Guest Post Living Almost Large

Posted by Bruce Mc on Oct 3, 2008 in Choosing a preparer, Opinions, Preparer, Tax Preparation | 5 comments

This is another addition to the series “Mistakes made when choosing a paid tax preparer”.

Finding a Tax Preparer

I’ve only used a tax preparer once in my life.  That was the year we moved cross country and were unfamiliar with the new tax laws in the state.

We found a preparer by asking our neighbors.  He was fantastic.  Problem?  He charged an arm and a leg.  He was definitely more for people with a lot more assets than we had. I’m not saying I would go to H & R Block; those people only take a 12 week course and then are “qualified” to prepare taxes. 

Honestly I know more tax law than many of them who are on message boards talking about taxes.  Thus our mistake was finding an overqualified Certified Professional Accountant.  Yes we needed help, but I doubt we needed someone so qualified. 

 
Turns out, that the CPA we used had to fill out a lot of extra forms because of the filing status of my DH from non-resident to resident.  Also he helped us with our international declarations of non-residence status.  So perhaps it was worth it

Overall we paid $800 for our taxes to be prepared.  The best part was we are now able to follow how the CPA filed the taxes.  And be relatively certain that we are using TurboTax appropriately.

I think that we probably won’t use another preparer until we move again, in which case we’ll have to deal with moving expenses, reimbursements, etc from the company.  Thus unless you have a net worth of 7 figures, at least a million dollars, then I think it’s not worth hiring a CPA.  TurboTax is more than adequate in filing your taxes.

            This is a guest post from over at LivingAlmostLarge. A Personal Finance Blog. For more from her, go to her site LivingAlmostLarge.

Thanks again LAL.

            Again, I want to invite any and all guest post on this subject. I want to hear from all bloggers or just readers with their own input. Let’s see what you see I am missing. If you have some words of wisdom on this subject please let us share it with everyone, if it is something that has already been covered, so what, I am looking for others to tell what they know or have learned about finding a paid preparer. Repetition drives the point home.

            A few personal notes from me (taxguy). The last time I had heard the franchise I address regularly as HeRBert (H & R Block), are only given a 9 weeks of training with six of those being trained how to move around the software being used. If it is now 12 weeks (it has been awhile since I received my information), I wonder if 1/3 of that time is still being used to train only on software navigation.

            Before anyone ask – Star Trek fans should know what I mean by “HeRBert”.

If you’re not a fan, then it is from the Original Star Trek series:

Episode # 75 titled “The Way to Eden”.

            My favorite quote from the episode “Tell Herbert, it’s no go!”      

            And a bit of script from the episode:

Kirk: What does ‘Herbert’ mean?

Spock: It is, um, um, somewhat, uh, uncomplimentary, Captain. Herbert was a minor official…notorious for his rigid and limited…patterns of thought.

Kirk: Well, I shall try to be less rigid in my thinking.