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ForumsArrowStarting OutArrowWhat's the benefit of having a CPA?
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What's the benefit of having a CPA?

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Check Rosette Top Subjects:
Rentals, Analyze Deals, and Residential
  • Posts 82
  • Votes 17

Fahadbin Alam
Rental Property Investor from NJ (new jersey)

posted 13 days ago

Does anyone have a CPA and what exactly do they do for you if you're really into investing into properties. Could do write offs if you have a LLC or something?

1. What are some questions you would ask a CPA?

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Check Rosette Top Subject:
Rentals
  • Posts 376
  • Votes 200

Brad Hammond
Real Estate Agent from Portland, OR

replied 13 days ago

Hey @Fahadbin Alam , my CPA primarily just does my taxes for me.  If you are looking for someone to do your books, get a bookkeeper since they are less expensive.  I like that I can email her any time and ask a simple tax question if I need a quick answer.  That is an underestimated benefit of having a CPA.  In my opinion, you need to ask the right questions to any CPA.  Don't ask "can I do ..." but ask "how can I use my vacation as a tax write off" for example.

Besides that, you should have a strategy meeting every year and talk about what you can do ahead of time to reduce your tax liability.  There isn't as much that they can do after the fact.  

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  • Posts 1.5K
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Bill Hampton
Tax Strategist and Fee-only Financial Planner from Atlanta, GA

replied 13 days ago

Fahadbin,

I recommend finding an accountant that specializes in real estate taxation. You may want to consider working with your accountant remotely to expand your options.

I would also recommend looking for a tax strategist who is willing to work with you throughout the year, not just when preparing your tax return. You want an accountant that can help you strategize and who is responsive when you want to know the tax consequences of the decisions you are making throughout the year.

A good accountant will save you more than you pay them. 

Good luck and let me know if you have any questions.

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Check Rosette Top Subject:
Single Family
  • Posts 1.7K
  • Votes 1.4K

Daniel Hyman
CPA from Milwaukee, WI

replied 13 days ago

Some CPA's try to remain on the compliance and tax filing side. 

Others provide tax strategy consultations, tax projections, tax planning, bookkeeping, etc. 

Having a firm that prepare your return and give you strategies as needed is nice combo.

Questions to Ask:

1) What is the value that your firm provides?

2) What is the fee structure?

3) What is the preferred method/frequency of communication?

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