Practice Forward with XcelLabs
Clients don’t experience their business as debits and credits; they experience it as questions. CPAs have the answers, but these conversations require prep. When time is tight, an AI copilot can help with that prep and communicate results in plain English.
Many of us CPAs got into accounting because we like getting the numbers right. We like making sense of messy information and explaining what actually happened. That part of the job, in fact, matters maybe more than ever.
Clients can get information from anywhere, but what they can’t always get is your judgment in plain language. They desperately want someone who can look at the numbers and say, “Here’s what this means and here are a few smart ways to respond.” So, it is in our best interest if we can step up in this way. The question is, though, how do we do more of that without adding more hours?
That’s where AI can help.
The Advisory Copilot
Clients don’t experience their business as debits and credits. They more likely experience it as questions.
Are we okay?
What should we be worried about?
Where is there opportunity we are not seeing?
CPAs have the data that can answer many, if not all, of those questions, but conversations in these areas require prep. When time is tight, though, we fall back into explaining rules instead of helping clients see options.
An AI copilot can help with that prep and pull out the “so what” and put it into plain English. It also allows you to walk into the meeting with a few good questions instead of a pile of technical points. We’re still the ones using judgement and reading the client. AI just makes it easier to show up ready to go.
The Hidden Stories in Our Work
Did you ever consider that some of your best advisory conversations are already sitting inside your compliance work? We spend most of our time on returns, reporting, and new rules, but inside all that work is stories about what might be possible for our clients.
Tip reporting is a good example. Most of the public conversation around “no tax on tips” has focused on employees. But there is also a huge employer opportunity: the FICA tip credit. As more tips are reported accurately, many restaurants and salons could be eligible for larger credits than they have historically claimed.
On paper, it’s a calculation. In real life, it’s a story:
- Something has changed.
- It might mean more cash for this business.
- There are choices to make about how to respond.
Tools can help structure the numbers, but it takes a human to say, “Here is what this could mean for you.”
What It Looks Like in Real Life
One tax manager decided to take this approach for a test drive with a client. Advisory isn’t usually his lane, so he felt a little uncomfortable at first. He ran the numbers in TipCalc, which is part of XcelLabs’ Tip Credit in a Box, and used AI as a copilot to shape the conversation and the follow-up.
Navi – his AI copilot – helped him prep a one-minute explanation of the credit and two questions he could ask: “Have you taken a look at the FICA tip credit recently?” and “If this credit is bigger than expected, what would that change for you this year?” After the meeting, his AI partner helped him draft a recap email. He edited it, sent it, and the client had clear next steps.
The next time a similar opportunity showed up in the work, he was more willing to bring it up because he had a simple way to lead the conversation.
How AI Supports the Team
This outcome was not unique. Once we think of AI as an advisory copilot, we can start using it in similar ways across the firm.
- For partners, the copilot can help shape the arc of a strategic conversation. It can bring up the key points to cover, anticipate likely concerns, and produce a summary that the client can share with other decision-makers.
- For managers, it becomes a thought-partner for advisory check-ins. It can highlight key data points, suggest a few good questions, and help present options for the client.
- For staff, it can be a practice ground. It can turn what they see in the data into draft explanations, suggest clarifying questions, and build confidence before they ever step into a client meeting.
In each case, the human is still flying the plane. AI simply sits beside us, helping us see the story in the numbers and express it in a way clients can actually use.
Try It for Yourself
Tip credits are just one story: your clients likely have dozens of them. The point is that the best advisory often starts with the compliance work you are already doing. When you can move from a calculation to a clear conversation, you deliver more than answers – you deliver value.
If you want a simple place to practice, try XcelLabs’ Tip Credit in a Box. Then use Navi to help you tell the story: what’s happening, why it matters, and what the client might do next. The more you practice, the more it becomes a natural part of how you lead.
Jody Padar, CPA, also known as “The Radical CPA,” is the co-founder of XcelLabs, a training and technology platform that offers solutions to help accountants use AI to build fluency and strategic thinking. Visit XcelLabs for more information.
Backed by the PICPA, XcelLabs is helping CPAs leverage AI to expand advisory capabilities, strengthen firms, and keep the profession future-ready.
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Statements of fact and opinion are the author's responsibility alone and do not imply an opinion on the part of the PICPA's officers or members. The information contained herein does not constitute accounting, legal, or professional advice. For actionable advice, you must engage or consult with a qualified professional.
