There are a few ways to keep your end of year accounting fees down. The easiest way is to do as much of the work as you can yourself.
This can be through processing your own cashbook, using a program such as MYOB, Sassu or (our preference) Xero. When processing each transaction, make sure you detail it with as much information as you can.
Once your accountant comes back to you with queries, provide all the information requested as quickly as you can. This will save them coming back a second time with more questions, running your bill up even further. Also, if you answer their questions before they put your file down you’ll get your accounts back more quickly.
The other way to keep fees under control is to be clear with your expectations. Do you expect your fees to be the same as last year despite your business activity being down this year? Is the job done on a ‘time and cost’ basis at a predetermined hourly rate? Have you been advised of changes to your accountant’s charge rates? Is your job being used as a training exercise meaning the time taken (and therefore cost) will be higher?
Finally, have you thought about using an accounting firm who charges on a fixed free basis?
Once the annual accounting fees are under control, the savings can be used to hire an accountant that will actively help you grow your business. See our earlier post to find out how they can be helping you.