Transitioning away from a billable-hour model can improve margins and customer relations. But it also comes with plenty of challenges. Learn how one firm made the switch.

FRAUD

Lessons from an $8 million fraud

Nathan J. Muellers fleecing of his employer, a financial services giant, is noteworthy because of the amount of money stolen, the many years the embezzlement lasted, and the internal control weaknesses that made the scheme possible. This article examines how the crime was committed and what organizations can do to protect themselves from similar losses.

PROFESSIONAL LIABILITY SPOTLIGHT

All in a dishonest days work

Its difficult to believe, but sometimes CPA firm employees, and even partners, steal from clients. While a CPA firms leaders may believe this would never happen to them, claim experience in the AICPA Professional Liability Insurance Program demonstrates this does occur.

TAX

Treating partners as employees: Risks to consider

Partnerships often grant equity interests to valued employees but often mistakenly continue to treat them as employees for employment tax and other purposes. This article examines the risks a partnership and the partner run in continuing this treatment and suggests a few solutions.

HUMAN RESOURCES

A pipeline for diversity

A profession wide effort to grow the ranks of underrepresented minorities in accounting has been developed by the Howard University School of Business Center for Accounting Educations Pipeline Working Group, supported by the AICPA. The initiative is focusing on reaching out to high school and community college students in an effort to create a pipeline of talent to the profession.

SPECIAL REPORT

Lighting the fire: Strategies to fuel the future of learning

The AICPA assembled the Task Force on the Future of Learning to address critical issues in professional development as the workplace evolves. See the task forces four major recommendations.

TECHNOLOGY

Expanding your app-titude

New column debuts with descriptions of networking app Fing and shopping assistant RedLaser.

FRAUD

Whats your fraud IQ?

Do you know how to spot the red flags of a fraudulent transaction? Can you evaluate the warning signs? Find out in our Fraud IQ quiz.

FROM CGMA MAGAZINE

Nimble thinking takes the lead

Finance must, in certain cases, spend less time focusing on the past and more time seeking better predictions about the future.

TAX

IRS introduces voluntary certification program for tax preparers

After failing to win court approval for its mandatory tax return preparer regulation program, the IRS introduced a voluntary certification program to take its place.

TAX / PERSONAL FINANCIAL PLANNING

QDROs demand the attention of CPAs

Expertise in qualified domestic relations orders and dividing retirement benefits in divorce can be a valuable accounting and tax specialty.

(1) What was the initial control weakness error that enabled Mueller to both request a check and approve the check without raising suspicions?

(2) What was the total $ amount of the misappropriation of assets and how was Mueller using the money?

What were the obvious fraud red flags missed along the way?