By J. Gregory Kashella, CPA

There has been a lot of discussion in the accounting community concerning issues with remote work. Most of these have concerned taxation issues involving remote workers, how to accomplish audits remotely, efforts to maintain data security, and other task-related concerns. Among all the proclamations and problem-listing, I have found very few articles discussing the merits of remote work.

Although it became much more prevalent during the COVID-19 pandemic in 2020 and 2021, the idea of working remotely was around years beforehand. One famous businessman, in fact, put the concept to work in the 1960s, even though the equipment we rely on today did not exist. This short article points out the basis for why remote work is beneficial.

In the late 1960s there were no cell phones – you made calls on a land-line phone or you didn’t make a call. Computers were large and required punch cards, large tape drives, and a computer operator. “Word processing” was a typewriter, and companies were proud to have IBM Selectric typewriters that had interchangeable typeface balls.

Hugh Hefner, who ran HMH Publishing (later known as Playboy Enterprises Inc.), was headquartered in Chicago at the time. He observed the numerous habits of workers and executives during the workweek that made their lives inefficient. Here are just a few:

• Time commuting to work – People spent hours during the work week riding commuter trains, buses, and driving. After disembarking the train or bus, or after fighting over parking, the workers had to spend more time walking to their offices.
• Time for lunch – People either brought in food, which required preparation at home before leaving for work, or went out to restaurants and food trucks. Going out required time getting to the restaurant or food truck, waiting to be served, eating, and then rushing back to the office.

Hefner decided to set up an office in his personal residence. He soon gained the efficiency of not having to commute and not having to wait for food when he wanted to eat. He could begin working as soon as he got up in the morning, and if he had an idea in the middle of the night he could get up for a few hours and work on that idea. He could also work hours other than the 9-to-5 routine, affording him more flexibility.

Working from home also gave him time to keep up with world events since he could watch news broadcasts instead of commuting to and from the office. This would be akin to some CPAs and financial planners keeping up with market movements.

Hefner did find it necessary to make the time to work at the corporate office for the same reasons that accountants do today: to meet with staff and clients (which were advertisers). Overall, though, he found the combination of remote and office work to be efficient.

The management of Smoker, Smith & Associates PC has found an increase in productivity when remote work is permitted on a large scale. It would be interesting to find out how other accounting firms have fared with productivity and remote work.

^{The point of this article is to highlight one of the origins of remote work and not to endorse Hefner or the Playboy Philosophy.}

J. Gregory Kashella, CPA, is the financial statement technical review manager for Smoker, Smith & Associates PC in Hershey, Pa. He can be reached at GKashella@SmokerSmith.com.

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^{Statements of fact and opinion are the authors’ responsibility alone and do not imply an opinion on the part of the PICPA's officers or members. The information contained herein does not constitute accounting, legal, or professional advice. For actionable advice, you must engage or consult with a qualified professional.}