Extra Charge for 4/1-4/15

[Super Mom]

I'm going to charge more for client that wait till the last minute, I hate extensions and try not to file them, but sometimes must. Any ideas on a fair amount for 4/1 to 4/15 I'm thinking a 5% increase, but that's not much money. Thoughts?

[AZ-Tax]

I would prefer & encourage extentions

I am so bogged down that I will be lucky to get what I get done but this gives me work in late April into May and then again some in Sept and Oct when I not rushed.

[zeros]

Extensions

I try to discourage getting extensions. Usually I try to get the client in even though he is missing a few items. Once I have entered in the available entries and determine what is missing, it doesn't seem so insurmountable to get the balance of items. I think he can focus better on the items needed.

[JohnH]

I couldn't do nearly as much work as I do if it were not for extensions. I started filing extensions Mar 8 this year due to the illness of a relative. If a client objects, I tell them they don't want a harried, rushed, sleepy person handling their important tax info under deadline pressure. I certianly wouldn't hand my info to someone under those circumstances unless I was just claiming the standard deduction. Most of the time they agree - if not they have the option of going somewhere else.

[AZ-Tax]

Correct and to the point

I started filing extensions Mar 8. If a client objects, I tell them they don't want a harried, rushed, sleepy person handling their important tax info under deadline pressure. I certianly wouldn't hand my info to someone under those circumstances unless I was just claiming the standard deduction. Most of the time they agree - if not they have the option of going somewhere else.

Well said John.

[DaveO]

I just had a client take their info and leave when I quoted them a price $5 more than last year. Not to say I'm sorry to see them go.

[taxmandan]

Wise tax practitioners raise their fees on April 1st each year for the coming 12 months, not waiting until next January to do so. Let the late ones pay next years fees.

[taxxcpa]

Five-dollar increase

I just had a client take their info and leave when I quoted them a price $5 more than last year. Not to say I'm sorry to see them go.

If a client asks how much you charge, he probably is not too desirable as a client.

[Lion]

Extensions

Oh, I like Dan's method.

I charge for rush jobs, whether it's now and insisting on 15 April or earlier to make the FAFSA deadline or sudden announcements of needing returns before leaving on spring vacation or anyone who complains about waiting their turn. I also offer discounts to those waiting in my queue who are willing to go on extension at my request as I slow down in my sleep-deprived state. I want to stretch out the tax season, so I can prepare more returns and make more money. Extensions are important to me. However, to the two clients who emailed me today to ask for extensions because they don't have their paperwork together yet, but still want me to estimate how much they need to send in with their extensions -- get real !!! If I stop next week when they bring in most of their documents to do their estimated returns to get payment amounts, I'm gonna charge. For real rush jobs where the client agrees that they're getting preferential treatment, I add 50%. Rare, though, since the clients usually think that since I have two more weeks, what's the issue with preparing their return now but returning to it in the summer when they get their K-1s or whatever?! Those I add at least 10% but probably call part of that worksheets & statements and only a small amount as Rush -- One Time Only. When they pay, I remind them that they will incur even higher charges for documents delivered to me after 15 March 2011. Charge 10-25% at least.

[ChEAr$]

Okay, I've listened to those who would like to "stick it to 'em" starting April 1st.

But I set my fee every January 2nd and stick to it for rest of year. Just because a client runs into unforseen difficulties and can't get to me till later than usual, doesn't mean he deserves to pay extra. If a client every got wind of this he might start to think about another tax guy next year. "Sticking it to 'em " leaves a bad taste in client's mouth.

And that's the way I see it. Treat customers (or clients if you like) like the gold that they are, and they won't forget you.

[Peachie]

This is also

Okay, I've listened to those who would like to "stick it to 'em" starting April 1st.

But I set my fee every January 2nd and stick to it for rest of year. Just because a client runs into unforseen difficulties and can't get to me till later than usual, doesn't mean he deserves to pay extra. If a client every got wind of this he might start to think about another tax guy next year. "Sticking it to 'em " leaves a bad taste in client's mouth.

And that's the way I see it. Treat customers (or clients if you like) like the gold that they are, and they won't forget you.

how I run my business. The fees are set and the date the return is done has no effect on them. What I charged on January 2 is what I charge on April 15. Taxes are my passion. I will never prepare taxes for the financial end of it. While it's nice to have the $$$, I want my customers to feel that I care more about their bottom line than I do mine. I charge a fair and reasonable rate. I know how I feel when I think some one's trying to gouge me when I am the consumer. I won't use them again.

Of course, I don't overbook and I don't allow clients to rush me. I have established my practice to be a certain way, and unless you are a new client, you know what the guidelines are. It is rare that I have to file an extension.

[BHoffman]

I set my rates pretty high, just a little lower than the franchises.

I discount quite a bit for early birds, but not so much for anybody showing up after April 1st.

Not at all for anyone who doesn't at least have their paperwork to me by 04/15.

I won't prepare a return at all unless they can give me their paperwork, complete and in good order, by Aug 31st. Got rid of 3 chronically super-late people last year and I don't miss the panic of having to beg them for their 8879 forms in the afternoon of Oct. 15th.

[dyne]

Good point: zeros. I have also noticed that if a clients brings most of his data in to me,
it is easier to obtain the remaining data. I had never thought of this but you are correct. Thanks.

[Burke]

I fired two clients this year who were chronically late. It seems once you file an extension you get into the habit of it. I don't mind doing them but I want everyone out of here by June 1. No more Octobers, no more calling and reminding them to get their info in. In January one called begging me to do 2008, but I had already given them the termination letter. And it was a Sub S Corp. I guess she got a big surprise with the late penalties when (or if) she ever got around to it. I had called her in Sept about it, but she said she was going to Aruba and would call me when she got back. She never did.

[BP.]

Treat customers (or clients if you like) like the gold that they are.

Great advice. With so much unemployment in my area, I try to remain grateful each day to have all the customers I am lucky enough to have.