Modernization is never always good. Commerce has benefited from technological advances, but also has taken damages from deceitful ways of different stakeholders. As the risks get higher and higher, the more complicated the solutions become. With this in mind, accounting services Singapore had evolved from providing just plain accounting services to offering accounting, advisory and auditing services. One type of service that is growing right now is forensic accounting.
What is forensic accounting
Forensic accounting is the use of accounting knowledge for fraud prevention and detection, for court and litigation causes, for claims and dispute resolution and for other causes that involve legal matters.
What forensic accountants do
You can get a forensic accountant by fusing your accountant with detective Sherlock Holmes. Sounds crazy right? It’s just a metaphor; the point here is that a forensic accountant is an accountant and a detective in one.
Forensic accountants can offer two types of services: investigation and litigation support. What’s the difference? Investigation involves examination of the accounting books and the related controls in order to detect possible areas of fraud or gross inadequacy. Litigation support on the other hand is the use of accounting expertise in order to provide evidences and to act as an expert witness in a court of law.
In addition to those mentioned above, forensic accountants can also work on incidents of negligence, bankruptcy, contracts and other cases that involve recovery of damages.
How to become a forensic accountant
If you want to be a forensic accountant, what should be the first thing to do? Enroll in an accountancy course and finish it. Of course you first need the technical know-how before you’ll be able to detect the flaws. After passing the course, your next step is to find a certification course for forensic accountants.
Forensic accounting jobs and salary
Governments need forensic accountants in order to mitigate corruption activities of its officials. Under the table transactions might be so complex that it could not be detected by simply imposing internal controls. Another hurdle governments face in preventing fraud is the volume of transactions they handle. FAs have the right tools to handle these situations.
Private companies hire forensic accountants in order to uncover possible sources of fraudulent activities. FAs are very important in these aspects so it’s imperative for some accounting firms in Singapore to have these professionals.
The average annual salary in the U.S. of FAs is $75,000, though much of them earn more than $100,000. On the other hand, the usual entry-level compensation is $30,000 to $60,000. Of course it’s a no-brainer that their salary should be a lot higher than accountants who only performs bookkeeping services.
Forensic Accounting Certifications
There’s a lot of certifications for aspiring FAs like the Certified Fraud Examiner- a license recognized globally, and is issued by the Association of Fraud Examiners. There are also others like Certified in Financial Forensics and Certified Forensic Accountant.
There’s a lot of available accounting services in Singapore, but some fields are under served. If you want a unique and rewarding profession in accounting, you should consider being a forensic accountant.