6 Cybersecurity Tips for Accountants

Cybercriminals are most likely to go after accountants in today’s digital world. You deal with private client records, sensitive financial data, and tax information that hackers could sell for a lot of money. One breach can hurt your reputation, make clients lose trust in you, and put your business at risk of being sued. That’s why cybersecurity isn’t just something that the IT department should worry about; every accountant needs to know about it and use it.

1. Use strong, unique passwords and two-factor authentication.

Your password is the first thing that keeps people from getting into your financial systems and client data without your permission. Hackers can easily get in if you use weak passwords like “123456” or “password.” Instead, make sure your passwords are at least 12 characters long and have a mix of uppercase and lowercase letters, numbers, and special characters.

More importantly, make sure that all accounts that can use multi-factor authentication (MFA) do so, especially those that deal with money. Even if someone gets your password, MFA needs a second form of verification, like a code from your phone or a biometric scan. This one step stops most account takeover attacks. Don’t use the same password on more than one platform. Instead, think about using a password manager to keep your login information safe.

2. Use encryption to keep client data safe

Identity thieves love to get their hands on client tax documents, social security numbers, and other financial information. When you save sensitive information on your devices or send it over the internet, make sure it is always encrypted. Don’t send plain files over email. Instead, use encrypted email services or password-protected attachments.
When you need to access client information from a distance, especially when you’re using public WiFi, use a virtual private network (VPN). Encryption makes sure that even if someone gets their hands on data, they can’t read it. Also, make sure that your accounting software uses security protocols that are standard in the industry and that your computer has file-level encryption.

3. Be on the lookout for phishing and social engineering attacks.

Phishing emails are made to look like real emails from banks, clients, or software companies, but they trick you into giving them your passwords or downloading viruses. Criminals often go after accountants because they know you deal with money transfers and private accounts. Check the sender’s email address carefully, look for grammar and spelling mistakes, and look for strange requests before clicking on links or downloading attachments.

Be careful of messages that sound urgent and push you to act quickly without checking first. If you get an email asking you to confirm your credentials or send money, call the person who sent it using a known phone number or official channel to make sure the request is real. Learn to hover over links to see where they really go, and never open attachments from people you don’t know. If you’re not sure, get a second opinion from a coworker or your IT department.

4. Update your software and systems

Having old software is a big security risk. Developers often put out security patches and updates that fix known holes that hackers can use. If you wait to install these updates, your systems will be open to attacks that could have been stopped. Make sure that your operating system, accounting software, web browsers, and all other programs automatically download and install updates.

Cybercriminals really want to get into your accounting and tax preparation software, so be extra careful with it. Check your vendor’s website often for security updates, and make sure to install the most important ones right away. This includes not only the programs you use every day, but also plugins and extensions. An update that seems small is often a security fix that keeps your data and your clients’ data safe.

5. Make sure your remote work space is safe.

Remote security is very important because many accountants work from home or from more than one place. Hackers may have an easier time getting to company data if your home office doesn’t have the same level of cybersecurity as a corporate office. When you connect to your company’s network from outside the office, always use a VPN. Treat your personal device like an office computer by installing antivirus software and turning on firewalls. Also, make sure your home WiFi network is password-protected and uses WPA3 encryption.

Don’t use public Wi-Fi networks to get to sensitive client data; the risks are too high. Don’t leave your work laptop alone in public places, and make sure it’s physically safe. Make sure that the personal devices you use for work are always up to date and have security software installed. To keep threats from spreading, try to keep your work and personal life as separate as possible.

6. Make a policy for throwing away documents and keeping data

Cybersecurity isn’t just about threats online. Old client files, printed tax returns, and other financial documents that you no longer need can be a security risk. Make a clear policy about how long you keep different types of information and set up a safe way to get rid of documents.

Instead of throwing away physical papers that have private information on them, shred them. When you delete digital files, make sure to use secure deletion methods that get rid of the data for good. Just deleting files may not be enough, since they can often be recovered. Check your systems often to find and safely delete old data. This not only keeps your clients’ information safe, but it also lowers your risk in case of a breach and helps you follow data protection laws.

The end

Cybersecurity is something you have to do all the time, not just once. By following these six steps, you make your business much less likely to be attacked and keep the private financial information your clients give you safe. Cybercriminals are always coming up with new ways to attack, so stay up to date on new threats, take part in your company’s security training, and make cybersecurity a part of your work culture. Your watchfulness today will keep you from making expensive mistakes tomorrow.