CPA FIRMS THAT USE WORK-FROM-HOME arrangements with eligible staff say there are clear operational benefits: They save money because there’s less absenteeism, they increase production, and they are able to keep high-quality employees longer.

SITUATIONS THAT OTHERWISE MIGHT take a CPA out of the workforce—such as a broken leg or a new baby—sometimes can be worked around by telecommuting. With it, an enterprise can continue its work unaffected by highway or rail disruption, weather disasters or civil disturbances, and staff can keep going on a project through holidays and long weekends if necessary.

MOST MANAGERS HAVE CONCERNS ABOUT how to keep track of what a remote CPA actually accomplishes from home. Allaying such anxieties starts with having a clear worker eligibility policy, defined performance standards and a well-planned program.

THE BASIC TELECOMMUTING TOOLS are familiar—a computer, appropriate software, a desk in a quiet area, a printer, fax machine, scanner, designated connections and a phone.

SECURITY IS A CONCERN ANYTIME COMPUTERS are used but especially for remote computers. Wide area networks have many extra protections. One CPA considers his hardware firewall a great investment for under $200.

BEFORE STARTING A TELECOMMUTING PROGRAM, a firm should check relevant state and federal labor laws; appoint a steering committee and coordinator; develop a comprehensive description of the program; set guidelines to choose candidates; design and conduct training; provide equipment and technical support to its workers at home; ensure seamless communication between staff, supervisors and clients; have a system to monitor its effectiveness; and have a promotion and advancement system that encompasses its teleworkers.

Pager, cell phone. Initial cost is $100 to $200, plus ongoing access charges, which vary widely by service provider and amount of use.

Answering machine or voice mail. Prices range from $30 or more for a machine to $7 per month for phone company voice mail, which includes call-forwarding, remote access and privacy—plus, the cat can’t knock voice mail off the hook.

Computer, monitor and keyboard. Prices range from $900 (basic desktop) to $3,000 (high-end desktop, monitor, speakers) to $7,000 (high-end laptop plus plug-in keyboard, flat-screen monitor).

Printer. Prices range from zero (to use central-office printer) to $100 (slow and small) to $500 (speedy and robust).

Fax. Prices range from zero for desktop faxing to $100 or more depending on speed and paper quality.

Chair. Very important for productivity. Can be bought for $35 used, but the quality available at $200 to $300 is much better. Experts recommend armless chairs, so buying high-end “executive” chairs at $500 or more can be counterproductive.

File cabinet, with lock. CPAs need to secure client documents, and volume can easily exceed any desk-drawer storage capacity. Prices range from $75 (small, used) to $600 (big, new, with lateral drawers).

Computer software. Additional copies or user licensing may be required. Cost varies.

Equipment maintenance and repair. Cost varies. Vendor travel charges may apply.

Insurance coverage. Equipment that travels, like a laptop or cell phone, is vulnerable. Homes, like offices, have fires and floods. Replacement costs vary.

“It was a crazy year,” says Lori Conaty, CPA, of 2001. “People would call to congratulate me and I wouldn’t know whether they were talking about my making partner or having twins.” Conaty is a first-year corporate tax partner at Pirolli, Deller & Conaty in Warwick, Rhode Island. The firm had instituted telework in 1998, when Conaty, then a senior staff associate, had her first child (see “A Good Hire Is Hard to Find,” JofA, Oct.98, page 89). So her partners didn’t flinch when she announced in November 2000 that she was pregnant, this time with twins—due in May, right after busy season.

“We’d just had a new partner withdraw after only 10 months and Lori was slated to become a partner on January 1,” says partner William R. Pirolli, CPA. “So we knew we were going to be in for a very challenging filing season.”

She made partner as scheduled, and the firm—where she’s worked for 10 years—set her up with a home office in expectation of the arrival. The timing was perfect: In late February her doctors told her she could no longer work 60 hours a week and forbade her to commute to the main office. They prescribed a schedule of an hour and a half of work, followed by an hour and a half of rest, up to a maximum of 20 hours a week. It wouldn’t have been doable without the ability to telework.

“In May she gave birth to beautiful twin boys,” says Pirolli. “After taking several months off, she began a schedule of three days a week at the office and two days of telecommuting, which she still keeps to. We never wavered on making her a partner as scheduled. We believed in her then and even more so now.”

Conaty recognizes that her firm has been extraordinarily supportive and says “close relationships with clients helped,” too. “Clients initially were reluctant to bother me with phone calls on my at-home days, but they’re getting over that,” she says.

Conaty’s workspace is a separate office in the lower level of her ranch-style home. Although she has full-time, in-home child care, she sometimes does clerical tasks while keeping one eye on the kids in a nearby playroom. At the end of the day, she also works while her three preschoolers are asleep. “Those hours between 8:00 and 11:00 p.m. are great—especially during tax season,” she says.

Conaty plans ahead and takes files home or e-mails them to herself before she leaves the main office. She says the worst thing about telecommuting is packing, lugging and unpacking files. If she forgets something, she calls and asks the office administrator to e-mail it. One of the best things she’s done has been to organize computer files systematically to enable office staff to access and e-mail additional files easily, she says.

Her firm has given her good tech support, and she says, “Our network consultants, I NET of Cranston, Rhode Island, have been our best resource. They were very down to earth—and they speak both computerese and English.” She recommends seeking out full-time computer consultants, not those who do it “as a second job.” The best tech tool has been high-speed Internet access. The cost for computer, printer, fax and monthly Internet connection was under $2,000, but that figure doesn’t include home-office furniture or a home phone line.

Not all tasks are suitable for telecommuting, however. Now that she’s lived through the learning curve, she knows that projects requiring access to 6-year-old files are better suited to the main office, for example. “Getting things done efficiently is the name of the game,” says Conaty.

“We make accommodations as required to ensure that she is a fully contributing partner,” says Pirolli. He has never regretted the firm’s decision to accommodate her. “We would love to show all practitioners that you can indeed make these types of situations work.”

Conaty’s e-mail address is Lconaty@cpaadvise.com.