If you own a business or have a complicated financial situation as an individual taxpayer, keeping detailed financial records and overseeing your tax liability may be a challenge. You may find yourself dreading every April (or January, April, July, and September, if you pay estimated taxes) as you struggle to keep ahead of tax challenges. In many cases, having an accountant may significantly reduce your tax-related stresses and even help you optimize your finances. Below we discuss three of the biggest benefits you may realize from working with an accountant.
More Free Time
Tax preparation and small business accounting can be close to a full-time job, even for an accountant. If you're spending as much time as you should on maintaining solid books and filing your tax documents on time, you may inadvertently be neglecting other parts of your business (or personal life).
Shifting your tax and accounting duties over to someone who has specific training in this field may not only reduce the overall amount of time spent on your taxes, but it may also free up your time for more value-added pursuits—whether this means building your client base, working your business, or simply focusing on rest and relaxation.
Accountants receive years of specialized training and are required to complete continuing education (CE) courses to keep their licenses current. This ensures that your accountant is up to date on the latest tax changes and tweaks, which can go a long way toward simplifying your taxes and ensuring that you're not overpaying. The last decade has brought multiple tax changes, from the 2017 Tax Cuts and Jobs Act to the recent expansion of the Child Tax Credit, and more changes are all but certain to come. Instead of spending time learning about the latest tax laws yourself, you may want to delegate this responsibility to someone who is trained and certified in this arena.
Accountants aren't only for tax preparation. They may also take a holistic look at your financial picture and recommend changes or improvements to help you save money, increase your investments, or even boost your business. Accountants may be able to point you toward tax-advantaged retirement savings accounts, business grants or low-interest loans, or other financial products that may help you work towards your financial goals.
The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual.
This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.
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