How to become a good accounting student

Introduction

Imagine sitting in a classroom, the air thick with the sound of scribbling pens and the occasional murmur of confusion. The topic? Accounting. For many accounting students, this subject is like a puzzle with pieces that don’t seem to fit together. It is easy to see why accounting has a reputation for being tough, with its complex equations and endless lists of rules. Accounting is often perceived as a challenging field, but with the right strategies, you can excel as an accounting student as beneath this daunting field lies a world of opportunities.

Mastering accounting skills opens doors to lucrative careers, offers valuable transferable skills, and empowers you with a deep understanding of financial systems that are crucial in every industry. Whether you’re pursuing online accounting courses or studying in a traditional classroom, these tips will help you succeed.

Tips for Becoming a Successful Accounting Student

Let’s explore how you can navigate this numbers game and emerge victorious.

1. Developing a Strong Foundation:

A solid foundation in accounting is your first step to success. Start by grasping the basic principles that form the bedrock of this field. Key concepts to focus on include:

• Debits & Credits: Understand the fundamental building blocks of accounting and learn how transactions affect different accounts.
• Double-Entry Bookkeeping System: Learn how every transaction affects two accounts, ensuring balance. Understand the system that ensures every transaction has equal debits and credits.
• Financial Statements: Get comfortable with the balance sheet, income statement, and cash flow statement.

Resources: Following are some resources to solidify your foundation –

• Textbooks: Use reliable accounting textbooks to reinforce your understanding.
• Online Tutorials: Explore platforms like Khan Academy or Coursera for interactive lessons.
• Introductory Courses: Enroll in introductory accounting courses to build a strong base.

2. Active Learning Strategies:

Memorization alone won’t get you far in accounting. Engage with the material through active learning techniques.

3. Discussion and Collaboration:

Join study groups or online forums to discuss tricky concepts. Teaching others is a great way to reinforce your understanding.

4. Case Studies and Real-World Scenarios:

Apply theoretical knowledge to practical situations. This makes the numbers come alive and helps you see the real-world relevance of what you’re learning.

5. Practice, Practice, Practice:

The key to mastering accounting is practice. Here’s how you can make the most of it:

• Regular Problem-Solving: Regularly solve accounting problems to reinforce concepts. Tackle assigned problems consistently.
• Additional Exercises: Seek out extra practice beyond assigned work online or in supplementary books.
• Understand the ‘Why’: Don’t just memorize formulas. Focus on understanding the reasoning behind accounting practices, not just the mechanics. This deepens your comprehension and enhances your problem-solving skills.

6. Form a Study Group

Collaborating with peers can transform your learning experience. Study groups provide a space to clarify doubts, challenge each other’s understanding, and test your knowledge through discussion and mock exams. Plus, it makes studying much more enjoyable.

7. Build Essential Skills

Success in accounting hinges on a few key skills:

• Analytical Thinking: Learn to break down complex financial data and identify patterns.
• Problem-Solving: Use accounting principles to address real-world business problems.
• Attention to Detail: Precision is crucial. Double-check your calculations and data entries.
• Organization: Stay on top of your assignments, deadlines, and materials. Use planners or digital tools to keep everything in order.
• Communication: As a finance professional, you will hold valuable knowledge about the business, possessing crucial insights that most others in the organization lack. The challenge lies in communicating this expertise concisely and accurately to a diverse audience, ensuring the meaning behind the numbers is clear. The ability to be attentive and patiently hear out what the other person is saying is equally important for you to succeed better as an accountant. Your stakeholders might include fellow accountants, the finance manager, company directors, or even the organization’s clients.

8. Stay Ahead of the Curve

The accounting field is ever-evolving. Stay informed by:

• Following Industry News and trends: Check out professional accounting websites, journals, and news portals.
• Joining Professional Organizations: Groups like the AICPA or local accounting societies offer resources, networking opportunities, and updates on trends and regulations.

9. Develop IT skills:

The speed and scope of digital adoption within organizations are accelerating daily, and the finance function is no exception. In this environment, accountants need to stay current with the latest technologies. Beyond being proficient with spreadsheets, word processors, and specialized accounting software, today’s accountants should also be familiar with:

• Advanced Excel and Modeling Techniques
• ERP tools like SAP and Oracle
• Big Data Analytics and Query Languages (e.g., SQL)
• Microsoft Visual Basic

Beyond the Classroom

As an aspiring accounting student, your journey extends beyond textbooks and lecture halls. Here are essential steps to gain practical experience and enhance your skills:

1. Internships

• Real-World Exposure: Internships provide hands-on experience. Work alongside professionals, apply theoretical knowledge, and learn about industry practices.
• Networking: Build connections with mentors, colleagues, and potential employers.
• Resume Boost: Internship experience adds value to your resume.

2. Volunteer Work

• Community Contribution: Offer accounting services to non-profit organizations. It is a win-win—you gain experience while contributing to a cause.
• Skill Development: Non-profits often have unique financial challenges, allowing you to apply your skills creatively.
• Ethical Awareness: Understand the ethical implications of financial decisions.

3. Managing Workload Tips

Accounting studies can be demanding. Here are some tips to stay motivated and manage your workload effectively:

• Prioritize: Break down tasks and prioritize based on deadlines and importance. Tackle assignments in manageable chunks. Use tools like to-do lists or apps to stay organized.
• Time Management: Create a study schedule. Allocate time for coursework, practice problems, and revision.
• Stay Motivated: Set achievable goals and celebrate small victories.
• Take Breaks: Regular breaks boost productivity and keep you refreshed. Try the Pomodoro Technique or simply step outside for some fresh air.

4. Career Opportunities

Accounting is not just about numbers—it is about opportunities. From auditing and tax accounting to forensic accounting and consulting, the field is rich with specialisations. Explore various paths and find what excites you the most. Some are mentioned below-

• Public Accounting: Auditing, tax preparation, and consulting for clients.
• Corporate Accounting: Work within organizations, managing financial records and reporting.
• Government Accounting: Serve in government agencies or departments.
• Specializations: Explore areas like forensic accounting, management accounting, or sustainability accounting.

Conclusion

Becoming a good accounting student is not just about knowing numbers; it is about building a solid foundation, embracing active learning, and developing essential skills. Remember, every accountant started as a beginner, and with persistence and passion, you can turn challenges into stepping stones for success. The world of accounting is waiting for you—ready to be mastered, and ready to reward you with a fulfilling and prosperous career. So, gear up, stay curious, and let the numbers guide you to greatness.

FAQs

1. What is the best way to study accounts?

The best way to study accounts is to create a study schedule, practice regularly with problems, review financial statements, and join study groups. Using mnemonic devices and teaching the material to others can also enhance understanding and retention. Consistent review and practice are key to success.

2. What should an accounting student know?

An accounting student should know how to read financial statements, keep accurate records, and conduct audits. They should use accounting software, understand tax rules, and analyze financial data. Good problem-solving skills, attention to detail, and understanding ethics in finance are also important for success.

3. What are the three golden rules of accounts?

The three golden rules of accounting are:

• debit all expenses and losses, credit all incomes and gains,
• debit the receiver, credit the giver, and
• debit what comes in, credit what goes out.

4. How can I make my accounting class interesting?

Incorporate real-world examples, interactive activities, and games to make accounting relatable and fun. Use technology for simulations, encourage group projects, and invite guest speakers from the industry. Relate concepts to students’ future careers to keep them engaged and show the practical applications of accounting.

5. How can I practice accounting skills?

To practice accounting skills, work on real or simulated financial statements, use accounting software, and solve practice problems. Join accounting clubs or internships for hands-on experience, and review past exams and quizzes. Regularly read accounting books and articles to stay updated on industry practices and trends.