How much does an accountant cost?
The cost of hiring an accountant varies depending on the size of your business, the complexity of your finances, and the specific services you need. Many small businesses can benefit from the fixed-rate pricing packages some firms offer. The average monthly bookkeeping cost for a small business typically ranges from $300 to $500.
1) How much does an accountant cost?
The cost of hiring an accountant to help your business varies depending on the specific services you require—whether it’s bookkeeping, tax filing, financial consulting, or more advanced services like auditing—and the complexity of your business’s finances.
Please note that the following information applies to businesses that employ a handful of staff members, have two–three bank and credit card accounts, make between 100–300 monthly transactions, and may need basic payroll management and invoicing services.
Accountants use different pricing structures, including:
Hourly Rate: Clients are charged based on the time spent on their tasks. Hourly rates typically range from $50–$300, depending on the accountant’s experience and specialization.
Fixed-Rate Pricing: Clients pay a fixed amount up front, often on a monthly or per-project basis. Monthly bookkeeping services, for example, can range from $150–$1,000 per month, depending on the volume of transactions and level of detail required.
Percentage of Client’s Income: Clients pay a fee, particularly for services like tax consulting, based on a percentage of their revenue. This rate can vary, but typically ranges from 1% to 5% of a business’s annual revenue.
At SnapBooks, we offer a variety of pricing tiers designed to suit businesses of all sizes, as follows:
Small Business: starts at $150 per month for sole proprietors or small businesses with one bank account, one credit card, and less than 100 transactions per month
Growing Business: ranges from $250–$500 per month; ideal for businesses with two–four bank accounts, 100–500 transactions per month, payroll for up to seven employees, and invoicing for up to 10 per month
Established Business: ranges from $500–$1,000 per month; suitable for larger businesses with four–six bank accounts, 500+ transactions per month, payroll, and accounts payable management
Enterprise Business: starts at $1,500+ per month; for large, complex businesses needing customized bookkeeping solutions, high transaction volumes, inventory tracking, and detailed reporting and analysis.
You can find a wide range of accounting fees online. Basic tax preparation may cost as little as $150, while more specialized services—like a meeting with a certified public accountant—can cost $300–$400+ per hour. This disparity in costs can be attributed to the size and complexity of a business, as well as the scope of services needed.
For tax preparation, SnapBooks offers the following rates:
Personal Returns (Form 1040): starts at $350
Personal Returns with Schedule C or Schedule E: starts at $550
Partnership Returns (Form 1065): starts at $700
S-Corporation Returns (Form 1120S): starts at $800
Simple tasks like tax filings and bookkeeping generally have lower fees. More complex services such as financial advising and auditing, however, require specialized knowledge and tend to command higher rates.
2) Is it worth using an accountant?
Hiring an accountant can provide significant value to your business, particularly when it comes to managing taxes, ensuring regulatory compliance, and making informed financial decisions. A skilled accountant can help minimize your tax liabilities, identify cost-saving opportunities, and improve your overall financial efficiency.
Today, financial software tools can help make accounting more affordable. By automating routine tasks like invoicing, expense tracking, and financial reporting, you can allocate more of your budget to higher-level tasks such as tax planning, financial strategy, and audits.
3) How to choose the right accountant for your business
When searching for the right accountant, start by assessing the services you need, such as bookkeeping, tax preparation, payroll services, and financial analysis. Look for accountants with experience in your industry, a solid reputation, and pricing that fits within your budget.
If you’re looking for a more cost-effective way to manage your accounting processes, SnapBooks can help. Our team uses digital tools like QuickBooks to provide efficient, remote bookkeeping services. We’d be thrilled to save you both time and money while ensuring your financials are well-organized and up-to-date.
Welcome to SnapBooks! We’re a virtual accountant firm specializing in outsourced bookkeeping services, payroll for small businesses, and small business tax prep. Whether you’re a small business owner or running a growing company, we’ll help you stay on top of your finances with expert support and accurate, real-time numbers.
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If you’re a business owner interested in learning more about our accounting and bookkeeping services, we’d love to help. You can request a custom quote here.
If you’re looking for help with tax prep, you can book a call directly with one of our tax prep experts here.
