Many people think that having a personal accountant is just for the wealthy, those one-percenters like Bill Gates, who have so much money they set up foundations to give it away. But that is just not true. It might be the average person who needs an accounting professional even more.
Accountants do all types of services. It’s not just at tax time that you need an accountant but when you buy a house, write a will or start a small home-based business. All of these events trigger the need to have an accountant review what you have planned so you avoid unexpected tax burdens, or other outcomes that were never what you intended.
Buying a home triggers all sorts of deductions that help you save money at tax time. But it can be like reading a foreign language for the non-accountant to understand what it all means. Keeping track of your expenditures right from the beginning makes it simple for an accountant to get you all the deductions you have earned.
Maybe you just had a child or a grandchild. It might be time to write a will or a new will. To be sure that your wishes regarding your estate are carried out as you desire, it’s good to consult an accountant to review the will before it’s signed. Your lawyer should know the law, but they don’t always know the accounting outcomes of what you plan. The two professionals should work hand-in-hand to craft a document that says and does exactly what you intend.
If you’re starting a small business, a good accountant will help you get organized and save you time and money by advising you on the proper set-up of your business, the records you need to keep, and the taxes you need to pay. It’s all too easy to make mistakes here that could have devastating consequences down the road. The IRS penalties for late taxes can easily grow into more than the original tax.
Your part in all this is good recordkeeping. If you use a home accountanting software like Quicken, or just keep a series of labeled file folders for receipts, you will have the raw material to take to an accountant at tax time. The expense of the accountant will be more than offset by the cost of the mistakes you don’t make and the time you don’t waste trying to understand the tax code. Contact us to discover how we can help you spend more time doing what you love, while we do your accounting.
