Our Fees

[dyne]

Today I saw on TV part of a program where the commentator talked about a manufacturer
who produced a product which cost $4 and they sold it for $300 because that is what the
market would bear. Perhaps I should use this philosophy and double or triple my fees.
That would get rid of the simple and EIC returns which I do not like anyway and would
lighten my work load and produce more income.

[ChEAr$]

My favorite story here, dyne, is what an Ohio CPA said at a seminar once.

He asked, "What happens if you double your fees?"
Answer from audience: "we lost half our clients."
He then asked, "And what would be gross revenue?"
audience murmurs, smiling approval.
he again asked, "And then what if you doubled your fees?"
etc etc etc, where theoretically you wind up with just one client paying
previous gross revenues.

[BOB W]

Over the years I have raised my fees 2X, 3x, 4x plus what they use to be years ago. No one should EVER double their fees at any one time. A steady increase EVERY year will build your practice and remove your time wasting (cheap) clients.

[thomtax]

My favorite story here, dyne, is what an Ohio CPA said at a seminar once.

He asked, "What happens if you double your fees?"
Answer from audience: "we lost half our clients."
He then asked, "And what would be gross revenue?"
audience murmurs, smiling approval.
he again asked, "And then what if you doubled your fees?"
etc etc etc, where theoretically you wind up with just one client paying
previous gross revenues.

Of course, conveniently overlooked is what if this one client dies or gets mad and quits? Worrying about that is more stress than I want.

LT

[JoshinNC]

We have net doubled our fees over the last 3 years

and have seen very little in the way of defections. Our business returns were pretty accurately priced, but our personal returns were grossly underpriced (1040 w/ Sch A for $110). Now we are not the cheapest and not the most expensive (1040 w/ Sch A for $195) and have been able to increase revenues drastically without growing our base too much (maybe 20 new 1040's a year and 5-10 new business returns a year). Not much busier than 3 years ago but alot happier on 4/16 every year.