The upgrade that got me 5x my usual tax return!
When I started my business in 2013, my income was going towards college tuition and putting gas in the MegaBug to get to school. So I basically had a $0 budget for my business.
Not only did it force me to learn marketing - which ended up being a good thing! - I also learned how to do my own bookkeeping, and since then, I've filed my own taxes on TurboTax.
This year I decided to throw in the towel.
Our taxes are more complicated this year (2020 🙄), and I was terrified of messing anything up.
So I made a major upgrade and hired an accountant!
Now it's reeeeeally hard for me to delegate and pay money for something I've been doing for just the low cost of TurboTax. Especially since Shelby and I expected to pay in this year.
Thanks to recent changes in tax laws and working with an actual CPA, our tax return is 5x that of recent years!!! WOW! I asked my accountant for a summary of why it's so high- I couldn't believe it.
Not only am I grateful to have hired an accountant for getting us such a high return, I'm grateful that I didn't have to stress over my taxes and spend hours doing them. All I had to do was upload our tax documents to my CPA's secure system, add my accountant as a user on my Quickbooks, answer a few questions, and now I'm waiting for our money to roll in. Shelby's sending me Scrooge McDuck memes in the interim.
Here's why I held off on hiring an accountant, and why I'm now regretting that I waited:
Working with an expert ensured I received the most advantageous return possible.
The cost is totally justified with my big return, but the time savings is also a plus. Time = money after all. (Oh! And I can pay for and write off part of my tax preparation fee through my business.)
The process of handing over my books and getting someone up to speed on my systems felt overwhelming. #iaintgottimeforthat But the process was actually rather seamless. Because I put so much time into setting up my books correctly from the beginning, I didn't have to answer many questions. My accountant also reviewed our prior years' returns to get a sense of the bigger picture.
Calculating my business' quarterly tax estimates is included with the cost of my annual tax preparation. So I can stop doing that too!
Whenever I have a tax, bookkeeping, or business question, I have an expert I can go to. No more time frantically Googling for answers!
Oftentimes we put off upgrading out of fears that are either irrational or have very little consequence.
If you're considering bringing some aspect of your business to the next level, do the research now to get a better understanding of what you'd be getting into. Oftentimes the benefits will outweigh any growing pains and costs.
How can you upgrade your business to make your life easier?
—
Just getting started in business and looking for a roadmap? Check out my free Begin Your Business online course. We’ll cover everything from pricing to forming an LLC, assembling your team to getting your first clients, and everything in between.
Been around the business block and looking to grow? My Self-Employed School online course provides a deep dive on topics including website SEO and design, e-newsletters, social media, public relations, and more. It all culminates in creating an easy and effective marketing strategy for your business.
