Want to save on accounting fees? Most small business owners are trying to wear all hats – salesman, bookkeeper, CFO, CEO, janitor, etc. This does not allow for them to do everything really well. It seems the areas where most lack is in the recordkeeping and accounting functions.
This leads to a shoe box situation at tax time. What does this mean? You are having your CPA sort through all your invoices and receipts for the year to calculate what your actual income and expenses are. At their hourly rate, the costs add up quickly. Since you don’t have the time you don’t get this done, but we have another option for you. We have bookkeepers available who can prepare your financial statement information for you by entering all your invoices and receipts and asking you the questions to ensure you are not missing a lot of documentation. It is the missed documentation and follow-up questions that add to the accounting fees.
Many small business owners also combine their business and personal expenses; this is another area that takes time for the CPA to sort through. So do yourself a big favor and separate your business and personal checking & savings accounts and credit cards and do not comingle the expenses.
Contact us for more fee saving tips. Spend your money on cost-saving advice rather than your shoebox recordkeeping organization.