2023 was a special year for the New Jersey Society of Certified Public Accountants (NJCPA), as the organization marked its 125th anniversary serving the needs of and empowering accounting and finance professionals here in the great Garden State.

The organization was founded Jan. 19, 1898, by four New Jersey accountants: Richard Stevens, Andrew Patterson, Leonard Conant and Charles Phelps. The stated purpose was “for the mutual aid and protection of accountants in raising and maintaining among their number a standard of proficiency and integrity and in advancing the general interested of accountancy and securing its proper recognition as a profession.”

Among its first goals was advocating for the passage of legislation to regulate the accounting profession in New Jersey, which was signed into law in April 1904. The measure created the Certified Public Accountant license in New Jersey via the newly established New Jersey State Board of Public Accountants (now known as the New Jersey State Board of Public Accountancy).

In May 1905, the organization’s first Constitution and Bylaws were adopted under the new name of the Society of Certified Public Accountants of the State of New Jersey, which stuck until May 1934 when the name was changed once more, to its current one – The New Jersey Society of Certified Public Accountants.

Since those humble beginnings, NJCPA has grown into an organization with more than 13,000 members, which it supports in a variety of ways, such as: advocacy, educational resources, access to shared knowledge, groups and committees that serve members’ interests as well as holding an annual convention and expo, which in 2022 returned to in-person event in Atlantic City, following the pandemic.

NJCPA has celebrated its milestone anniversary throughout 2023 in a number of ways, including at the annual convention, with an installation of a “history wall” at its current offices in Roseland, a golf outing, a special section in its summer issue of New Jersey CPA Magazine, a retrospective of the majority of the living past presidents, and an extensive online history timeline.

Looking back, forging ahead

Recently, NJCPA invited NJBIZ for a roundtable discussion on the organization’s history, industry challenges, areas of focus, its future and much more.

That conversation included:

• Aiysha (AJ) Johnson, CEO and executive director, who was hired earlier this year as the replacement for Ralph Albert Thomas, following his retirement after more than 20 years leading the organization;
• Alan Sobel, managing principal of the New Jersey offices of CliftonLarsonAllen (CLA) and NJCPA past president (2020-21);
• Sarah Krom, managing partner of SKC and Co. and the youngest NJCPA president, at age 35 when she served in 2018-19;
• Two longtime staffers – Theresa Hinton, chief operating officer and Rachael Bell, content and communications director, as well as this reporter.

Bell opened the discussion by noting and pointing to that original mission set by NJCPA’s founding members — advocating for the regulation of the profession in New Jersey, because the CPA did not exist when the organization started.

“That was their No. 1 mission. And they succeeded,” said Bell. “Then the CPA became a thing in this state. Our name did not have ‘certified public accountant’ in it in the beginning – because there was no such thing. I think that’s a really neat backdrop to the whole thing – the power of people coming together and what they can accomplish. And that’s what this organization is still about – in my opinion.”

Bell discussed how the organization has grown, adapted and evolved to meet its members’ needs over her three-decades-plus tenure – all with a small team of about just 30 staffers.

“We constantly try to evolve our technology and tools to help members,” said Bell.

“I would say on a day-to-day basis, we continue to advocate for the profession,” said Johnson. “That has not changed, and it is not going to change. One of the things that sticks out in my mind is the pandemic and just knowing how the team came together to be nimble and to respond proactively to members’ needs during that time.”

In previous discussions with NJBIZ, Johnson had talked about spending the first few months of her tenure hitting the ground to meet with members and stakeholders – hearing their concerns and challenges as she dives into this new role. That outreach had a major focus on strengthening the talent pipeline, which also came up numerous times during the current conversation and is something NJBIZ has covered extensively, reporting on the innovative Work for Credit Programs between PwC and Saint Peter’s University and then between Seton Hall and Withum.

Krom noted the challenges that the industry faces in this area.

“I run a firm in Morris County, so we have had challenges with hiring as everybody has – the whole profession. But there’s connections that I have made through the state society that have helped retain and bring on talent through different relationships over the years that I have built up,” she explained.

Sobel said that this is an age-old problem, but one that has now compounded itself into something bigger.

“And I think the numbers are a little bit more dire than they have always been,” he explained. “But there has always been an issue within the accounting profession of not only attracting people but retaining them – getting them to stay within the profession. We just have a unique challenge right now – probably unlike we have had in a long time because accounting graduates are way, way down.”

‘Telling the story’

The participants of the discussion agreed it is a critical time to tell the story of the profession and the opportunities it offers. The anniversary provided the perfect occasion to do just that.

“Everyone is talking about telling the story – telling positive stories about what you can do in accounting,” said Johnson.

The conversation continued through a number of topics, swinging back to the talent pipeline; regulation; technological challenges and opportunities, like AI; the CPA exam; remote work and more. The participants then went around the table and spoke about something they are proud of that has happened or was accomplished since being part of NJCPA.

Johnson said coming into this role, she was attracted to the organization because of its history as a strong group with solid membership.

“But now I can personally say just how great our members and team are,” said Johnson. “So, I am really proud of everything that has been done and what we are continuing to do – with our pipeline task force and how we come together, and we plan ahead for the future as much as we can internally. These are challenging times, but I think we have a great opportunity to share our story, to continue to be involved in advocacy business efforts – to be a connector, also, throughout the state. And so, I am really excited about those opportunities.”

“I think one of the things I am most proud that we did, and it continues to become an even stronger benefit of our membership – is our online community,” said Bell, about the effort, which launched with a narrow focus but has evolved over the years.

“I’ve been here for about 20 years. I’ve worked in pretty much every department in the organization,” said Hinton. “For me, the thing that I am most proud of is our volunteers. We have 13,000 members – but we have really 200 to 250 active members – really out there doing stuff every day to help move the profession forward and giving up their time and energy and resources.”

“Personally, I am most proud of being the third female president. And I think I am still the youngest in 125 years,” said Krom. “And I am very, very confident that somebody will beat that statistic – probably in the next 10 years, and that’s a good thing. That’s probably what I am most proud of – is seeing the younger people come up.”

Krom touted the emerging leaders that rising in the ranks, saying they exhibit strong characteristics in terms of leadership and volunteering.

“Talking about what happens in firms with retaining talent, we have an amazing, talented group of volunteers and staff – of course,” said Krom. “And I don’t see that bench shrinking. I am most proud of that being so strong.”

“I joined the Society because you were supposed to join the Society. And then it became – kind of a lesson that I have learned in life,” said Sobel. “Which is that you are supposed to give back to your profession. And what I have learned is that the more I have given over the years, the more I have received in return.”

As for an accomplishment, he pointed to the passage of legislation that became the Pass-Through Business Alternative Income Tax Act (BAIT). Signed into law by Gov. Phil Murphy in 2020, Sobel and NJCPA played a key role in developing and drafting BAIT — and have both received awards for their efforts.

“Saving a billion dollars for New Jersey business owners last year in federal taxes as a result of that,” Sobel explained, noting that more than 20 states have followed suit.

To close out the discussion, the topic shifted to what’s next for NJCPA in its 126th year — areas of focus, challenges and initiatives.

“There will continue to be a lot of activity in 2024 – I think a couple of opportunities,” said Johnson. “One, we know that pipeline is an issue. But, hopefully in 2024, we can narrow down our focus in how we prioritize our activities and our resources in order to continue to support engagement.”

“I will say this – it’s 125 years, but our last chapter has not been written yet,” Sobel said in closing. “There is a lot of future in front of this profession.”

Read more from this roundtable discussion recognizing NJCPA’s 125th anniversary, with more insights and quotes, in the Jan. 8, 2024, issue of NJBIZ.