Archive for May 10th, 2017

How Much Do Accounting Services Cost?

Without fail, we get asked “How much do accounting services cost?” by about ten percent of our initial inquiries. The question comes in various forms, from “What is your hourly rate for a bookkeeper?” to “Can I get a ballpark of what it would cost for a daily bookkeeping service?” but the questions all boil down to one main concern: Cost.

Of course, we understand that cost is and will always be a factor in decision-making. After all, budgets must allow for the cost and an appropriate return on the expense must be present. But we worry sometimes that this question, when taken out of context, fails to address the greater issues at hand. As such, we do not have a pricing matrix per se but rather we create custom fixed fee monthly quotes for each prospective business based on the scope and complexity of the work required. However, we can address cost considerations in different ways to help answer your pricing concerns.

What About An Hourly Rate for Bookkeeping Services?

This may come as a surprise (unless you’re a big fan of accounting yourself) but virtually any business can boil down their expenses and costs to some form of an hourly rate. After all, the number of employee hours spent on a given project and the employees’ salaries can easily provide a rough hourly estimate through basic arithmetic. As a responsible business, we have to know what the cost of our services is to appropriately budget and set pricing. However, actually billing at an hourly rate doesn’t make sense for us due to a variety of reasons.

Scope and Complexity of Work Isn’t Always A Straight Equation

This may go without saying but not all bookkeeping tasks are as simple or as complex as others. Some of our clients require incredibly complex reporting and financial management, which requires oversight by highly trained professionals. These same highly trained professionals may also be the ones monitoring and managing more common bookkeeping tasks—but charging clients a single “rate” for services would potentially put them at risk for paying hourly rates that are not always in line with the level of knowledge required to deliver a service. Instead, evaluating an approximate amount of time required to perform each account task in a period and establishing monthly, fixed fee rates for the complexity of work required is more likely to create a fair price.

Price Fluctuations In Monthly Fixed Fees For Accounting Services

At the same time, we recognize that our clients like to have options when it comes to their accounting services. From adjustments in frequency that increase or reduce the number of times work is performed to service add-ons that increase or reduce the complexity of reporting and analysis, we provide up to three “service tiers” for accounting services quotes. Some examples of typical variations include the frequency of review with a controller, managed employee expense reporting, payroll management and sales tax reporting. Sometimes simple adjustments in frequency, such as from monthly to quarterly, can have notable effects on pricing.

Interested in finding out how much accounting services would cost for your business? Contact us for a free consultation.

Products
May 2017
M T W T F S S
« Apr   Jun »
1234567
891011121314
15161718192021
22232425262728
293031  
  • America's Best Colleges
    Forbes' list of public and private colleges and universities ranks the best schools--from the students' point of view.
  • Twelve Nasty Work-From-Home Scams
    Does the offer of making a mint in your pajamas sound too good to be true? It surely is.
  • The World's Most Powerful Celebrities
    Oprah Winfrey takes back her crown while pop chart phenomenon Lady Gaga catapults to No. 4 on this year's Celebrity 100.
  • The World's Leading Companies
    This comprehensive report analyzes the world's biggest companies and the best performing of these titans.
  • The World's Billionaires
    Carlos Slim Helu takes the No. 1 spot on Forbes' annual list of the world's richest as a record 164 billionaires return to the ranking amid the global economic recovery.
  • 5 Fatal Sales Mistakes to Avoid
    Are you selling as much as you should be? If you're missing your sales goals, you or your employees may be making one or more of these fatal sales mistakes.
  • How to Build a Great Small Business Company Culture
    The one thing your competition can't steal or copy is your company culture. Make your small business' employees feel appreciated and valued by creating a great company culture.
  • 7 Steps to Create a Powerful Sales Presentation
    A good sales presentation can influence customers to buy from you instead of the competition. These 7 steps will help you create powerful presentations that wow customers and win sales.
  • 36 Low-Cost Ways To Promote Your Business
    36 low cost ways to promote and advertise your business. Proven marketing strategies and low-cost advertising methods for small business and home business owners.
  • 5 Ways to Predict a Trend
    Spotting a trend ahead of the competition can give you a big leg up. But how do you tell a trend from a fad? Here are five ways you can spot trends while they are still on the horizon.
NY Business