RE: Is it time for AAT to ditch sage at level 2?

reader
reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
Is it time for AAT to ditch sage at level 2 and use a cloud accounting system such as Xero?

And get students used to using mobile phone apps which is also going to be part of MTD too.

Desktop software is unlikely to be compliant with and approved for MTD.

And consequently most clients are leaving desktop sage behind and taking to the cloud.

Comments

  • MarieNoelle
    MarieNoelle Registered, Moderator Posts: 1,368
    Completely agree. Even 9 years ago when I was doing AAT small practices were moving away from Sage.

    Saying that once you have trained on Sage you can probably use every other product as everything else looks a lot easier and a lot more intuitive :)

    Not sure if the syllabus has changed but in my days very little was taught about cyber security, cloud storage and cloud accounting etc...which is now a very important part of our job.
  • CSan89
    CSan89 Registered Posts: 207
    I believe that Sage is still one of the most used accounting packages and it seems like no one is really sure what packages you will be able to use for MTD (even HMRC) so it maybe able to communicate like Sage payroll does for RTI.

    The problem is that there seems to be 100s of accountancy applications now that when you go from training into a job, you will probably end up using something else and don't get me started on bigger companies 'bespoke' accounting systems.

    The level 4 accounting systems and controls does touch on cyber crime, etc but I think it will need developing as technology does.
    AAT Level 2&3 - 2016
    AAT Level 4 - 2017
    Personal Tax, Business Tax and External Auditing

    ACA/CTA -
    Certificate Level - Jan 2019
  • MarieNoelle
    MarieNoelle Registered, Moderator Posts: 1,368
    Fair point, I guess AAT have to chose one system over another and not all AAT members end up working in practice anyway.
    I think however it would be a good idea to not only train on the principles of software accounting but also show how diverse it is and how the different applications interact with the software.
  • ncraggs
    ncraggs Registered, Tutor Posts: 70 New contributor 🐸
    The exam isn't actually an exam on Sage, the exam is platform agnostic. The exam can be sat on Xero etc AAT don't recommend one price of software over another.
    AAT Distance Learning Director First Intuition www.fi.co.uk
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
    I think the exam should be sat on Xero. Desktop sage is going to become extinct.
  • CSan89
    CSan89 Registered Posts: 207
    edited March 2018
    You don’t happen to like xero @reader?
    AAT Level 2&3 - 2016
    AAT Level 4 - 2017
    Personal Tax, Business Tax and External Auditing

    ACA/CTA -
    Certificate Level - Jan 2019
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
    I personally prefer Free Agent and VT.

    Shame all the app developers are linking into Xero rather than Free Agent.

    Also a shame VT aren't going to keep developing its product.

    I have no idea who is better out of QBO or Xero because I don't use QBO. I do know Intuit/QuickBooks is huge in North America.
  • CSan89
    CSan89 Registered Posts: 207
    I feel the market is getting quite saturated with accounting software at the moment. Hopefully it will start to level out when MTD comes in but will just have to wait and see.
    AAT Level 2&3 - 2016
    AAT Level 4 - 2017
    Personal Tax, Business Tax and External Auditing

    ACA/CTA -
    Certificate Level - Jan 2019
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
    There are some banks out there that are developing accounting software within the online banking portal. Consequently in the future separate accounting software will not be required because the bank will provide an integrated solution where you can auto-reconcile the bank, add invoices, pay off suppliers all in one place. Accounting software is the past.
  • MarieNoelle
    MarieNoelle Registered, Moderator Posts: 1,368
    So how does it work for accrual accounting? It may be the future for simple cash basis businesses but I can't see this being a viable option for more complex businesses.
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
    The technology is in its infancy however it would work like normal accounting software, i.e. you would log into Tide Bank Account or any other bank account and enter your supplier invoices using invoice date. Then click on "Make a payment" and pay off the invoice. Presumably it would have journal capability as well.

    For landlords and cash based sole traders it is ideal.
  • MarieNoelle
    MarieNoelle Registered, Moderator Posts: 1,368

    A more controversial view; scrap the module all together.

    Now that's a surprising stance coming from you @Mickdundee ;)
  • KoopaCooper
    KoopaCooper Registered Posts: 224

    A more controversial view; scrap the module all together.

    AAT is a professional qualification that is supposed to be taken alongside relevant employment. Unless you are working in a Victorian sweat shop, your employer will almost certainly use an accounting package. You'll learn far more about software in your job that a very basic module.

    An interesting viewpoint, however, perhaps an opposing one...

    Don't scrap it - but remove it from level, make it an optional extra; AAT Level 2 Award in Bookkeeping Software, or something?

    VT is really good (I do most draft accounts in it), but as it's not likely to continue getting updated, would make more sense to teach about online accounts software packages. Maybe choose which one you want to learn, or contain a taster of some of the most commonly-used ones:
    QuickBooks,
    Kashflow,
    Xero,
    Freeagent, Brightbooks, ClearBooks, etc...
    Accounts Executive, ғɪᴀʙ ᴍᴀᴀᴛ
    QBO & Xero certified advisor

    AAT
    Level 2 Certificate in Accounting - 17 Jun 2015
    Level 3 Diploma in Accounting - 22 Jan 2016
    Level 4 Diploma in Accounting - 19 Dec 2017
    MAAT - 27 Mar 2018

    ACCA
    Advanced Diploma in Accounting and Business...
    F4 Corporate and Business Law - 4 Jun 2019
    F5 Performance Management - 15 July 2019
    F6 Taxation (United Kingdom) - 3 Dec 2019
    F8 Audit and Assurance - 2 Mar 2020
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
    edited March 2018
    "Maybe choose which one you want to learn, or contain a taster of some of the most commonly-used ones:
    QuickBooks,
    Kashflow,
    Xero,
    Freeagent, Brightbooks, ClearBooks, "


    This is the perfect/ideal situation.

    Although I'm sure the AAT wouldn't do it. They would say it would cost too much to do or be too complicated.

    I would also include Sage One to that list
  • MarieNoelle
    MarieNoelle Registered, Moderator Posts: 1,368
    I can't see it being a viable solution. Already most software companies offer their own training/ certification paths. It's not that difficult to self-study with YouTube etc...
  • CSan89
    CSan89 Registered Posts: 207
    > @MarieNoelle said:
    > I can't see it being a viable solution. Already most software companies offer their own training/ certification paths. It's not that difficult to self-study with YouTube etc...

    When is the point that it stops becoming learning about how to use computerised accounting software and start become just a sales pitch.

    Also you usually don’t get much time to study the subject. (I had about 5 lessons at college)
    AAT Level 2&3 - 2016
    AAT Level 4 - 2017
    Personal Tax, Business Tax and External Auditing

    ACA/CTA -
    Certificate Level - Jan 2019
  • reader
    reader Registered Posts: 1,037 Beyond epic contributor 🧙‍♂️
    CSan89 said:

    > @MarieNoelle said:

    > I can't see it being a viable solution. Already most software companies offer their own training/ certification paths. It's not that difficult to self-study with YouTube etc...



    When is the point that it stops becoming learning about how to use computerised accounting software and start become just a sales pitch.



    Also you usually don’t get much time to study the subject. (I had about 5 lessons at college)

    I think even a transfer from sage desktop to 'sage one' would be a big improvement because at least sage one is cloud based.

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