Sometimes accounting fees can sneak up on unsuspecting small business owners.
Here are 3 simple tips you can use today to slash your bills and combat the power and headaches of end of year bill shock…
#1: Provide The Right Information, The First Time Round
If you are well prepared with all the information your accountant requires it can save you both time and money.
Generally each time your accountant picks up the phone to call you they will add billable time to your invoice.
So if they are having to remind you to bring in information or asking questions because of incomplete records it is costing you money.
A checklist of basic items you should take to your year-end tax appointment can be found here.
#2: Not All Accounting Programs Are Created Equal
What costs you may save in using a cheaper alternative or old version will be generally costing more in accounting fees.
Programs that require you to take a backup to your accountant, have downtime on the program while your accountant has it, or rely on restoring a backup, can really put you behind, and add substantial cost to your accounting bill.
Cloud based programs are not only affordable, but efficient because they allow both the business and the accountant to work on the program at the same time, in real time!
I personally use and recommend Xero. Click here for more information about Xero.
#3: Commit To A Fixed Fee Structure
Another way to save money on accounting fees is to lock in a fixed price fee, so that you and your accountant know exactly what services you are getting and how much is going to cost. What’s more, the cost can usually be spread over 12 monthly repayments.
Unfortunately, what can often happen to business owners is by the time their accountant finishes the annual tax work, not only do they have tax liability to pay to the Government, but more often than not, a substantial accounting bill also.
Fixed fees ensure no surprises, no end of year bill and transparent and upfront commitment regarding what is and isn’t included. For an idea how these work, please check out my fixed fee packages.
Do you have a tip or hint that has helped you reduce the fees you pay YOUR accountant?
Got a question about fees? Ask in the comments below. I’d love to help you avoid the pain of ‘Bill Shock”