7 Common File Sharing Mistakes Accountants Make

When an accountant makes a mistake, the consequences can be far-reaching – for them and their client. Accounting is one of those professions that calls for the utmost security and privacy. So, when it's time to share files, the process has to be watertight.

Why Secure File Sharing for Accountants Is Important

Accountants handle sensitive data such as financial statements, tax documents, and payroll information on a daily basis. According to the International Monetary Fund (IMF), the financial sector accounts for nearly one-fifth of reported cyber incidents globally. For accountants, a single breach could mean costly fines, compliance violations, and significant reputational damage.

Common File-Sharing Mistakes Made by Accountants

1. Sharing Files Via Unsecured Email

Sending sensitive financial documents via standard email poses significant security risks. Emails often lack proper encryption, meaning that any intercepted communication can be easily accessed by hackers.

2. Not Password-Protecting Sensitive Documents

Without password protection, even encrypted files are vulnerable to unauthorized access if they are intercepted. This could lead to significant data breaches, loss of client trust, and potential legal consequences.

3. Using Obsolete Accounting File Sharing Software

Outdated software poses a serious security risk due to its lack of security updates and support. Old software versions may have unpatched vulnerabilities that hackers can exploit.

4. Failing to Implement Client-Specific Permissions

Have you ever accidentally sent a client someone else's sensitive information? Without proper permission settings, there's a chance that files could be shared with individuals who shouldn't have access.

5. Not Training Staff on the Basics of Secure File Sharing

Human error is one of the leading causes of data breaches. Without proper training, employees may unknowingly make mistakes that compromise security.

6. Sticking with Single-Factor Authentication

Relying on a single password for securing sensitive files is no longer sufficient. There's a new, more secure alternative to MFA that involves a sign-in link sent to a nominated email address—Magic Link Authentication.

7. Failing to Manage File Access Properly

When sensitive files are shared, it's crucial to monitor who accesses them and when. Without monitoring, unauthorized access can go undetected—leaving your accounting firm vulnerable.

There's a Simple Solution

It's called TeuPortal, and it's an affordable, user-friendly file-sharing solution that's perfect for accountants and accounting firms. Contact the TeuPortal team today for an initial consultation.