BY SUZANNE HAZLETT, MBA, CIMA®, CFP®
In a series of articles last year, the Wall Street Journal asked and answered the question, “Why is no one going into accounting?” The Journal asserted that what was once a launchpad into the upper middle class for hundreds of thousands of Americans, a decades-long career in accounting is no longer paying off. Salaries have risen for young people in finance, marketing, logistics and consulting in recent years. At the same time, the median, inflation-adjusted pay for young accountants has stagnated, according to a Wall Street Journal analysis of salary data compiled by the Census Bureau.
It’s true only some people need a professional in their corner come tax season. For others, tax software might be adequate when followed by a professional review. But for those with K-1s to contend with from master limited partnerships, complicated business structures, income from multiple states, major life transitions, or other complicated tax scenarios, a strategic, knowledgeable numbers pro may be valuable when it comes to tax planning.
Here are a few signs that you’ve found the right tax professional.
They have good ideas before you do. Your accountant should proactively lead the tax strategy conversation, collaborating closely with your other professional advisors.
The shoe fits. Your accountant should have experience in your particular situation and be capable of thoroughly researching rarer issues. It helps, too, if your values align with the person who’ll know every detail of your financial life.
They’re in the know. The laws surrounding personal and business deductions change. Expect your accountant to be up to speed on regulatory changes and current tax law and to keep you informed in the language you understand.
Their reputation precedes them. You’ll likely want to work with someone vetted and recommended by people you know well and trust.
They’re accountable for what they say and do. Your accountant should be responsive, responsible, trustworthy, and transparent. They don’t have to be an expert in everything but should be able to research an issue and get back to you as needed. Prompt, honest communication paired with a proposed solution is what you’re looking for. This relationship should last, so when you find the ideal fit, let that professional know you value them.
“Accounting is not just about counting beans; it’s about making every bean count.” – William Reed
Suzanne Hazlett, MBA, CIMA®, CFP®, is a Certified Investment Management Analyst® and CERTIFIED FINANCIAL PLANNERTM professional. Investment advisory services are offered through Raymond James Financial Services Advisors, Inc. Securities are offered through Raymond James Financial Services, Inc., member FINRA/SIPC. HAZLETT WEALTH MANAGEMENT, LLC is independent of Raymond James and is not a registered broker/dealer. 675 Sun Valley Road, Suite J1 + J2, Ketchum, Idaho, 83340 208.726.0605 HazlettWealthManagement.com