Deadlines and Workflow

[equinecpa]

OK this year was stupid. Early in March I was wondering if I was in for a slow season (I even started this thread:http://www.thetaxbook.com/forums/sho...light=business)

Well returns started pouring in at the end of March. I soon had a 3 week backlog. I used to have a policy if it was not in by March 31st it wasn't getting done. Now I wonder if that date is too late...a 3 week backlog can't get done by 04/15.

I need a better way of scheduling work. I'm adamant about that after the week I have just been through. I found I had some lengthy returns that took WAY too much of my time. I have always used a first come first served policy but with some of these big returns I'm wondering if that's a sound policy. I find these "large" returns putting me behind schedule. I had to file extensions for other returns that would probably take less than an hour to complete.

I'm also wondering if I need a policy that if a return is not complete by say 04/07 it goes on extension. I found myself trying to complete far too many returns in the last week .

I fear I'm my own worse enemy. I think I'm too accommodating.

What are your policies on deadlines? Are you actually completing returns up to the last day?

My clients are all small business clients, so all have schedule C, F's etc. Many of my returns come to me via fax and mail. I was wondering if I could schedule the work when it comes in actually blocking off a time on a certain day for it to be done. Which would lead me to another question...how many hours to block off as productive in a day? I'm a one person show so some days even when I'm busy for 10 hours I may only have 5 billable hours.

Please share your management practices. I'm hoping this thread will prove useful to many...

Carolyn
Taking a day off!

[Gretel]

I am a very small one person biz and don't have a cut off date. I also have a first come first served policy with clients making appointments having priority over clients just dropping off their stuff. The last filing week I always have quite a number of people just dropping in with very simple returns, which I prepare to the last minute. If my bigger project clients don't have everything in too me at a decent date, I will not complete them as first priority, but will do smaller returns first as I see fit. This year has been a nightmare in this respect.

[rjholmes]

You are so right!

These last 3 days has me wondering again why I do this. For a few years in my practice I tried to be as flexible as possible and meet with people when they wanted, but one can burn out in a hurry operating that way. I finally started making Thursday my "catch-up day", letting the answering machine do its job. Also since I am working into the night, I now start my appointments no earlier than 10 a.m. But I did have a backlog of returns coming in this month, and I had to file more extensions than I wanted. Today is still a busy time finishing the little things and doing some cleaning. I will REST tomorrow!

[DTS]

Cut-off date

I don't do thousands of returns like some, so no cut-off date for me to speak of. Getting near the end, easy returns are no problem, actually, welcomed. Anything else that smells of work gets extended, but still worked on and often finished by the 15th.

I think a little planning and knowing what you can or cannot do in time means everything when trying to preserve your sanity.

D

[BHoffman]

Carolyn - same story here about getting slammed in March.

One of the best things experience has taught me is to be flexible and prioritize.

I try really hard to finish everything I received by 03/31 by 04/01. I set 04/01 as my goal.

This was a weird year, and I sure got a whole lot of work delivered after that 04/01 date!

Clients who looked like they were going to owe got priority so I could figure the amount they would need to send in with the extension. Everyone who showed up after 04/01 came through the door looking really sheepish, so no one minded the extension and I'll be able to finish up the refund returns next week.

It is my priority to avoid having my clients pay penalties whenever possible.

I do have one hard and fast rule for clients who wanted extensions and gave me no paperwork at all: If I do not receive all of their paperwork in good order on or before August 31st, they need to find another preparer. This is after getting slammed with sloppy Sch C info on 10/10 last year by 5 offenders - the same 5 who appear to be seeking the same scenario this year. I am inviting them to leave. I know there will be at least one who will get in touch on 09/02 or 09/03. Not sure if I'll cave or not. Have to cross that bridge when I come to it. Depends on my mood that day, I suppose.

Also, every year I go through my client list and fire 3 or 4 clients who caused me the most grief. I also raise my fees dramatically for clients who really need either a nag or a nanny. I'm not good at either of those things.

I only prepare about 200 returns per year. I'd rather prepare a few high dollar returns than many low dollar returns. It's just me working out of my house. I accept new clients on referral only. If I tried to do any volume work, I'd need to hire a clerical helper to make copies, assemble, file, answer phones etc. and I don't want any employees.


So, long story short - flexiblity and priorities have helped me maintain sanity during the stress. I do the very best I can every single day. Some days are just better than others

[JohnH]

I agree that planning is the key. For many years I have set March 20 as the cutoff date - everything that comes in on or after the cutoff date gets an extension. No exceptions.

Last year I moved the date back to Mar 15 because of the stimulus nonsense. This year I made the date Mar 10, and am really glad I did. I got a bad case of bronchitis and spent most of the past 4 weeks working at less than full capacity.

The really nice thing about getting the extensions in place early is that it allows you to double back in the last few days and crank out returns at whatever pace suits you. You can prioritize based on whatever criteria works best for you, rather than the "luck of the draw" based on who got to your door first. I think it's always a big mistake to let your clients detemrine your work pace, even by default. Sometimes extending a single return frees you up to complete 4 or 5 others. Lots of people for whom I filed extensions wound up getting their returns by Apr 15, and they were happy, but it really didn't matter to me one way or the other.

For me, doing whatever is necessary to make Apr 15 just another work day just relieves all the pressure and decreases the stress. My idea of a successful Apr 15 is to spend the morning reviewing extensions and calling or emailing a few key clients to be sure they paid the balance due on their extension reaqest. It also frees you up to pay special attention if something unusual pops up which may deserve a little extra attention. That happened to me yesterday. I was able to deal with it in the normal course of the day and still get home in time to take my wife to dinner. And I came in to the office this morning at my usual time to work on quarterly payroll tax reports - not frazzled, bleary-eyed, or trying to recover from a marathon.

We all have different practices and what works for one won't work for another. But I strongly recommend setting a firm extension policy and sticking to it as a means of gaining control of your business.

[B C]

Cut-off time

I don't set a firm cut-off period as I don't prepare thousands of returns. I know most of my clients very well and their situations. That being said, I did notice a tendency on most clients to be a little later this year. Not sure if the new stimulis plans confused them, altho it won't affect them this year, or what was the problem. They just didn't seem to have it together. Maybe it was just the bad times now and worries about other problems, money. jobs, families, friends.
Hope you all had a great season and now it's time to relax for a few days before cleaning up the loose ends.

[geekgirldany]

I don't set a cut-off date either. I will call a week before the deadline and tell the customers I may have to file an extension for them. That I will try to get it done if possible. I worked 7 days a week this time. Staying up late at night. Thank goodness for LogMeIn. With me getting sick it really threw me off.... but I have to say during that two weeks I did not get many calls to setup appointments. It was the first of March. I had several I had entered in the computer and were ready to print. Spent the day before I got sick calling to get info and finishing those returns up. So really they were the only ones calling while I was sick. I had to cancel about 5 preset appointments. One did not come back.

Seems the flood started in the middle of March and did not let up until yesterday. So far I prepared about 140 returns. Went up on pricing on old customers and have a new pricing schedule for new customers. So I did very well this time. Very proud of my business.

With all that being said I try to not take appointments on Saturday unless asked. That gives one day to work without interruption. Then during the week I will return calls at 4pm. That will give me a few hours to work on returns if I am lucky. Alot of the time I am meeting with customers and those picking up. I try not to schedule to many people a day just so I can get some work done. I then print out returns at the end of day and take them home with me to put together. Don't have time in my office. I hate taking my work home with me but sometimes you have to. I really need a assistant also but I don't want any employees either

[Burke]

Same here. I take clients only by referral and then I quiz them mercilessly about the type of return they have. Won't take non-filers. Won't take any more Corps or Partnerships. Or payroll clients. And I want to phase out the ones I have. Am training one client's secretary/assistant to do theirs. She's already got the monthly deposit down. This quarter she is going to do the 941's etc. After tax season, I have trust accountings to do with estates sprinkled in all year. That is where I want to concentrate. I do not do bookkeeping either. I was slammed after 3/15 this year, and I work every day, Sat & Sun after 2/15. I don't know why everybody was late, but I heard every excuse in the book. My cutoff date was 4/1. Need to move it back. Have 15 or so extensions, some are refunds, some owe. Some aren't even here yet. I like the idea of 8/31 or find somebody else! Always have one who can't manage it until Sept. If I had any more clients, I would have to hire people. No thanks. Been there, done that.

[Mo Sheets]

This worked for me.....

I put an ad in the local paper offering 5% off tax return preparation fees if booked before 3/1/xx. I was able to get alot of folks in earlier this year and establish appointments for those who needed to come in after 3/1/xx. Anyone who booked after 3/1 paid full price.

Mo