Facing Burnout and Backlogs_ Offshoring Labor Can Save Your U.S. Accounting Team

1. Facing Burnout and Backlogs? Offshoring Labor Can Save Your U.S. Accounting Team Even years after the pandemic, many firms are still dealing with the ripple effects, staff shortages, burnout, and backlog haven’t fully disappeared. In fact, during peak seasons, I still hear from U.S. firms scrambling to meet deadlines with stretched teams and limited support. It’s not that the work disappeared. If anything, demand for accounting services has grown especially with shifting tax laws, increased compliance pressure, and more clients needing strategic financial advice. That pressure builds fast, and without the right support, it chips away at both your team’s wellbeing and your firm’s performance. I’ve lived through it myself. When I first set up my own accounting firm, I quickly realized that relying solely on local hires wasn’t sustainable. The costs were too high, and the talent pool was too shallow. Offshoring changed that for me and it’s doing the same for many U.S. firms today. Offshoring labor isn’t some shortcut or compromise. Done properly, it reduces pressure on your team, lowers costs, and improves your overall service quality. The key is understanding how to build it into your business the right way. In this article, I’ll walk through the current challenges, explain how offshoring can solve them, and share practical tips from my own experience.

2. The Burnout and Backlog Crisis in the U.S. Accounting Burnout is a very real problem in this profession. According to a 2022 survey by the American Institute of CPAs, 81% of accountants said they were experiencing high or moderate stress levels, with staffing shortages listed as a primary cause. Burned-out staff lead to missed deadlines, delayed filings, and frustrated clients. The accounting industry is seeing an aging workforce and a noticeable drop in new entrants. Experienced professionals are retiring faster than firms can replace them, and fewer students are pursuing accounting as a career. Add in the volume of work especially during tax season—and it’s a recipe for backlog. I’ve worked with firms where the partners were pulling 80-hour weeks just to stay on top of client deliverables. That kind of strain isn’t sustainable. It also affects morale, accuracy, and retention. Burnout doesn't just cost people, it costs business continuity. One firm I know in Chicago lost three senior accountants in six months. That left junior staff scrambling to cover gaps they weren’t ready for. It’s a common story, too much work, not enough hands. Backlogs don’t just create stress. They damage relationships, weaken retention, and hurt long-term growth. That’s where offshoring comes in not to replace staff, but to give existing teams the support they desperately need.

3. Why Offshoring Labor Works for Accounting Offshoring is often seen as a cost-saving tactic, but its real strength lies in the capacity it creates when managed through a well-planned offshoring process. When I started outsourcing to the Philippines, I gained access to experienced, qualified accountants who could hit the ground running. That made all the difference during peak periods. You can scale up your team without the drawn-out recruitment process. Whether it’s tax prep, bookkeeping, or audit support, having an offshore team ready to step in means your local staff can focus on higher-value work or at least breathe a little easier. The cost difference is significant. A mid-level accountant in the U.S. might cost you $70,000–$90,000 a year once you factor in benefits, infrastructure, and taxes. In the Philippines, I’ve hired equally skilled professionals for a third of that. That savings doesn’t just pad your margins, it lets you reinvest in training, tech, or even better support for your U.S. team. And perhaps one of the most underrated benefits is flexibility. You’re not locked into long-term contracts or fixed headcounts. If you need more help during tax season and want to scale back afterward, you can.

4. Know the Full Cost Before You Start When firms hear about offshoring, the first number they focus on is usually the salary savings and yes, it’s substantial. But the real value of offshoring accountants to the Philippines only becomes clear when you take a proper look at the total cost of building and maintaining a functional offshore team. I learned that lesson the hard way. Early on, I thought I could just hire a few offshore accountants and plug them into my workflow. I focused on the hourly rate and assumed everything else would fall into place. But that’s not how it works. If you’re serious about offshoring, you have to treat it like building a branch office, just one that happens to sit in another country. Recruitment is your first cost. And while there are plenty of talented accountants offshore, finding the right ones takes time, effort, and cultural understanding. I’ve since partnered with a provider who manages recruitment locally, and that’s saved me a lot of time (and hiring mistakes). But whether you handle it yourself or work with a partner, good recruitment has a price. Then there’s onboarding and training. I used to underestimate how long it would take to get offshore hires up to speed with our internal processes, software, and client preferences. Even skilled accountants need a proper induction—just like any new team member. And if you don’t invest in that, you’ll end up with errors, inefficiencies, and frustration on both sides.

5. Infrastructure and equipment are another layer. In many offshore arrangements, your team still needs workstations, stable internet, dual monitors, access to cloud-based accounting systems, and secure login credentials. Some firms provide this themselves; others use a managed service model. Either way, it’s a cost you’ll need to budget for. Compliance and data security are critical too. You’ll want to ensure your offshore partner is following U.S. data protection standards and that your clients’ information is handled safely. That may mean investing in secure cloud storage, VPNs, or additional IT oversight. Employee benefits and retention planning also come into play. One mistake I made early on was treating offshore staff like temporary contractors. It wasn’t sustainable. If you want consistency, you need to think long-term, offer paid leave, fair wages, professional development, and performance bonuses. Offshore teams work best when they’re treated as part of your firm, not an afterthought. Finally, factor in your own time. Offshoring isn’t set-and-forget. Even with a great partner, you’ll need to spend time aligning teams, refining processes, and offering feedback. I now schedule regular check-ins with my offshore staff just like I do with my local team. It’s time well spent—but it’s still a time cost, and you should factor that into your decision-making.

6. Make Offshore Teams Part of the Business, Not Just an Add-On Offshoring won’t work if your offshore team is isolated. You need to integrate them into your systems, routines, and culture.We use tools like Xero, QuickBooks, Slack, and Zoom to stay connected. Everyone works from the same playbook, with clear expectations and KPIs. I review their work the same way I review my local team’s. We’ve even added weekly huddles to keep everyone in sync. One big shift came when we documented our processes properly. Once the offshore team had clear guidelines, the accuracy and speed went up dramatically. They didn’t just follow instructions, they improved how we worked. Embedding these kinds of offshore best practices early made a huge difference in performance and reliability. And this part’s often overlooked: career development. We ask our offshore staff about their goals, offer training support, and create internal pathways for growth, just like we would for anyone in the U.S. That recognition goes a long way. When people feel seen and supported, they stick around longer and contribute more. It turns what could’ve been a transactional setup into a real partnership.

7. Your AccountWise Advice The staffing crisis in accounting isn’t going away anytime soon. Between ongoing retirements, fewer graduates entering the field, and an ever-growing list of client demands, the pressure on U.S. firms will only intensify. But offshoring gives us a practical, proven way forward, one that doesn’t compromise on quality or connection. When done right, offshoring is not about cutting corners. It’s about giving your in-house team room to breathe, building in flexibility, and finding the capacity to grow without burning out. I’ve seen firsthand how the right offshore partnership can transform a firm—not overnight, but steadily, sustainably. That said, it only works when you approach it strategically. You need to plan financially, integrate culturally, and treat your offshore team like an extension of your own. The results speak for themselves: fewer backlogs, better client satisfaction, and more stability for your core team. If you’re starting to feel the cracks, if you’re worried about losing staff, missing deadlines, or falling behind—don’t wait for things to break. Explore how offshoring can support your business, not replace it.