Our 2024 Predictions For the Accounting Profession survey is still open and we invite you to share your thoughts on what lies ahead. Not only do we care about the future, we also asked what issue is currently affecting the profession but not talked about nearly enough or even at all. Shout-out to all of you who mentioned pay as if that isn’t THE most talked about issue. Still, critically important. Keep mentioning it. Loudly and frequently.
We’ll share the full results after the survey closes but for now I wanted to highlight this response to the question “What issue ISN’T being talked about and should be?”
Why not have more schooling for a CPA. Attorneys did this years ago, and there is not a shortage of Attorneys. I think if CPAs were a more elite group, although it may take a while there will be more CPAs once people realize that it is an elite group. Also, why do we care so much if there are fewer accountants, just let some of these clients go without an accountant when they complain about the fees. Why does this profession think that there ought to be no client left behind. This profession isn’t a public school. We should have waiting lists for new clients. We should dump about half our clients and charge 150% more than we are charging now. Then we could afford to pay staff more.
Breezing right past the suggestion that CPAs need more schooling, they make an excellent point. Maybe it’s just the #taxtwitter accounts we see often in our feed (as in, the influencers and disruptors who are leading the charge to…well, charge) but there has definitely been a shift in the past few years away from lowballing yourself and toward charging what you’re worth and being picky about which clients you take on. FINALLY. Maybe preparers are starting to internalize the messaging.
A few examples:
2024 Pricing Update— Tony Novak (@tonynovak) December 29, 2023
I am more or less doubling fees to $2500 individual, $10,000 business minimum. I expect big drop off. That is intentional. But 2024 services are bundled and that will help everyone. I will have room to add 10-20 new clients so started advertising. #taxtwitter
Thank you, Logan, Mike, Brian Tax Season 2024 I am implementing the tools I learned from #TaxTwitter You inspired me to make a change and start raising prices and asking for a deposit. Thank you! You made a difference in this small firm's success.— Howard Knudsen CPA (@howard_knudsen) December 18, 2023
I'm trying really hard to break the cycle. I'll be releasing clients, better defining my ideal client/niche, requiring retainers, and raising prices. What about you, #TaxTwitter and accounting friends? pic.twitter.com/KFyJA3xXtj— JL CPA (@JLoBeanCntr) November 22, 2023
Yes to all. Our staff want raises so the fee increases should be consistent.— Craig Hausz, CPA (@CPATaxTeam) November 21, 2023
But then we also have:
And Albert again with another:
So it seems that the new race to the bottom for fees is for monthly bookkeeping services. I get outsourcing can play a role here but some of these prices firms are charging is insane. Their profit margins have to be awful. #taxtwitter— Albert J. Campo, CPA, MBA (@ajthecpa1226) October 20, 2023
Awfully low. As in $250/month for an avg of 400 monthly transactions.— Albert J. Campo, CPA, MBA (@ajthecpa1226) October 21, 2023
I was doing some much overdue shredding today and I came across my husband‘s tax returns from 1996 done by H&R Block where they charged him $140. When W-2, two states both part year returns. I know people charging that much or less. It’s time to stop that.#taxtwitter— Debra Beckman (@SeptemberAcres) September 28, 2023
Can we shout this from the rooftops and rafters so ALL of #TaxTwitter can have faith that if clients leave just because you raised prices you Can Still Make $!— Seth Fineberg (@B2BSeth) October 25, 2023
Look, I don’t know who needs to hear this but you’re allowed to charge more. You will probably lose some clients, so what. They’re cheap and don’t value what you do for them. DITCH THEM.