KPIs for Accountants: How to Measure Your Accounting Firm’s Performance
Learn to measure, act, and grow based on objective and easy-to-follow data. Measuring performance is the first step toward growth.
Managing an accounting firm is a demanding task: meeting tax deadlines, keeping clients satisfied, and ensuring financial sustainability.
But how can you know, concretely, whether your company is moving forward or falling behind?
The answer lies in KPIs (Key Performance Indicators) — key indicators that allow you to measure reality, quickly detect problems, and guide strategic decisions.
What are KPIs?
KPIs are metrics that translate the company’s performance into clear numbers.
With well-chosen KPIs, it's possible to transform scattered data (number of processes, submissions, complaints, revenue) into useful information to improve results.
Why do accounting firms need KPIs?
They anticipate problems: A missed deadline, a drop in revenue, or a decline in customer satisfaction can be detected before it causes harm.
They increase productivity: The team works with clear goals, knowing what’s most important.
They facilitate decision-making: Solid data replaces guesswork.
They show progress: Allow for comparison of results month to month, year to year.
5 Essential KPIs for Accounting Firms
On-Time Delivery Rate
What it measures: Percentage of tax obligations delivered on time.
Formula: (On-time deliveries / Total scheduled deliveries) × 100
Suggested target: Over 98%Average Client Response Time
What it measures: Time between the client’s request and the team’s response.
Suggested target: Less than 24 business hours.Number of Internally Detected Errors
What it measures: Number of errors found in reports and declarations before delivery to the client or tax authority.
Suggested target: Continuously reduce year over year.Average Revenue per Client
What it measures: Average annual revenue billed per client.
Suggested target: Increase annually (through upselling services such as consulting or management support).Client Retention Rate
What it measures: Percentage of clients who renew year after year.
Suggested target: Over 90%.
Practical Example: How to Create a Mini KPI Dashboard
You don’t need expensive software. You can use Excel or Google Sheets:
| KPI | Target | Current Result | Trend |
|---|---|---|---|
| On-Time Delivery | ≥ 98% | 96% | Needs Improvement |
| Average Response Time | ≤ 24 business hours | 18h | OK |
| Number of Internal Errors | Reduce by 5%/year | 8 errors/month | Needs Improvement |
| Average Revenue per Client | +5% annually | +3% | Needs Improvement |
| Client Retention | ≥ 90% | 92% | OK |
➞ Tip: Update this dashboard once a month in a quick 15-minute meeting. Visualize progress and define small improvement plans (for example: "this month, we’ll reduce errors by focusing on reviewing internal processes").
How to Start? 4 Simple Steps
Select 3 to 5 priority KPIs
Don’t try to measure everything. Start with what matters most right now.Set realistic goals
A KPI is only useful if it has a clear target: “Deliver 98% of declarations on time”, “Respond to clients in under 24 business hours”, etc.Collect data practically
Use simple tables. One employee can be responsible for updating the data weekly or monthly.Use results to make decisions
If a KPI is off-target, turn it into actions: team training, process review, improved client communication, etc.
Conclusion
Having clear KPIs is like having a dashboard for your company: it lets you see speed, direction, and early warning signs.
In the accounting sector, where quality, speed, and reliability are critical, measuring and tracking performance can make the difference between sustained growth and stagnation.
Start simple, but start now. What isn’t measured can’t be improved.
