A trusted firm management tool, the National Management of an Accounting Practice Survey provides firms with comprehensive information for benchmarking management policies and financial results against other CPA firms – and this year’s results are in!

Conducted by Partnering for CPA Practice Success (PCPS), the AICPA alliance for CPA firms, and the Texas Society of Certified Public Accountants, in conjunction with the MACPA and other state societies, the survey aims to reveal critical CPA firm trends.

Over 2,300 firms responded to the survey, including 109 Michigan firms. In Michigan, approximately 75 percent of CPA firms reported a growth based on gross fees.

The average Michigan respondent firm earns $1 million or more in net client fees and has approximately 14 staff members. For all respondents, the three largest sources of income were tax services (42.3 percent), compilations (19.8 percent) and write-up/data processing (12 percent). The largest expense for the firms surveyed was professional salaries (excluding owners) totaling, on average, $504,823 or approximately 40 percent of total expenses.

Hours and Rates
The average number of hours charged by CPAs at firms across the state ranged from 1,283 per year for an owner to 1,369 for a CPA with four to five years of experience. The average billing rate of an active owner is $150.83/hour while a CPA earning roughly $42,000 had a billing rate of $82.14/hour.

Compensation
Average Michigan salaries range from $31,460 for an entry level CPA to $76,716 for a CPA with more than 10 years of experience. On average, owners earn $160,605 each year.

About the Survey
The MAP Survey results are free to all PCPS-member firms. AICPA members receive a $100 discount. Non-member firms interested in obtaining access to national results should visit the PCPS web site to become a member and access results at no additional charge or to purchase a report. For more information on this year's survey, visit the PCPS web site. View Michigan’s results at the MACPA web site.

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