I run my own business, and every year I’m asked to file my taxes. I sort out my books myself, as I don’t see the point in paying for an accountant to do it. However, my aunt runs her own business, and she pays an accountant every year, and she’s happy to continue doing that.
You may wonder why I am so averse to hiring an accountant, so I’m going to explain why:
I do my books weekly
Every time I get paid, I add the figures to my spreadsheet. This practice helps me to stay up to date with how much money the business has. I also add expenditures every time I have them too. If I need to see how well the business is doing, I just take a look at the figures, and workout the profit from there.
Accountants aren’t cheap
We all know that accountants can potentially charge a lot of money for their work. This is the main reason why I won’t hire one. I can use that money elsewhere, and I would rather not pay about $1,000 each time.
I usually have time to do my taxes
This is because I make the time to do my taxes. As soon as I know they need doing, I do them at the next available opportunity. My aunt hires Broadridge IMS to help her with other aspects of her business when her accountant wants to go over the books with her. As you can see, this means there’s a lot of expense on her behalf, but she’s happy with that.
Getting someone else to do my books is too personal
I’ve been running my own business for nearly 4 years, and it’s become quite personal. It’s something that I enjoy doing, and doing my books is a part of my job. The thought of an accountant looking at my incomings and expenditures seems a little too personal. I’m sure a lot of business owners feel this way, and can identify with this.
It’s good practice to do it myself
The very first time I took a look at my books and decided to do it all myself, it did seem a little intimidating. I had very little business experience, but I was willing to give it a go. I wanted to prove to myself that I could do the work, and it turns out that I could. I think being able to do the work that an accountant would ordinarily do is good practice. Knowing what needs to be done and when means that if I were ever to hand the reins over to someone else, I know what the job entails.
It’s entirely up to you whether you pay for the services of an accountant. I guess it depends on how mathematical you are, and how willing you are to give it a try. If you would like to make sure that everything is kept in order, and it will give have peace of mind, then perhaps hiring an accountant is the way forward