Do you want long-term, invested employees?
Corey Butler, MNCPA communications manager | December/January 2025 Footnote
Sami Schmidt was on the fence about becoming a CPA.
That changed when, while at Winona State University, she was visited by employees of Federated Insurance, headquartered in Owatonna, Minnesota. Schmidt learned about Federated’s paid internship, which included housing, and the career trajectory and the long-term commitment Federated offers its employees.
Schmidt earned her CPA in 2022, serving now as an accounting supervisor, and is closing in on five years with Federated.
“You just know Federated’s different from other companies,” she said.
If you’re a longtime reader of Footnote, this may not be an entirely new story to you. Six years ago, we published an article highlighting efforts by Federated Insurance, U.S. Bank and the Taylor Corporation about how they support their CPAs on staff in earning and maintaining their credential. We wanted to check in to see how the conversation has shifted in recent years with economic turmoil, a global health crisis and an increasingly challenging talent pipeline.
Robert Half surveys of CFOs showed a trend upward from 2012 when 26% of companies indicated they partially or fully financially supported employees in maintaining professional certificates compared to 95% in 2019. For contrast, a 2006 Robert Half survey indicated that number at 46%, with the Great Recession having a tangible impact on what employers offered in additional benefits.
In 2020, we, of course, were upheaved by the pandemic, which upset every corner of personal and business lives. Many businesses scrambled to survive; others thrived. We are now forging into a future where companies and employees alike are figuring out what the future of employment — and the benefits thereof — looks like.
While not an apples-to-apples comparison, the Society for Human Resource Management 2024 employee benefits survey respondents indicated 79% of their companies pay for certification/recertification fees in today’s market. The SHRM survey indicates this is the fifth year in a row with an increase in that category.
“This may suggest that each year more and more employers are paying attention to the knowledge and skills that may be required in a changing market, and they are ensuring their employees are given opportunities to learn them,” the findings said.
In short, professionals, including CPAs in corporate accounting, want to be supported by their companies — developmentally and financially.
“Knowing your employer believes in you helps you understand that you can believe in yourself,” Schmidt said.
The Federated way
Abby Nichols, CPA, VP — controller at Federated, isn’t shy about advocating for her company because of their reciprocal advocacy for its staff.
“We care about our employees,” said Nichols, who has been with the company for 17 years. “We care about promoting within. We want them to achieve success with us.”
Federated’s encouragement of the CPA designation shows a commitment to the profession as they have 18 CPAs on staff with another six employees in the finance area working toward the credential. It’s that internal support, through formal mentoring and less formal commiserating (i.e., “I’ve been through this,”), that helps the staff bond, support each other and, ultimately, help the company’s financial oversight thrive.
This is why the $13 billion company seeks potential accounting and finance staff who specifically have a desire to earn those all-important three letters following their name.
“The designation stands behind the work we do,” said Jenna Christensen, CPA, Federated’s enterprise risk manager. “It helps show the employee’s drive toward their career path.”
Federated supports employees in numerous ways by paying for all of their CPE, providing bonuses for each exam section passed as well as earning the CPA altogether, paying for study materials, providing time off to study for the tests as well as taking the tests. Also, Federated pays for membership dues to professional associations, like the MNCPA.
Oh, and then there’s the long-term financial benefit.
“We’ve actually increased our bonuses and pay raises,” Nichols said, with additional merit given to those with credentials. “We’re committed to keep this going.”
Commitment to employees isn’t just about dollars and cents. In addition to regular performance reviews, Federated management conducts annual career reviews to discuss a path forward for its staff.
Christensen, who joined the company four years ago, said it’s easy to see why this is working. Invest in your employees, and they invest in you, minimizing turnover.
“Making that initial investment only helps [the company] in the long run,” she said. “Those employees want to help the organization grow.”
Passion for the pipeline
Schmidt’s story isn’t entirely unique — at least not within the halls of Federated’s headquarters. Recruitment remains a priority for the company, and they’ve yielded positive results from their efforts.
They have a heavy presence in local high schools and colleges (two and four year), offering internships, job shadows and an annual Accounting Specialist Career Day. At Owatonna High School, students have an opportunity at a spring internship for 10 hours a week to learn about the various functions within the accounting world as well as a professional workplace. Christensen said they plan to expand the internship to the fall next year.
One recent spring high school intern is currently working with Federated full time while earning his two-year accounting degree, with the potential to continue his education — all supported by Federated.
Federated employees also make high school classroom visits throughout the year — using materials and presentations provided by the MNCPA — to speak of the varied opportunities within the industry. Federated managers are assigned to various colleges and universities to share why Federated is a quality company to start — and end — your career with.
A recruiting team within the finance department meets quarterly to focus on recruitment and pipeline issues.
Unfortunately, in the course of their conversations in the past few years, they hear from students who intend to pursue finance instead of accounting because of the additional 30 credits required to earn a CPA credential.
“We’ve talked a few people into accounting,” Nichols said. “It takes time, but when people see the value in Federated [and its support], they are willing to do it.”
This, of course, it not an uncommon roadblock for many would-be CPAs. Federated’s CFO, Michael Keller, is supportive of MNCPA-backed legislation to offer additional pathways to CPA licensure.
Nichols, who shares pathways updates with her team, said the company is closely watching the pathways issue develop within Minnesota and nationally.
To Nichols, Schmidt and Christensen, the pathways discussion feeds directly into their ongoing efforts to recruit and retain future contributors to their staff. Nichols recognizes the fortune of having a company heavily invested in its people and encourages other business leaders to take similar steps to lift up their staff, though cautions it takes a long-term vision.
“You can’t just expect results right away,” she said. “You have to keep at it. It’s a culmination of years.”
Because of the commitment and investment shown to Schmidt early in her career from Federated, she has already calculated her job forecast in the decades to come.
“When I picture my future, I see myself here at Federated,” Schmidt said. “I want to retire here.”
Corey Butler is the MNCPA communications manager. You may reach him at 952-885-5530 or cbutler@mncpa.org.
