Do You Need a Personal Accountant?

The chances are they’ll have been in business for many years and may have become used to one particular brand of software. Wherever they happen to be based, make sure they’re an expert in the tax laws that apply to your business. On the other hand, you may prefer face-to-face contact and find it useful to have someone who’s able to go to business meetings with you. If this is the case, then you’ll need to limit your search to accountants who work nearby or are willing to travel to your premises from time to time. To get all your accounting questions answered, and to find out what your small business is worth, talk to an expert at Raincatcher today. From there, you might choose a CPA with additional experience or special expertise in a certain area. A Certified Management Accountant , for example, has the extra skill and training to play a management role within a growing company.

Now, every month, I still have to go through my finances and send the accountant relevant documentation—which, mind you, would have felt impossible before. But knowing that someone is there to support me means I can finally start facing my finances in a way that I can manage. Hire an accountant or the accounting firm that meets your requirements and budget. Your budget should reflect the services and expertise your business requires, considering the complexity of its accounting issues. Hiring a CPA vs. an accountant and where your business is located also influence the going rate for accounting services. For example, let’s say it takes you 10 hours to do your taxes, and your time is worth $100 an hour. And there’s always the risk you’ve made errors – especially if you’re multitasking like most business owners.

Why Hire an Accountant for Yourself or for Your Business

While it can be simple to use tax preparation software to prepare your own taxes, about 21% of paper tax returns have errors according to the IRS. This isn’t necessarily because the software is ineffective, but rather it is easy for a software program to overlook details that the human eye will analyze. As tax laws are complex to understand and even more difficult to implement, an accountant is a trained professional who will address those small details you may have overlooked. Today, I pay less for an accountant per month than I do my phone bill—but even if I paid more, it would be worth every penny.

And a good accountant will use their knowledge of tax laws and legislation to suggest ways you can free up cash flow, save money and raise capital for expansion. You need to choose the right accountant and make sure you trust them with your company’s financial information. Once you’ve handed over your company’s finances to someone more experienced in accountancy than you are, you will have more time to concentrate on other aspects of your business. For example, you might choose to enter the basic accounts data in-house, then hand the work over to your accountant. Then they can handle the more involved tasks such as bank account reconciliation, filling out tax return forms, payroll and capital depreciation calculations. Some of the services that accountants provide include bookkeeping, bank reconciliations, tax preparations, and financial planning and analyses. If you are starting a small business on a limited budget, you might not want to spend the money to hire an accountant.

Hire a Professional or Do It Yourself?

Small business ideas, business tax news and small business consulting from Barbara Weltman to provide business owners with the information they need to succeed. Visit our small business blog, Idea of The Day®, small business books and articles on small business taxes, small business finance and small business legal advice. Hiring an accountant to take care of your financial health is a smart way to make the most of your resources. A professional who takes a good view of your complete financial accounts will be able to save you a great deal in both time and money. Professional accountants have the skills, expertise, experience, and know-how to file efficient tax returns, keep your books in order, and to help you avoid a dreaded audit. They can help you find ways to maximize profits or charitable contributions, and may also be able to find tax breaks that save you and your business a small fortune.

Some accountants will do little more than manage your accounts and complete your tax return forms, but the best accountants are more proactive. So before choosing an accountant, ask what they could suggest to save your business money.

Top 5 Reasons to Hire an Accountant Rather Than Do Your Own Taxes

A personal accountant is more likely to note when funds are used unnecessarily. There aremany advantagesof having a private personal accountant that everyone should consider. We’ve walked this journey with hundreds of startups as advisors, partners, friends, and business owners ourselves.

This article was co-authored by Darron Kendrick, CPA, MA. Darron Kendrick is an Adjunct Professor of Accounting and Law at the University of North Georgia. He received his Masters degree in tax law from the Thomas Jefferson School of Law in 2012, and his CPA from the Alabama State Board of Public Accountancy in 1984.

When you how to hire an accountant, budgeting and planning are no longer your task to deal with. Whether you own rental or mixed-use properties, a personal accountant can help! When tax season rolls around, your financial documentation will all be accounted for. You’ll have peace of mind when you file your taxes, knowing that a seasoned professional has everything under control. Your personal accountant will also be able to provide you with a snapshot of your finances, meaning you’ll be able to make informed decisions when diversifying your property portfolio. Individuals that invest in real estate can benefit greatly from hiring a personal accountant. Without the help of a financial management professional, much, if not all, of the bookkeeping tasks are left to the property owners.