5 Reasons to Check in with Your CPA Year-Round

Working with a CPA can save you money and protect you from getting an IRS audit. Here’s why you should work with a CPA all year long, not just in April.

A CPA isn’t someone you should see just once a year. You should take just as much care selecting and building a relationship with your CPA as you do your doctor. While your physician is your main partner in your physical health, your CPA is your primary other half for your financial health (preferably in tandem with a financial advisor). It doesn’t matter if you “just” file a 1040EZ each year or you pride yourself in keeping up with the latest IRS tax changes, because it’s a CPA’s full-time job to know the ins and outs of taxes, which means they know more than you.

Simply put, working with a CPA can save you money and protect you from getting an IRS audit. While the fees for a CPA may look steep up front, many of them won’t nickel and dime you. In fact, there are many CPAs who will only charge you for the time required to actually file your taxes, which means you can shoot them the random tax question any time of year without being charged for it. They’re like your personal inside source to Uncle Sam.

Here are the big reasons why you should secure a CPA throughout the seasons and not just in April:

1. They’ll keep you on top of things

Need a reminder to file your quarterly taxes or on the fence about buying a house this year? Your CPA is that bug in your ear that keeps you in the best tax-related financial health. They’ll keep you informed of any changes, recommend moves to maximize this tax year, and make sure you don’t slip up if you’ve arranged for IRS payments.

2. They’ll save you money

No matter how much or how little you pay in taxes, without a reputable CPA by your side, you’re overpaying. Millions of unclaimed tax dollars sit abandoned each year. Whether it’s writing off postage or forgetting to deduct that eco-friendly applianceyou bought, your CPA will pore over every last purchase to make sure you’re never overcharging yourself. The IRS will take what you give them, if not more, so don’t willingly donate to Uncle Sam.

3. They know all the legal loopholes

A “loophole” doesn’t have the best connotation, but as long as it’s legal, why shouldn’t you get the most benefits? Taxes aren’t easy (no matter what the commercials say), and you can’t rely on a part-time bookkeeper at a pop-up shop in April to know all the ins and outs. You wouldn’t go to a part-time dentist who spent 10 months out of the year waiting tables to take care of your teeth, would you?

4. They help you plan

Not sure if you should start your own foundation or pay into an existing one? Confused on where the best place to open your business is if you live near a border? Asking your CPA any and all money and business related questions throughout the year helps you make the best decisions for you. Sometimes as seemingly minor as opening up shop in Portland instead of Vancouver can cost you thousands since Washington has no state tax and Oregon has some of the highest in the country.

Remember: Your CPA is on your side and has zero interest in getting involved in an IRS audit with you. They’re your advocate, and you can happily pass off the dirty work to them. Just be open and honest with your CPA, and you’ll likely avoid an audit while enjoying more of your hard earned cash. It’s a win-win for everyone.

Larry AltonLarry Alton is an independent business consultant specializing in social media trends, business, and entrepreneurship. Follow him on Twitter and LinkedIn.

New White Paper: Five Proven Methods to Reduce Small Business Taxes

January is always a busy month around Shoeboxed HQ. The beginning of each new year brings lots of New Year’s resolutions on getting organized, the launch of some great new features and… the dreaded countdown to April 14th. Years change, but unfortunately tax day never does.

Since tax season is important to all of you, it’s important to us, and this year we wanted to be as proactive as possible in helping you get prepared. After all, who doesn’t enjoy reducing their tax burden?

With that in mind, we’re pleased to release our brand new white paper: Five Proven Methods to Reduce Small Business Taxes.

Shoeboxed White Paper Five Proven Methods to Reduce Small Business TaxesWith the help of Stancil & Company CPAs we set out to answer the simple question: what’s the best way for you and your small business to save on taxes this April? In the white paper we explore:

  • Why a well-designed retirement plan is the easiest way to save on taxes
  • Why identifying the proper method of accounting is crucial to tax savings
  • The best way for your children to help you maximize deductions
  • Tons more!

Download our free white paper today and prepare to save on your small business taxes this April!

Stay Organized,

The Shoeboxed Tax Team