How much should an accountant charge?

[TVR Dummy]

I'm a director of a newish Ltd company. I need an accountant. Buisness is small, three directors, VAT registered. No premises, maybe one company van. I will keep the books and do the VAT returns. The accountant will do end of year returns etc and offer advice and reviews over the year.

How much should I be looking at paying? I'll be getting some quotes but would like to have some idea. Thanks

[Douglas Quaid]

£200 a month. Or at least that’s what I’m paying for similar. That does include xero and payroll.

[macron]

I asked a narrower question about tax returns here

https://www.pistonheads.com/gassing/topic.asp?h=0&...

Which might provide some reference points, especially if you want those done too.

[Eric Mc]

TVR Dummy said:

I'm a director of a newish Ltd company. I need an accountant. Buisness is small, three directors, VAT registered. No premises, maybe one company van. I will keep the books and do the VAT returns. The accountant will do end of year returns etc and offer advice and reviews over the year.

How much should I be looking at paying? I'll be getting some quotes but would like to have some idea. Thanks

End of year returns?

You need to be a bit more specific. These are typical of what I might do for a client -

annual accounts prepared to Companies Act and HMRC compliant formats (including compliance with Financial Reporting Standards)

calculation of Corporation Tax liability, completion of Corporation Tax return

submission of accounts, Corporation Tax return etc to HMRC and Companies House

Those are the basics.

In addition I am often tasked with the following -

completion and submission of the Companies House Annual Confirmation Statement

assistance in submitting amendments to statutory information to Companies House
assisting with VAT returns

running the payroll for the company

looking after the personal tax affairs of the directors, including submitting their personal Self Assessment tax returns

General advice on business and legal matters

[LimaDelta]

A good accountant should never cost you money.

[TVR Dummy]

Eric Mc said:

TVR Dummy said:

I'm a director of a newish Ltd company. I need an accountant. Buisness is small, three directors, VAT registered. No premises, maybe one company van. I will keep the books and do the VAT returns. The accountant will do end of year returns etc and offer advice and reviews over the year.

How much should I be looking at paying? I'll be getting some quotes but would like to have some idea. Thanks

End of year returns?

You need to be a bit more specific. These are typical of what I might do for a client -

annual accounts prepared to Companies Act and HMRC compliant formats (including compliance with Financial Reporting Standards)

calculation of Corporation Tax liability, completion of Corporation Tax return

submission of accounts, Corporation Tax return etc to HMRC and Companies House

Those are the basics.

In addition I am often tasked with the following -

completion and submission of the Companies House Annual Confirmation Statement

assistance in submitting amendments to statutory information to Companies House
assisting with VAT returns

running the payroll for the company

looking after the personal tax affairs of the directors, including submitting their personal Self Assessment tax returns

General advice on business and legal matters

Thanks. Yes all the basics.

So what would that cost? What should I be expecting?

What additional cost for the add ons?

[Eric Mc]

What do you consider "the add ons"?

How big is the company - turnover, volume of transactions
What Financial Reporting Standards *(FRS) regime will it be preparing its accounts under?
Will it require a statutory audit?

[sanguinary]

Also, how good is your book keeping? A good set of books may be able to be turned into a set of final accounts for a SME in a day. Or it could take a week. 80% of clients I worked with it, I could save them money annually by doing the books monthly or quarterly to help keep the end of year stuff in check.

A rough guess in answer to your question - budget anything from £1,500 to £5,000 for starters, but without meeting and understanding a client's set up, giving a good estimate is very difficult indeed.

[22s]

£1k - £2k per year including book keeping, submitting company accounts + VAT returns, and self-assessment returns for all the directors. That's what I've paid for small simple startup businesses (consultancies etc).

For our bigger business we pay £10k per year, but that's more complicated and includes cross-border trade etc.

[TVR Dummy]

Eric Mc said:

What do you consider "the add ons"?

How big is the company - turnover, volume of transactions
What Financial Reporting Standards *(FRS) regime will it be preparing its accounts under?
Will it require a statutory audit?

You listed some additional items in your previous post, what would the basics cost and what would the additions cost?

As per my OP, small limited comapany, no idea of turnover yet as it's only been going a month or so, maybe £100k in the 1st year. Nothing fancy, just trading in the UK.

[Puzzles]

It depends on the specifics but I’d estimate we’d charge £1,500 for a payroll with 3 directors, year end accounts and corp tax returns.

[Eric Mc]

Puzzles said:

It depends on the specifics but I’d estimate we’d charge £1,500 for a payroll with 3 directors, year end accounts and corp tax returns.

Sounds about right.

I might throw in the personal Self Assessment tax returns for that level of fee.

[DSLiverpool]

22s said:

£1k - £2k per year including book keeping, submitting company accounts + VAT returns, and self-assessment returns for all the directors. That's what I've paid for small simple startup businesses (consultancies etc).

For our bigger business we pay £10k per year, but that's more complicated and includes cross-border trade etc.

That’s ridiculously cheap

[Pit Pony]

LimaDelta said:

A good accountant should never cost you money.

And knows exactly what he can afford to charge you.

[trickywoo]

Pit Pony said:

And knows exactly what he can afford to charge you.

The canny ones will spend more time looking at your previous accounts to work out fees than actual time doing your return if you go with them.