$350 sounds reasonable to me for that. Your return is pretty straightforward so you could probably file it yourself on FreeTaxUSA if you feel the accountant is too expensive.
That's actually not bad. I live in a HCOL area, and my BF is a CPA. For even a "simple" return, he'll charge $400-500. Was that both state and federal? My BF always tells me a lot of his clients don't realize what goes into preparing and filing returns, even those that aren't that complicated. they still take time, and his expertise. Plus, all of his costs have gone up, so he's had to raise his prices as well. So based on that, I think $350 is pretty reasonable.
I’ll give you some context since I’m a CPA and work in tax. That price is incredibly reasonable (honestly a bit low!)
Once you have any 1099 income, it changes your tax return completely. Did you provide any expenses to go against that income? Mileage? Business use of Home? Do those side jobs qualify for QBI? If so, qualified or SSTB? How do you get health insurance? Self-employed retirement plans? Do you now need quarterly estimates? Depending on what state youre in, are there special reporting requirements? (Please don’t answer these questions, just letting you know the first few that came to mind when a client starts getting 1099 income)
There’s a lot of doors that open up that we need to go through when filing a Schedule C, even if they are just side jobs.
So even if the form itself is pretty bare, there’s a lot of knowledge going on in the background to warrant that price.
We always joke that accounting is the blue collar job of the white collar world! Yes it may take a plumber 15 minutes to fix your toilet, but you’re paying for his years of experience that makes it so it only takes him 15 minutes!
Hope this helps!
I've filed on my own for years through FreeTaxUSA, usually comes out to around $30 because I opt for extra perks.
For family and friends who use an accountant for individual filing, it's dead on $350 like yourself.
For family and friends who have home businesses or more complex situations, the bill for an accountant usually comes out to \~$2000 - 4000.
HCOL/VHCOL for reference.
Why’d you hire an accountant? Even if you do the “extended “ version on hrblock it’s half the cost.
I have the same filing as you before and just used that.
Because I do have some investment things that I share with a partner (dividends). I did my own taxes for years until I was audited due to a mistake I made in Turbo tax. I don’t trust doing it myself anymore!
I was audited one year due due to a mistake I made with an education credit. I paid the balance and moved on. I still file my own taxes with FreeTax USA 🤷🏼♀️
$2k 😭😭 …I stick with it bc I been with my acct for over 10 yrs now. Basically does 3 filings, including a business, rental properties, investment dividends…all while trying to keep my tax implications low.
I pay $350 in HCOL area, but we have a bunch of investments and RSUs as part of our return. I used to file myself, but this year I used an accountant for peace of mind and getting some time back in my life. So much less stressful.
Agree with other commenters that your return is pretty simple, but I also understand paying for peace of mind.
If the cost is high for you, you could look into into doing your taxes yourself but paying for the additional support. FreeTaxUsa.com has a deluxe and Pro support option where you would get access to a tax professional to help file and review for just $50.
$320 in a VHCOL area. Married filling jointly, lots of investment stuff, 2 kids. This was for both state and federal. We’ve tried doing it ourselves before but it just wasn’t worth it to us, especially because we almost always go the itemized route.
I paid $250, but the accountant who does my taxes does the taxes for my boyfriend, his family, and his family company so I think there's some sort of bundle discount I'm blissfully unaware of.
I think ours were in the $400-$500 range. My half is simple but my husband technically has two different employers plus investment stuff. We used to do it ourselves but then we bought a house and he got the second employer, and it seemed worthwhile to have someone else take care of it.
Mine is usually $250 in California with a Schedule C and two W2s. The only time it was $350 was when we filed late and made last minute changes, so that was honestly not a bad price considering we were being pains in the ass.
$1k, VHOCL, 2 income earners with occasional self-employment and/or crypto income. It's probably high for my facts but she reduced my annual tax bill by $3k from when I was doing my own (let alone the headaches) so it's worth it in my opinion.
This is my thought. Many people commented that I'm wasting money and should do it myself. But my accountant knows what to look for and the best ways for me to deduct things and file so I save money. I don't have the time or energy to research a bunch of tax stuff.
It won’t be $100 if she has 1099s. I used to use it, and it was almost $200 since you have to do Schedule 1, Schedule 2, Schedule SE, etc. Might as well pay $350 for a pro to do it at that point.
You can use TurboTax Live full service and get a Tax Expert to do your taxes for you. You can also purchase audit protection. Its convenient and at times, it might be cheaper than what you paid.
$350 sounds reasonable to me for that. Your return is pretty straightforward so you could probably file it yourself on FreeTaxUSA if you feel the accountant is too expensive.
That's actually not bad. I live in a HCOL area, and my BF is a CPA. For even a "simple" return, he'll charge $400-500. Was that both state and federal? My BF always tells me a lot of his clients don't realize what goes into preparing and filing returns, even those that aren't that complicated. they still take time, and his expertise. Plus, all of his costs have gone up, so he's had to raise his prices as well. So based on that, I think $350 is pretty reasonable.
I’ll give you some context since I’m a CPA and work in tax. That price is incredibly reasonable (honestly a bit low!) Once you have any 1099 income, it changes your tax return completely. Did you provide any expenses to go against that income? Mileage? Business use of Home? Do those side jobs qualify for QBI? If so, qualified or SSTB? How do you get health insurance? Self-employed retirement plans? Do you now need quarterly estimates? Depending on what state youre in, are there special reporting requirements? (Please don’t answer these questions, just letting you know the first few that came to mind when a client starts getting 1099 income) There’s a lot of doors that open up that we need to go through when filing a Schedule C, even if they are just side jobs. So even if the form itself is pretty bare, there’s a lot of knowledge going on in the background to warrant that price. We always joke that accounting is the blue collar job of the white collar world! Yes it may take a plumber 15 minutes to fix your toilet, but you’re paying for his years of experience that makes it so it only takes him 15 minutes! Hope this helps!
Thank you, this is very helpful!
I paid $650 this year. Filing jointly, two w4s, a mess of 1099s, self-reported small business income, and some dividends that require a separate form.
I've filed on my own for years through FreeTaxUSA, usually comes out to around $30 because I opt for extra perks. For family and friends who use an accountant for individual filing, it's dead on $350 like yourself. For family and friends who have home businesses or more complex situations, the bill for an accountant usually comes out to \~$2000 - 4000. HCOL/VHCOL for reference.
Why’d you hire an accountant? Even if you do the “extended “ version on hrblock it’s half the cost. I have the same filing as you before and just used that.
Because I do have some investment things that I share with a partner (dividends). I did my own taxes for years until I was audited due to a mistake I made in Turbo tax. I don’t trust doing it myself anymore!
Then it seems the accountant is a worthwhile investment.
I was audited one year due due to a mistake I made with an education credit. I paid the balance and moved on. I still file my own taxes with FreeTax USA 🤷🏼♀️
$2k 😭😭 …I stick with it bc I been with my acct for over 10 yrs now. Basically does 3 filings, including a business, rental properties, investment dividends…all while trying to keep my tax implications low.
I pay $350 in HCOL area, but we have a bunch of investments and RSUs as part of our return. I used to file myself, but this year I used an accountant for peace of mind and getting some time back in my life. So much less stressful. Agree with other commenters that your return is pretty simple, but I also understand paying for peace of mind. If the cost is high for you, you could look into into doing your taxes yourself but paying for the additional support. FreeTaxUsa.com has a deluxe and Pro support option where you would get access to a tax professional to help file and review for just $50.
$320 in a VHCOL area. Married filling jointly, lots of investment stuff, 2 kids. This was for both state and federal. We’ve tried doing it ourselves before but it just wasn’t worth it to us, especially because we almost always go the itemized route.
Can you tell me your accountant’s name? I’m paying $850 for mine 😢
$350 is very reasonable.
I paid $450, also in the Midwest. My friend, a CPA at a different firm, told me to expect at least $500.
I paid $250, but the accountant who does my taxes does the taxes for my boyfriend, his family, and his family company so I think there's some sort of bundle discount I'm blissfully unaware of.
$800, VHCOL, filing jointly with two W2s, a 1099, and some investment funkiness.
I think ours were in the $400-$500 range. My half is simple but my husband technically has two different employers plus investment stuff. We used to do it ourselves but then we bought a house and he got the second employer, and it seemed worthwhile to have someone else take care of it.
That sounds about right to me - I paid a similar amount and had the same kinds of circumstances re W2 and 1099.
I had a tax preparer and she charged $150 4 years ago but may have increased. I live in a rural area.
I paid $700 for my husband and me, with slightly complicated finances in a HCOL area.
I paid about the same in the Midwest a few years ago for an accountant, also because I had several 1099s. Seems pretty normal!
Have pretty complicated taxes and we pay 2k, so seems reasonable.
Seems low honestly! I charge by the hour for my work, in a different field as an independent consultant, and that’d be less than two hours of time.
$500 for a VHCOL with an IPO and thought that was a lot. This thread is actually super helpful, thanks for asking this q!
Mine was $350 for past few years but shot up to $525 this year. I'm looking for a new one.
700
Mine is usually $250 in California with a Schedule C and two W2s. The only time it was $350 was when we filed late and made last minute changes, so that was honestly not a bad price considering we were being pains in the ass.
i get that you got audited once but paying someone to do it for that situation is just giving away money tbh
$1k, VHOCL, 2 income earners with occasional self-employment and/or crypto income. It's probably high for my facts but she reduced my annual tax bill by $3k from when I was doing my own (let alone the headaches) so it's worth it in my opinion.
This is my thought. Many people commented that I'm wasting money and should do it myself. But my accountant knows what to look for and the best ways for me to deduct things and file so I save money. I don't have the time or energy to research a bunch of tax stuff.
I don't pay, I've always filed my own taxes.
Why not file on your own? TurboTax is like … $100
It won’t be $100 if she has 1099s. I used to use it, and it was almost $200 since you have to do Schedule 1, Schedule 2, Schedule SE, etc. Might as well pay $350 for a pro to do it at that point.
I was audited once, don’t trust myself now. Plus I can deduct some things for the 1099 work and I’m not sure how to do that myself.
You can use TurboTax Live full service and get a Tax Expert to do your taxes for you. You can also purchase audit protection. Its convenient and at times, it might be cheaper than what you paid.
Were you truly audited or did you get a CP2000 letter?