Tips for Sharing Financial Info with Non-Accountants - Las Vegas Edition

Financial literacy refers to being able to read and understand financial statements, budgets, and other documents of a financial nature being relevant to running a business or household. Improving the financial literacy of non-accountants does not require them to be made into accountants, but having the tools and some basic knowledge allowing them to engage effectively in day-to-day activity is all being required. One way to do this might be through increased training, workshops and short online courses on the subject, but also via plain language and simple examples of the applications of the knowledge.

What can be done? Make things simpler, break down the jargon and get rid of the complexity making finance so opaque. Visual aids, such as charts and graphs, help to illustrate trends and relationships in data which are difficult to comprehend, and concrete examples, such as comparing budget figures with the bills you paid last month, help to contextualize the abstract figures of finance in a way making them more relevant.

The way to empowerment is through knowledge. To actively participate in financial discussions or decision-making meetings, non-accountants often need to have a good understanding of the financial information presented. The more comfortable non-accountants feel with accounting and financial information, the more likely they are to take a more active role in the financial management of the organization. A good way to increase confidence among non-accountants is to encourage questions when financial information is discussed and create a non-judgmental environment where non-accountants can ask questions.

This takes a two-way effort: accountants need to possess the patience to explain something in a way the person without accounting experience can follow. And the non-accountant should not feel like a cheat or an imbecile for having to ask for explanations. Regular meetings where financial information is presented and debated can provide a platform on which these bridges can be built. The language of explanation needs to be common; meaning avoiding ‘bean-counter-speak’ altogether.

Much of the knowledge and jargon keeping accountants in their towers of bureaucracy and non-accountants in the dark can be overcome with the right effort and strategy. Simplifying reports into understandable data, making financial and economic literacy a priority, and facilitating transparency and open communication are all ways to demystify financial data. In doing so, the information holds greater potential power for everyone.