The world is a bit different now and the nature of tax, finance, and accounting is evolving rapidly. The role of the Certified Public Accountant (CPA) is changing. Taxpayers want value-driven relationships instead of transactional exchanges in the hurried weeks of tax filing season.
This begs the question – Does your accountant ever call you?
You may be asking, “Why should my accountant call me?” The answer is the accountant that calls you is proactively and strategically thinking about your tax planning. The accountant that isn’t calling is waiting for tax season to come so they can shuffle a few numbers, fill out a few forms, and get your return out the door along with several hundred others. Don’t get me wrong – tax compliance is important and essential. It’s a key part of what CPAs do but… it’s not the solution for reducing your tax bill.
How do you find tax savings? Tax-Planning.
Strategic tax planning and the execution of those plans over many years is the way to reduce your tax bill. Remember, taxes are something most people will have to pay, every year, for almost their entire lives. Also remember, all the money that you have to live on, invest, grow, and improve you and your family’s life is what is left AFTER taxes. Tax reduction over your lifetime is one of the keys to wealth building. The wealthy know this, and the Internal Revenue Code is designed to provide opportunities to those that seek them.
The accountant that calls you is the accountant that cares. If he or she can’t reach you by phone, they e-mail. If not e-mail, then mail. If not mail – carrier pigeon? I think you follow.
The point is that the modern CPA should be taking a proactive role in educating you on, and initiating, tax planning. They see you every year in the spring – but what about July or November? Mid-year conversations are the cornerstone of successful planning. Tax planning can be as simple as a 30-minute conversation to discuss a life event (baby on the way?) or a major transaction (how about that home sale you’re contemplating?). It can also be as detailed as multi-scenario tax projections to show you the exact impact of strategies, in dollars, over many years.
Get an accountant that cares enough to call. A good strategy can serve you for many years – a check in once or twice a year can be used to update that strategy as you go. No surprise tax bills, no missed opportunities after the close of the year – just life-long savings and more money in your pocket.
Want to learn more about working with a modern CPA who is focused on your strategic tax planning?
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