KPMG Lays Off 10% Audit Partners, Best AI Still Fails 1/5 Accounting Tasks

From The Accounting Podcast by Blake Oliver & David Leary

May 1, 2026 · 52 min · Episode 485

About this episode

Blake and David discuss KPMG's audit partner cuts, the limitations of AI in accounting, and the future of continuing professional education.

What does it mean when Big Four partners can be demoted—and AI still gets 1 in 5 accounting tasks wrong? Blake and David unpack KPMG’s audit partner cuts, EY and KPMG’s quiet partner demotions in the UK, PwC’s return-to-office push, and why firms like Decimal are rethinking tech-driven bookkeeping. They also debate AI’s limits in accounting, explore the future of CPE after a surprising Nasba warning, and explain what these shifts mean for accountants building their careers. Sponsors Cloud Accountant Staffing - http://accountingpodcast.promo/cas OnPay - http://accountingpodcast.promo/onpay Fishbowl - http://accountingpodcast.promo/fishbowl Chapters (00:00) - TAP 485 (01:47) - Bookkeeping Market Shakeup (02:38) - Decimal Pivots to Franchising (05:31) - AI Accuracy Reality Check (07:57) - Inventory Counts Still Human (10:28) - H&R Block Goes Year Round (11:55) - AI CEO Experiments and Limits (16:34) - Earmark Sponsor and NASBA Letter (21:37) - Context and CPE Reform Debate (26:11) - CPE Checkbox Culture (28:11) - Fixing CPE With AI (32:07) - Live Chat and Teams CPE (34:37) - Sponsor OnPay Break (35:51) - Big Four Partner Cuts (41:27) - AI Predicts Misstatements (43:31) - Sponsor…