The GAAPweb blog

FREE online workshop - Mature jobseekers: how to use your experience to your advantage

Do you feel your years of experience are holding you back in your job search?

If so, don’t miss our next online career workshop where we’ll give practical advice on how to succeed in your job search including:

• Structuring your CV;
• The types of roles to consider;
• Keeping up-to-date with technology;
• Key interview tips.

We will also be welcoming Martin Lloyd-Penny from Mature Accountants to answer your questions throughout the workshop.

This is a FREE workshop available to members and non-members of Workthing+ and is taking place tomorrow (Thursday 28th January) at 1pm GMT.

Click here to register for tomorrow’s FREE online career workshop. Spaces are limited, so reserve your seat now.

See you there!

Charities: a rosier 2010?

As we come to the end of a difficult 2009, the question on most jobseekers’ minds is the impending state of the employment market next year. I think we’re all in agreement that at the moment it is very much an employer’s market – but is this trend set to continue? Well, there just could be a glimmer of hope.
 
In the highly competitive job market we’re experiencing at the moment, skills such as change and crisis management, and cost-saving implementation will be paramount in working towards a more stable 2010.

Currently, the focus on recruiting for charities is on those roles that rely on income generation – that is, those that have an income target attached to their role. These are primarily fundraising roles; relationship-building with major donors and community fundraising are currently prevailing. So, what about finance professionals? This would seem to leave little room for the recruitment need for core financial professionals – the demand for qualified accountants seems to have taken a hit. Looking forward, what are the best ways of securing the right role in the not-for-profit sector in such a seemingly bleak market?

Whilst finance-specialist roles might not be sitting at the top of recruitment priority lists, those candidates with some decent exposure to fundraising aspects of charity finance will be valued, particularly those who can demonstrate some interplay with major corporate givers (or, for that matter, individual philanthropists). Exposure to the links between core finance functions and their intricate collaboration with fundraising teams will be prized. And it’s probably worth bearing in mind that such exposure could come from the donor – as well as the charity – side of the equation.

Furthermore, whilst ‘downsizing’ and ‘redundancies’ are terms frequenting many recruitment scenarios, the streamlining of processes, procedures and organisational structures are still prevalent, which is where the need for cost-cutting and money-saving comes in. Larger, international charities will be hit hard in the coming months due to the substandard exchange rate; their finances are going only a fraction as far as they have done previously in a more buoyant market. Consequently, there will be a focus on crisis management within finance functions and the need for financial expertise in this area will be in paramount. This will then allow these larger charities to focus more on development and capital expenditure looking to the future.

So, what of the New Year? I do think that glimmer will start to get brighter, so now is the time to start working on your own ‘personal brand’ or ‘sales proposition’. Work out precisely what will make you attractive to an employer and use that to develop a credible and compelling ‘package’.


Becky Postlethwaite currently recruits finance and accountancy professionals across the Public Sector at WH Marks Sattin. Her portfolio of clients is ever-expanding and covers the Charity, Housing, NHS, Local and Central Government and Education industry sectors.

Was the decision to increase VAT a bold move?

Subsequent to the UK economy falling into recession after a 10-year boom, it became apparent that either a new tax would have been introduced; or, a direct tax (such as income tax) would have had to be raised in order to help the government out of its recession and protect frontline services.

In his pre-budget report, Alistair Darling confirmed that National Insurance (NI) would rise by 0.5% in April 2011 to help protect frontline services, and VAT would be restored to 17.5% to help the government out of its deficit and restore £12bn in revenues. This comes after a 13 month break from the lowered level of 15%.

There have been many debates against the increase in VAT. It has been argued that an increase will slow down business spending, thus causing a slower recession recovery. With businesses being more cautious about cash flow, it will end up defeating the purpose of a VAT increase.

Committees such as the Cut the VAT Coalition believe that VAT should have been cut further on maintenance and home improvement work. This would help “the government achieve its target of cutting carbon emissions by 80 percent” and “help millions of UK homeowners by getting rid of cowboy builders, helping those who cannot afford vital repairs to their homes, bringing our empty properties back into use and protecting the countryside”.

On the other hand, the treasury wants to see a higher increase in VAT to save the individual tax payer an increase in NI contributions. The treasury argues that the increase in NI by 0.5% in April 2011 will be regarded as a tax on jobs, causing more job cuts and less job creation in the future. Additionally, they claim that if VAT was increased further then consumer spending would be protected in the difficult times the UK economy is experiencing.

Guardian.co.uk quoted: “A 1% rise in National Insurance raises a total of £4.48bn in a full year. A 1% rise in VAT by contrast raises slightly more at £4.8bn.” Clearly, a higher rise in VAT is more favourable to tax payers rather than an increase in income tax.
 
I am leaning towards the treasury’s view of not increasing income tax, and instead implementing a flat tax (such as VAT). This is so that individual tax payers like myself are not affected by the deficit caused by careless government planning and spending after a 10-year boom in the economy. I am also glad that I am not in the shoes of Alistair Darling as it seems neither raising nor decreasing VAT percentage rates would be the right thing to do!
 

Nurtac Irfan studied Accounting and Finance at Hertfordshire University and is now Finance and Operations Director for a digital media company based in London.