FAO Accountants

Clarkey is being premature here. I was only dishing out my thoughts, didn’t have time to check the correct technical answer.

As for the technical piece in the accounting journal - that piece was written in September but the publication has been postponed for another month :angry:

I guess you get the mag sent to you out East. You will a neighbour of your listed for becoming a conscientious objector and not paying his sub
:slight_smile:

Speaking of the same man, I suppose the concept of a calf draped in a sash as a going-away present would not be relevant in the Dublin offices.

Very disturbing news…

What kind of sick individual would submit falsified accounts. Fuckin animals.

THE WORLD’S ‘BIG FOUR’ accounting firms may be forced to split up their European operations under proposals from the European Commission, which hopes to boost competition in the auditing market.
Ernst & Young, PricewaterhouseCoopers, KPMG and Deloitte account for 85 per cent of the European auditing business between them – but may now be forced to split their auditing and consultancy services under the Commission’s proposals.
The plans, proposed yesterday by internal market commissioner Michel Barnier, would also force companies to change auditors after a maximum six-year period of using their services.
The firms would then have to observe a four-year “cool off” period before the client can hire them again. The rules would also prohibit business contracts requiring audits to be carried out by one of the ‘big four’.
The Wall Street Journal explains that the move was motivated by the perceived involvement of the ‘big four’ firms in the 2008 banking crisis – arguing that the long-term relationships between auditors and clients may have led auditors to ignore underlying risks at big banks.
“Investor confidence in audit has been shaken by the crisis and I believe changes in this sector are necessary,” Barnier said in a statement. “We need to restore confidence in the financial statements of companies.”
BBC News explained that Barnier has previously pushed for similar changes to try and break the market oligopoly enjoyed by the major ratings agencies such as Standard & Poor’s, Moody’s and Fitch.

The Runt is fast becoming the best source of business news on the internet.

I’d like to go on record here and state that I am absolutely against these proposals in their current form. I believe they will only serve to dilute the quality of audit services to clients and unnecessarily drive up audit fees. I’m hoping pressure from the US and Asia will prevent the EU from going on a solo run and pressing ahead with the proposed rules in their current form. If there’s one thing we’ve learned since the onset of this credit crisis in 2007 it’s that global markets are now so entwined we need the authorities in all major centers of commerce acting in concert. The joint actions of the major central banks of the world over the last few days indicate that this might finally be sinking in with those in power.

On the accounting rules, I can’t see a split between the advisory and audit businesses happening. Although the Big Four derive significant revenues from advisory services, the vast majority of these revenues do not come from audit clients. I do however foresee the joint auditor proposition potentially being enforced, indeed I think it’s already part of French law.

The auditor rotation will also probably be enforced in some manner, perhaps requiring companies to put the audit out to tender every six years. My worry with this is that it would constantly require firms to compete on price alone leading to a race to the bottom, meanwhile costs increase as there is a learning curve with taking on new clients.

Worrying times for the profession.

Would like to hear Appendage’s thoughts on the matter.

Far reaching, short sighted and anti business would be my reaction to this briantinnion. This has been in train for a long time and it’ll be a while before anything happens.

Not surprisingly you are correct with regard to France. Those frog cunts require joint auditors and are very restrictive in terms of what non audit services can be supplied by the auditor, which to be fair isn’t the worst thing in the world.

I’m sure those who don’t understand the audit process will be delighted with the proposals but mandatory rotation will result in ridiculous costs and inefficient audits for companies and auditors.

We need to talk about this in detail off line and unite in our opposition to these proposals.

the notion of private enterprise self regulating itself through auditing is farcical.

the conflict of interests are enormous. it is surely anti competitive for kmpg to audit the books of company x and then their prof services arm to quote for work for the same client.

I am out of auditing for a while now. What kind of margins do the big 4 make on audit services?

[size=4]€480 hourly fee for Icarom administrator cut by 25% - High Court[/size]

The President of the High Court today cut by 25% the €480 per hour fees sought by the administrator of insurance company Icarom.
It also cut the average €330 hourly fees for his staff after noting “a great deal of public disquiet at the level of fees charged for this type of work”.
The fees sought had not been objected to by the Central Bank.
Icarom was formerly the Insurance Corporation of Ireland which collapsed in the 1980s leading to an insurance levy being imposed.
The administration has lasted almost 30 years and is expected to conclude shortly.
Some €10m was paid back to the State’s Insurance Compensation Fund out of the administration last year.
Donal O’Connor was appointed Icarom administrator in 1990 and, after he retired in 2008 as a partner in accountancy firm PricewaterhouseCoopers in 2008, the Department of Finance agreed he would continue in that role with the assistance of PWC staff.
Mr Justice Nicholas Kearns said today, because he must be satisfied the fees sought were not in excess of the norm approved by the court, he would not approve these fees and was cutting them by 25%.
In addition to the €480 fee claimed by Mr O’Connor, he was told the average hourly fee of other staff of PWC involved in the administration was €330. That average, the judge noted, took into account the lower rates of “footsoldiers”.
The court heard the hourly rate of partners in PWC was €580 but Mr O’Connor was not seeking that and was instead seeking €480 an hour.
In calculating the hourly rates, Mr O’Connor said in an affidavit he applied the same method of charging and basis of charging used by PWC for any other commercial client.
The rates charged for PWC staff in the period January to December 2011 ranged downwards from €580 for a partner, €470-€390 for directors, €480-€355 for senior managers and €105-€148 for assistants.
The judge approved without alteration the fees sought by Deloitte as auditors to Icaram, which he was told averaged out at €180 an hour.
The firm will receive almost €50,000 for their work for Icarom in 2010 and the judge reappointed it to audit the company for the years 2011 and 2012.
The Central Bank had indicated in a letter to solicitors for the administrator this week it had no objection to the fees application.
In his affidavit seeking approval for the fees, Mr O’Connor said, following transfer of Icarom’s Irish business to another insurer in July 1990, Icarom’s activities have been concerned with the orderly run off of all the liabilities of the remaining business.

That’s some money for the partners. Charging a €148 a hour for a trainee as well and most of them would be lucky to see €300 at the end of the week. What do you charge out at Rocko?

I used to often get from Partners in StokesKennedyCrowley when there was problems with their laptops “Do you realise if I don’t have my laptop I can’t work, and if I can’t work that’s costing the business €500 an hour”.

Did you not give them “buy an extra one for €500 to have a spare” line?

No, I meekly said “yes sir, understand sir, right away sir”

Charge out rates do not equal recovery rates. Except in rare and wonderful occasions.

[quote=“The Runt, post: 466340”]

That’s some money for the partners. Charging a €148 a hour for a trainee as well and most of them would be lucky to see €300 at the end of the week. What do you charge out at Rocko?

I used to often get from Partners in StokesKennedyCrowley when there was problems with their laptops “Do you realise if I don’t have my laptop I can’t work, and if I can’t work that’s costing the business €500 an hour”.[/quote]

You have posted that before.

[quote=“balbec, post: 466344”]

You have posted that before.[/quote]

I live a simple life. It’s not surprising I run out of anecdotes.

Right lads. What’s the story. Had dinner earlier with Mrs Bradley’s niece, she qualified 2 years ago as an accountant, chatting with her this evening, whilst not meaning to pry into her financial affairs she informed me she earns 35k ish, knowing she travels a lot with work I enquired if the travel ans subsistence etc was up to spec, she told me she’s expected to travel from her base she in cork to as far afield as co Meath and carry out her days work there … for no extra. … WTF ??
I know she fought hard to qualify for her chosen degree and she loves her work, but, 35k ? With a degree ? Are things that bad in the private sector ?

Is she any good at her job? Where in Cork is she based?

That’s not the norm from my experience BTW.

She needs to talk to a recruiter.
I was talking to one during the week who said 1 year PQEs are getting 50k a year in Limerick / Shannon

She’s with some big city firm. She recently turned up in nenagh credit union to do a spot check, that’s how we got taking about subsistance and mileage etc.