Not everyone out there needs to immediately get in touch with an accounting firm. If you're reading this, though, that means you've at least had the question of whether you need an accountant cross your mind. Let's look at 5 situations where it's wise to ask for some accounting help.

Owning a Business

It's wise to hire an accounting firm to assist you if you operate a business of any kind, even a sole property. They can help you keep track of the books. Likewise, they can assist you in implementing accounting systems. For example, most businesses will run some form of accounting software to keep tabs on billing, sales, inventories, and expenses. There are also accounting companies that help their customers with integrating sales and inventory systems, including putting in things like cash registers, credit card terminals, and UPC scanners.

Folks Who Make Good Money

Handling larger amounts of money can get tricky. Accounting is a useful service if you're dealing with an income of a couple of hundred thousand dollars a year. An accountant can help you keep track of your income, and they can also point you toward services like estate and retirement planning. Even if they don't provide those services, they will know businesses in the industry that do.

Individuals with Complex Tax Situations

Generally, most folks can deal with the account and tax prep work required by the government on their own. If you start getting into unusual tax situations, such as dealing with an overseas bank account, it's a good idea to have some professional help. The same applies if you are dealing with an ownership stake in an overseas business or you own property in another country. Paying taxes in a different country is also a good reason to ask for the help of an accounting firm.

Rental Properties

Those who rent properties to others are basically dealing with businesses. In fact, many landlords end up setting up companies just to end any discussion about the distinction. Rentals are basically cash-income businesses, and cash accounting sometimes attracts the attention of tax authorities.

You Have an Accountant, But You Need a Second One

Yes, there are situations where you may need to hire a second accounting firm. For example, conducting an audit or doing forensic accounting work is best handled by an independent party. Even some accounting companies actually pay for other accounting firms' work because they require a high level of independence and trust when these tasks have to be done.

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