Listed below are a few common reasons to hire a tax professional.
- It can save you time. What is the value of an hour of your time? The IRS estimates that the average person spends up to 11 hours doing all the prep work for a 1040. It could take more time depending or your situation. If this is true the cost of your time may far outweigh the cost of delegating your taxes to a professional.
- The tax code is complicated and changes frequently.
- You gain peace of mind.
- Making mistakes on your taxes can be expensive and potentially outweigh the tax prep fee. Innocent tax mistakes such as math errors or filing status may trigger further questioning or audits by the IRS.
- Reviewing Tax planning strategies such as Roth conversations.
- Itemized deductions may be missed.
- You don’t have the time or patience to deal with taxes.
If any of the following tax situations apply to you it may also be worth hiring a tax professional.
- You have taxable brokerage accounts with multiple buy and sell transactions during the year.
- You bought or sold a primary residence.
- You bought or sold a rental property.
- You have children or dependents.
- You donate to charities.
- You are self-employed
If you would like to discuss potentially delegating the tax preparation process feel free to call, email or click here https://calendly.com/davestanfield to schedule a 15 minute call and answer any questions you may have.
IRS source: https://www.irs.gov/pub/irs-pdf/i1040gi.pdf