Accountants can assist you with their expertise at various stages where the growth of your small business is concerned. You have been asking, when should one hire a BFC accountant?

Hire an accountant to deal with Canada Revenue Agency, CRA or the government

It can be a little scary and nail-biting dealing with CRA tax filings and paperwork when you trying to make your business stay in ship shape. It makes sense that a good number of small business owners would much prefer hiring an accountant, especially during the first tax filing season.

Our accountants can assist you to run your business not just tax returns. They are knowledgeable and experienced in guiding your company in dealing with the government in so many other ways.

Our professional accountants will help you to:

• complete and file all legal and compliance documents required for your business to operate
• make sure your company is up to date with current tax laws
• prepare annual statements of accounts
• keep your company’s status updated with the government’s registration
• maintain all records of all directors and other administrative staff
• organize and record shares  and stock allocation – during the business formation, when partners resign and when new partners are brought on board
• handle your employee  payroll whilst ensuring all employees tax codes and payments are properly recorded

Preparing your tax documents the right way is a money-saver – and could even be more money saved than what your accountant charges you. Any good accountant will apply their experience and knowledge of Canada tax laws to recommend options to help you free up cash flow, save money and raise capital for business and other project expansions.

Challenges in growing a small business in Canada

There are several important reasons to hire an accountant from Baffilk Financial Consulting during the various stages of the growth of your company. Starting from the business plan, formation of the company, loan application and even government audit, a BFC accountant can make the process easier for you and your company at every step of the way.

The good thing about this is, you do not need to employ a BFC accountant full-time. You don’t even need to hire us on a retainer basis. There are times you may only need our services for a couple of hours and that’s it. You may also subscribe to any of our services which best suits your companies needs.

Just like any small business owner, you are always trying  to save money. This might make you think you can’t afford an accountant from BFC. Please consider how long it takes to learn, understand and undertake certain tax tasks even on automated tools like Turbo Tax. Do you think it is worth the use of your entire week or two trying to save a couple of hundreds of dollars by filing your company’s taxes and keeping your books all cleaned up?

Let’s dig a little deeper. Let’s say 10 hours is how long it takes you to file your company’s taxes. Since you’re trying to build a multi-million dollar company, let’s round off your worth experience and time investment  $100 per hour’s worth. That’s still $1000 of input just to file your company’s taxes all by yourself. What’s more, you will  make mistakes – most business owners are doing several things at a time hence mistakes are inevitable.

On the other hand, if you secure the services of a BFC accountant, all those  time-consuming tasks like taxes will be taken care of. And it will not cost $100 per hour in most cases. This leaves you with extra time to come up with new revenue generation ideas, the peace of mind of knowing an expert is handling your books hence all details will be covered without any errors.

Let’s look at other scenarios for any growing small business and how our expert accountants at BFC may be able to assist.

When creating a business plan, you need a BFC accountant

It’s important to secure the services of a BFC accountant during the writing of your business plan. With our expansive knowledge in accounting, we utilize the right accounting software which will enable us to create financial projections and relevant  reports needed. That is how a formidable, sound, realistic and professional business plan is created for success. Our business plan packages have been created to get you started right away.

Among the most stressful moments for many individuals in Canada is the annual personal income tax season, which occurs in March and April.

The year 2021 has been about money for many reasons, as there has been a lot of attention placed on the latest crypto, inflation, housing prices, taxes, and a few others. While income can go up and up or down and down depending on your business or cause, taxes are typically more predictable if you are prepared. 

There is never a bad time to decide whether to hire someone to fill out your forms or do them yourself. The degree of complexity — or simplicity — of your own tax situation can guide you in this choice.

One should always be primarily responsible for their income tax returns even if they hire an accountant or not. It’s up to the taxpayer to gather the year’s tax documents together — and those of previous years as well, if needed.

You are not ignorant of the fact that money is important to many aspects of our lives. Recently, a study by the American Psychological Association revealed that money has become a source of intense tension in many people’s lives, including work, family, personal health concerns, and other sources.

Tax deadline in Canada

The deadline for filing your 2021 personal income tax return and paying any tax owed comes on Friday, April 30, 2022. If you or your partner is self-employed, then June 15, 2022, is the deadline to file. The deadline to pay is still April 30, 2022. What happens if you are late with your deadline? Filing late means paying interest: 1% per month that you’re late (up to 12 months) and 5% on the balance you owe.

Tax brackets in Canada and how they show much you owe the Canada Revenue Agency

Without additional information, tax brackets are straightforward and simple: you find your annual income on your T4 slip and your tax rate is determined. Unfortunately, it’s not that straightforward. There are some calculations to be completed, as the tax brackets in the federal, provincial, and territorial taxes operate like climbing up the staircase of a highrise building. There are different tax rates at different levels of income. If your annual income falls within a specific range, then you could be subject to tax rates from two or three brackets.

To save you time, we break down the 2021 tax brackets for Canada and the provinces and territories based on annual income, showing the minimum and maximum tax dollars for each bracket—before tax credits, deductions, etc.

Understanding your tax bracket, and how it may affect you, will be able to help you plan and prep accordingly, so you’ll be able to expect what’s coming on April 30. Could boosting your registered retirement savings plan (RRSP) contributions change your brackets? Sometimes. You should also check to see if your employer has taken enough or too much tax out of your paycheque. Saving up in time to help cover your tax bills gives you the opportunity to save a little over anticipated tax payments if you are expecting to owe.

In case you missed the deadline for filing your 2020 income tax return

If you’re still reading this part, then there’s a big chance you missed the deadline for last year’s tax filing. Depending on your circumstances that could mean you need to take action ASAP to avoid owing any more to the Canada Revenue Agency. There is no penalty for submitting your taxes late without paying a fine, if you are due a refund. The government is happy to hold on to your money, interest-free, for a bit longer. By law, you have up to three years from the filing deadline to complete a return and get your refund.

Baffilk Financial Consulting has a goal to provide reliable accounting and bookkeeping services in Barrie so you devote that time investing in and operating your business. BFC utilizes all resources to set up financial platforms correctly from the onset, thus making your bookkeeping and accounting needs more robust and easy to handle. We have to improve your financial apparatus in an impactful way, that you will always prefer our methodology and not what you were used to – which wasn’t really that impactful or reliable.

When there is a lack of proper bookkeeping and accounting services from a professional accountant in Barrie, your business will hit a cash flow crunch. This will waste your time and money, hence hurting several opportunities. Baffilk Financial Consulting’s bookkeeping and accounting services in Barrie can manage your entire business, avoid the headaches of tax preparation, and unearth streams of revenue you didn’t know were possible. We aim to the operation of your business as stress-free as possible. Let’s take it from here whilst you can relax a little or focus your time on other more important aspects of your business growth.

Baffilk Financial Consulting provides professional accounting and bookkeeping services to not-for-profit organizations, small and medium-sized companies. Our accounting and bookkeeping services in Barrie are as follows:

• Certified Bookkeeping
• Not-for-Profit Bookkeeping
• Accounts Receivable
• Accounts Payable
• Bank Reconciliation
• Payroll Reconciliation
• General Journal, General Ledger
• Bookkeeping Clean-up
• Business and Personal Accounts
• Balance Sheet, Custom Reports
• Cloud Computing
• E-Commerce
• Profit Loss, Trial Balance

What professional accountants do

Our team provides accounting and bookkeeping services in Barrie to help set up a new business or clean up an already existing company. We create informed reporting and platforms to better run your business.

Your bookkeeper from Baffilk Financial Consulting can create budgets and projections so that you can plan your business strategically.

Baffilk Financial Consulting can help with GST/HST, payroll setups and integration of existing platforms. We will help streamline your bookkeeping systems with the correct checks and balances for best practices.

Our accounting and bookkeeping service are exactly you are looking for if the following applies to you:

• Have small to medium-size company or non-profit organization in the Greater Barrie Area.
• An individual who wants assistance with personal financial record-keeping.
• Starting a new company and want to make sure that everything is handled correctly from the beginning
• Spending too much time on your company’s bookkeeping and not enough time bringing in new business
• Mismanagement of financial records
• Full-time bookkeeper costs
• Quarterly and annual tax filings poor preparation
• Hoping your staff had a better understanding of accounting software

It is highly recommended to hire experienced bookkeeping and accounting service that has a strong proven track record of high client retention rate and stellar reviews. BFC is exemplary of these core strengths when it comes to bookkeeping and accounting services in Barrie. We have broad experiential knowledge and the day-to-day of all client accounts provide top tier customized bookkeeping and accounting services in Barrie.

Processing payroll is most of the time tedious and tiring. This is why most small business owners avoid it or hire an accountant to get it done. If you are a small business owner with employees in Canada, here are eight steps simplified for you to process your payroll.

1. Register with federal agencies

To run payroll in Canada, you need a Business Number (BN) and payroll program account through the Canada Revenue Agency (CRA). A BN identifies your business to the federal government. It’s the business version of a Social Insurance Number (SIN).

A payroll program account is a 15-digit number that contains your nine-digit BN. It’s your business’s unique identifier to the CRA. New businesses can register for a BN and payroll program account simultaneously on the CRA website.

The registration process requires the following information:

• Pay schedule, whether it’s weekly, bi-weekly, or semi-monthly
• Number of employees
•  Payroll software or service you intend to use

You may also need to set up accounts with the Ontario Workplace and Safety Board and the Ontario Ministry of Finance to remit workplace insurance and health tax payments.

2. Gather employee information

Next, collect the following information from your employees:

• Name
• Address
• Phone number
• Social Insurance Number (SIN)
• Date of birth
• Bank account information for direct deposit

Employees must submit federal and provincial TD1 forms. The information they provide determines some payroll deductions. You can download TD1 forms on the CRA website.

Enter this information into your payroll software. Employers who do payroll manually should create a secure records management system to store sensitive employee information.

3. Calculate gross wages

Gross wages are an employee’s earnings before payroll deductions, such as taxes and retirement contributions. An employee’s gross wages are the amount you put on his or her offer letter. Gross wages can be expressed per hour, pay period, or year.

Include taxable fringe benefits in the gross wages calculation. If you reimburse your employees for their cell phone or parking costs, add those benefits to gross wages. Check the CRA website for the taxability of benefits and allowances.

Hourly employees who work over 40 hours in a workweek or over eight hours in a day might be subject to time and a half overtime pay.

Consider Olivia, who works at a flower shop in British Columbia. She makes CA$60,000 per year and is paid twice monthly. Her annual gross salary is CA$60,000. She doesn’t receive any fringe benefits. She also brings a fantastic bouquet whenever she’s invited to a dinner party. Olivia’s gross wages for the pay period are CA$2,500 (CA$60,000 / 24 pay periods per year).

4. Calculate and deduct taxes and contributions

Both employees and employers buck up for Canadian payroll taxes and contributions.

As an employer, you’re responsible for withholding and remitting a portion of employees’ wages for taxes and contributions. CRA payroll deductions include:

• Federal income tax
• Provincial or territorial income tax
•  Canada Pension Program (CPP) or Quebec Pension Program (QPP) contributions
• Employment Insurance (EI) premiums
• Registered Retirement Savings Plan (RRSP) contributions

All but RRSP are required CRA deductions. CPP/QPP contributions apply to employees ages 18 to 69, and EI premiums apply to employees of all ages. Both employees and employers pay into CPP/QPP and EI, based on employee earnings. Contributions stop once they’ve reached their annual maximum. All provinces but Quebec follow the same contribution rates and limits.

In some provinces, employers with annual payroll expenses around CA$500,000 or more pay the Employer Health Tax (EHT), which helps fund the country’s universal healthcare system. Employees don’t contribute to EHT.

Your payroll software automatically calculates tax and contribution amounts according to tax law, your employees’ Forms TD1, and other information you enter.

Business owners who do their own payroll can use the CRA Payroll Deduction Calculator to calculate their employee paychecks.

I calculated Olivia’s paycheck dated April 1, 2020 using the CRA online tool.

Olivia’s paycheck is CA$1,933.97.

5. Reconcile and issue paychecks

Let’s get your employees paid.

Before you finish processing payroll, complete a payroll reconciliation to check for errors. Compare your payroll register — a list of payroll transactions — to your tax records and general ledger.

Once you clear up any errors, you’re ready to send out employee paychecks through your payroll software. Most payroll software packages offer portals where employees can see their pay stub.

Employers doing payroll manually should still provide a pay stub for employees to prove income when applying for loans and leases, get a status update on accrued vacation and sick time, and catch payroll errors.

Finally, record a payroll journal entry in your accounting software. You can integrate your payroll and accounting software to complete this step.

6. Remit deductions and taxes to the CRA

Now it’s time to send the deductions and employer taxes calculated in step four where they need to go. By default, businesses must remit payroll deductions by paper or electronically by the 15th of the month following the pay period.

But if that pay schedule doesn’t work for you, you’ve got options — honestly, more than you need. Established businesses can change to a quarterly, twice-monthly, or four-times-monthly payroll tax remittance cadence.

Send federal taxes, provincial taxes, CPP deductions, and EI deductions to the CRA. Send QPP deductions to Quebec’s revenue agency, Revenu Quebec.

8. Generate and share Forms T4

By the last day in February of the following year, you must share a Form T4 with each employee and the CRA. Form T4 summarizes the employees’ earnings and deductions from the previous calendar year.

In the packet of Forms T4 submitted to the CRA, you must include a summary form that sums all employee earnings and deductions.

Get help with your payroll if  the above is tasking.

If you made it to the end and you didn’t shed a tear at step four, kudos.

While it’s important to know how payroll works, you can feel comfortable letting payroll software take care of payroll tax and contribution calculations. When set up correctly, payroll software reduces errors (read: headaches) and increases efficiency.

We get it – the DIY-approach can be appealing, especially if it will save you money. However, when it comes to your books, taxes, and payroll, you want to watch out for amateur mistakes. When you hire an accounting professional, you’re also paying for their expertise, experience, and industry know-how.

Hiring a reputable accounting professional will help keep you on track with all business payments, bookkeeping, cash flow, financial development, and business expenses. If you decide to DIY your own bookkeeping and accounting, the opportunity cost might be that you make a serious financial business mistake. Hiring someone to manage your finances eliminates financial risks because the chances of making serious mistakes are almost none. Regardless of the business size, bookkeeping is important – not only for the purchase records, daily expenses, and sales but also for keeping track of all financial transactions. When you pay for professional accounting services, you will have a detailed record of all financial transactions, which will enable you to predict any potential financial losses or gains.

Accounting professionals are authorities in their field. Thanks to their expertise, they are capable of providing business advice about investments you are planning to make. They can help break down the economic cost of a project before your business takes it on. If you are new in the business world, professional accounting services can help you develop a useful cost accounting strategy and set up a solid structure for your business to be financially stable.

By hiring accounting professionals that are focused on your financial and accounting needs, you will be able to concentrate more on the core goals of your business and to grow your brand. Using a professional accounting service will help you run your business smoothly and avoid any major financial problems in the future.

You’ll get help in creating a business plan

Hiring a professional at this early stage will mean you get the benefit of their financial knowledge and advice right from the start. That could save you time and money compared with hiring one later.

You’ll get advice about your company’s legal structure

Not all businesses have the same legal structure – there are different types that are determined by a number of factors. Some might be called limited companies, limited liability partnerships or corporations, others could be sole traders or proprietors. These vary from one country to another.

You should carefully consider each type before deciding which one best suits you. For example, you may do business as a sole trader or sole proprietor, working on a self-employed basis and invoicing under your own name. If this is the case, you might be able to offset some of your living expenses against tax.

However, this also means you could be held personally liable for any business-related obligations. If your business fails to pay a supplier, defaults on a debt or loses a lawsuit, the creditor could legally come after your house or other possessions.

With a limited liability company structure, it’s different. As the name suggests, the liability of the business is limited to the assets owned by the business, not you personally (though there may be exceptions in some circumstances).

BFC accountants can explain the legal business structures available and help you choose the one that best suits you.

Cloud accounting can be defined as completing standard accounting tasks. For example: balancing and managing books, utilizing software available on a server or an application, and deploying as-a-service model. The entire administration, users with special access and accountants are all able to manage accounts payable, accounts receivable, etc. within the application. Cloud accounting software operates via a cloud provider. They are not on a local hard drive or server. This means the user can access all tools and plugins needed via the internet. This also means accountants can be anywhere in the world and still complete tasks without being in the geographic location as the business or client.

As of February 2022, nearly 85% of companies in U.S & Canada used cloud software for accounting and streamlining their finances. Only few businesses do not feel the need to advantage of cloud accounting technology. But as all new technology, with time, sometimes in under 5 years, it becomes the new standard.

The history of Cloud Accounting

In the late 1970s, technology application developers released the first-ever accounting software. This drastically became the change in how accountants do their jobs. Digital tools that run on computers replaced paper ledgers and basic tools that helped bookkeepers crunch numbers.

Accounting software has been taking a big leap forward, moving from desktop software to cloud-based accounting systems. Just like any cloud software, these big leaps gave businesses immense flexibility while helping reduce capital expenditures, and maximizing human resources.

Clear advantages have been shown for cloud accounting over previous approaches, which is critical for the success of all organizations. It makes sense why it has become a fast-growing solution to accounting and finance.

Cloud Accounting vs. In-house Accounting: What’s the Difference?

The early systems were available only on-premises or in-house. This means they ran on the company’s accounting team’s hard drives, on a hard drive in a server that is owned and maintained by the company. For anyone who wants to use the software, a computer is needed with the proper software installed on it and/ or in close proximity of the server. Since the information was all stored locally, and not on the cloud, it was vulnerable and could be lost or damaged.

Although in-house accounting software offered significant benefits over manual solutions, like paper records, these tools couldn’t match the adaptability or versatility of cloud applications. For instance, the business was liable for overhauling the product, which could be a costly and tedious exercise. This is a critical distinction software-as-a-service (SaaS) systems, a widely used cloud tool where the product supplier deals with all upkeep and overhauls and clients pay a yearly permitting expense.

It’s worth noting that SaaS is only one kind of cloud accounting tool. Using a multi-tenant SaaS cloud accounting application, different organizations share a similar framework on the public cloud. Organizations may likewise utilize the private cloud, meaning they have servers devoted to their software instance. There are also hybrid models that use both the public and private cloud. It’s worth noting that these private clouds and hybrid deployment models present the company/ user with more responsibilities and not the provider.

How Does Cloud Accounting Work?

When it comes to cloud accounting, accountants, administrators, and chief financial officers utilize login credentials to access the system via a web browser.  Any computer like a laptop, smartphone or tablet can be used for this. Sometimes the cloud provider may also have a mobile application (app) option to aid better user experience for tablets and phones.

How much is CPP and EI for 2022?

The maximum contribution to the CPP by both the employer and employee for the current year will be $3,499.80 each.

What is the payroll tax rate in Canada?

The contribution rate increased from 5.45% in 2021 to 5.70% this year – 2022 – due to the CPP Enhancement which has been implemented since January 1, 2019.

What are deductions in pay in Canada?

As well as withholding income tax, Canadian employers must also deduct Canada Pension Plan (CPP) contributions, Employment Insurance (EI) premiums and any applicable provincial employer taxes (source deductions).

From the manual data entry to submitting tax forms and payments, your employees may spend countless hours or sometimes days.

Across Barrie, Ontario Baffilk Financial Consulting offers payroll services to businesses of all sizes. Whether you are a small, medium, or large business, having happy employees is essential for your business’ growth and success. In order to have happy and hard-working employees, you need to make sure that you are paying them both accurately and on-time.

The payroll services at BFC Professional Accountants ensure that your employees are consistently compensated for their hard work. Our bookkeeping and accounting specialists make sure that you are paying them on time and that you are paying the right amount of taxes and deductibles on each check. Accurate pay statements are important to your employees, but also for your business’ taxes and overall financial success.

If you don’t have a payroll specialist at your business, consider outsourcing your payroll services to BFC Professional Accountants. Benefit from payroll that is tailored to the needs of your business and employees. With us, you can count on:

• Reliable payroll
• Increased efficiency
• Reduced risks
• Reduced administrative duties
• Year-end preparation and help

Benefits of Payroll services

Our BFC Professional Accountant knows just what it takes to simplify the payroll process for our clients. We can use cloud-based accounting software to store your data safely in a remote server allowing us to automatically reconcile accounts and simplify the entire process. Using the right software, we are able to keep track of important details such as the employee hours, pay staff automatically or schedule payments in order to ensure deadlines are met. We use just the right software to simplify the process of changing employee’s personal data. Furthermore, our accountant can carry out tax calculations fast and avoid manual processes that are prone to errors by using the right software. Because we avoid manual processes when handling our clients’ payroll activities, we reduce errors significantly helping your business to save more money.

There’s too much to consider when handling payroll work. First, you have to ensure the pay periods and deadlines are met and taxation guidelines followed to the latter. Failure to do this could attract numerous penalties which cost the business so much money. Additionally, because this work involves a lot of data entry, it’s always prone to errors. Manual data entry will always be more prone to errors as well as tax issues. You may end up overpaying or underpaying your employees which could result in serious compensation claims. You can avoid all this by hiring BFC Professional Accountants to offer income tax preparation Barrie.

Why you should hire an accountant for Payroll services

Payroll is a lengthy process if you are new to it or have many employees. We know that as a business owner, you have several talents and expertise that go towards growing your business. We encourage you to focus on your strengths and let us focus on your payroll services.

Our advanced payroll managing software enables us to stay on top of changing tax laws and regulations. We have years of experience serving many companies and industries. We can give you advice on proper compensation for your employees based on industry standards and location.

We specialize in payroll accounting, and that is why we have invested in some of the most reliable software systems on the market today. Your employee’s details will be stored securely and confidentially. Our software also securely maintains records, pay slips, and employee contracts which will be made readily available to you.

A paycheck is simply an employee’s wage – deductions and allowances. A deduction is an amount that is subtracted from a wage such as a replacement entry card. Whereas an allowance is an amount added to the wage for work-related expenses such as gas money and uniform expenses. However, both deductions and allowance have expenses that can be taxable and non-taxable, making the process difficult for someone unfamiliar with the current tax code.

Rest assured, our payroll experts will easily be able to differentiate between the two. With us, the paychecks will always be accurate.

Payroll services saves you time and money

In order to save you time and money, we consider the needs of your business when offering our payroll services. Your business may need to run bi-weekly, semi-monthly or monthly. We’ll choose an efficient solution to save you money. You may have more salaried employees compared to part-time employees which require changes when running services. If you have a high staff turnover, your work becomes more complicated. We’re here to make things easier for you by providing a customized tax services in Barrie. Get in touch with us for more.

When you outsource your payroll to us among other accounting services, we are able to handle all your financial information and provide all the required services in our office. For most of our clients to whom we are offering our accounting services, it’s easy to handle their service because we already have their financial information and data. We use online software allowing you to check your data whenever you need to. We even offer our clients simple training to understand how they can review their data in new and useful ways.

Accountants usually cost from $30 to $300 per hour, but sometimes more depending on the area. Accounting costs vary according to the size of your company and the nature of your accounting needs. Accountants who offer consultation services may charge a nominal hourly fee, short-term assistance in sorting out bookkeeping issues, or a one-time helping hand to get accounting software up and running.

To get a broad picture of professional accounting costs you should set up a free consultation with a professional accountant.

Cost guide when hiring an accountant in Barrie, Innisfil and Simcoe Region

• Accounting service costs
• Monthly services
• Tax preparation
• How much do accountants charge per hour?
• How to hire an accounting professional
• Background and experience
• How to save money on accounting costs

Accounting services costs

Accounting costs are affected by the size of your business, your accounting needs, the background and experience of the accounting professional, and whether you need a one-time accounting service or require professional accounting services on an ongoing basis. Accountants frequently help their clients with balancing books, preparing tax returns, managing accounts receivable and payable, and preparing financial statements. Here are a few examples of how pricing varies by service from BFC  accountants.

• $225 – Balancing Books
• $250 – Preparing tax returns
• $250 – Preparing financial statements
• $300 – Managing accounts

Whether you pay an accountant for a one-time service or hire someone as a full-time staff accountant, several factors will affect the cost of accounting services.

Accountant monthly services

Many accountants also provide ongoing services that include weekly, monthly or quarterly financial reconciliations and reporting. Some accountants can provide an average cost for their services and stipulate a set rate, while other accountants offer a rate once they have consulted with clients to determine the scope of their needs.

For example, some accountants in Barrie offers the following monthly business packages:

• $75/month: includes an online QuickBooks subscription, reconciliation of two accounts with 100 transactions or less, monthly 30-minute consultation with monthly reports.
• $125/month: includes an online QuickBooks subscription, reconciliation of three accounts with 200 transactions or less, monthly 60-minute consultation with  monthly reports.
• $175/month: includes an online QuickBooks subscription, reconciliation of five accounts with 400 transactions or less, two 60-minute consultations with monthly reports.

Cost of tax preparation

Many accountants also offer tax services to their business clients. The cost of completing and filing taxes vary based on the complexity of the return.

• Sales tax return: $25 and up
• Individuals filing T1 Returns : $75 and up +$20 for each additional amends, schedule and return
• Partnerships filing a T5013 Information Returns: $125 and up

How much do accountants charge per hour?

As we previously mentioned, many accountants charge by-the-hour for consultation services, short-term assistance sorting out bookkeeping issues, or one-time help to get new accounting software up and running. Hourly rates can vary based on the accountant’s experience, reputation and geographic location in the country.

For example, most accountants in Barrie charge $50 per hour for bookkeeping on backlogged accounts.

How to hire an accounting professional

There are a few steps you can take to aid in your decision making and to ensure that you hire an accounting professional who will be the right fit for you or your business:

• Ask for a free consultation: Accountants often provide free consultations to assess clients’ needs, explain how they can help and estimate the cost of services. The consultation also allows clients to meet the accountant and determine if it is the appropriate business fit.
• Determine your budget: Figure out how much you have to spend on professional accounting help. Aligning in the upfront about your budget will save you both time and energy in the long run.
• Figure out your needs: Do you have a small business or are you a incorporated? Do you need help with financial statements, preparing tax returns, or something else entirely? Knowing your needs before speaking to a tax professional is key in finding the right fit for your business the first time around.
• Nail down the explicit costs: Are there hidden fees or extra costs for extensions that you’re unaware of? Always be sure to figure out the exact scope of work and explicit costs before entering into a business partnership with an accounting professional.
• Ask for reviews: Ask for reviews and follow up with references to make sure you’re choosing the right accounting professional for you or your business.

Background and experience

Accountants are professionals who have received an accounting degree, and some have tested to become certified professional accountants (CPAs). Regardless of certification, all educated accountants should be qualified to assist businesses and individuals with bookkeeping. Due to their advanced certification, CPAs may have higher rates.

Additionally, academic background, years in the field and professional reputation all can affect an accountant’s rates. Some professionals also have certification from the CRA as an Agent, which means they are expert on federal and provincial tax law.

Be sure to always inquire about your accounting professional’s certifications to ensure your needs will be met.

How to save money on accounting costs

Hey, business owners like to save a little dough, too! From real estate to technology and healthcare, cost management is important for every business. Here are some ways to save money on accounting costs:

• Sign up for accounting software: If you own a small business, you may only need to hire an accounting professional once or twice a year and supplement with accounting software like Xero, QuickBooks, NolaPro, or Sage.
• Pick and choose your services: If you’re paying by the hour, keeping your services at a minimum will save the accounting professional time and save you (and your bank account) money!
• Organize, organize, organize: Again, if you’re paying by the hour, showing up to your appointment with all of your information organized will save the accounting professional from searching for the information that they need to complete the service.