All Forum Posts by: Sangenya Machi

@Jerry W.  I see, thank you for your professional advice. My property has 5 units, and the amount of income is basically the same every month, so personally I think it doesnt warrant $160 a month. But I think based on everyone's answers, Im getting a feel that the accounting shouldnt cost more than $800 a year. But Im definitely still going to pay for tax preparation. Thank you for the info.

@Caleb Heimsoth  How do you protect yourself from liabilities? Do you just have umbrella policy?

Thank you all for your replies, I've learned a lot! I have no idea how to mention each user since Im new to this forum. 

I heard from a relative that investors usually put 1 LLC in each property, so I followed through with it. I considered getting umbrella policy but I was told since I put it in an LLC, its not so necessary. But wow $700 a year is quite a bargain!

The CPA only reviewed the LLC documents and closing documents (mortgage, title) to calculate costs, he didnt modify any documents. So I'm assuming its a one time fee. And he lives in Florida, so hes working virtually with me through phone calls and email. So I have no idea why the fee is coming up so high. I only went with him since he's a family friend.

Anyhow, I think Im going to ask him why there's that $1400 fee, and why I need to have monthly financial statements for $160 per month. From the looks of it, it seems it's better for me to look for another CPA if he is going to try to charge so much. Thank you all!

Hey guys,

I don't have a property manager since its just 1 property. But Bob, it just shows up in the fee breakdown as "November financial statement" and "December financial statement". 
What do you guys recommend that I do? Sorry, Im quite new to this, so Im still learning. Thank you all for the replies so far!

Hi all,

Im currently holding a property under an LLC last November. I hired a CPA to do our taxes and bookkeeping.

Recently, he sent me an invoice for all his services. It was about $550 for the tax returns, which is quite average according to my research.

He also charges about $160 per month to prepare our monthly financial statements. (I send him the company bank statements and expenses every month)

But my main concerns are the Review Doc & Setup Partnership Chart of Account fees and the State & Federal Software fees.

The Review Doc & Setup Partnership Chart of Account fee is $1400!

The State & Federal software fee is $105. 

Are those fees normal in your experiences?