How An Accountant Can Help Your Small Business

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When to Hire a Personal Accountant

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Managing your own financial paperwork and taxes, without the use of a personal accountant, can be a good choice if you don't have many investments or financial interests, and if your personal finances are relatively simple. However, this isn't always the best idea for everyone, as sometimes your own personal finances can be somewhat complicated. Paying an accountant to manage or at least explain your finances to you can then protect you financially. Consider when it may be recommended that you hire or consult with a personal accountant, whatever your income or financial situation.

You have rental properties

When you own property, there are financial issues related to property taxes, depreciation of the property, and other factors that need to be figured into your overall tax and financial situation. You also want to ensure you're figuring in all your costs for maintaining that property; for example, an accountant can note if you can deduct mileage in driving to and from the property to perform maintenance. Rather than potentially miss out on certain deductions, or risk paying too much in taxes for the property, work with an accountant to ensure your taxes are prepared properly when you have any type of rental property.

You're self-employed

If you're self-employed in any way, you want to ensure you're taking all deductions that are appropriate, in order to lower your tax bill, while also ensuring you don't take deductions that are not allowed, so that you don't get audited or face any type of fine or other legal backlash! You also want to ensure you're paying all the taxes you need to pay as a self-employed person, and are also doing everything necessary to protect yourself financially, since you don't have an employer to create a retirement fund for you. An accountant can help with both taxes and financial planning, so that nothing is overlooked.

You're getting close to retirement

If you're getting close to retirement, you need to have an accurate picture of your finances, including any superannuation funds that you may have put away by an employer.  You may not be owed as much as you think from those funds, or may be getting a lager payout than you expect; you also need to understand what retirements funds will be subjected to taxes once you access those funds, so you can prepare yourself properly. An accountant can review your entire financial portfolio and help ensure you're properly prepared for your retirement, and that you know what funds you will have in the upcoming months and years.