What is the difference between tax preparation and tax planning? The biggest difference is the time of year when tax services are preformed. Tax services are needed all year long if a business is to escape undue tax burden.
By the time that a company has its tax return prepared, it is normally too late to take advantage of business structuring and policies that could reduce its tax burden. Trying to advise a business at the end of the tax year as to how to reduce their tax burden is a bit like a coroner telling a corpse that they should have exercised more. The opportunity has passed and advise about what you should have done is of little worth.
Businesses Need Tax Services All Year Long
When a company files their tax return, it is a summary of the good decisions regarding reducing their tax burden as well as missed opportunities. What companies really need is proactive help in structuring their business affairs to take advantage of deductions and credits available to them. They need the kind of tax planning skills taught in the Professional Tax Preparer program.
Great Time To Find Tax Clients
While it may seem like a less than optimum time to approach potential tax clients after they have filed their taxes, the opposite is true. When a company files its tax return, they will be acutely aware of many of the tax advantages that they did not take advantage of. But you can turn a negative experience into a very positive one. By showing potential tax clients areas for improvement, you make them aware that they need your services all year long. Especially if you have accounting and bookkeeping skills, you are in a unique position to help plan a tax reduction strategy and to carry it out.
Accounting and Taxes Go Together
As mentioned before, a "post mortem" tax analysis is not going to help a company with last year's taxes. However, it is a great place to start in planning for next year. Show a company how that you can structure the business accounts to gain the best tax benefit and to better put their money to work. Show them that you can handle all aspects of their finances. From the day-to-day accounting and bookkeeping to tax planning strategies and execution to keeping an eye on the bottom line, show your client that you are a financial expert. Because Accounting is the language of business, you will show yourself to be a key financial advisor because you are the eyes and ears of a company's financial health.
Your Full Financial Services Business
Your clients benefit from the knowledge that you have of both tax and accounting. While 20 years ago, it was very common for a business to use the same company to perform accounting and tax services, this has become increasingly rare. Many accountants simply have convinced themselves that tax planning and preparation are simply too specialized, and most tax preparers feel the same way about accounting.
Especially tax preparers sell themselves short by this departmentalized thinking. While tax law may change somewhat from year to year, accounting has not fundamentally changed in over 500 years! When you learn accounting, you learn a life skill that you don't have to retool every few years. Add to that the fact that by law, every business of any size must perform accounting functions.
Accounting Makes Tax Practice Profitable All Year
While there are tax planning activities that run throughout the year, it is a fact that most companies seek out tax help mostly around filing time. Though many businesses file at other than the "normal" filing date of April 15, the business that you get from tax services certainly peaks at that time of year. The graph below illustrates how your income from tax services is somewhat seasonal.
So how do you fill out the rest of the year? Accounting and bookkeeping services is the natural choice.
All businesses must perform accounting all year around. This gives you a predictable source of ongoing income during the months when many businesses are not thinking about their taxes (though they should).
How Much Can You Make Adding Accounting Services?
An average small-business client will gladly pay you $300/month to do their accounting for them. The really great part is that it only takes 8-10 hours per month to service that client. That comes to $30 to $60 per hour! Small businesses especially like the idea of a predictable rate to do their books for them. You don't tell them that it will only take less than one workday per month to do their books, you just charge a flat fee.
So, how much do you want to make? The chart below shows just how many clients that you will need to earn the income you want.
If you currently make $3,000 a month or less at your present job, from the graph above, you see that you only need 10 clients to make what you make now. Servicing 10 clients only takes 5 to 10 working days per month. Would you like to only have to work half-time or less and still make what you do now? Of course. But you could also take 20 clients and double your income to $6,000 per month!
What's more, it is easy to find experienced bookkeepers to do much of the data entry tasks for you as supplemental income to their full-time job. You will pay about $10/hour for their help, all while you are getting $30-$60 per hour from your clients. That gives you a tidy $20-$50 per hour of profit, with someone else doing the work for you! If you work a traditional job now, you are putting money into your employer's pocket and improving their financial position. Wouldn't it be nice to have someone else make money for you for a change?
Cross-Selling Clients
Another great advantage of doing both tax and accounting work is that once you find a client for one, it is easy to convert them to a client for both. Because accounting and tax services are so closely related, once you show a client that you excel at one, it is an easy sell to show them how you doing both will benefit them. Most companies would prefer to work with the same person to do their taxes and accounting/bookkeeping services. Often, they just don't know who to turn to that can do both.
Here's What is Included
PB - Professional Bookkeeper Program (Course Modules 1-4)
Become proficient in the practical application of the accounting processes in small to mid-sized businesses by mastering the principles of Full-Charge Bookkeeping.
Course intended for US, Canada, and anywhere people have accounting needs.
Modules 1-4 (12 DVD's & 4 Manu More...
Master the tools, procedures, and underlying principles that make up the bookkeeping processes of all businesses. Understand the core building blocks of Accounting and Bookkeeping. -- 4 DVDs & Manual. See Sample
Apply your understanding of the core accounting principles to specific industries. You will learn to set up books from scratch, do payroll like a seasoned pro, and much more. -- 4 DVDs & Manual.See Sample
Learn the steps to finding paying clients. Start and Grow an accounting practice following a proven program tested and perfected since 1979. -- 4 DVDs & Manuals.See Sample
$495
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Two Additional Months Follow-up Support (Free Promotional Offer)
1 month support is included for each module plus 2 months extra for a total of 6 months follow-up support
With your purchase we will create a custom Web site for your business and host it for you for free for 6 months. Your Web site will become a valuable part of your marketing; in many cases you may only need to refer prospective clients to your site and it will sell your services for you.See Sample
$980
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Two Additional Practice Sets (Free Promotional Offer)
Practice makes perfect. The modules already contain practice sets for nine different businesses. With your purchase you'll receive two more practice sets, giving you eleven in all. This will give you even more confidence and experience in various industries and the opportunity to work with additional types of clients.
If, after completing the course, you feel the course didn't live up to your expectation, simply return the materials to Universal, for a 100% refund of any monies paid.
What is the difference between tax preparation and tax planning? The biggest difference is the time of year when tax services are preformed. Tax services are needed all year long if a business is to escape undue tax burden.
PB - Professional Bookkeeper Program (Course Modules 1-4) 
Order or Ask Questions by Phone 1-800-343-4827
