Accountant Fees for Contractors
So how much are accountant fees for UK contractors?
And which Contractor Accountant Should You Use?
That all depends on how much you want them to do. Accountancy Fees vary greatly.
If you are one of those limited company contractors who just want to concentrate on their career and leave the figures to an accountant, then you will pay more.
If you do a lot of the accounting by yourself then you can you save yourself some money.
Using Bookkeeper Services
If you are somewhere in between, you could also use the services of a bookkeeper.
They can do some of the work that Accountants do – but at a cheaper price.
Sometimes contractors have relatives or friends who can do book keeping – so that they can cut some of the costs.
End of Year Tax Returns
Of course your Accountant will have to do your end of year tax returns.
They know what the legal requirements are which your bookkeeper may well not know.
However, you, or your bookkeeper can cut the cost of that by doing some of the grunt work.
After all, it is likely that a junior in the Accountant’s office will do a lot of that anyway.
You may be abel to find some online software which can help with your bookkeeping and your accounts.
If you want to save money you can do much of the bookkeeping work yourself so that the Accountant just has to rubber stamp it.
Keeping Good Limited Company Records
Keeping good business records is important.
A good accountant can save you more money than you could if you do most of the work yourself.
They can think of business expenses that you can offset against tax that you might not have thought of yourself.
Good Accountants can usually save you a lot more in tax than their accountancy fees.
They are also tax advisors and can give you the best advice as to how to operate and how to run your business most efficiently.
Accountant Fees Contractors Can Pay
So, how much are accountant fees normally?
The answer is that there is no normal and they charge very different prices for very different services.
However, the normal range is from around £60 a month for a very basic accountancy service to £180 a month for a deluxe accountancy service.
Contractor Accountancy Services
So what will they do for that?
- Company Incorporation – they may charge for that or throw it in as part of the service
- Annual Returns – which is a basic service
- Company Insurance – this could include Professional Indemnity Insurance and IR35 Insurance
- Unlimited Phone Support – Any advice you need would be part of the service
- Free Website Access – They can give you general advice via their website or personal advice via email
- Bookkeeping services – personal or via software
- IR35 Contract Reviews – Contracts are assessed for IR35 contract by contract. So, you may need to use this service with each new contract you get
- Raising Invoices – this would normally be a premium accountancy service. This may also involve the accountancy firm chasing the invoices up and paying your income into your bank account
- Dividend calculations – to help you plan ahead
- Dedicated tax advisor – It’s always nice to be able to talk to the same person all the time when you have various problems
- Register you for VAT and calculate and pay your VAT for you. This is a premium service.
Pick the Accountancy Services You Want
The best advice is to pick which of the services above that you want and then to contact several Accountancy firms and ask what their accountant fees are.
Be careful though.
When it comes to choosing Accountancy companies and accountant fees it is important that you choose the one that is right for you.
The cheapest accountancy company is not necessarily the best. It may cost you more than that in unclaimed business expenses.
That’s why you need a good accountant.
At the same time the most expensive accountants are not necessarily the best fit for you.
It all depends on what accountancy services that you require and which accountants that you are comfortable with.
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If you do need an umbrella company you could try one of the following:-
Public Sector Umbrella Company
Or would you prefer to get expert advice about which umbrella company is right for your specific needs? If so fill in the form below and they will be in touch.
For Mortgages specially designed for contractors try Specialist Contractor Mortgages.
For all necessary business insurance, including IR35, try Business Insurance for Contractors
