Cost of accounts for year - am I paying market rate?

John_Mc

Hi,

I'm self employed and am running a private limited company since Oct 2012. It's just myself and the other director with no employees.

I'm self-sufficient and use an accounting application (Bullet HQ) to file my VAT and P30 returns myself.

I only speak to my accountant when I have a question which is rare enough, or when I'm doing my year end accounts.

I provide all of the information in a digital package sent to them so it's easy for them to follow and do my accounts. They also have access to my accounting application which generates all of the reports automatically (Trial balance, profit and loss, payroll etc).

Given that I'm such an "easy" customer, I'm starting to think that what I'm being charged is above the market rate.

Last year I had two invoices from them. €1,700 + Vat for year end accounts and €420 + Vat for company secretarial.

It's this the normal rate? I have no problem paying professionals the market rate but obviously want to avoid paying more than I could.

Thanks

Nuttzz

wowsers, that is on the high end of the scale in my opinion and based on what I have paid in the past.

the question is do you need to have signed off accounts by an accountant? You may need to for loans/banking/ future banking requirements.

If not you can self certify the accounts and do the cro forms yourself. My business has an audit exemption and dont need bank funding so Ive no need for audited accounts anymore. Obviously if I decided to go down that route I would have to get my books audited.

I certainly would say to shop around, you would get a better price from another accountant imho

John_Mc

Nuttzz wrote: »

wowsers, that is on the high end of the scale in my opinion and based on what I have paid in the past.

the question is do you need to have signed off accounts by an accountant? You may need to for loans/banking/ future banking requirements.

If not you can self certify the accounts and do the cro forms yourself. My business has an audit exemption and dont need bank funding so Ive no need for audited accounts anymore. Obviously if I decided to go down that route I would have to get my books audited.

I certainly would say to shop around, you would get a better price from another accountant imho

Thanks for your reply. I have no credit or plans to apply for credit in the future, but would still be willing to pay for audited accounts each year. It's no harm at all to ensure that I'm doing things correctly.

I just want to make sure I'm getting good value for it

DaveJoyce

I agree it is very much on the high end, I don't use an accountants package and my accountant does all of the filing for me and I am been charged much less then that

John_Mc

DaveJoyce wrote: »

I agree it is very much on the high end, I don't use an accountants package and my accountant does all of the filing for me and I am been charged much less then that

Do you mind me asking how much exactly?

Lockedout2

Do the directors do their own Form 11s?

If the accountant is doing them then accounts, CT1, Form 11x2 and B1 around €1500 + VAT.

John_Mc

Lockedout2 wrote: »

Do the directors do their own Form 11s?

If the accountant is doing them then accounts, CT1, Form 11x2 and B1 around €1500 + VAT.

One director does his own and the other has his done by the director.

So it seems I'm paying above market rate by quite a bit

mneylon

I'd recommend shopping around. The devil is in the details, so while it appears you might be paying a bit more than what many would expect, it'd be best to get pricing from a few alternative vendors to get a true comparison.

viztopia

by reading this post there is one thing that is not clear and could make a big difference - are the accounts audited or audit exempt?

John_Mc

viztopia wrote: »

by reading this post there is one thing that is not clear and could make a big difference - are the accounts audited or audit exempt?

Pretty sure they are audited as they are submitted to the CRO and used to calculate the Corporation Tax owed to Revenue.

exaisle

John_Mc wrote: »

Pretty sure they are audited as they are submitted to the CRO and used to calculate the Corporation Tax owed to Revenue.

This isn't really an indication either way...
Most companies are required to file accounts with the CRO but not all are required to have those accounts audited. Have a look at the last invoice that he issued to you and check whether you're being charged for an audit or not.

DivineMsM

Any advice on here is just a guideline.
I would definitely shop around- any one you approach will ask all relevant questions and give you an informed quote.
Yes your charges appear high- but we don't know the full picture and the work involved.

John_Mc

exaisle wrote: »

This isn't really an indication either way...
Most companies are required to file accounts with the CRO but not all are required to have those accounts audited. Have a look at the last invoice that he issued to you and check whether you're being charged for an audit or not.

Thanks I'll do that when I get home. What determines if there is an audit or not though?

DivineMsM wrote: »

Any advice on here is just a guideline.
I would definitely shop around- any one you approach will ask all relevant questions and give you an informed quote.
Yes your charges appear high- but we don't know the full picture and the work involved.

Yes you're absolutely correct and I'll be doing that. Thanks

viztopia

look at the accounts that you have been given from the accountant, either the full set or the abridged accounts. If they are audited there will be an audit report a few pages in and if they are not audited then there will be an accountants report in its place. its usually after the directors report and just before the profit and loss/balance sheet.

John_Mc wrote: »

Thanks I'll do that when I get home. What determines if there is an audit or not though?



Yes you're absolutely correct and I'll be doing that. Thanks

Kopli

Depends on how many transactions the accountant has to complete in a month?