{"id":7041353,"date":"2026-08-18T17:15:02","date_gmt":"2026-08-18T17:15:02","guid":{"rendered":"https:\/\/peraltafinancing.com\/accounting\/the-real-pay-problem-in-accounting-is-the-middle\/"},"modified":"2026-08-18T17:15:02","modified_gmt":"2026-08-18T17:15:02","slug":"the-real-pay-problem-in-accounting-is-the-middle","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=7041353","title":{"rendered":"The Real Pay Problem In Accounting Is the Middle"},"content":{"rendered":"<p> <br \/>\n<br \/><img decoding=\"async\" src=\"https:\/\/images.squarespace-cdn.com\/content\/v1\/5437534fe4b063c91fba5659\/1786111203911-SUKKK67WAKNAKIXFBL62\/unsplash-image-vj_9l20fzj0.jpg?format=1500w\" \/><\/p>\n<div data-sqsp-text-block-content=\"\">\n<h2 style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">The promotion that used to mean something doesn&#8217;t anymore<\/h2>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Moving from associate to senior used to come with a real pay bump. Not this year.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">In New York, associate pay now averages $105,000 and senior pay averages $108,000. That&#8217;s a 3% raise for taking on more responsibility. It\u2019s the same story in Ontario, where professionals get about a 4% jump from associate to senior.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Compare that to the <a href=\"https:\/\/www.blakeoliver.com\/blog\/whos-most-likely-to-quit-your-firm\">manager level<\/a>, where salaries jump by $20,000 to $40,000. Connecticut, Virginia, and New York all report manager averages above $139,000. <\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">That&#8217;s not a promotion bump. That&#8217;s a different pay grade entirely.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">So what\u2019s going on?<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Entry-level salaries had to rise because firms couldn&#8217;t attract talent without it. Partners keep getting richer too, with equity partner compensation now averaging <a target=\"_blank\" href=\"https:\/\/www.cpapracticeadvisor.com\/2024\/07\/22\/number-of-the-day-839687\/108273\/\">$839,000<\/a> industry-wide. <\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">But the senior level, the people who&#8217;ve already put in a few years and are grinding toward manager, are stuck in between. They\u2019re not new enough for the entry-level raises and not senior enough for the manager money.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">As David put it during the episode, partners pocket higher profits, entry-level staff get slightly higher salaries, and the senior staff stay where they are.<\/p>\n<h2 style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Two forces are squeezing that middle tier<\/h2>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Offshoring and <a href=\"https:\/\/www.blakeoliver.com\/blog\/ai-billable-hour-modern-cpa-success-show\">AI eat into the work seniors used to do<\/a>. Less pressure on that work means less pressure on firms to pay up to keep the people doing it.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Meanwhile, those seniors are the people who should be developing into the controllers companies desperately need. <\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">But employers say they can&#8217;t find controllers and assistant controllers with institutional knowledge, technical depth, and the judgment to influence executive decisions.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">That&#8217;s not an entry-level skill set. It takes years to build, and accounting firms underpay those years, driving talent out of the profession. <\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Think of it like a bridge with a weak middle span. You can reinforce both ends all you want.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Strengthen the anchor points, widen the approach lanes, make the entrance as inviting as possible. None of it matters if the section connecting them can&#8217;t bear the weight.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Firms are so focused on winning the entry-level hiring war and keeping partners happy that they&#8217;re ignoring the span holding the whole structure together.<\/p>\n<h2 style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Corporate finance already figured this out<\/h2>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Average salary increases in corporate finance average 6.7% for executives, 6.2% for directors, and 5.7% for clerical staff, according to Controllers Council. <\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Thirty-eight percent of finance leaders say they plan to increase hiring this year, up from 24% last year.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Sixty-one percent report a talent shortage, up from 46%.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Corporate pay is up across the board because they recognize the shortage. Public accounting still pays up at the edges and hopes the middle holds.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">It won&#8217;t.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">If you&#8217;re a senior with three or four years in, why wait around for a manager title that may or may not exist by the time you get there? You&#8217;d rather jump to corporate now, where the raises are already showing up, or leave the profession altogether. <\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Every senior who leaves the profession entirely is one less future controller, meaning the talent shortage only gets worse.<\/p>\n<h2 style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">What firms need to do<\/h2>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Stop treating the associate-to-senior promotion as a formality. If that promotion helps retain the people who will eventually run your client engagements or become your best clients&#8217; controllers, the pay needs to reflect it.<\/p>\n<p style=\"white-space:pre-wrap;\" data-rte-preserve-empty=\"true\">Right now, the data shows it doesn&#8217;t.<\/p>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>The promotion that used to mean something doesn&#8217;t anymore Moving from associate to senior used to come with a real pay bump. Not this year. In New York, associate pay now averages $105,000 and senior pay averages $108,000. That&#8217;s a 3% raise for taking on more responsibility. It\u2019s the same story in Ontario, where professionals [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":7041354,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11759],"tags":[12843,5147,11007,4106,482],"dealstore":[],"offerexpiration":[],"class_list":["post-7041353","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-accounting","tag-accounting","tag-middle","tag-pay","tag-problem","tag-real"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>The Real Pay Problem In Accounting Is the Middle - Som2ny Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fivemor.com\/?p=7041353\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"The Real Pay Problem In Accounting Is the Middle - Som2ny Network\" \/>\n<meta property=\"og:description\" content=\"The promotion that used to mean something doesn&#8217;t anymore Moving from associate to senior used to come with a real pay bump. Not this year. In New York, associate pay now averages $105,000 and senior pay averages $108,000. That&#8217;s a 3% raise for taking on more responsibility. 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