this year. I have had the privilege of working with several of the UACPA presidents over the last 10 years, and I have been impressed by their abilities, unique talents and desire to help the profession continue into the future; I have big shoes to fill. However, as I work with you, the UACPA members, I am reminded that this is a volunteerled organization and we each have skills to contribute no matter where we are serving; Thank you for your involvement.

On the board and in some committees, we talk about issues facing the profession and how we can keep moving into the future. One major discussion point of the last few years has been pipeline concerns: working to ensure that we have qualified and capable CPAs coming into the profession. The UACPA is engaged in many initiatives to work with students and future CPAs to create a workforce ready to meet the demands of the business world. Many of you are involved in committees and on councils discussing these issues. Thank you for your efforts as we move forward.

THE CPA IMAGE

One piece of the pipeline discussion revolves around the image or perception of being a CPA, specifically in the

minds of the incoming workforce. There are two parts to an image: first is the image you curate and control, through presentation or marketing efforts; the second is an individual’s perception, what they see and attribute to you.  We can control the first, but the second comes from others’ experiences and understanding.

One way to illustrate this is with a hat. Many of you recognize me, and know who I am, because I wear a fedora. I have worn a fedora for most of my adult life, it is part of the image that I choose to portray. However, when others ask me if I am part of the mafia (usually in a Godfatherraspy voice), this perception does not come from me. Rather, it is based on their idea of who wears this type of hat.

I often remind my kids that the story you tell yourself can become reality. Whether that story is good or bad, as you repeat it to yourself, it will change the way you live your life. This will reinforce your self-perception and the way people see you, creating a self-reinforcing loop. Is the story you tell yourself the reality you want to live?

When you mention to someone that you are a CPA, what is the first thing you hear? I am sure most of you immediately get questions about doing taxes and comments on how busy you are in March and April. This may be true for some of us, but most CPAs don’t do taxes all the time. Many

people think of CPAs as tight-fisted, number-crunching introverts, who work long hours and don’t see their families for several months of the year. As a newly licensed CPA moving into a new home, I met a new neighbor and mentioned being a CPA for work. He immediately labeled me a “bean-counter” and often referred to it in subsequent conversations. It took several months of interactions with him before he saw me as capable of more than “counting beans” and knowing taxes.

Another related analogy comes from learning to ride a bike. When you are just starting out, you are so focused on the mechanics of balancing that as you turn your head to look at something you start drifting in that direction. We all have a story of staring at the incoming mailbox, panicking that we are going to hit it — which we inevitably do. What you let your mind focus on becomes your target. What are you focusing on when talking to others about work? Is it complaining about the long hours and the difficult clients? Or are you focusing on the exciting experiences and the fulfillment from helping your clients succeed?

We cannot change the decades of public perception overnight, but we can each take steps to help. In my experience, CPAs live dynamic lives full of excitement, growth and fulfillment; it’s not all “bean counting” and long hours. Which side of the story are we telling ourselves and others? As an association, we are discussing options and looking to the future. Each of you can participate and play a small part in building the profession we are proud of.

One way you can contribute is by telling your CPA story, with a focus on the positive. Share it with the UACPA on UACPA Connect, on social media, with your coworkers or just with your family. As we focus on the positive stories of being a CPA, we can help shift the stereotype. This can affect current and future CPAs, helping us all recognize the joy of working as a CPA. Help your staff, mentees and coworkers by encouraging them to take charge of their careers and make it what they want it to be. Share your passions, what brings you joy at work, how you helped a client, how being a CPA makes you better. Focus on the small daily wins or the life-changing experience — we want to hear from you.

Continued on pg. 10

GET TO KNOW JASON TOMLINSON

Jason Tomlinson grew up in West Jordan as the third of eight children. He and his wife of 22 years, Becky, have five children. Jason earned a bachelors in liberal arts and a masters in accounting, with a tax emphasis from Utah State University. Right out of college, he joined Ryan, LLC, a state and local tax consulting company based in Dallas. He has been here for more than 12 years.

On Volunteering: “I love to be involved, so volunteering with the UACPA was an easy choice. I am also on the Utah Taxpayers Association board and involved with IPT, the Institute for Professionals in Taxation, a national association for professionals in state and local tax. I just joined the instructor group for the annual IPT sales tax school, teaching the basics of sales tax to people new to the profession.”

UACPA Leadership: “I know the value of being intentional and involved in my career. Professional organizations create opportunities to learn from and network with others in the profession. When I decided to pursue a CPA license, I started getting involved with UACPA events. This began as a student, going to the local chapter lunches. The best part was a free lunch, but since I was the only student, it was easy to meet and network with local CPAs. Once I started working, I still attended the local chapter events and any free CPE offerings. Needless to say, the UACPA staff quickly got to know me and I was asked to participate on the ProNet Council (now Emerging Professionals) planning the awards banquet. This was followed by other ProNet Council roles, which led to serving on the board as treasurer and now as president. I can attest to the mantra that 80% of success is just showing up.”

Becoming a CPA: “My whole childhood, into college, I wanted to be an airline pilot. I grew up near the regional airport in West Jordan, Utah, watching the planes fly around and catching parts of the occasional airshows from my backyard. The physics of flight still fascinate me. After getting my commercial pilot license, having a few kids and almost graduating from Utah State University, I did an office internship with SkyWest Airlines. I loved

working at the airport, doing office projects and rubbing shoulders with various professionals. However, I slowly realized I didn’t want to be an airline pilot. After a few months of deliberation, prayer and discussion with my wife, I decided to go into accounting, to help people with their finances. Knowing that having a professional designation would open doors and provide opportunities in the future, I looked into becoming a CPA, as it is the most commonly recognized designation in finance.”

Best Part of Being a CPA: “I love working with clients, helping them get to a better situation. I work in sales tax, which is not a common area of expertise, and it has allowed me to become a resource for more people than just my clients. CPAs are a fantastic group of smart and dynamic people and I love learning from each of them. Also, I recognize the value of having the CPA license and that good employers are always looking for someone with the credentials, as a sign of broad financial understanding. This gives me confidence that I will always have a job and means to support my family.”

What Surprises People About You:

“I have a commercial

Continued on pg. 10

Continued from pg. 8

THE STRATEGIC PLAN

The UACPA has a five-year strategic plan, based on our mission, that directs our focus. We update the plan every few years. The Leadership Council and executive board will be reviewing and updating the strategic plan this year. The goal is not to drastically change direction, but rather adjust to current circumstances and focus on where we would like to be (while not crashing into the mailbox). Future articles will talk about the strategic plan and the process of making those changes. We want your input and involvement with this process. The UACPA is a membership association. Help us make it work for you.

As you are aware, 2024 is an election year. Elections are how you make your voice heard in the political realm. Make your voice heard at the UACPA as well. We want to hear from you and need your help to make the UACPA an association you are proud to be a part of. Let us know what concerns you have for the profession, raise your hand to give feedback, get involved with a committee or at least attend a chapter event, Business & Industry seminar or conference.

If I have learned one thing from serving on the UCAPA board, it is this: We each have something to contribute and can learn from those around us. From the newly licensed CPA in the accounting department to the retiring CPA firm partner, we each chose to work as a CPA for a reason. Talk about why; share your story and what you enjoy. Share your feedback and thoughts on our strategic plan. Let us know how the association can support you in your career and guide the CPA profession into the future.  n

Jason Tomlinson, CPA, is a sales tax consultant at Ryan. He is the current president of the UACPA and has previously served as the treasurer on the UACPA board. He is also a board member of the Utah Taxpayers Association.

Continued from pg. 9

pilot license, although I don’t fly anymore. Also, I enjoy acting. It started with doing skits while working at Cub Scout day camps through high school. In college, I joined the opera company, because they needed guys. My wife and I spent 10 years involved with a community theater doing at least one show per year.”

About the Hats: “In high school, I liked the rat pack style — even if I never dressed like it. I served a church mission to Ukraine and people there wore hats, not just a baseball cap, but different styles of classic hats. I purchased a fedora after a few months and have worn one ever since. Something about wearing a fedora makes me stand a little straighter and feel more confident, so I keep wearing it. At this point, the hat has become my calling card. People know me because of it and will often ask where my hat is if I’m not wearing it. Even in college, when people asked my wife (fiancée at the time) whom she was marrying, she would describe ‘the guy with the hat’ and people immediately knew who I was.”

Favorite Book or Author: “J.R.R. Tolkien, the Lord of the Rings trilogy, were pivotal books for me in junior high. It opened my mind to the amazing stories that can be told and made me look at my world differently. I continue to love reading, especially classic science fiction and fantasy. I read 10 – 20 books a year from various authors.”

Outside of Work: “I enjoy working in my yard and around the house, making my piece of the world a little nicer. I xeriscaped my front yard, which has been a multi-year process to establish the low-water plants and create a beautiful haven that I don’t have to mow. I also enjoy playing board games and video games with my kids. I joke that the only reason we had kids was to give me someone else to beat at board games, but now my teenagers often win.”

Advice: “Growing up, I loved the phrase ‘Fly High, Breathe Deep, Seek Peace’ from the book Dinotopia. It is both aspirational and calming, focusing on what you can control. My career mantra is ‘to help people do things that they can’t do for themselves.’ Helping others has guided a lot of my involvements and brings me great life satisfaction.”

Peer Review Program

What do we do?

T h e N e v a d a S o c i e t y o f C P A s a d m i n i s t e r s p e e r r e v i e w f o r t h e s t a t e o f U t a h W e a p p r e c i a t e t h e o p p o r t u n i t y t o s e r v e y o u r s t a t e a n d a r e a v a i l a b l e t o a s s i s t y o u a t 7 7 5 - 8 2 6 - 6 8 0 0 o r n v c p a @ n e v a d a c p a . o r g .

Single Audits

New QM Standards

R e m e m b e r t h a t i f a n o n - f e d e r a l e n t i t y s p e n d s $ 7 5 0 , 0 0 0 o r

m o r e o f f e d e r a l a w a r d s i n a f i s c a l y e a r , a s i n g l e a u d i t i s

r e q u i r e d M a n y r e c i p i e n t s o f p a n d e m i c f u n d i n g h a v e n e v e r

h a d a s i n g l e a u d i t b e f o r e a n d m a y n o t k n o w w h a t i s r e q u i r e d P l e a s e v i s i t h t t p s : / / w w w a i c p ac i m a c o m / t o p i c / g o v e r n m e n t f o r m o r e i n f o r m a t i o n

Have a voice in the peer review process!

A f i r m t h a t p r o v i d e s a t t e s t s e r v i c e s t o a c l i e n t i s r e q u i r e d t o u n d e r g o p e e r r e v i e w I t i s i m p o r t a n t y o u a r e a w a r e o f t h e U t a h r e q u i r e m e n t s . P l e a s e v i s i t h t t p s : / / a d m i n r u l e s . u t a h . g o v / p u b l i c / r u l e / R 1 5 6 - 2 6 a / C u r r e n t % 2 0 R u l e s t o c o n f i r m y o u r e n r o l l m e n t r e q u i r e m e n t s T h e N V C P A i s a l w a y s l o o k i n g f o r R e v i e w A c c e p t a n c e B o d y ( R A B )

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m e e t i n g o n c e p e r m o n t h f o r 6 0 - 9 0

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p r o c e s s C P E i s i s s u e d f o r t h e m e e t i n g s a n d a s t i p e n d i s p r o v i d e d t o a t t e n d t h e

A I C P A ’ s a n n u a l p e e r r e v i e w c o n f e r e n c e e a c h y e a r . T h i s i s a g r e a t o p p o r t u n i t y t o i m p r o v e y o u r o w n p e e r r e v i e w p r o g r a m a s y o u p a r t i c i p a t e i n t h e p r o c e s s G e n e r a l l y , R A B m e m b e r s a r e p e e r r e v i e w e r s I f y o u a r e i n t e r e s t e d i n j o i n i n g o u r R A B , p l e a s e c o n t a c t u s a t t h e n u m b e r o r e m a i l l i s t e d a b o v e . N o t a r e v i e w e r ? R e a d t h e i n f o r m a t i o n p r o v i d e d f o r a d d i t i o n a l i n f o r m a t i o n

T h e A I C P A i s r e q u i r i n g f i r m s t o i m p l e m e n t t h e n e w Q M s t a n d a r d s e f f e c t i v e D e c e m b e r 1 5 , 2 0 2 5 B u t d o n o t w a i t t o g e t s t a r t e d w i t h y o u r p l a n V i s i t h t t p s : / / w w w a i c p ac i m a c o m / r e s o u r c e s / d o w n l o a d / f r e e - p r a c t i c e - a i d - s e t - u py o u r - a - a n d - a - q u a l i t y - m a n a g e m e n t - s y s t e m f o r t o o l s a n d r e s o u r c e s t o g e t s t a r t e d

ZERMATT RESORT Leadership

Academy

The Emerging Professionals Leadership Academy helps new CPAs develop leadership skills with an exclusive group of professionals.

The academy will help you keep pace in the profession and excel as a leader. CPAs will gain the tools and training to propel them into the future

at this intensive and rewarding retreat. You will learn how to make your ideas clear and how to inspire others throughout your network.

Attendees receive 24+ hours of CPE while building leadership foundations and relationships with their colleagues.

uacpa.org/leadershipacademy

BY THE NUMBERS

COLLEGE ENROLLMENT

53.4

4.1

The following numbers are from Educationdata.org published January 2024.

4.9

PERCENTAGE OF DECREASE FROM 2019 — 2021 OF TOTAL ENROLLED POSTSECONDARY STUDENTS

17

PERCENTAGE OF POST-SECONDARY STUDENTS IN GRADUATE PROGRAMS

19.6

PERCENTAGE OF STUDENT POPULATION WHO ARE LATINO OR HISPANIC

PERCENTAGE OF STUDENTS WHO ARE WHITE OR CAUCASIAN AT 4-YEAR INSTITUTIONS

MILLION STUDENTS GRADUATE ANNUALLY

13.9

MILLION OF COLLEGE STUDENTS ATTEND 4-YEAR INSTITUTIONS

STAY INTERVIEWS

HOW STAY INTERVIEWS BOOST RETENTION

BY JULIE CAPLAN, PAYCHEX

Stay interviews, or retention interviews, are opportunities for companies to receive information from current employees that can help improve employee retention and gain understanding of why top employees are satisfied with their job. They can also alert you to existing problems that can be mitigated before top performers leave the company.

WHY SHOULD YOU CONDUCT STAY INTERVIEWS?

Generally, employers conduct stay interviews to better understand the motivations, ambitions, and mindset of their valued employees. A stay interview allows for a oneon-one conversation between a manager and employee to highlight any “risk factors” about the job. This conversation can encompass current working conditions as well as candid employee feedback about the company’s culture and other conditions related to job performance.

WHAT ARE THE BENEFITS OF A STAY INTERVIEW?

One of the key benefits of conducting a stay interview is learning why an employee may be thinking of leaving their job before that decision is made. Stay interviews can also inform future company actions and strategies by:

• Providing Insights Into Manager Performance — A conversation with an employee can uncover areas where managers might improve their own performance. Dissatisfaction with one’s manager is often a key reason employees leave.

• Detecting Patterns — Interviewing different employees may reveal patterns worth exploring further. The more you learn about what keeps valued employees happy, the more effective you can be at

retaining them.

• Fostering Engagement — Providing feedback can lead to greater employee engagement, as employees can feel valued and heard. For employers, stay interviews can identify early warning signs of problems to address.

• Getting Valuable Feedback — Asking about a range of topics (work environment, schedules, benefits, etc.) could prove useful when forming long-term business strategies and identifying new or shifting areas of concerns.

• Improving Employee Retention — Stay interviews may reveal an employee’s dissatisfaction before they leave the company. Company-wide trends can also help businesses prioritize which changes are needed for overall retention.

WHEN SHOULD YOU CONDUCT STAY INTERVIEWS?

After you set an initial schedule for stay interviews, pay close attention to the feedback received. Based on what you learn, you might adjust the number and frequency of interviews conducted.

WHO SHOULD CONDUCT STAY INTERVIEWS?

Managers often have an established relationship with their employees that can serve as a jumping point for the stay interview. By developing an open and honest line of communication, managers are most likely to receive input that can improve the work environment and help keep employees engaged.

It may also make sense for other personnel, such as senior executives, owners, or human resource managers to conduct stay interviews. Anyone who conducts stay interviews should receive proper training and feel prepared to manage the process.

WHO SHOULD RECEIVE A STAY INTERVIEW?

Formalizing the process of who companies should conduct stay interviews with can ensure you are getting the information you need. Decide who can provide useful feedback for future retention or hiring strategies. You might include top performers and long-tenured employees.

HOW TO CONDUCT A STAY INTERVIEW

Everyone participating should understand why the interviews are taking place and the overall goal of them. Setting a company standard for stay interviews can ensure equitable treatment and consistency. You should also:

• Determine employees to interview

• Determine who will conduct interviews

• Choose a location

• Communicate with the employee about the interview

• Schedule and conduct the interview

• Document results

QUESTIONS TO ASK DURING A STAY INTERVIEW

Prior to conducting interviews, consider what feedback you hope to receive. Asking open-ended questions encourages discussion and allows the employee to explain what they like or dislike about their job. Some possible questions to ask:

• What motivates you to come to work every day?

• Is there anywhere you feel discouraged in your job?

• What might entice you to seek employment elsewhere?

• How do you feel your work contributes to the success of our business?

• Are you satisfied or dissatisfied with the recognition you receive?

• What skills can we help you develop?

• How would you rate your work/life balance and how could we improve it?

STAY INTERVIEWS LEAD TO A BETTER UNDERSTANDING OF YOUR BUSINESS

For stay interviews to be effective, employees should have trust in their manager. Remember, the goal of these conversations is to find out what a company is doing well and identify any changes needed. If a business owner fails to follow through, employees may feel disheartened and begin searching for a new job.

A stay interview can offer significantly more benefits to an employer than a departing employee’s exit interview. You’ll have the opportunity to better understand a valued employee’s motivation and potentially address any issues that could otherwise lead them to leave. n

Julie Caplan is the marketing content program manager for Paychex.

STARTING WITH AI

ARE YOU READY TO TAKE ADVANTAGE OF AI?

BY THOMAS G. STEPHENS, JR., CPA, CITP, CGMA

You’ve undoubtedly heard a great deal about artificial intelligence (AI) during the past eighteen months. During this time, generative AI tools like OpenAI’s ChatGPT, Google’s Gemini, and Microsoft’s Copilot have become more mainstream daily. But have you explored how you can take advantage of and benefit from AI? Read on, and in this article, you will learn how to take advantage of one of the most promising emerging technologies.

FIRST, WHAT IS GENERATIVE AI?

Since 2022, generative AI has emerged as one of the most talked-about technologies ever. As their name implies, generative AI tools can generate content for you. That content can be text-based, or it can be visual. Generative AI

can also generate other forms of content, such as music, videos, and even computer code (including Excel macros!).

Large datasets known as large language models (LLMs) power generative AI platforms. Engineers “teach” LLMs complex relationships between the items in these datasets so that they can respond to users’ requests or prompts.

Generative AI represents one of several types of AI, and in the near term, generative AI is likely to be the most commonly used in business circles. Generative AI tools can respond to prompts such as those listed below.

• Explain the principal differences between LLCs and partnerships.

• What are the significant changes to 2023 tax laws.

• Help me understand large language models.

• Write an engagement letter for preparing a corporate tax return.

• Create a memo explaining the need for adequate information security controls.

The sky is the limit when prompting your generative AI tool. Once you issue a prompt and receive your initial reply, you can modify your prompt, much like having a conversation with a human. For instance, you could prompt your AI tool with a request such as “Help me to understand The Corporate Transparency Act.” Then, after receiving the initial reply, you could add more prompts, such as “more details” or “restate in memo form.”

WHAT CAN THE TOOLS DO FOR YOU?

As indicated above, you can use generative AI tools to engage in “conversations” on almost any subject. For example, you can prompt your AI platform to create a business letter, a speech, a blog post, or a memo. Indeed, there are very few topics with which generative AI tools struggle to create content. However, that does not mean that these tools are perfect.

Sometimes, the LLM on which your AI tool relies may need an update. This could be particularly concerning if you were to research tax laws using a generative AI tool, but the LLM required an update. In this scenario, you would risk receiving outdated guidance from your AI platform. In other cases, the LLM may not have access to a sufficiently representative data set. In such cases, that might increase the risk of bias appearing in the provided results. So, checking the citations and references provided always helps to ensure your results are timely, accurate, and representative. Notwithstanding the above, most users will find their AI-generated results accurate and timely –probably more so than those in books, magazines, and journals.

WHAT DO YOU NEED TO GET STARTED?

Presently, three tools dominate the generative AI market: ChatGPT, Gemini, and Copilot. All three offerings provide

free access, and many users will find that model sufficient to meet their needs. However, paid subscription models are also available for users with more advanced needs, including generating images or integrating with Microsoft 365.

ChatGPT is one of the pioneers associated with generative AI. You can sign up for a free account by visiting their website (chat.openai.com/) and registering. However, a paid subscription to ChatGPT ($20 per user per month) provides more features, including an updated LLM and the ability to generate images.

Like ChatGPT, Google’s Gemini platform (gemini.google. com/app) also offers a free subscription and a paid offering costing $20 per user per month. Gemini provides deep integration with other Google services, including Gmail.

Microsoft’s Copilot AI platform (copilot.microsoft.com) is similar in some respects to ChatGPT and Gemini but also offers a strikingly different feature set in its paid model, costing $30 per user per month. For example, anyone can access the free platform without signing up for an account. To do so, open the Edge browser on your device and then click the Copilot icon near the upper right corner of the window. Doing so provides you with immediate access to Copilot. For even more power, you can sign up for the paid version of Copilot and use the tool to analyze data in Excel, summarize lengthy email threads, and even draft PowerPoint presentations from Word documents.

SUMMARY

Far from an exhaustive review of all you can do with today’s AI tools, this article has focused on how to get started in the fantastic new world of artificial intelligence. Today’s AI tools — although not perfect — are truly remarkable at what they can do and the time they can save you. Thus, if you haven’t experimented with AI, I encourage you to start soon. Once you do, you will probably never return to working as you did in the past!

Thomas G. Stephens, Jr., CPA, CITP, CGMA, is a shareholder of K2 Enterprises. At K2, Tommy focuses on creating and delivering content and is responsible for many firm management and marketing functions. You can reach him at tommy@k2e.com.

UPDATES TO THE SECURE 2.0 ACT

NEW PENALTY EXCEPTIONS FOR EARLY RETIREMENT PLAN WITHDRAWLS

BY SHELDON R. SMITH AND KEVIN R. SMITH, PH.D., CPA

The purpose of tax-advantaged retirement accounts is to encourage individuals to save for retirement, so withdrawals from these accounts prior to age 59½ are considered early withdrawals and are subject to a 10% early withdrawal penalty on amounts includible in gross income (in addition to any income tax). Since individuals may need some flexibility in accessing these funds prior to retirement, the tax code allows some exceptions to the 10% penalty.

While several of the exceptions existed previously, the SECURE 2.0 Act added several new exceptions. Information

about these exceptions is valuable to individuals who may qualify for exceptions. It is also valuable to employers and plan administrators who may need to amend their plans or adjust their systems to allow for these early distributions.

EXCEPTIONS PRIOR TO SECURE 2.0

Perhaps the most important exception is based on age — if the withdrawal is made after the plan participant or IRA owner is at least 59½ years old. However, there are also other age-related exceptions. If distributions are made from an employer plan to an employee who separated

from service after reaching age 55, these payments are also exempt from the 10% penalty. If the distributions are made from a governmental plan to a qualified public safety employee, the employee can separate after reaching age 50 and qualify for the exception.

Death or disability are also situations that allow the penalty to be avoided. Other exceptions include payments to an alternate payee from an employer plan under a qualified domestic relations order, payments which are part of a series of substantially equal lifetime payments, distributions which are part of an IRS levy of the qualified retirement plan, dividends paid from stock owned in an employee stock ownership plan, corrective distributions, returned IRA contributions, permitted withdrawals from plans with automatic enrollment features, and qualified in-plan Roth rollovers or eligible distributions rolled to other qualified plans on a timely basis.

Other situations are related more to hardships, need, or a specific purpose. These exceptions include distributions for (1) medical expenses, (2) health insurance premiums for unemployed individuals, (3) higher education expenses, (4) first home purchases, (5) reservists called to active duty, and (6) the birth or adoption of a child. Specific details, requirements, and limits apply to each exception.

EXCEPTIONS ADDED BY SECURE 2.0

The SECURE 2.0 Act added several more exceptions. Two exceptions became effective at the enactment of SECURE 2.0 — Dec. 29, 2022 — terminal illnesses and qualified disaster recoveries. Three exceptions became effective for distributions made after Dec. 31, 2023 — certain emergency expenses, pension-linked emergency savings accounts, and distributions made in case of domestic abuse. A fourth new exception is effective for distributions made at least three years after Dec. 29, 2022 — distributions for certified longterm care insurance.

Terminal Illness

A new exemption from the 10% penalty was added for those who take early withdrawals due to a terminal illness. In this case, to qualify, an individual would need medical certification that the illness will be reasonably expected to result in death in 84 months or less, and the individual would need to provide sufficient documentation to the plan administrator.

Qualified Disaster Recovery Distributions

Qualified disaster recovery distributions can also avoid the 10% penalty. The individual receiving the distribution must have had a principal place of abode located in the qualified disaster area during the incident period of the qualified disaster and must have suffered an economic loss because of the disaster. The maximum aggregate amount an individual can claim for a disaster is $22,000. Perhaps because of the larger limit for this exception, the income that has to be recognized can be recognized equally over three tax years.

Emergency Expenses

Withdrawals for emergency personal expenses can also be exempt from the 10% penalty. Plan administrators can rely on the individual’s written certification that the distribution qualifies. The amount is limited to $1,000, and no more than one distribution can qualify in any calendar year.

Emergency Savings Accounts

The 10% penalty does not apply to distributions from pension-linked emergency savings accounts (PLESAs). PLESAs have many detailed rules for eligibility, contributions, and withdrawals. Many of these details are discussed in a report from Mercer, several of them are mentioned here. Highly compensated employees are not allowed to participate. PLESA contributions can only come from the employee, not the employer. The contributions must be made on a Roth basis, not a pre-tax basis; this coincides with all withdrawals being exempt from taxes as well as avoiding the 10% penalty. PLESA balances from contributions cannot exceed $2,500 (indexed after 2024), but the plan sponsor can set a lower limit. The plan cannot impose minimum contribution or account balance restrictions. Participants must be allowed to make withdrawals at least monthly, and plans cannot charge for the first four withdrawals in a plan year but can charge reasonable administrative fees for the account and charge a reasonable amount for additional withdrawals in a plan year.

Domestic Abuse

The 10% penalty is not levied for distributions in case of domestic abuse. The limit for such a distribution is $10,000 (indexed starting in 2024). The distribution must

be made during the one-year period from the date the individual is a victim of domestic abuse by a spouse or domestic partner. Domestic abuse for this purpose is defined as “physical, psychological, sexual, emotional, or economic abuse, including efforts to control, isolate, humiliate, or intimidate the victim, or to undermine the victim’s ability to reason independently, including by means of abuse of the victim’s child or another family member living in the household.” The plan administrator can rely on the individual’s self-certification of being a domestic abuse victim.

Long-term Care

Qualified distributions for long-term care insurance are also not subject to the 10% penalty. The limit for any taxable year, in aggregate, is the smallest of the following: (1) the amount paid for (or assessed to) the employee for certified long-term care insurance for the employee or the employee’s spouse, (2) 10% of the present value of the non-forfeitable accrued benefit of the employee in the plan, or (3) $2,500 (indexed after 2024). A long-term care premium statement needs to be filed to verify the longterm care premium costs.

DISCUSSION

It seems quite clear that these additional exceptions to the 10% early distribution penalty will increase flexibility for those with retirement savings plans. This flexibility may encourage individuals to start retirement savings earlier and add more to their retirement accounts than they otherwise would have because of the possibility of early withdrawals without penalty for various types of emergencies or other situations.

Several of the exceptions cited above allow the individual to repay the distribution to the retirement plan within a certain time period, thus qualifying for rollover status, making the original distribution nontaxable. This could add the complication of amending prior returns to reclaim taxes previously paid.

One question that arises is whether tax laws are making early withdrawals too easy, potentially jeopardizing longterm savings for retirement. This may be true especially if people make withdrawals that can be repaid but which are not.

Plans are not required to be amended to allow all of the

distributions that can qualify for exceptions to the 10% penalty. Individuals may be frustrated if their plan does not allow a distribution they had expected to qualify for.

If a participant uses an early distribution for an exception where the entire distribution must be used for a specific purpose, the distribution is still taxable even if it is not subject to the additional 10% penalty. Where will the individual get the money to pay the taxes?

The addition of so many exceptions to the 10% penalty adds immense complexity to tax laws and complicates implementation. In fact, few details were given for the exceptions listed, so the complexity is even greater than implied in the above descriptions. This will impact individuals, employers with plans, and plan administrators.

Is the increased complexity worth the increased flexibility? Will the increased flexibility really lead to more and earlier retirement contributions? Will early withdrawals due to more exceptions to the 10% penalty more than offset any increase in contributions? Future empirical evidence may help us evaluate the short-term and long-term success of these legislative changes. n

This article is based on a longer article that was published in Tax Notes Federal (https://taxnotes.co/49cI1xj) on Jan. 29, 2024.

Sheldon R. Smith is a professor of accounting at the Woodbury School of Business at Utah Valley University in Orem, Utah. He graduated from BYU with a B.S. degree in accounting and a joint MAcc/MBA. He completed a Ph.D. degree in accounting at Michigan State University.

Kevin R. Smith, Ph.D., CPA, is a professor at the Woodbury School of Business at Utah Valley University. Dr. Smith obtained his Ph.D. from the University of Arizona in 2005, and earned his Master of Accounting (MAcc) degree and Bachelor of Science in accounting degree from Brigham Young University in 2000.

Balancing Tech and Touch in Human Resources: Artificial Intelligence (AI)

Paychex surveyed HR professionals and employees on their views of technology, its effectiveness, and the challenges it poses. The study reveals current sentiments about AI in HR, the tasks it is reshaping, and the delicate balance needed between humans and machines to manage people.

Key Survey Takeaways

• 85% of HR leaders say AI provides useful HR data and analytics.

• 41% of employees prefer less AI involvement in HR decisions, despite 56% of HR pros already using AI in their practice.

• Employees feel conflict resolution (78%) and disciplinary actions (76%) should be led by humans.

How Technology Is Transforming HR

From recruitment to benefits administration, HR professionals are using technology to enhance efficiency across various HR functions.

Adopting AI is a common focus among many business leaders in 2024. 56% of the HR professionals surveyed already use AI in their operations and 85% find it effective for HR analytics. However, there is a divided stance on trust. 40% trust AI to make fair HR decisions, 28% distrust it, and 32% are neutral.

27% say HR AI improves efficiency in their HR department, saving an average of 7.5 hours a week. 56% of respondents say technology speeds up employee recruitment and screening, while 41% say it speeds up employee training. They say using technology in tasks related to screening and hiring new job candidates is useful and crucial to business success in a tight labor market.

Opportunities and Challenges

In today’s tight labor market, businesses are increasingly turning to technology to streamline talent acquisition and onboarding processes. The ability to quickly identify and recruit the best candidates is particularly helpful for businesses competing to secure top talent.

Nearly a quarter of HR professionals surveyed anticipate AI will become integral to HR functions in the next five years transforming analytics and data management (58%), talent acquisition (46%), and employee onboarding and offboarding (43%).

Transparency and Acceptance

How do employees outside of the HR department feel about AI?

As HR departments incorporate AI into their operations, only 11% of employees surveyed say the process is very transparent. Most are either neutral (30%) or somewhat unclear (25%) about its transparency.

The balance of human and technology input is also a point of debate, with 41% of survey participants preferring less AI involvement in HR-related decision-making.

There’s strong agreement among surveyed employees that conflict resolution and addressing sensitive professional matters should stay under human direction. This highlights a preference for a human touch in these interpersonal areas.

Actionable Steps for HR Professionals:

• Implement policies to safeguard AI practices and ensure data is safe.

• Ensure tools have been validated to ensure compliance with new laws addressing the use of AI in HR.

• Read up on AI to understand how tools may change and work with legal counsel and trusted vendors to conduct AI audits on your data.

• Discover HR analytics tools and learn how they may better support consultation with clients and your organization.

• Don’t lose sight of the human aspect of HR and ensure there is a human element involved in all decisions with AI.

A Balancing Act

HR professionals are cautiously optimistic that artificial intelligence in HR can work. The time saved, biases potentially reduced, and the significant reshaping of recruitment and onboarding all point to an AI-driven future.

Balancing tech-fueled efficiency improvements with a human touch will be crucial. HR professionals must ensure AI augments rather than replaces the human element that’s so vital to the spirit of human resources.

Access the full article and survey methodology at go.paychex.com/ uacpa_spr24

2024 AWARDS STUDENT AWARDS

Each year, the UACPA honors a fifth-year accounting student from each of Utah’s universities for his or her accomplishments in the accounting field. Criteria to be honored include GPA, extracurricular and professional activities and experience, professional image and perceived commitment and dedication. The following individuals are receiving the UACPA’s recognition at their ceremonies this spring. Their nominating professors have provided commentary for each award winner.

BRIGHAM YOUNG UNIVERSITY

Liza Johnston

Liza Johnston is a remarkable example of a balanced individual, excelling in the classroom, in industry, and in her personal life. She has earned a perfect 4.0 GPA in the Master of Accountancy program with a minor in Information Systems. She works as an Accounting Junior Core TA and does technical accounting research for BYU and the Connor Group. After graduation, Liza plans to earn her CPA license and resume her work as an auditor for KPMG. In addition to her academic and professional achievements, Liza’s friends and classmates appreciate her kind and caring nature. Her love for working with people is evident as she serves actively both as a BYU Ohana Group leader and within her church congregation. Liza enjoys teaching piano lessons, reading, doing outdoor activities, cooking, watching BYU sports, and spending time with her husband and family.

SOUTHERN UTAH UNIVERSITY

Allie Quarnberg

Allie is currently a MAcc student with plans to complete her education by August of this year. She earned a GPA of 4.0 in her SUU undergraduate accounting studies and carries a 4.0 GPA in the MAcc program. She is quiet but strong and dedicated to everything she is involved in from her demonstrative leadership running the School of Business front desk, as a teaching assistant to accounting professors, and, most recently, as the manager of our robust VITA program where she managed around 50 students who prepared income tax returns for hundreds of people in our local community. Her most pressing current goal is to pass all four CPA examination sections by the time she graduates. Allie enthusiastically accepted a tax internship with Davies Allen in Fillmore, Utah, which she will begin soon after graduation. In what little free time she has, Allie and her husband like to spend time together playing spike ball, traveling, and fishing.

UNIVERSITY OF UTAH

Juliann Barr

Julie is our UACPA ambassador and one of our top students in the program. Julie currently has a cumulative GPA of a 3.940. She works to be involved on campus and has been an asset in assisting other students.

Juliann says, “I fell in love with accounting when I took my first class as an elective and I finally knew what I wanted to be when I grew up. Accounting seems to fit with two of my passions — organization and solving puzzles.” She plans on working full-time with the office of the state auditor while working to earn her CPA license.

UTAH STATE UNIVERSITY

Lane Dudley

We are pleased to announce that Lane Dudley is our selection for the 2024 UACPA Outstanding Accounting Student. Lane is a student worthy of recognition. Not only is he a terrific student, who is engaged in his classes, but he looks for opportunities to make a difference. He has been involved in many areas within the School of Accountancy. He has served as an officer and the president of the IMA student club, is a member of Beta Alpha Psi, is a graduate assistant, has been a tutor in the accounting tutor lab, and has served as the UACPA campus ambassador. He did all of this while working 20-plus hours every week. Lane is an outstanding leader and mentor to his fellow students, and is an all-around nice guy.

UTAH TECH UNIVERSITY

Joshua Wallentine

Joshua has proven to be an excellent student, learning the elements of the coursework very quickly. Furthermore, his questions are always thoughtful and well spoken.

During his tenure at Utah Tech, Joshua continues to impress with his dedication to his field of study as a full-time student while working an outside job. He is an excellent student who sets very high expectations for himself. He doesn’t only want a good grade; he wants to fully understand the material.

Joshua is exceptionally diligent and hard working. He attends class faithfully and is always well prepared. He has been active in the accounting clubs on campus,

// Continued on next page

UTAH VALLEY UNIVERSITY

Hyrum Portlock

Hyrum is one of our most dedicated, hardest-working students. In addition to performing well academically, he was also an officer in Beta Alpha Psi, working hard and serving well in leadership, networking, and involvement, not only for himself but also for his fellow students. Hyrum has done this while successfully raising his young family and working as a finance operations associate for Benefits Accounts; a subsidiary owned by Willis Towers Watson. Hyrum is personable and pleasant. He is a great team player and works well in the groups to which he is assigned. He also interacts regularly and well with his professors. Hyrum is proactive at providing feedback and is receptive to receiving feedback. He is constantly striving to improve. Hyrum has also been a proactive student advocate for the MAcc program, serving as a student leader on the UVU MAcc committee. His dedication and leadership make him an ideal candidate for this recognition.

WEBER STATE UNIVERSITY

Bryce Reynolds

Bryce Reynolds is an excellent representative as an up-and-coming member of the accounting profession. As a student, Bryce has been fully engaged with his coursework; he prioritizes learning and gives his full focus to the topic at hand. His participation in class inspires others to engage more deeply and fosters a more inclusive learning environment. As an incoming accounting professional, Bryce began to immerse himself in the career early, by working as both a tax and audit intern during his undergraduate education. His professional excellence is evident in the opportunity extended to him by FORVIS, which saw him transition from Intern to Student Associate, with future transition expected to Staff Associate. Further, while simultaneously working to complete his Master of Accountancy program, Bryce has taken all four parts of the CPA exam. Weber State is proud to count Bryce among our outstanding accounting graduates.

CONNECT WITH UACPA MEMBERS

• Send messages to UACPA members

• Ask questions and learn from other CPAs

• Collaborate and share ideas with like-minded professionals

• Find discussions or create a new one

STATE & LOCAL GOVERNMENT CONFERENCE

Friday, May 10 8 a.m. – 4:30 p.m.

Little America

500 S. Main Street

$370; $270 for Members

uacpa.org/stateandlocal

TOPICS + SPEAKERS

GASB Update

Deborah Beams

GASB 101

Lealan Miller, CPA

The New Science of Decision Making

Bill Tayler, Ph.D., CMA

Legislative Update

Ryan & Craig Peterson

Basic Government Accounting

Patricia Nielson, CPA

Yellow Book

Debbie Davis, CPA

Internal Controls

Hollie Andrus, CPA

AI in Accounting: Less Beans, More Bytes

David Wood, Ph.D.

Economic Update

Natalie Roney

MEMBERSHIP

NEW MEMBERS

Congratulations to the following individuals who were approved for membership in the UACPA as of Feb. 29, 2024.

Braxton Rogers BHI

Katherine Elsnab

Bridgerland Applied Technology

Zackery N. King

Carver Florek & James LLC

Zack Bryant

Joshua Bush

Xavier Hamilton

Irene Jalandoni

Ryan Rebischke

CBIZ MHM, LLC

Jace Linnell

The Church of Jesus Christ of Latter-day Saints

Adam Simmonds

Jeff Tuveson

CLA (CliftonLarsonAllen LLP)

Kyler Andersen

Kody Pali

Davis & Bott, CPAs, L.C.

Zachary A. Paddock

Eide Bailly, LLP

John Horn

Huber, Erickson & Bowman, LLC

Nicole Barlow

Tyler Lanham

Jones Simkins LLC

Lindsey J. Blanchat

Jeremy DeBack

Mike Larkin KPMG LLP

Kathrina M. Esplin Larson & Company, PC

Daniel Later

Later CPA & Associates, PLLC

Bradley W. Enos

Mansperger Patterson & McMullin, PLC

Chris Nibley Nibley Tax and Accounting

Gary L. Leavitt RealtyNet Group, LLC

Gabriel Degomez

Savage Esplin & Radmall, PC

Elyssa Hashimoto

Smart Forensics

Jacob C. Kletzli

Morgan J. Nethercott

Tanner LLC

Jeff Cutler

Heather Denison

Brian C. Jensen

Thomas R. Norton III

Tyler Patterson

Kyle W. Peterson

Paula Speich

Student

Affiliates

Brigham Young University

Shem Asefaw

Mckenna Clausen

Sadie Gassaway

Southern Utah University

Seleck Rigby

Jaci Peterson

University of Utah

Hyun Jung Park

Ryleigh T. Hertzberg

Kate Hamilton

Cristobal A. Cruz

Curtis Hills

My Bui

Edith A. Molina

Wendy G. Velasquez

Utah State University

Michael Davies

Whitney Lloyd

Eden Shaw

Utah Valley University

Hunter Rose

Hayden Loader

Isaac Bowen

Sarah Udy

Logan Kennard

Luke Fryer

Brandon Magana

Robert Krutsch

Noelle Mendenhall

Jordan Ales

Korbin Watts

Taylor Curtis-Davis

Amanda Tanner

Noah Sanches

George Nielsen

Matthew Hampton

Dillon Dudley

Connor Ecalono

Evan Lawrence

Blake Call

Zhenya Stoddard

Eden Whitman

Tayler Hagen

Garrett Schroeder

Hannah Conlin

Kregan T. Wilson

Kristin N. Hays

Charlotte J. Lindeman

Sara Lewis

Hannah Gibb

Caden Bowler

Maxwell J. Sutch

Mason Burr

Mark Kim

Parker Church

Adam R. Trounce

Tyler S. Aldrich

Davis Ogden

Samuel E. Nelson

Samuel Henry

Bekah Standifird

Viewmont High School

Kaisley K. Larsen

Weber State University

Orli Melamed

Erin Runyan

Wesley Dunbar

Coban G. Turnbaugh

Quintin Clark

Ethel M. Wilson

Ella J. Sanders

Western Governors University

Deb Walles

Bruce McKee

Hunter High School

Jenna Olsen

Piedra Vista High School

Parker A. Johnson

No School Listed

Jaxon Jones

Valerie Rubio

Baily A. Prince

Selina Hadfield

Catherine Gary

Peter Oliveira

Noah A. Goodlett

Emily M. White

Kaden Sandberg

Tien-En Ho

Shelby R. Moss

TJ D. Gadd

MEMBERSHIP MEMBERS IN THE NEWS

Do you or your firm have news to share? Send the details to Amy Spencer, as@uacpa.org

Larson & Company has announced the addition of three new partners to their leadership group. Allison Johnson (top) and Daniel Bringhurst were promoted to audit partners, and Amber Robbins was promoted to tax partner. Allison started as an intern at Larson & Company 12 years ago and now has more than 10 years of experience in insurance accounting. The Brigham Young University graduate is currently the leader of the insurance industry practice group and the education/training committee. Daniel started with Larson & Company as an intern 11 years ago and is currently the leader of the captive insurance industry practice group and the mentoring committee for the audit department. A University of Utah graduate, Daniel has specialized in captive insurance companies, non-public companies, and mergers and acquisitions. Amber Robbins has been at Larson & Company 10 years and has more than 13 years of experience in public accounting and tax preparation. A graduate of Southern Utah University, Amber leads the training program for the tax department. All three new partners work at the Salt Lake metro location of Larson & Company offices.

After more than 20 years of serving the Spanish Fork community, Larson & Company is proud to announce the opening of their new, expanded office space. The move reflects the firm’s exciting growth and their continued commitment to providing exceptional service to the area.

Tanner LLC has been named as one of America’s top recommended accounting firms by UTA Today and Statista. The recognition is the result of a thorough selection process that included comprehensive surveys conducted last summer. These surveys targeted both tax and accounting professionals and their clients, aiming to identify the top 100 tax and accounting firms in America based on their performance.

Utah Business has named Garry Hreckosy to the Forty Under 40 List. Garry is the VP of Accounting at MX Technologies, Inc. The University of Utah graduate has served on Murray City Council and was elected Chair of the Council in 2023.

BOARD QUESTION WHAT MAKES YOU INTERESTING?

Jason Tomlinson, CPA

“Before I decided on getting a master’s in accounting, I was pursuing a professional pilot career. I have a commercial pilot license and did an internship with SkyWest Airlines.”

Dan Frei, CPA

“I am on a quest to take the boring out of accounting by continually trying to bring in fun collaborative activities into the workplace and my personal life.”

David Peaden, CPA

“I enjoy reading books. John Grisham and Tom Clancy are my favorite authors. Last year my wife and I did a swap and she read a book of my choice and I read a book of her choice, Pride and Prejudice. This included watching every available screen rendition (TV and movies) as well.”

Amy Anholt, CPA

“My family loves cats! We have several of our own and enjoy fostering. We have worked with a few different rescues, currently with Best Friends Animal Society. Fun fact: Our current foster kitten met Governor Spencer Cox this month as he declared 2024 as NoKill Shelter Year in Utah.”

Ariane Gibson, CPA

“One of my hobbies, when I have spare time, is making food from scratch. Recently I’ve started making homemade pasta, it’s so easy and delicious!”

Marci Butterfield, CPA

“Some of what makes me interesting is simply life experience. I have been fortunate to travel to places I never imagined, judge gymnastics all over the nation, taught thousands of students from all over the world, work with people I truly care for, and love my husband, kids, and grandkids who are all unique and extremely interesting!”

Shalaun Howell, CPA

“I love playing clarinet in orchestras. I’ve played in The Orchestra at Temple Square and am currently part of the Bountiful Philharmonia. My favorite symphonic works include Rimsky-Korsakov’s Scheherazade, Dvorak’s New World Symphony and Copland’s Appalachian Springs.”

Clinton Armstrong, CPA

“I enjoyed a vacation to San Agustin Archaeological Park, Colombia.”

Dustin Wood, CPA

“I’m an event driven person. At any point in time, I’m typically holding tickets for around 8-10 future events that I plan to attend. They frequently include USU basketball and football games, musicals, and concerts/ shows. If you ever run into me somewhere just stop me and ask me and I’m sure to have tickets for something.”

Stacy Weight, CPA

“I am a HUGE fan of the NHL. My favorite team is the Washington Capitals and I try and get to a game at least once a year. I love all things hockey and spend a lot of time with my family on the ice!”

BOARD BRIEF

THE LATEST ACTIVITIES WITH THE BOARD

• At our January Leadership Council, we were charged with continuing discussions relating to alternative paths to licensure. There are many challenges such as the enrollment cliff at universities, continued retirement of baby boomers and employer challenges at the hiring level. As we continue to tear down barriers to licensure at legislative levels nationally and statewide, it is imperative that we have a seat at the table.

• Discussion was held with NASBA’s latest model for licensure. Although we have very little detail as to what the model entails, many are questioning the impact of the UAA.

• The board ratified the budget for the year ending March 31, 2025. The new fiscal year has ongoing goals of being a part of the evolution of the profession moving forward, review of the strategic plan and advocacy efforts impacting our profession.

• Discussions were held regarding Beneficial Ownership Information (BOI) filing challenges as they relate to our profession. There continues to be confusion around the Unauthorized Practice of Law (UPL) and whether CPAs can be held accountable by the legal profession.

STAFF CHAT WHAT MAKES YOU INTERESTING?

Amy Spencer

“I am a music lover and have traveled for music festivals in Germany, Canada and throughout the U.S. and followed bands through the UK and Italy. In my 20s, I was a DJ and had a music column in a local magazine. I was also a concert promoter and brought national and international bands to play shows in Salt Lake City.”

April Deneault

“I’m just an everyday person with a dog obsession. I have a very tight-knit family. I love breaking a sweat whether it’s hitting the gym or trying new workouts, and for those chill moments you’ll catch me immersed in the world of audiobooks. I also love to put cottage cheese on everything!”

Tom Horn, CPA

“I spent three years in the Army with two assignments; the Pentagon and Hawaii, war plans section, Commander in Chief of the Pacific Headquarters of the Joint Chiefs of Staff (CINCPAC). John S. McCain Jr. was Commander in Chief. In Hawaii, 1968, I saw President Johnson with South Vietnam President Thieu and South Vietnam military leader Nguyen Cao Ky prior to a meeting at Camp Smith.”

Susan Speirs, CPA

“While I’m very comfortable to be dressed to the nines in a professional environment, I’m just as comfortable in a dirt covered T-shirt and jeans ensemble, and mudladened boots, growing our groceries in a 3,000 square foot garden backed by 40 fruit trees.”

IN MEMORIAM D

Merrilee Clark

July 18, 1952 – Feb. 10, 2024

Member since 2000

Philip Dee Jeffs

Sept. 15, 1965 – Feb. 13, 2024

Member since 2002

Mont L. Millerberg

Dec. 14, 1949 – Feb. 13, 2024

Member since 1977

NEW LIFE MEMBERS

The following members joined the UACPA in 1984 and are celebrating 40 years of membership.

Mark W. Stevens

Raelene Allred

Edward R. Barber

Joseph W. Baty

Wayne F. Elggren

Gert O. Foerster

Marvin R. Poulson

Thomas R. Horn

Clinton Armstrong, owner of Armstrong, CPAs & Advisors, grew up in Gridley, California, a predominantly agricultural community. His father was a general contractor and his mother worked with him to build “spec houses.” Clinton says, “At 14, I began working summers for a fruit sorting and packing company” where his aunt was the onsite manager. “I will be forever thankful to Doug for allowing dozens of kids, including myself, to work and attribute my own work habits to those early years.” Clinton and his wife, Marci, have three sons (Boyd, Robert, and Frederick) and one daughter (Evalynn). “The boys are named after our ancestors, and my girl is nicknamed after a pastry (her middle name is Claire and her first name starts with E.) Also, I have an estranged son from a previous marriage. They live in Bear River, Utah.”

How did you get involved with the UACPA? I first started going to the Salt Lake City Downtown Chapter to meet other CPAs. I didn’t come just for the hot chocolate served at that particular venue (though it didn’t hurt). I met some great people and the rest is history.

What led you to become a CPA? I fought against becoming any kind of accountant through college and my first jobs

MEET A MEMBER CLINTON ARMSTRONG, CPA

after that. However, after hearing about, and witnessing firsthand, the great life a CPA could have, I started an internship with a CPA firm in California and realized that this was an exceptionally satisfying career.

What do you like about being a CPA? I like being able to assist, and especially educate, people with their compliance needs. I truly believe that an “educated client” is a big contributor to the process — the more knowledge the better. Being a CPA allows so many career paths in business, education, government, and many other fields — accounting truly is “the language of business.”

What would surprise people to know about you? While people would think that I listen exclusively to old country music, my eclectic musical tastes include traditional folk, ’80s rock, classical and especially Nordic folk rock.

What is your favorite book? I am fond of “A Train to Potevka” by Mike Ramsdell. I was able to meet him at a county fair and discuss a part in the book where, while undercover, he was on the verge of starvation in Russia when a care package from his sister showed up at a safe house that nobody was supposed to know he was at.

What do you like to do outside of work? I enjoy hunting, fishing and camping with my family. I am very lucky to have a spouse and kids who put up with all the trips.

What are some of your goals both personally and professionally? My current personal goals include raising my kids to become good adults who want to visit when they get older, encourage my wife with her endeavors, and prepare to serve missions. (Hopefully) Short-term goal is to have a successful elk hunt. Professionally, it is more difficult to say. Starting a CPA firm has been rewarding. Trying to figure out how big to become, or bring in partners, has been the stressful/enjoyable part of owning a business.

What advice do you live by? Your decisions and actions echo throughout the rest of your life. n

PHOTOS

KSL RADIO SPOTS

The UACPA Tax Tip series airs on KSL for ten weeks, January through April. On Mondays, members join us for an interview with the show’s host to cover the questions listeners may have as they prepare to file their taxes. (l-r) Mike Criddle from Eide Bailly, Jason Baxter from WSRP and Ron Turber from CBIZ.

CAMPUS ACTIVITIES

Weber State University held an event in January where students learned about careers in accounting. UACPA Campus Ambassadors Aubry Savage and Abigail Wagstaff spoke about free membership to the Association.

• Stress?

• Lack of Sleep?

• IRS induced Nausea?

We have helped thousands sell... and WE CAN HELP YOU!

UACPA MISSION

MISSION

The UACPA leadership supports and challenges members through advocacy, professional education, leadership development, networking, and community service to help them succeed in a competitive and changing world.

VISION

At the UACPA, our vision is to be a world-class professional association essential to our members.

We unite a vibrant community of CPAs to enhance the success of our members and champion the values of the profession; integrity, competency, and objectivity.

VALUES

Advocacy

The UACPA represents the profession at the Legislature and other regulatory bodies and promotes the value of the CPA to employers, the business community, and the public at large.

Leadership & Service

The UACPA provides leadership and service within the profession, within the UACPA, and within the community.

Professional Development

The UACPA supports and encourages continuing education and leadership development.

Professional Community

The UACPA reinforces peer accountability to encourage members to maintain integrity and high ethical standards. It provides member-tomember networking opportunities and networking opportunities with other professions. It values belonging to a distinguished organization and believes that we serve as the primary resource and point of contact for Utah CPAs.

Diverse Population Outreach

The UACPA believes in reaching out to under-represented populations, those returning to the profession or choosing it as a second career, and other professions.

CONGRATULATIONS

100% FIRMS

Congratulations to the firms and businesses currently participating in the UACPA’s 100% membership program. This demonstrates their commitment to the profession, to the association’s high ethical standards and lifelong learning.

• Adams & Petersen, CPAs

• CBIZ MHM, LLC

• CLA (CliftonLarsonAllen LLP)

• CMP

• Davis & Bott, Certified Public Accountants, L.C.

• Eide Bailly

• FORVIS

• Haynie & Company

• HBME

• HintonBurdick

• Jones Simkins LLC

• Savage Esplin & Radmall, PC

• Squire

• Tanner LLC

• WSRP

Firms with 10 or more full-time CPAs are eligible to be a part of the 100% membership program. Call our membership team to sign up, 801.466.8022.

CLASSIFIEDS

Utah Practice For Sale: Gross Revenues Shown: New Listing in Springville Coming soon; For more information, please call 1-800-397-0249 or visit www.AccountingPracticeSales.com to see listing details and register for free email updates to be notified first of new/upcoming listings.

THINKING OF SELLING YOUR PRACTICE? Accounting

Practice Sales is the leading marketer of accounting and tax practices in North America. We have a large pool of buyers, both individuals and firms, looking for practices now. We also have the experience to help you find the right fit for your firm, negotiate the best price and terms and get the deal done. For more information, please visit our website at www.accountingpracticesales.com

Interested in Buying a Practice? See local and nationwide listings at www.AccountingPracticeSales.com and register for free email updates.

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