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Generation Z: Ambitious, optimistic

It may seem soon, but those born from the mid-1990s to mid-2000s are just beginning to enter the workforce. What are they looking for in careers, and how do they feel about their futures? EY surveyed more than 1,600 of its interns to find answers. The interns revealed:

They are confident and optimistic. Sixty-three percent feel they will be better off financially and happier at work than their parents. Thirty-one percent believe that higher career happiness is because employers now have a strong understanding of their employees’ needs.

They expect their work to evolve. Gen Z workers understand that new technologies will significant affect their work, and a majority believe technology will not decrease the number of available jobs. Two-thirds think that new technology will help them increase productivity.

They don’t mind diversity. Eighty-four percent say they work well with people from different backgrounds and cultures.

They aren’t only chasing the money. Only 1 percent of respondents said they prioritize money the most when looking for an employer. Instead, they look for the potential for career growth (84 percent) and flexibility (50 percent). They also believe that job satisfaction is just as important as financial stability.

They look up to young managers. Sixtyseven percent would prefer a millennial manager over a Gen X or Baby Boomer manager.

IRS OFFERS ‘PAY AS YOU GO’

Approximately 10 million taxpayers are assessed an estimated tax penalty each year, according to the U.S. Internal Revenue Service (IRS). While average penalty was only $130 in 2015, the number of taxpayers receiving the penalty is growing; there was a 40 percent increase from 2010 to 2015.

To educate taxpayers, the IRS has a new webpage: “Pay As You Go, So You Won’t Owe: A Guide to Withholding, Estimated Taxes, and Ways to Avoid the Estimated Tax Penalty.” The webpage offers tips for taxpayers on how they can avoid the penalty, such as checking their withholding amounts or paying at least 90 percent of their total tax liability during the year. Find it at tinyurl.com/IRSPayAsYouGo.

Tracking audit quality

The American Institute of CPAs (AICPA) is on a mission to enhance audit quality. The Enhancing Audit Quality (EAQ) initiative, launched in 2014, focuses on the helping firms improve and enhance critical audit- and assurance-related activities. In a 2017 report highlighting its progress, the AICPA focused on five key accomplishments:

1. Peer review: The Peer Review Enhanced Oversight

Program and peer review improvements

2. Documentation: Awareness campaign and documentation toolkit

3. Single audits: Awareness on single audit quality issues

4. Employee benefit plan audits: Reporting simplification

5. Quality control: Quality control standards and toolkit

Check out the full report at tinyurl.com/EAQ2017report.

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$666 BILLION The U.S. budget deficit for fiscal year 2017.

3.5 PERCENT The deficit percentage of Gross Domestic Product.

22

The number of years a retirement savings of $1 million would last a person living in Virginia. State expenditures average $45,423 (state rank: 34).

12

The number of years a retirement savings of $1 million would last a person living in Hawaii. State expenditures average $83,834 (state rank: 50).

2

The United States’ ranking in the world for economic competitiveness. Switzerland is No. 1.

83

The United States’ ranking in the world for its macroeconomic environment.

$61.5 MILLION The amount in tax incentives data centers received in Virginia during the past years.

$19 MILLION The approximate number in tax exemptions Facebook will receive for a data center it plans to build in eastern Henrico County.

Assessing cybersecurity? CPAs can do that

CPA auditors are uniquely suited to determine a company’s cybersecurity risk, according to a white paper from the Center for Audit Quality (CAQ). Audit firms offer these key strengths:

1. Core CPA values and attributes. CPAs exercise independence, objectivity and skepticism and are held to a code of ethics and rigorous external quality reviews.

2. Experience in independent evaluations. CPAs’ experience in conducting independent evaluations, such as the financial statement auditors’ opinion, as well as completing other attestation and advisory services in IT security, makes them well suited to evaluate cybersecurity risk.

3. Multidisciplinary strengths. Audit firms often have CPAs with other credentials, such as Certified Information Systems Security Professionals (CISSP), Certified Information Systems Auditors (CISA) and Certified Information

Technology Professionals (CITP). These designations provide extra training and support for IT-related issues.

“The CPAs’ Role in Addressing Cybersecurity Risk: How the Auditing Profession Promotes Cybersecurity Resiliance,” includes details on the American Institute of CPAs (AICPA) cybersecurity framework. Download the paper at thecaq.org. For additional information, events and news on cybersecurity, visit the AICPA’s Cybersecurity Resource Center at at tinyurl.com/Cybersecurity-Resource-Center.

SALARY INFO AT ONE CLICK!

Wondering how your salary compares to others? According to a survey from the Association of International Certified Professional Accountants, the average salary of a CPA based in the United States is $119,000 per year. A new interactive online tool allows you to see how your salary compares to similar professionals in other states and chart your future income potential. Visit tinyurl.com/CPASalaryTool to check it out.