As the Personal Tax Return season approaches, there’s a familiar hum of activity in the accounting world. Accountants everywhere brace themselves for the influx of last-minute requests, missing paperwork, and frantic clients racing against the clock to meet that January deadline. It’s a time of year when questions around fees and billing seem to pop up as often as the tax forms themselves. Many clients wonder, “Why does my accountant charge so much for something so routine?” As it turns out, the answer often lies in what goes on behind the scenes.
For accountants, the work doesn’t end with calculations and form-filling. Much of the time is spent gathering documents, double-checking for errors, following up on missing information, and pushing for timely approvals. Each delay or unprepared client adds to the workload and the bill. But here’s the good news: with a few simple steps, clients can help keep costs down and make the tax season process far more efficient.
So, if you want to make this year’s tax return as smooth and affordable as possible, read on. Here’s a breakdown of why accounting fees can be higher during this season and how you can help streamline the process, potentially saving both time and money.
A Peek Behind the Cost Curtain
Have you ever opened an invoice from your accountant and thought, “Really? For a tax return?” On the surface, it might seem like accounting is just numbers and forms, but there’s a lot more behind the scenes. Unprepared clients, last-minute scrambles, and follow-ups add to the hours an accountant spends on a job, which naturally bumps the cost.
With some insight and a few proactive steps, you can help keep these costs down. Let’s dive into why your accountant might seem pricier than expected – and what you can do about it.
Why Does It Cost So Much? (It’s Not Just the Numbers)
When you see the total on your accountant’s bill, it might be hard to believe that something as “simple” as a tax return can be so costly. But here’s the truth: much of that cost comes from work beyond traditional accounting. Many factors can drive up the time (and the bill) from missing documents to last-minute requests before any actual number-crunching begins. Let’s break down the hidden costs that come with managing clients’ accounts and how these factors can make what should be a straightforward service seem pricier than expected.
Imagine booking a haircut and showing up without washing your hair. Your stylist has to wash, dry, and detangle before even picking up the scissors. In accounting, the equivalent happens when clients don’t bring the necessary paperwork. Accountants often spend hours gathering missing documents, cross-checking figures, and filling in the blanks when clients aren’t prepared.
For clients, it may seem like little – a missing receipt here or a forgotten statement there – but these add up. Each piece of missing information means the accountant has to step in, often taking up time that could have been spent on actual accounting. The less prepared the client is, the more time it takes – and yes, more time means a higher bill.
Leaving things until the last minute is a habit we’re all guilty of at times. But in accounting, last-minute requests can lead to a costly rush. When clients hand in documents just as a deadline is looming, it puts pressure on your accountant’s entire team. This is where the “tax return” quickly becomes an emergency job, consuming extra hours to ensure everything is correct and compliant, all in a tight timeframe.
And, of course, when the clock’s ticking, there’s less time to catch errors or find savings. That slight delay means your accountant is doing more than just filing – they’re in a full-blown scramble to get things done, which naturally costs more.
Chasing information is one of the most time-consuming parts of an accountant’s job. When clients take days or weeks to answer a question, it slows everything down. Follow-up emails and reminder calls – these add up fast. Just like no one enjoys being pestered, your accountant would rather be crunching numbers than waiting around.
Repeated follow-ups aren’t free. If the accountant has to chase clients several times, that time spent tracking down responses becomes part of the overall bill. Quick responses? Those keep costs in check.
Picture this: your tax return is prepped and ready, but it sits, awaiting your approval. Every week, it waits, your accountant must keep the project open, prepared to act. All that waiting can stretch the timeline, adding more admin hours to the job.
For the client, delayed approvals may be no big deal. But every extra day, the file sits open, quietly increasing the time the accountant spends managing it. So, when the final bill includes “admin fees,” some costs come from those drawn-out approvals.
It’s not just the work that adds to the bill; slow payment also adds a hidden layer. When clients delay payment, accountants spend more time on financial admin, sending reminders, and adjusting cash flow accordingly. And yes, all that extra admin ends up reflected in the bill. By keeping payments timely, you help smooth out the process and avoid any additional charges.
80% of the Invoice is Admin Time, Not “Accounting.”
Here’s a surprising truth: much of what clients pay for is “project management” rather than number-crunching. Think about it – chasing documents, confirming details, and managing client responses. All these non-accounting tasks quickly add up to hours on the clock.
In fact, an estimated 80% of a typical bill can come from managing client workflow instead of accounting itself. For clients, this means that a significant part of what they’re paying for isn’t about tricky calculations; it’s simply about keeping things on track.
How Clients Can Help Reduce Their Costs
The good news? A lot of these extra costs are preventable. With some preparation and a few simple actions, clients can significantly cut down the time and, therefore, the cost of their accounting services. By making use of digital tools, staying organised, and responding promptly, you can help your accountant work more efficiently – without cutting corners. Let’s look at a few ways you can impact your invoice, starting with organisation.
Keeping costs down doesn’t have to be complicated. Start by simply being organised! When your documents, receipts, and statements are all ready to go, your accountant can focus on what really matters—filing and accuracy. Having everything in order from the start prevents unnecessary time spent tracking down missing items and keeps the process smooth and efficient.
Most accounting firms provide a client portal where you can upload documents securely and easily. If you’re not using it, give it a try! The portal keeps everything in one place, saving everyone time. No more email chains or lost attachments. It’s quick, organised, and makes your accountant’s life a whole lot easier (and your bill a little lighter).
If your accountant offers an e-checklist, use it to mark off each required item as you complete it. It’s a straightforward way for you and your accountant to see what’s complete and still outstanding. With everything checked off, there’s less guesswork, fewer questions, and no need for follow-up emails.
Using the checklist also keeps things moving along, ensuring no stone is left unturned and reducing the risk of last-minute surprises. A small thing, but it goes a long way.
Want to keep your bill down? Answer emails quickly. It’s that simple. The faster you respond, the less time your accountant spends chasing you down. Prompt replies ensure a smoother workflow, cutting down on those repetitive “just checking in” messages and making the whole process more cost-effective.
Nothing derails a project faster than waiting on approvals. If there are no questions, take a few moments to sign off so the process can move forward. Quick approvals help your accountant wrap up work faster and reduce the time needed to keep files open. It’s a small step, but it makes a big difference.
The Win-Win: Reducing Costs and Keeping the Relationship Smooth
Good organisation and responsiveness benefit everyone. When clients are proactive, it doesn’t just save them money; it makes the process smoother and faster. By staying on top of documents, replying to emails promptly, and sticking to deadlines, you reduce your accountant’s workload, ensuring you get the best value for the services you’re paying for.
It doesn’t take much to keep your accounting costs manageable. A bit of preparation, a touch of organisation, and a few prompt replies can turn what might seem like an “expensive” service into a streamlined, affordable partnership. So next time you see an invoice, remember – taking these small steps can make a big difference in keeping your finances in order without breaking the bank.