Learning About Finance and Money

How Can An Accountant Help Me With My Personal Finances?

4 March 2016

Jordy De Pijper

Many people think of using an accountant primarily for tax services. However, an accountant can be a part of your financial planning team. As you begin to build wealth, you may want to have your accountant take a part in more of your finances from day to day.

Managing Your Taxes

An accountant is a great resource when it comes to filling your taxes. Generally, your accountant can help you find as many deductions as possible. He may also make suggestions like increasing your contributions to an IRA or to charitable donations. When you use an accountant for your taxes, you can be confident that you are getting the largest refund possible. He can also help you forecast your future taxes and determine your quarterly payments or how much you should be having withheld each year.

Investment Advice

According to US News and World Report, some CPA firms are beginning to offer personal financial planning services in addition to the tax services. Your accountant may offer a referral to a trusted financial planner or recommend that you use the services at the firm. He may also make recommendations that you begin investing more or that you use specific investment types to reduce your taxable income. If you are making a change in your financial planning, it is a good idea to run it past your accountant to see how it will affect your tax situation, as well.

Estate Planning

Although, you should see a lawyer when it comes to planning your estate, it is also a good idea to include your accountant in the discussion. Since he deals with taxes, your accountant should be able to help you choose the best options that will reduce the amount your estate needs to pay in taxes when you die. This will make sure that your family gets as much money as possible when you pass away.

Setting Up and Managing Your Small Business

When you are first starting a business or working as an independent contractor, your accountant can help you set up your business to help you protect your personal finances from the business. You may also have things like real estate investments that are a part of your portfolio and your account can help you manage the payments and expenses related to that. This may be a one-time service as your accountant sets everything into place, or it may be an ongoing service. Be sure to discuss the fees involved before going into this. 

For more information, contact RJ. Garner CPA & Associates, PLC or a similar firm.

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