The Pennsylvania Institute of Certified Public Accountants (PICPA) in the US has released a new report titled “2025 Compensation and Benefits for Accounting Firm Leadership: A Strategic Guide.”
The report provides a detailed analysis of compensation structures, retention and recruitment strategies, and the adaptation of benefits within Pennsylvania accounting firms.
According to the report, accounting firms are facing varied success in retaining talent, with 48.3% noting an increase in staff retention, 24.1% reporting a decline, and 27.6% observing no change.
Salary growth has been slow but steady, with an average increase of 8% reported in June 2024, up from 5% in July 2023.
The importance of offering benefits is seen, with a high percentage of firms providing medical, dental, and vision insurance.
Recruitment efforts have intensified for many firms, with 88.5% of companies offering medical insurance, 80.8% providing dental coverage, and 73.1% including vision insurance for their employees.
Efforts to attract top talent are noted to be evolving, with 58.7% of companies increasing their hiring activity over the past year, while 37.9% maintained consistent recruitment levels.
The report has seen flexible work policies to have become increasingly popular.
In response, 80% of firms now offer flexible hours outside of core business hours, and 76.9% provide year-round flexible work options.
This report suggests that firms must consider evolving beyond traditional compensation models to address the top priority of hiring and talent retention.
The Insights report series from PICPA continues to offer data-driven guidance for CPA firms to navigate the challenges of the industry.
PICPA CEO Jennifer Cryder said: “Our latest findings make it clear: salary alone isn’t enough to attract and retain top talent in today’s market and firms need to be thinking differently about what matters.
“Holistic compensation strategies that include competitive benefits, flexible work arrangements, and clear career development pathways are critical in today’s world. Above all, we intend for this report to provide firm leaders with the insights they need to build a sustainable workforce for the future.”
Earlier in 2025, PICPA also rebranded its political action committee to strengthen advocacy for CPAs in the state.
