Having an accountant can be an extremely useful resource for an IT contractor, particularly with regards to taking the burden off the financial side of running your own business.
With their in-depth knowledge, IT contractor accountants can do so much more than just fill out forms and keep the taxman happy; they can really save you time and money, as well as relieving you of the added stress some of us can experience from worrying about taxes!
Why do I need an accountant?
There are many reasons why you may benefit from having a contractor accountant:
- To make sure that forms are filled in correctly, and on time. Most people will not be 100% confident when it comes to the financial side of their company. If you fill out a document incorrectly, the best case scenario is that HMRC will send it back to be completed properly, which could result in you being late with submitting it. If you do miss a deadline, you could face a fine. A contractor accountant can give you the reassurance that your tax return and any other documents will not only be filled out correctly, but will also be done in time.
- Will save you valuable time. Spending valuable time on the accounting side of your business means less time spent working on generating more income, which is extremely counter-productive. A contractor accountant will be able to deal with your finances more efficiently, saving you the time to concentrate on your business and earn money.
- Tax planning. This is perhaps one the biggest advantages of having an accountant, as they have the expert knowledge to help you with all issues concerning tax, which will be particularly useful due to the ever-changing tax laws. Having professional advice in this area will mean that you can potentially save money, which means that the service will more than likely ‘pay for itself’.
- Help you to develop your business. A good accountant will be able to offer you great advice when it comes to growing your business, helping you to make the right financial decisions early on, to ensure the development of your company.
How to choose an IT contractor accountant
It is very important that you choose an accountant who understands the ins and outs of how contractor tax works and therefore knows how to advise you properly.
Other key points when choosing an accountant for contractors:
- Look into their credentials
- Be aware of any additional costs, such as if you are to be charged every time you call or email your accountant, or if they will charge you extra for your personal taxation.
- Are they located in a convenient area for you?
- Are you able to meet your accountant easily if you so wish?