Afshin Afsharnejad-Tax Software vs. an Accountant: Which Is Right for You?
Each significant job brings the question of whether or not individuals should do it themselves or hire a professional. By understanding the benefits, you can choose the most appropriate option for yourself, according to Afshin Afsharnejad.
The Advantages of Using Tax Software
It’s impossible to avoid the fact that you will pay less for software than you will for a CPA or other tax expert. For simple filers, tax preparation software is almost free; for those needing more in-depth service and complex returns, it can cost several hundred dollars.
You can complete your own taxes in less than an hour once you have all the required documents in front of you. By contrast, the most reliable accountants will typically take several days to several weeks to complete your paperwork and file your forms.
You can easily and quickly prepare your taxes by using an excellent tax preparation program. If you have only a few deductions, sources of income, or investments, consulting an accountant is not necessary.
The Benefits of Hiring a Professional Accountant
Accounting software is far more sophisticated than products sold to consumers, according to Denver CPA Carl Wehner. These more advanced programs allow you to scan your information quickly and organize your forms and line items properly.
Developing a relationship with an accountant is similar to developing a relationship with a family doctor that knows your medical history. This is how they can understand your family’s financial situation and goals.
The choice between hiring a tax professional and doing your own taxes with software is not universally correct. The complexity of your finances should be the deciding factor for your decision, along with your comfort level and familiarity with IRS rules. According to Afshin Afsharnejad, if you have a single employer and few investments, you may be able to save hundreds of dollars by preparing your own taxes. However, if you have business income or rental properties, you may find that hiring an accountant is worth the peace of mind and potential tax savings.