One of our core services here at Tax Time CPAs is our Unlimited QuickChat feature with ALL of our Advisory Service Plans. We strongly feel that if you have questions, you should be able to reach out and ask us. Today. 

We know this is uncommon, especially when there isn’t any additional cost associated with talking to an expert. Some people find the idea of “bothering” their CPA with a question intimidating. That’s why today, we’re going to talk about when you should reach out to your CPA, whether that CPA is us or the guy down the street. 

When Should You Reach Out to A CPA?

Think of us as your trail guide in the financial wilderness. Our goal is to lead you up the path to your financial goals. 

Let us guide you up the mountain of financial growth.

If you feel uncertain about an expense and whether you should pay for it with personal or business funds, that is an excellent time to shoot us a quick email or pick up the phone. As we wrote about previously, some expenses are notoriously tricky to determine their eligibility as business expenses. This question often requires a review of the facts and circumstances.

If you’ve overheard a friend boasting about a new tax-saving strategy that allows them to deduct all their cocktail party expenses and a fancy new luxury car… you should probably give us a call before enacting their scheme. There might be a bunch of other facts that make that ok or definitely not ok in your situation. 

The moment you’re excited about a new business venture is an excellent time to set up a time to chat with us! Let’s say you’ve decided to take your business in a new direction that has the potential to 10x your revenue. Definitely reach out. We can help you evaluate your new direction’s transition and startup costs. We’ll also prepare for the increase in taxes that inevitably come with an increase in revenue. 

Along these same lines, cash flow questions are right up our ally. Strategic decisions like determining if you have the cash flow to hire new employees or purchase large equipment are excellent times to involve us. Depending on where you live, there might be tax credits available or other potential savings strategies to take advantage of if you reach out before you act.

We frequently discover after the fact about real estate transactions. Talking to your CPA before you purchase can often help reduce unnecessary capital gains taxes. This also applies to converting existing property to investment property. A chat with us can help you understand if you’re exposing yourself to any potential taxes. 

The question isn’t really when should you, but when should you consult a different expert, which we’ll explore next.

When to Consult Other Experts

We’ll admit it. Sometimes we don’t have all the answers. When we don’t, we’ll happily refer you to a colleague who does. 

When it comes to retirement and investments, there is a little bit that overlaps into our world. For example, knowing when certain transactions are taxable or reduce taxes and what circumstances alleviate early withdrawal penalties. That’s more or less where our expertise stops. While we may have personal opinions on the stock market, we defer to the experts who are Certified Financial Planners (CFPs). After all, they’re in the market all day, every day. Financial Planners are qualified to walk through the ins-and-outs of the most recent guidance on retirement plans, how to fund them, and how to structure them for your retirement and wealth goals. 

Insurance is an important part of our lives. Health, Life, Business, Disability, Home, Car… The list seems to be endless. Here again, we defer to the devoted brokers and producers who make this work their expertise. We can happily refer you to someone who will ensure you are covered appropriately, and we’ll sort out the deductions, if applicable. 

We are business consultants in addition to being CPAs, but there are certain transactions for which we will always refer you to legal counsel. Partnership and other entity agreements should be arranged by a business lawyer to ensure all parties’ protection and prevent disputes. Creating your estate plan should be developed by an estate lawyer. We can refer to excellent lawyers in both specialties, who we know and trust. 

When in Doubt Reach Out

We’re here to guide you up the business growth curve. We’d rather you ask in advance so we can help guide you toward success. After all, the only dumb question is the one you don’t ask. Even if it’s something that we, as CPAs, don’t necessarily handle, there is a high likelihood that we are connected to a resource that does. 

Do you have a question that you’ve been sitting on? If you’re already on an Advisory Services Subscription, reach out; we’ll get your question answered. Not on one of our Advisory Services Subscriptions and want to learn more? Schedule a Discovery Session