Managing your personal finances can be a daunting task, especially if you have a lot of complex financial issues on your plate. This is where a personal accountant can help tremendously to organize and streamline your financial life. A personal accountant is a financial professional who can help you manage your finances, taxes, and investments. You may wonder, “do I need an accountant?” In this blog post, we’ll discuss personal accountant job description, personal accountant roles and responsibilities, and how to hire a personal accountant. We’ll share the differences between an accountant and a CPA, and we will also discuss the signs that indicate you would personal accountant.
Personal Accountant Job Description
A personal accountant is a financial professional who provides a range of services to individuals and families. They help manage personal or business finances, prepare tax returns, and provide financial advice. They may also help with investment planning, retirement planning, and estate planning. A personal accountant is your go-to person for all of your financial management needs.
Accountant vs. CPA: What’s the Difference?
An accountant is a financial professional who is responsible for recording, maintaining, and reporting the financial affairs of an organization or individual. They may prepare financial statements, manage budgets, and provide financial advice. Typically, an accountant has at minimum a bachelor’s degree in accounting or a related field, and they may work in a variety of settings, including accounting firms, corporations, and government agencies, or home offices.
On the other hand, a Certified Public Accountant (CPA) is an accounting professional who has met state licensing and certification requirements. To become a CPA, an individual must pass a rigorous exam and meet specific educational and work experience requirements. CPAs are licensed by a professional governing body, and they are required to adhere to a code of ethics and specific professional standards. To maintain their license, CPAs must also complete continuing education credits regularly.
In short, CPAs are accountants, but not all accountants are CPAs. CPAs are qualified to perform certain duties that regular accountants are not permitted to do, such as preparing audited financial statements or reviewing certain financial statements. CPAs are recognized nationwide as credible experts in the field of accounting.
Where Does a Personal Accountant Work?
Personal accountants may work for accounting firms, financial planning firms, individuals, small businesses, or they may be self-employed. They may work with clients in person, over the phone, or online. Depending on your needs and goals, your personal accountant may work remotely or directly from your home office.
Roles and Responsibilities of a Personal Accountant
The roles and responsibilities of a personal accountant may vary depending on the needs of the client. For example, if you own a business, you may hire an accountant to assist with both your personal and business financial needs.
Some common personal accountant responsibilities include:
- Managing and organizing personal finances
- Preparing individual and business tax returns
- Providing financial advice and guidance
- Investment planning
- Retirement planning
- Estate planning
How a Personal Accountant Helps You Manage Your Finances and Tax Obligations
Financial matters do best with the help of an industry professional. A personal accountant can help you manage your finances and tax obligations in several ways. They can help you:
- Create a budget and manage your expenses
- Maximize your tax deductions and credits
- Plan for retirement and other long-term financial goals
- Manage your investments and minimize your tax liability
- Plan for estate and inheritance taxes
In essence, personal accountants work to make your money do the most for you. Importantly, they also ensure that you are meeting your financial and tax obligations legally.
Signs You Need an Accountant
Do I need a personal accountant? Financial matters can quickly become complicated, even for seemingly simple circumstances. Furthermore, improperly managing daily finances, business finances, tax returns, retirement planning, and investments, can result in devastating consequences and/or legal repercussions. An accountant is truly beneficial for most individuals and businesses. However you may be wondering if you need a personal accountant. While a CPA or accountant can help in all personal and business financial matters, there are some clear signs that you certainly need a professional accountant.
Here are some signs that indicate you need an accountant:
- You are self-employed or own a business of any size
- You have complex personal financial issues on your plate
- You’re facing complicated tax situations, such as navigating capital gains taxes or receiving an inheritance
- You’re planning for retirement or other longterm financial goals
- You’re interested in investing, but you don’t know where to start
- You are short on time, and you need help managing your finances
In short, it’s a rare individual who would not benefit from some level of professional accounting guidance.
How to Hire a Private Accountant
A domestic staffing agency or corporate staffing agency can help you hire a personal account. Staffing agencies help clients find, vet, and secure the best personal accounting candidates for them.
Here are some steps to follow when hiring a personal accountant:
1. Determine your needs and budget: What do I need personal accounting help with, and what can I afford to pay?
2. Research potential accountants and check their credentials and references: How to find a personal account near me or CPA near me?
3. Schedule a consultation to discuss your needs and goals: Interview accountant candidates to find the best fit.
4. Ask about their experience and expertise in your specific area of need: Ensure candidates are properly educated, credentialed, and experienced.
5. Discuss their fees and payment structure: What does a personal account cost? How much does a CPA cost?
6. Make a decision and sign a contract: To secure your accountant, both parties must sign a contract that details expectations.
Corporate and domestic staffing agencies can help with all of the above steps, to streamline the accountant hiring process. Staffing agencies have access to the industry’s top personal accountants and can help you find and secure the best fit for your personal or business needs.
Home + Work Staffing can help you begin the personal accountant hiring process today. We have access to excellent, pre-vetted accountants, as well as the ability to help you find even more ideal candidates all over the country. Contact us today to get started!