Consulting Services: Hiring Accountants, Bookkeeper and Tax Professionals
Why is it so hard to evaluate what it is going to cost to hire someone to help with my accounting needs? There are tons of accounting and tax firms for you to choose from. But there are all similar issues that change the degree that it will cost you.
Some accounting firms will charge you hourly fees, while other may charge you fixed fee pricing. Other tax preparation firms may charge a flat fee and or per form required. There are many variables in determining the costs that you may end up paying. The complexity of your business requirements. What is expected for the firm to provided as a service. What the firm is willing to provide as services to you. But there are also underlying issues that are up to you. If you are not providing necessary information to the firm you hired, you can expect to pay more. Why? Because if a bookkeeper, accountant, or tax professional is taking the time to contact you constantly for things they need, then that time is taken away from either doing the work that is required for you. Or taking the time away from delivering services to other clients.
Why not just add an accountant or bookkeeper as an employee? Usually new businesses can not afford to hire an employee with these skill sets on even a part time basis. Even at the low end of just a part time bookkeeper, then comes the same issues for taxes that bookkeepers typically will not touch. Simply put it cost more in Wages, Employment Taxes, and the added costs of Payroll and or accompanying software. Where again, looking at the averages, the outsourcing costs are far better than the hiring options for an employee that is not bringing in any sales. Especially in today’s world with unemployment at all time lows and inflation hitting all-time highs.
The fact is most bookkeeper, accountants, and tax professionals already know a lot about businesses and markets. They understand that the resources they can provide are instrumental to businesses and frankly sometimes required. They are aware that the average small business will pay between $5,000.00 -$10,000.00 annually for the services they provide. Think of publicly traded companies such as Amazon, Walmart, or Lowe’s. They all combined, contribute millions of dollars for preparations of there financial reports and audits that must be filed and are required for their investors.
Although, like all businesses there are some that are better than other. Like all industries there are the bad apples that really only care about getting your money. Then there are the good apples that really want to deliver great services that makes you happy. Then there are the pristine apples. The ones that want to truly help you succeed, take you in as part of a family. Willing to teach and educate you just as we learn from you through our experiences with you. Strive to constantly deliver client support that has never previously been experience without a price tag that is unsustainable to your business.
The choice of Apples is entirely on you. Regardless of where you go or who you hire, you understand where the average range is. Don’t think for a second you have no control on how much bookkeeping, accounting and tax preparation services cost you. If you are unwilling to do your share and part, then you are part of the problem instead of part of the solution, and you will pay more no matter where you go. Where you fall within the average range is entirely up to you. These are the primary reasons why it is so difficult to narrow down the costs that each individual small business may have to pay for outsourcing these types of services. The fact that there are many more than a single pricing structure used, all with different built-in variables, that these types of companies have implemented in the determinations of what they charge you for the services they provide. The fact that individual behaviors, and participation are a driving factor.
Author: Fred Pugaczewski