Discussion:Average-fee 'survey'

There is a very recent discussion on this. Query fee in the box on the left of the screen and see what comes up.

Formuala is basic: "gross / no. of clients = avg. fee"

Next...

Kevin: You make an excellent point. I was just trying to see what we all charge for a moderately complex return in a metro area. But you are so right - if you have the volume the shorter returns can really add up! Lmcdon9822: Thanks.

http://www.taxalmanac.org/index.php/Discussion:Fee_Setting

I'm in NYC and my fee averages right around $300 for a 1040 and $500 for corp/partnership(dont do many of these, wish i had more), but that consists of some returns for $500-$600 and others for $100-$150.

Similar to what Kevin said, i do try to focus on getting decent returns for $300-$400 that take about 1 hour prep time and maybe 45 minutes tax meeting/tax planning/general finance discussion with client, but if a $100-$150 return comes along that someone wants to mail to me, i prep in 15 minutes and mail it back, sounds good to me too :) (and please dont overanalyze the time spent i just wrote, it's just an exmple, and i never compromise time spet versus doing the right thing for a client.

Will

each situation is unique.

for example

1.)if I place an ad in a newspaper for $250 for tax season, and it doesn't seem to be working out, when I get that first call I will be a little more conservative on the fee because I want to at least break even on my investment costs.

2.) On the other hand, If I get a new client who's last accountant didn't take the tuition and fees deduction and the nys tuition credit because he only attempted to get the lifetime education credit (AGI was too high for lifetime but not tuition deduction)and I can amend the last 2 years and get new client over $3,000 in amended refunds you can be sure I won't be charging the basic standard fee for this.

3.) if you get a referral from a very very good paying and/or referriggn client and the good client says "can you help out a friend of mine, he/she is really tight for money right now and he doesn't have a good tax pro either" you have to use your noggin here and say to yourself "this is one of my top referring clients here, I better make sure I really do the right thing and even if I do the return for a flat $100 "favor" fee it will be worth it in the long run because that good referring client will appreciate it and be happy to send more returns my way.

this may all seem obvious, and some may even disagree with some of the above, but i figured since i don't have anything at all to do, i would write something, lol :)

Will

Our corps/partnerships are MIN $850 , average around $1,200.

I see you are from NY, it appears from what i've been seeing and what you just wrote that charlotte you can get higher fees than nyc, is this true?

any why? less qualified pros = higher demand? cost of living higher than nyc? can that be?

Thanks

Will

Kevin:

About this time every year I think about those people doing 1040As. I looked at a practice once where two people were netting about 200K each. Low risk, high return stuff but I was afraid of two things. First that my mind would turn to mush and second that that type of practice would be the first to disappear after tax simplification. Well, my mind appears to be turning to mush anyway and those two are still at it and still making 200K a year, ten years later.

That made me laugh outloud. My mind is going to MUSH anyway.

WKS, Call me after tax season happy to give you my views.