In recent years, Artificial Intelligence (AI) has become increasingly popular for use in the accounting industry. While there are many tools, like ChatGPT, that can be used to improve the lives of an accountant, AI accounting software is the most impactful.
In this article, we’ll work through why AI tools for accounting have been developed, the benefits of using AI accounting software, and a list of top-notch AI accounting software on the market.
Pairing Accounting and AI
AI accounting software integrates artificial intelligence into accounting processes and software systems. It uses algorithms, machine learning, and automation to improve efficiency in a variety of areas, like:
- Data entry
- Automated reconciliation
- Financial analysis and forecasting
- Reporting and visualization
When accounting and AI are paired, it allows accountants to help their clients streamline their financial operations, improve accuracy, and gain valuable insights into their financial data. It also gives them the ability to spend less time on manual work and more time on financial analysis, planning, and decision-making.
Benefits of AI Accounting Software
Automation of Repetitive Tasks
AI accounting software automates time-consuming and repetitive tasks like:
- Data entry
- Transaction categorization
- Bank reconciliation
As mentioned, automation saves time for accountants and allows them to focus on more strategic and value-added activities.
Increased Accuracy and Reduced Errors
With little to no manual data entry, there is less concern for error and more room for larger volumes of data.
Both of these will lead to improved accuracy and more reliable financial records and reports.
One of the primary benefits of AI accounting software is that it streamlines processes and workflows. Increased efficiency, faster processing times, and improved overall productivity lead to a more structured and productive accounting system.
Real-Time Insights and Reporting
AI-powered accounting software provides real-time insights into financial data. You’ll be able to help your clients make better decisions and forecasts as it quickly:
- Generates customized reports
- Performs trend analysis
- Provides visual representations of financial information
Enhanced Financial Visibility
Because you are getting real-time data with AI accounting software, you’ll always have a comprehensive and up-to-date view of your client's financial position.
As you track income, expenses, and cash flow more effectively, you’ll have the visibility you need to make informed financial decisions and identify areas for improvement.
As your client’s business grows, your accounting software has to grow as well. With AI, your software will always meet the needs of your business.
For example, AI can handle larger volumes of data sets. This means, as a business’s volume of transactions increases, the tool will also scale without compromising accuracy or performance.
Cloud Accounting Software that Integrates with AI Tools
Docyt uses AI to handle tasks like:
- Coding transactions
- Journal entries
- Reconciling bank and credit card accounts
Its real-time features let team members easily collaborate and make quick decisions. With this tool, you’ll save time and money on back-office and bookkeeping tasks.
Truewind provides financial services, like bookkeeping and financial models, to startups. With it, you’ll be able to:
- Manage investors
- Create a financial plan with growth and expense targets
- Produce financial reports for investors
With the combination of AI and human assistance, you’ll see accurate, timely results.
Blue Dot leverages AI to help users master their taxes and stay compliant. Automation is used to process and analyze employee spending for:
- Taxable employee benefits
- Corporate tax income
With Blue Dot, you can ensure tax compliance and reduce tax vulnerabilities.
Klarity is one of the best ways to organize and process all of your documents with ease. It allows for:
- Data validation
- Multi-doc matching
- Revenue reporting
The best part is that it easily integrates with your existing software.
Vic.AI uses autonomous invoice processing to put an end to repetitive tasks. Their platform promises:
- Less time
- Fewer errors
- No duplicates
- Effective approvals
- Seamless integrations
Integrating Accounting Software with AI Tools
One of the premier benefits of using accounting software is its ability to ingrate with AI tools. For example, QuickBooks Online integrates with over 750 popular business apps and AI tools.
The ability to integrate means the ability to provide more comprehensive, valuable services to your client base. This also means there is potential to utilize industry-specific applications with your accounting software.
For example, Katana is a cloud-manufacturing platform that integrates with accounting software tools, like QuickBooks Online and Xero, to streamline accounting, inventory, and production for manufacturing businesses. With this combination of tools, and other manufacturing business-related AI tools, accountants can make themselves indispensable.
If switching to accounting software that integrates with AI tools is on your to-do list, take a look at some of the best on the market and then cross-check them with other automation and cloud-based tools to see which combination is the right fit for your clients.