PRESS RELEASE 

Philadelphia, PA – (February 25, 2025) - The Pennsylvania Institute of Certified Public Accountants (PICPA) is pleased to release its latest Insights report: 2025 Compensation and Benefits for Accounting Firm Leadership: A Strategic Guide. This in-depth report provides a comprehensive analysis of how Pennsylvania accounting firms are structuring compensation, navigating retention and recruitment challenges, and adapting benefits to remain competitive in an evolving workforce landscape.

“Our latest findings make it clear: salary alone isn’t enough to attract and retain top talent in today’s market and firms need to be thinking differently about what matters,” says Jennifer Cryder, CPA, MBA, CEO of PICPA. “Holistic compensation strategies that include competitive benefits, flexible work arrangements, and clear career development pathways are critical in today’s world. Above all, we intend for this report to provide firm leaders with the insights they need to build a sustainable workforce for the future.”

Key Findings from the Report:

• Retention Challenges Persist: Firms are experiencing inconsistencies in their ability to retain talent, with 48.3% reporting an increase in staff retention, while 24.1% saw a decrease and 27.6% said retention remained stable.
• Compensation Changes Are Steady: Firms reported an average salary increase of 8% in June 2024, up from 5% in July 2023, indicating slow but consistent average salary growth.
• Benefits Matter More Than Ever: Offering comprehensive benefits remains a priority, with 88.5% of firms providing medical insurance, 80.8% offering dental coverage, and 73.1% including vision insurance for employees.
• Recruitment Strategies Are Adapting: Efforts to attract talent are shifting, as 58.7% of firms increased their hiring activity over the past year, while 37.9% maintained steady recruitment levels.
• Flexible Work Policies Are in Demand: Many firms are responding to employee expectations for work-life balance, with 80% allowing flex hours outside of core hours and 76.9% offering flexible work options year-round.

With 54.2% of firms identifying hiring and talent retention as a top priority in 2025, the report emphasizes the need for firms to move beyond traditional compensation models. A shift towards total rewards strategies—integrating salary, benefits, professional development, and work-life balance—is essential to attracting and retaining top talent in an increasingly competitive market.

The PICPA Insights Report Series continues to provide data-driven guidance to help CPA firms navigate industry challenges.

To learn more about the findings and recommendations from this report, visit www.picpa.org/insights.