7 Reasons To Hire An Accountant As A Student
Stepping into adult life isn’t only about partying whenever you want and having the freedom to never clean your room ever again. Welcome to the world of managing your credit score, filing your tax returns, and keeping up with your finances.
That part of adulthood isn’t as alluring or fun, yes. But that doesn’t mean you can just avoid it. No matter what, you’ll have to take care of it, one way or another.
Fortunately, you don’t have to go it alone. Just like you can pay for essay at EssayPro, you can outsource all of the accounting to a professional freelancer or a firm. And here are seven reasons why you might want to consider doing it.
Managing your finances is a time-consuming endeavor on its own. Add tax returns into the mix, and you can expect to spend hours upon hours on accounting every month. Who would submit themselves to that willingly?
COPYRIGHT_MARX: Published on https://marxcommunications.com/reasons-to-hire-an-accountant-as-as-student/ by Keith Peterson on 2022-09-27T05:17:37.560Z
Instead, you could free up that time and spend it enjoying your life! Think about it – why would you bore yourself to death with tax laws and accounting software if you could be traveling the world or hanging out with friends?
On top of that, what would take you hours to wrap your head around requires just a bit of time on the accountant’s part to get done. Why? They’ve been in business for years, so they know all the laws and tricks in and out.
That’s not to mention that, unless you’re a fan of math, all of the accounting is plain boring. Would you really want to spend the best years of your life on something as dull as this?
Let’s face it: few people are good at math – and enjoy doing it, too. So, chances are high you’re not one of them – and it’s fine! If you realize numbers aren’t your thing, why not leave accounting to a professional?
After all, mistakes can cost you dearly. For example, if you miss an error in your bank account statement, you won’t be able to make any corrections after a certain deadline. You’ll just have to live with that mistake.
Another thing is, let’s say you’ve gotten a scholarship to study finance in Scotland or England. Are you supposed to file it as taxable income? And are you even supposed to file your tax returns while being abroad? One incorrect answer – and you might run into big trouble with the IRS.
Your credit score can make or break it when it comes to many aspects of your adult life. Here are just some examples of how:
- Want to take a mortgage or another type of loan? It’ll determine the interest rate.
- Looking for a place to rent? Landlords will ask for your credit report.
- Postulating for a job opening? Your prospective employer might check your credit.
- Need an insurance plan? Your credit will determine the rates.
But building credit isn’t as straightforward as you’d probably like it to be. Your payment history, credit utilization, and the length of your credit history all play a major role.
What does that mean in practice? And what can you do to improve your credit score here and now? These are the questions you should ask a practicing accountant!
So, you have some disposable income and/or some savings, and you want to grow your wealth. What’s the best way to go about it? Should you invest in stocks or open a savings account? Which savings account is better – a traditional, high-yield, or money market one?
You won’t have to rely on strangers on the internet advising you if you hire an accountant. They’ll give the actual professional advice on what’s the best way to grow your wealth – and manage your finances in general.
For example, if you inherit a hefty sum of money or real estate, they’ll help you avoid paying colossal inheritance taxes. Or, if you’re an entrepreneur or partake in the gig economy, they can advise you on how to improve your bottom line. That’s something even the best financial manager apps won’t be able to do for you!
Speaking of avoiding colossal taxes (no judgment here, by the way). Since an accountant with years of experience knows the laws in and out, they’ll help you get the most out of every tax benefit you’re eligible for.
Here are just several examples of what you can miss out on without qualified help:
- Have you made a donation? You can deduct it from your taxes!
- Are you paying education costs yourself? You can claim education deductions!
- Do you run a business out of your home office? You can deduct those business expenses, too!
If you don’t put together all those deductibles and add them to your return, you’ll receive a standard deduction. That deduction, of course, can be lower than what you would’ve gotten otherwise.
Student years are the time for starting your own business, hands down. And if you decide to take advantage of that (or if you already have), the financial side of running a business may quickly bring you down.
Even if you ace your personal finance management, managing business finances is a completely different game. And it’ll take you a long while to figure out its rules on your own. On top of budgeting and keeping track of incomes and expenses, you’ll have to:
- Understand whether the cash or accrual accounting method will be a better fit for your business;
- Put together all the sales and expenses and add them to the record at the right time;
- Get the tax ID number and choose the tax year;
- Keep track of all deductible and depreciable expenses;
- Make payroll if you have any employees working for you;
- Make sure you comply with federal, state, and local tax obligations.
That’s why hiring an accountant is a must, not a would-be-good-to-do if you’re self-employed or run a business. You can offload all of that to them – and expect it to be done fast and properly.
Just the tax law itself changes hundreds of times every single year, sometimes amounting to more than one change a day. Some of those changes are minor tweaks, others are major.
Regardless, if you don’t have an expert to help you, you’d have to keep track of all that by yourself! That amounts to dozens, if not hundreds, of hours of reading and interpreting legislation.
Theoretically, you could do it, of course. But then again, there’s the question of time. Would you rather spend this scarce resource on this – or on doing what you love and enjoy instead?
It’s harder to find a reason not to hire an accountant. They can help you with any range of tasks, from giving advice to filing your taxes for you or keeping the books for your business.
Yes, you might think that you don’t need an accountant’s help now. You’re a student, after all. What good would an accountant do for you if you don’t have a venture to manage?
Well, you’ll still have to file your taxes every year, for one. And having a qualified helping hand can save you time, set you up for a handsome refund, and avoid costly mistakes. Plus, they can help you grow your wealth over time. What’s not to like?