3 reasons you need an accountant in 2018
Do you need an accountant in 2018? This depends on how confident you are managing company accounts and the amount of time you have available to do this.
Many contractors and businesses are happy looking after their company accounts, however, submitting your annual tax return isn’t always the most straightforward task and mistakes can be costly.
It’s worth considering employing an accountant before your tax return is due as planning ahead could save you money and prevent unnecessary stress in the rush to compile all the information you need.
If you’re unsure whether you need an accountant in 2018, consider these three reasons for employing an accountant.
You want to spend more time growing your business
Does this scenario sound familiar? It’s the end of the month and you’re trying to reconcile company expenses before you pay the company credit card bill. You need to locate, document and code all of these expenses – and that’s before you even start to look at how much is coming in and out of your company.
Not only can bookkeeping be a time-consuming exercise, ensuring your accounts balance correctly can be a real hassle and take up precious time you could be using to do work that directly contributes to your company profits.
The good news is many accountants offer bookkeeping services to take care of this for you and employing one that offers cloud accounting software means you’ll have complete visibility of your company accounts.
You are unsure how much you can spend and save
Even if you don’t need bookkeeping services, employing an accountant will ensure you don’t miss important tax deadlines and will always know how much you can spend and save.
Employing an accountant to look after your company accounts means you’ll know exactly how much to allocate for tax payments, pay yourself a salary and invest back into the business, ensuring your money goes as far as possible.
Your accountant will also be able to advise on other ways you can increase your income, such as dividends and various forms of tax-relief.
You don’t know about the tax-relief available to businesses
Another popular reason many people employ accountants is to help them reduce their tax bills. Setting up a limited company allows you to benefit from tax-relief that is only available to businesses, which means you’ll be able to take home more money than a standard employee.
You’ll still need to pay corporation tax but can reduce your tax bill by claiming a wide range of business-related expenses, including vehicle running costs, equipment and even your accounting fees. This reduces the total amount of tax you have to pay and allows you to take home more of your income than you would if you were employed by another company.
For a free no-obligation business consultation and to find out more about the benefits of setting up a limited company, talk to us today!
Since 2008, Cobia Accounting has set up hundreds of limited companies for contractors, freelancers, sole-traders and small businesses, offering bookkeeping and accounting services at fixed-monthly rates to save you time, money and hassle.