AZ CPA May/June 2023

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– Meghann Gryp Xavier College Preparatory Alumni

AZ CPA

The Arizona Society of Certified Public Accountants

President & CEO Oliver Yandle

Editor Haley MacDonell

Advertising Heidi Frei

Board of Directors

Chair Andrea Levy

Chair-Elect Lauren Murro

Secretary/Treasurer

Directors

Eugene Park

Austin Billingslea

Ben Cilek

Dave Collins

Tithi Debnath

Marissa Graves

Joe Heidleburg

Ignatius Jackson

Gabby Luoma

Dennis Osuch

Lisa Parke

Jesse Porras

Stella Shanovich

Immediate Past Chair Rachael Crump

AICPA Council Members Mike Allen

Jared Van Arsdale

AZ CPA is published by the Arizona Society of Certified Public Accountants (ASCPA) to provide information, news and trends to the accounting profession. It is distributed six times a year as a benefit to ASCPA members. The ASCPA, its members, board of directors and administrative staff assume no responsibility for advertisements herein. The ASCPA and the above people also assume no liability for business decisions made by readers in reference to statements and/or claims in articles or advertisements within this publication. Opinions expressed by contributors are not necessarily those of the ASCPA.

Arizona Society of CPAs 4801 E. Washington St., Suite 180 Phoenix, AZ 85034-2040

Telephone (602) 252-4144 AZ Toll-Free (888) 237-0700 www.ascpa.com

Andrea Beth Levy, CPA Chair, Arizona Society of CPAs Chief Financial Officer, VOICE Amplified

Measuring Success

As my first article with the Arizona Society of CPAs, I would like to thank the membership for this tremendous opportunity. I serve in gratitude for the profession, sincere appreciation for my mentors and profound admiration to those who have pioneered before me, to make this opportunity possible – thank you.

Our focus this month is one of the profession’s greatest challenges: recruiting and retaining talent for our CPA pipeline, a process that can begin through our high schools and universities.

How do we engage future generations to see the incredible value in our profession? Is there a way for us to share our own unique CPA experiences to motivate future leaders? Is there space to reflect on our own CPA experiences and use those experiences to navigate a path forward?

My formal accounting introduction was in high school through an elective accounting course. My teacher, Mr. Barstow, was inspiring, passionate, patient and effective. Mr. Barstow provided inspiring stories about who we could become and the career opportunities we could have if we studied accounting. The world of accounting was not only numbers but also the essential language of business. I remember enjoying his class because I felt like I was making an investment towards my future, and I felt inspired. It was during my undergraduate accounting studies that I learned about the CPA designation. It sounded challenging, and I was up for a challenge.

In preparation for the hours of studying ahead, I handcrafted motivational keepsakes with phrases like, “on my way to a CPA” and “measure your own success” to keep my mindset clear and on the road ahead. Fast forward through the many hours studying laminated reference sheets at the gym and listening to audio recordings in the car, I passed. That day, I called everyone on my contacts list. It was an exciting and exhilarating time, to think about the incredible future ahead, the beginning of my lifelong learning.

During my summer tax internship with a real estate investment trust, I problem-solved in a different way than ever before by analyzing and completing corporate tax forms. The start of my career also included observing a cash count at a casino and conducting physical inventory of ice cream in a distribution center (with no ice cream samples!). I later moved into public safety of a local fire district, helping the fire district financially plan for new emergency vehicles. Next, I served as a financial leader in reproductive healthcare, family planning and behavioral healthcare specialties; supporting healthcare providers and the patient-care experience. In 2022, I started a new adventure with a global humanitarian nonprofit providing aid to women and girls in crisis. Earning my CPA credential opened many doors in my career and served as a stepping stone to graduate school and additional professional certifications.

My goal as chair is to engage with the membership, hear your own unique CPA stories and learn how we can use those stories to leverage and develop a steadfast and secure pipeline of new CPAs. In addition, I wish to continue to share the opportunities available for board service, explore the options to streamline board administrative processes, and continue our board efforts towards diversity, equity, inclusion and belonging. I believe with dedication, hard work and persistence anything is possible. Here’s to a productive year ahead! l

Best, Andrea Beth Levy

– Cantor Forensic Accounting, PLLC

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Tassel to Talent Pipeline: The State of Accounting Education in Arizona

By Haley MacDonell

Few explanations are needed for the term “talent pipeline.” If you’re in the accounting profession, you are already challenged when hiring staff, expanding your client offerings or even maintaining your current business due to a shortage of qualified talent.

According to the Wall Street Journal, more than 300,000 U.S. accountants and auditors left their jobs from 2020 to 2022. Paired with the warning signs of declining college enrollment and dropping interest in pursuing the profession in general, the industry is investing more time and resources to stop the bleed.

Today’s students are making decisions right now that affect the accounting pipeline five years down the line, and educators are on the front lines of the dilemma.

Grounding Concepts at the Public Four-Year University

Tall sky cranes loom over Mill Avenue and the Tempe waterfront as apartment complexes and offices appear. Arizona State University’s Tempe campus is changing too, as old academic buildings are renovated and new ones appear.

On Thursday evenings, over 175 students pile into a lecture hall for ACC 231: Uses of Accounting Information. For more than an hour, Professor Scott Emett lectures in front of the big, illuminated screen. Every few slides, students shuffle through their papers and answer multiple choice questions through clickers and apps on their phones. The responses

tally up in real time, and Emett can quickly spot which topics are most challenging.

“I want you all to assume that you are the executive team for Samsung,” Emett said as he clicked to the next slide. There’s a news clip ready to play about the 2016 incident when Samsung phone batteries caught on fire. “Watch this video clip and imagine what type of liabilities might arise for Samsung as a result of this.”

Few of the students are accounting majors, and few want to be when they first start the semester, but this course is mandatory for several degrees and certificates in the W.P. Carey School of Business. With Emett at the helm, the course has radically changed over the last two years. Using grounded examples, like the Samsung incident, puts accounting concepts into the context of business.

When he was a student, Emett hadn’t been interested in accounting either, but an introductory accounting class changed that.

“The professors totally shattered misconceptions I had about accounting and what accountants do,” Emett said. They taught me the power of accounting in producing useful information, and business is all about making good decisions with good information.”

While ASU has not seen the substantial declines in college enrollment experienced by smaller institutions, the accounting department is aware of the need for a bigger pipeline of talent flowing into the profession. Four years into teaching at ASU, Emett was presented with the opportunity to bring more relevancy and excitement to these mandatory accounting courses. By doing so, he would teach over 800 students each semester and create updated curriculum and resources.

“We’ve got a captive audience to do that in these mandatory classes, even though it’s a lot of work and a lot of students,” Emett said.

Emett wanted to replicate the experience that showed him what an accounting degree could do. There were three pillars guiding the course changes:

1. Focus on Decision-Making. While the fundamentals like debits and credits are still essential, the new curriculum grounds concepts in realworld applications. What information is needed to make decisions? How is this relevant and necessary to a career in business?

2. Highlight Career Possibilities

Emett is helping students see how accounting can launch a variety of rewarding career paths through a series of videos interviewing ASU alumni who are using their accounting degree in unique career paths, like forensic accounting for the FBI and CFO of the Arizona Diamondbacks.

Scott Emett lectures during his evening class. Emett is the 2023 ASCPA Excellence in Teaching award recipient.

“At its core, accounting is about producing useful information,” explained Emett. “Almost any major or career path in business is going to need a fundamental understanding of accounting to succeed.”

3. Embed Data and Technology.

Accounting and auditing is harnessing more technology than ever before, and that will continue as artificial intelligence and automation improve.

There are myriad reasons being explored for why the accounting talent pipeline is drying up: accelerated retirement of the Baby Boomers, shifting expectations in work culture and salary, and the industry’s perception are just a few. Postsecondary education, and the people who could study accounting, have also been impacted by rising education costs, digital culture whiplash and a global pandemic that shuttered schools when today’s graduating seniors were just college freshmen.

For Aseem Chandi, an Arizona State University student graduating this month, it was his second semester of college when COVID-19 moved all his classes and club events online. It hampered his ability to connect with peers and find the right internship. Then, he joined Beta Alpha Psi, an honor organization for financial information students and professionals that successfully transitioned to online events.

Chandi remembered working with a small student cohort on a monthslong technology project, and they presented results to staff while at an internship. This kind of project-based learning on the job has been essential to understanding how the skills from the classroom fit into his future career.

The ASCPA has joined other state societies in supporting the Center for Audit Quality’s Accounting+ initiative, which uses social media to engage historically underrepresented Black and Hispanic communities to show them opportunities in the accounting profession.

“Students may not know a whole lot about real-world accounting when they graduate, but the experiences we got in school set us up to learn quickly,” Chandi said. “When I entered my first internships, I felt kind of lost. I thought I needed to know everything on day one, and if I didn’t, I would be behind. But, that wasn’t true. Everyone was willing to help me learn.”

Targeting the CPA at the Private Four-Year University

Driving 25 minutes west, it’s easy to spot Grand Canyon University from the I-17. In 2021, the private Christian university broke their record for total campus-based enrollment as it welcomed 23,500 students in the fall. GCU’s accounting department split the accounting degree into two tracks: one designed for general accounting and another for public accounting, with an emphasis on preparing students to pass the CPA exam.

Kelly Damron is an associate professor of accounting who has been teaching at GCU for 10 years.

According to Damron, around 85% of her intermediate students in the public accounting track plan to sit for the exam. Though the split between tracks is close to even, Damron expects the numbers to shift as students learn more about their options.

“The goal of splitting the program was to improve the quality of our CPA candidates,” Damron said. “The students in our general accounting

track are bettered suited for jobs that don’t require a CPA certification.”

Still, some of the professional acumen comes only from experience. Damron recalled a conversation with a student who missed an internship application deadline.

Continued on next page...

The ASCPA visits university events year-round to inform students on the CPA credential.

“I don’t think she realized how important some of those deadlines are,” Damron remembered. “The lack of knowledge of the accounting profession is one of the biggest challenges we have with our students.”

In the fall, GCU hosts its second annual accounting orientation, now mandatory for students to inform them on the industry and how to best prepare for their career.

Accessibility and Exploration at Community Colleges

South Mountain Community College sits at the base of the mountain it’s named after in a part of southern Phoenix that is quickly developing.

Of the approximately 5,000 students enrolled at SMCC, nearly 70% are first-generation college students and 80% identify as a minority. Few students have ever heard of the CPA designation until they see it at the end of Brian Smith’s name when they take an introductory accounting course.

“These students are all juggling schoolwork and other responsibilities at home,” Smith explained. “A lot of my students are under a lot of stress. They’re in school because they want to pull themselves out of the cycle. They want to better themselves and better the situation of their families.”

Postsecondary education poses an extra challenge for first-generation students. On top of a lack of financial resources, they may feel that they don’t belong. They might not have a family member or friend to help them navigate selecting courses, finding deals on textbooks or answering questions on financial aid, or what resources are available.

On a misty Tuesday, classes are back in session after spring break. Smith’s students, numbering about 20, sit in desks in groups of four. He opens class by reminding students to submit any late work for partial credit before the window closes after the midterm on Thursday.

“Are you sharing a study guide?” One student asked.

“Yes, I’ll be posting it right after today’s class,” Smith replied. “If I don’t by DECA today, send me an email.”

Students share their vacation details, like visits to Colorado, California and Lake Havasu. Many of these students chose business majors to explore different career opportunities.

“I tell them all the time, you can be a manager with an accounting degree,” Smith said, “but you can’t be an accountant with a management degree. Take the path that opens the doors.”

Yesenia Escareno is a first-generation student who attended South Mountain Community College on a full-tuition scholarship. She was one of many business majors still exploring career options when she took Smith’s accounting course during her first semester.

For Escareno, learning the concepts came naturally to her, and Smith encouraged her to pursue accounting.

“He was kind of my mentor the whole time,” she said. “After my first semester, I decided that I was going to focus on accounting.”

She graduated with her associate degree and transferred to Arizona State University. Escareno graduates this month with her bachelor’s.

“I wish I had known to start the transfer process a lot earlier,” she said. She had missed deadlines for scholarships and early enrollment that could have created a more concise class schedule. That had passed before she even knew she wanted to transfer. “It was a big change going from community college to the university. Sometimes, I felt like I was behind. The classes were bigger, and it was a bit harder to get in touch with professors one-on-one.”

Professors and educators, regardless of the institution, wear many hats to help students succeed. They keep current on the industry, teach new concepts and catch students up who may have missed key soft skills, like following directions for assignments or effectively taking notes. According

Brian Smith chats with students about spring break before reviewing for a midterm exam.

“Accounting is one of the most difficult business majors around,” Damron admitted. “It is sometimes really hard to encourage students to actually go to events like Meet the Firms because they’re afraid to go. They’re likely to be introverts. They might lack those social skills. Going to an event where they have to put themselves out there is really hard for them.”

to Smith, 90% or more of his students don’t know Excel or only know the most basic applications. It’s a skill he wishes more students were familiar with.

On-campus clubs like DECA, a not-for-profit career and technical student organization, can play a big role in student engagement and developing professional and leadership skills. DECA is funded by the Department of Education to prepare the emerging leader and entrepreneur within high school and college students. At conferences, students are judged by working professionals in 30 competitive events. They’re given a problem to solve by researching, critically thinking and role playing through professional scenarios.

Smith has been SMCC’s DECA advisor for four years. At the last conference, two of his students placed in the top three in the accounting competition.

“We teach them soft skills and how to interview,” Smith said. “We do community service. When they’re in the workforce or seeking employment, we want to set them up to be successful. It’s a really good place to test drive your major and what you want to do. If you don’t like it, you can try something else.”

Barbara Gonzalez, division chair of business and computing studies with Maricopa Community Colleges, teaches at Chandler-Gilbert Community College, a 30-year old campus that has expanded and been renovated over the years. It’s a mix of old and new, just like SMCC. In her class of about 30 students, she is often on her feet: writing notes on the white board, circulating as students work through examples and back to the computer to type formulas in Excel.

Calculators click furiously as students work through the sample problems, aided by an embedded tutor that provides extra help during class. Gonzalez calls students out by name, and they walk to the board to show their work for today’s lesson involving reporting costs and income statements.

She’s passionate about helping students succeed, and maybe persuade them to try accounting along the way. With some students, it just clicks.

“They ask different questions, more probing questions,” she said. “I just sent a resume to a CPA firm looking for an intern. I think he’ll get it because he’s also a veteran. He’s hardworking. He’s a great student and good writer too, which can be hard to find.”

As students start looking for internships and work experience, she’s seen that some organizations already have a reputation. She remembered a student that wasn’t interested in applying for a well-paid position because of the company’s values and culture.

According to a 2021 Gallup poll, young Millennials and Gen Z want their organization to care about the employees’ wellbeing above all else. These values are exemplified in how organizations pay their workers, respect their time off and invest in their employees through wellness programs and professional upskilling. There is a lot of untapped potential at Arizona community colleges. While traditionally these schools only offer two-year degrees, Maricopa Community College will start offering bachelor’s degrees in the fall. The scope is limited to only seven majors, in areas like education and information technology, but there is hope to include accounting one day. l

What You Can Do To Help

As the cost to obtain a fouryear degree increases, financial support can make a difference in the lives of accounting students. Over almost 30 years, the Arizona CPA Foundation for Education & Innovation has been rewarding exceptional applicants with scholarships at private and public Arizona universities. Support future accountants:

www.ascpa.com/foundation

Some community colleges, including Barbara Gonzalez’s own CGCC, have started offering four-year degrees.

“Most of them want to be with a company that they feel is contributing to society,” Gonzalez explained. “They want to make sure it’s a reputable company; that there is work-life balance.”

The Student Connect Site is a members-only online community where CPAs and accounting students collaborate. ASCPA members are invited to share their expertise as CPAs and inspire students to continue their path in accounting.

Job Shadow Day offers students an up-close look into a day in the life of CPAs. Students will see how the skills they learn in school are put into action.

ASCPA members will showcase their organization’s culture, answer questions and highlight the diverse career opportunities in accounting for accounting students. This interactive in-person event will be hosted at various firms and companies throughout the year.

Support Accounting Students Through ASCPA Volunteer Activities

The ASCPA is investing more resources into student outreach. ASCPA staff member Jamar Jones has been promoted into a new position: Student & Member Engagement Coordinator. Based on focus groups with college students, the ASCPA has identified areas where our organization can be a resource.

“Many of the students that I have met are very interested in pursuing a career in accounting,” Jones said. “Quite a few would like to learn more about the different paths that are available for those in the profession. The ASCPA is in a great position to assist accounting students by showcasing all the specialties within the profession.”

See what initiatives the ASCPA is bringing to students with your help this fiscal year:

Roundtables are on-campus events where accounting students and CPAs are brought together in roundtable discussions on topics such as leadership, networking and career acumen. Facilitated by the ASCPA, these small group dialogues let students hear from CPAs.

What You Can Do To Help

Community Service Projects connect accounting students and active CPAs. Organized by the ASCPA, attendees will team up off-campus as a volunteer group to engage with each other in a casual setting and make a positive impact.

The Road to the CPA educates students about the accounting profession. This interactive program presents information on the CPA exam, the certification process and resources offered by the ASCPA. Members are invited as CPA panelists to answer questions and share their career experiences.

Ready to get involved in our new student initiatives? We are looking for ASCPA members who are interested in contributing to the student Connect group, attending new events and providing expertise at our on-campus events. Complete our interest survey: www.ascpa.com/studentengagement

How Your ASCPA Membership Works For You

You support and belong to the largest CPA community in Arizona.

As a member, you help advocate for the CPA profession and you invest in the growth of CPAs by volunteering your time and expertise. Here are some of the ways your membership contributes to the future growth of the CPA profession.

Engage with the Next Generation of Accountants

Participate in new groundbreaking student initiatives. Learn more about these programs in this magazine.

When We Speak, Lawmakers

Listen

Stay at ease knowing the ASCPA serves as the voice of the profession at the Legislature.

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• 140 new self-study courses from 1-30 CPE credits on topics like A&A, tax, business law and management.

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Let’s Meet

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Access relevant CPE, with new offerings this fiscal year.

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• Save an additional 15% when renewing and registering by May 31, 2023.

• Save an average of $360 by taking advantage of the eight free webinars.

• Use the Connect site to get answers to professional questions that are keeping you up at night.

To learn about the CPE offerings or to register, go to www.ascpa.com/cpe

We want to learn about your organization’s professional needs to maximize the value of your membership and show our appreciation. If you would like us to meet with you and your team, please email Cynthia at cquinonez@ascpa.com to schedule an in-person or virtual meeting.

Advocacy Impact

1,628 pieces of legislation reviewed for impact to the profession

March 3

Gov. Hobbs signs her second bill: income tax conformity - SB 1171

10 events engaging with lawmakers & members

• Advocacy Win: We defended against efforts that devalued the CPA credential and jeopardized reciprocity and substantial equivalency.

• Enduring Partnerships: We collaborated with ASBA on a substantive policy statement, regulatory issues and ongoing professional licensing efforts to protect the credential and public.

To learn about advocacy, go to www.ascpa.com/advocacy

Happy 50th Anniversary

members continue to support the ASCPA with their membership. Thank you for believing in our work at the ASCPA to advocate, connect, and maximize the value of the CPA profession. Congratulations on 50 years of membership!

Meet our 2023–2024 Board of Directors

Vision

The ASCPA is essential to all CPAs in Arizona.

Mission

We create professional opportunities for members and prospective members to maximize their potential.

Values

Collaboration

Integrity & Ethics

Diversity, Equity, Inclusion & Access

Continuous Growth & Innovation

Andrea Levy

ASCPA Chair

VOICE Amplified

Childhood Dream Job: Botanist

Lauren Murro ASCPA Chair-Elect

Eide Bailly LLP

Childhood Dream Job: Lottery Winner

Eugene Park ASCPA Secretary/ Treasurer

Heinfield, Meech & Co., P.C.

Childhood Dream Job: Starting Point Guard (Phoenix Suns)

Rachael Crump

Immediate Past Chair

Insight Enterprises, Inc.

Childhood Dream Job: Engineer

Joe Heidleburg

ASCPA

Executive Committee Member

Align Technology, Inc

Childhood Dream Job: Doctor

Austin Billingslea ASCPA Director

Arevon Energy

Childhood Dream Job: Firefighter

Ben Cilek ASCPA Director Best Western International

Childhood Dream Job: Center Fielder (New York Yankees)

Dave Collins ASCPA Director Blue Yonder, Inc.

Childhood Dream Job: Architect

Tithi Debnath

ASCPA Director

Deloitte & Touche LLP

Childhood Dream Job: Genetic Engineer

Marissa Graves

ASCPA Director

Sportiqe Apparel Co.

Childhood Dream Job: Bakery Owner

Ignatius Jackson ASCPA Director

Ignite Accounting LLC

Childhood Dream Job: Police Officer

Gabrielle Luoma

ASCPA Director MOD Ventures, LLC

Childhood Dream Job: Rancher

Dennis Osuch

ASCPA Director

Osuch Consulting PLLC

Childhood Dream Job: Police Officer

Lisa Parke ASCPA Director Walker & Armstrong, LLP

Childhood Dream Job: Accountant

Jesse Porras ASCPA Director Baker Tilly

Childhood Dream Job: Major League Baseball Player

Stella Shanovich ASCPA Director BDO USA, LLC

Childhood Dream Job: Singer/Songwriter

Mike Allen AICPA Council Member REDW LLC

Childhood Dream Job: Stockbroker at the NYSE

Jared Van Arsdale AICPA Council Member Ullmann & Company, PC

Childhood Dream Job: “Something that generated cash in unreasonable amounts of time.”

Oliver Yandle President & CEO Arizona Society of CPAs

Childhood Dream Job: Game Show Host

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Workplace Trends: The Four-Day Workweek

By Haley MacDonell

In June 2022, the four-day workweek was put to the test in the largest pilot program to date, involving nearly 3,000 employees in the United Kingdom.

Some organizations hope that a new way of working will help teams recover from burnout, entice new talent and improve retention, especially for organizations that prioritize working in-person.

Six months after the trial began, the results are in: Of the 61 participating companies, 56 said they would continue four-day workweeks. Of those companies, 18 said they planned to make the change permanent. Three companies did not want to continue any element of the concept.

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What is a four-day workweek?

In the pilot program, each company chose what abridged workweek model aligned with their business needs. The changes were flexible depending on the business, with the end goal being to “meaningfully” shorten employees’ workweeks, while still receiving 100% of their pay. Here are a few of the options companies operated under during the six-month period:

• Fifth Day Stoppage: The company shuts down operations for one additional day weekly. This was more important for organizations that prioritized collaboration over five-day coverage.

• Staggered: Staff alternate days off to continue operations MondayFriday. For example, one team takes Mondays off and another team takes Fridays off.

• Decentralized: Departments work on different schedules depending on their needs. This might include a team who operates on a fifth day stoppage model and another who works 32 hours over five days.

• Annualized: Under this model, workers average 32 hours of work weekly, but it does not specify a day off. For example, an organization with a busy season compensates for longer operating hours (40+ hours) during one part of the year with shorter work days later so the annual average is 32 weekly hours.

• Conditional: As long as performance targets are met, employees are only required to work 32 hours weekly. In one example, a company alternating on a decentralized model determined KPIs each team needed to meet.

Who was included in the study?

Advocacy group 4 Day Week Global, research organization Autonomy and researchers at Boston College and the University of Cambridge collaborated on the pilot.

Of the participating organizations, 9% were in finance and insurance and 11% were charity/not-for-profit. Two-thirds of the participating companies were small, with 25 or fewer employees who had already explored the concept of flexible work, such as working remote. Additionally, 90% of the participating employees were white and 68% had at least an undergraduate degree.

What was the result?

Of the employees who participated, 15 percent said that “no amount of money” would convince them to go back to working five days a week. According to the researchers’ reporting, revenue “stayed broadly the same” and resignations decreased. Participants were less likely to report feeling a lack of time to take care of children, grandchildren and aging parents.

What’s the catch?

Opponents of the four-day workweek note that the concept is not feasible for industries such as child care and health care, which already face talent shortages. Other skeptics think that employee productivity will eventually level out should a four-day week become permanent.

How is this in practice in the accounting industry?

In 2022, KPMG in Canada turned every weekend into a long weekend in July to reduce stress and develop a resilient workforce as part of their diversity, equity and inclusion initiatives.

Closer to home in Arizona, some governmental departments like the city of Tolleson and Goodyear have adopted a spin on the four-day workweek: four 10-hour days.

What do you think?

Get involved in the conversation on Connect, the ASCPA’s member exclusive forum. Go to www.ascpa. com/fourdayweek to share your thoughts. l

What industries did participating organizations work in?

5 Steps for Restructuring Thoughts & Reducing Stress

By Alfonso Perillo, CPA (licensed in MA), LICSW

There are many articles that offer advice about managing stress, and you’re likely familiar with the tools: engage in self-care by eating well, exercising and getting enough sleep, set boundaries with clients (and even supervisors), delegate, etc. These are excellent tools to cope with stress, which is the human response to external triggers; however, stress management tools are insufficient in reducing anxiety and depression, which are caused by internal triggers.

These triggers are how you perceive and respond to both external stressors and to your own thoughts and emotions. While clinical anxiety and depression require treatment from a qualified mental health professional, the following addresses the normal experience of temporary and subclinical anxiety and depression, and the occasional experience of sadness, anger and burnout.

The role of thoughts

Humans perceive and make judgments about day-to-day and moment-to-moment experiences with a wide range and number of automatic thoughts. These thoughts are often just below conscious awareness, occur rapidly and are assumed to be true. Negative automatic thoughts are the internal triggers that can cause emotional distress, which is why you can experience stress, without your perception of the situation that causes emotional distress, not the situation itself. While experiencing negative emotions can feel bad and you can generally tolerate these without adverse consequences, sometimes they can lead you to act in ways that are inconsistent with your personal and professional values.

For example, let’s say you get an upsetting email from a client asking about the status of their return. If you think, “No big deal, I’ll call them and resolve the problem.” You’ll likely feel confident and calm and will be able to address the issue. If, on the other hand, you think, “This tax season is the worst!” You will likely feel anxious, possibly even angry, and may behave in an unproductive way by avoiding the client or writing a harsh response. It doesn’t stop there. In the example above, you might realize that your email was too harsh, causing you to feel regretful and possibly even anxious. This downward spiral of thoughts and emotions is called rumination and is a behavior where your mind tries to resolve emotional distress by thinking about it. Unfortunately, rumination usually results in unhappiness and distraction, which in turn leads you to falling even further behind.

How to Improve Your Thinking

Thought restructuring is a way to challenge or modify negative internal thoughts to cope with internal triggers and is one of the many skills mental health practitioners teach their clients. Here are five steps to practice thought restructuring:

Step One: Notice the Change in Mood

How do you increase awareness of automatic thoughts? The key is to connect with your emotions, which are typically perceived as positive, negative or neutral. The first step is to notice the downward turn in mood and ask yourself, “What was I just thinking?” It may even help to jot down your thoughts.

Step Two: Measure Your Mood

Your mood changes and fluctuates throughout the day. It can be helpful to measure the intensity of your negative emotions using an internal thermometer with a scale of zero to 10, with 10 being the most intense. Write this down next to your thoughts from the first step.

Step Three: Identify the Unhelpful Thought Negative or distorted thoughts are thought patterns that create an inaccurate, rigid and unhealthy view of reality. The following is a list of common distorted thoughts:

• Catastrophizing or awfulizing (predicting the worst-case scenario or outcome)

• All or none thinking

• Emotional reasoning (believing something to be true because you feel it is)

• Discounting the positive and only seeing the negative

• Labeling (putting a fixed label on yourself or others)

• Overgeneralizing

• “Should” thinking/statements (inflexible expectations for how you or others should behave and overestimating how bad it is when these expectations are not met)

Step Four: Thought Restructuring

Once a distorted thought is identified, you can challenge the thought to lessen its power. Challenging the assumption of “trueness” is the key to thought restructuring. As you notice the thoughts, make a mental

note about the type of distortion, as well as evidence for and against the thought to identify facts. Facts are what data shows is true and are often confused with opinions, judgements or assumptions. This can be difficult, as we are generally inclined to view our beliefs as facts and rarely challenge them. The goal of cognitive restructuring is not to simply discount the negative thought and replace it with a positive one, but rather to have a more balanced thought. In this case, identify the thought, “This is the worst tax season ever,” as catastrophizing and overgeneralizing, and challenge it by examining the facts and with skepticism.

How do you know it’s the worst tax season? What data supports this? Restructure the thought by coming up with a more balanced one, such as, “This is a difficult tax season, but I’ve coped with tax seasons before,” or, “This is one client who is anxious about their taxes, and other clients are generally reasonable.” Write down the more balanced thought.

Step Five: Rechecking Your Mood

After completing the exercise, observe whether your anxiety has decreased. In general, you’ll know the exercise has worked if your negative emotions have lessened. You’re not necessarily looking for your anxiety to go from a seven to zero, so even if your anxiety goes down to a five, this means you’ve reduced it by 29%! Practicing thought restructuring is an effective tool to manage negative emotions and increase the likelihood that you behave in a way that aligns with your values. Like most tools, it takes persistence to do this well, but the more you do it, the sooner you will reduce your anxiety and change your mindset. l

Alfonso Perillo, CPA, LICSW, is a behavioral health clinician at Lahey Health Behavioral Services. Contact him at aperillo@comcast.net. Reprinted with permission by the Massachusetts Society of CPAs.

What’s Happening at the ASCPA?

Road to the CPA

The Road to the CPA is an on-campus event hosted by the ASCPA that helps students understand accounting career opportunities and the CPA certification process. ASCPA staff led the event at Arizona State University on April 4 and the University of Arizona on April 11. Thank you to panelists Nicole Bartlett, Coulson Painter, Yue Michelle Zhang, Caron Mitchell, Michelle Howell, Steve Wanger and Sean Bowen.

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May 18

Annual Meeting & Awards Luncheon

Arizona Biltmore

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Celebrate the past fiscal year of achievements with the ASCPA! Our premiere event of the year brings together honorees including our outgoing chair, our newest Life Member and the 2023 Excellence in Teaching recipient.

May 19

Legislative Scoop

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Each 30-minute webinar brings you inside the Arizona policymaking process with our advocacy team and a state legislator. The biweekly series will keep you updated on impacts to the profession until the end of June.

June 23

Not-for-Profit Conference

Desert Willow Conference Center & Webcast

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Get up to speed on the most pressing issues facing not-forprofit organizations today. Plan your perfect day with a mix of auditing, accounting, fraud, leadership, strategic planning and tax topics relevant to the changes in your industry.

Arizona CPA Foundation for Education & Innovation Board Meeting

Tom Duensing, Lauren Murro, Eugene Park and Nancy Thomas met for the last time during their tenure as the 2022-23 Foundation Board on March 22. During this meeting, they approved this year’s scholarship recipients as chosen by the Scholarship Committee.

AZ CPA Quick Quiz

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Go to www.ascpa.com/quickquiz to access links to all active quizzes. Once a quiz is purchased, a link and password will be emailed to you. Your results will be sent immediately after completion, and certificates are emailed within five business days.

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Converge is the ASCPA's annual conference, combining eight specialty areas to bring attendees two days of cutting-edge content to Arizona CPAs. Learn more: www.ascpa.com/converge.

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