How much does a tax accountant cost?

[Anonymous]

We used to just do our taxes on our own with a computer program, but we've since had kids and opened 529s, and I am wondering if we should splurge on an accountant to make sure that we are getting the biggest return that we can. How much should I expect to spend to have an accountant do our taxes for us? And how do I find one?

[Anonymous]

We pay about $500 a year. But I'm a consultant so the accountant has a little more to do than just be a glorified Tubo Tax.

[Anonymous]

We pay about $350-400. Includes out of state rental property, but otherwise pretty straightforward.

[Anonymous]

$400 for 2 income, plus nanny taxes, multiple properties, weird deductions due to husbands job etc.

[Anonymous]

It dends on the amount of work they do, which is in turn a reflection of your organization. A shoebox full of receipts will be a lot. A spreadsheet with 1099s etc attached a lot less.

Average person is probably $300-$600.

Mine are extremely complicated. I own business and properties spanning several states and file a dozen personal returns (unrelated to corporate returns). I am extremely organized. My personal returns run about $2500. My parents have a business but drastically less complicated returns. They have shoeboxes they give the accountant. They pay $5000. I have ad fiend who is a financial mess (he has a business). His personal return are $7500-$10000 per year. His first two accountants fired him.

[Anonymous]

I pay about 300 (roughly) with a rental property, a small internet business, some financial investments and a job.

[Anonymous]

$450 with a rental property.

[Anonymous]

Question for the $450-600 clients, "Do you hand over a box of receipts, or do you hand over spreadsheets to your accountants?"

[Anonymous]

Anonymous wrote:$400 for 2 income, plus nanny taxes, multiple properties, weird deductions due to husbands job etc.

Where can I find this person

[Anonymous]

Do they charge you more based on income

[Anonymous]

Our guy (genius, we love him) charges $100 for my pretty simple return and around $150 for spouse with a bit more complicated return. (The fed govt just started recognizing our marriage so we've been filing separately, will likely file jointly this year and not sure what he will charge, but anticipate it being similar.)

That said, he's in NYC (former NYers here) but I don't see why the prices in NY would be drastically different from DC. Then again, he's also done my partner's family's taxes since the 80s, I think, so maybe we get a break. I'm not sure.

[Anonymous]

From what you've said there is no reason to pay an accountant. Nothing about your tax situation is complicated.

[Anonymous]

Anonymous wrote:We used to just do our taxes on our own with a computer program, but we've since had kids and opened 529s, and I am wondering if we should splurge on an accountant to make sure that we are getting the biggest return that we can. How much should I expect to spend to have an accountant do our taxes for us? And how do I find one?

Biggest REFUND, not return. The return is what you file.

If all you've done is have kids and open 529s, I wouldn't spend the money. Just use software.

Your contributions to 529s are immaterial for federal tax purposes -- there's no deduction. You might get a very small deduction at the state level, but that's easy enough to claim on TurboTax or the H&R Block software. Either way, it's not going to save you much in tax. Maybe $50 per $1,000 contributed?

Assuming you've had two kids, you'll get two more personal exemptions. You may or may not qualify for the child tax credit, depending on your income. Both of those things will be calculated automatically once you enter your kids names and SSN into the software.

Do you pay for child care? You might qualify for the dependent care credit. Again, it will ask you for that. You do need to know the tax ID of the provider to claim this.

[Anonymous]

I also normally do TurboTax, but one year when we had two big complications on our taxes, I used an acquaintance who runs her own fairly large tax accounting firm (and who several other acquaintances use routinely). I got a discounted price of $500. I've gone back to doing it myself, but I know and trust this friend so that if I have another year with complications, I'll definitely go to her firm. She normally charges $600-650 for clients, but this one group, she charges us each $500.

[Anonymous]

we pay about 1500 but have complicated returns with multiple states and business.

OP I don't think you need an accountant - 529s, etc are pretty routine.

To the PP who asked about what we give our accountant - we basically have to fill out a form not unlike turbo tax. We also have to provide bookkeeping reports from the business. Then we provide all the investment statements. There is definitely a lot of work on our part to organize the information.