During a recent visit to Alignable, I came across a discussion that hit home:

“What’s the biggest challenges for CPA small business owners right now in terms of compliance, HR, and payroll and how IT can help?”

It’s a great question and one we hear often from clients at Simplified IT Consulting. CPA firms aren’t just managing their own operations; they’re also trusted to handle sensitive data for countless other businesses. That comes with a heavy load of responsibility and many moving parts.

Here’s what we’ve seen as some of the biggest challenges for CPA small business owners, and how the right IT support can make a real difference.

Compliance & Data Security

Let’s face it, compliance isn’t getting any easier. CPAs must juggle IRS requirements, the FTC’s Safeguards Rule, SOC audits, GLBA, and increasingly strict state privacy laws.

Common challenges:

• Storing sensitive tax documents without encryption

• Skipping regular cybersecurity assessments

• Not using multi-factor authentication (MFA)

• No clear response plan for data breaches

How IT helps:

• Encrypted, secure backups and file storage

• Endpoint protection and real-time monitoring

• Ongoing compliance assessments and documentation

• Support for MFA and identity/access management

• Guidance in building or updating breach response plans

HR Management in a Digital World

Finding and keeping good people is tough—especially when you’re also trying to manage remote workers, onboarding, and sensitive employee records.

Common challenges:

• Scattered or insecure HR document storage

• No defined access permissions for employee info

• Disorganized remote onboarding/offboarding

• Staff not trained in basic cybersecurity

How IT helps:

• Centralized, cloud-based HR document management

• Automated access control based on roles

• Remote onboarding tools with secure setup guidance

• Security training to build awareness across your team

Payroll Compliance and Integration

Payroll isn’t just about cutting checks anymore. From multi-state tax rules to evolving labor laws and employee classification, it’s a lot to keep up with.

Common challenges:

• Manual payroll processing in spreadsheets

• Poor or outdated recordkeeping

• Payroll not syncing with HR or compliance platforms

How IT helps:

• Integrated, cloud-based payroll and time-tracking

• Systems that auto-update with new tax rules

• Automated reporting and record retention features

• Secure portals for employees to view pay stubs, W-2s, etc.

Final Thought

CPA firms are built on precision and trust, but today, that trust has to extend to your tech, too. A strong IT strategy doesn’t just “fix computers”, it helps you stay compliant, protects your data, and supports smooth operations across every area of your firm.

If these challenges sound familiar, you’re not alone. Let’s keep the conversation going, because the more we share, the stronger we all get.