Having trusted accounting services is an invaluable resource for businesses. To understand their accounting costs, this guide outlines the various services, rates, and fees associated with various accounting tasks.
As a business owner, managing your finances can be complex and time-consuming. From bookkeeping to tax preparation, many financial responsibilities require the expertise of a professional. That's where hiring an accounting service can be invaluable.
There are many benefits of working with a CPA (Certified Public Accountant) or a full-fledged accounting firm. They can improve your company’s overall financial management and, hopefully, save your business time and money.
This pricing guide for accounting services will provide insight for all-size businesses about how much it costs to hire an outsourced accountant or accounting firm and the costs associated with traditional accounting tasks.
Accounting projects reviewed on Clutch typically cost
< $10,000As shown in the chart above, accounting services on Clutch can cost a few thousand dollars.
The pricing for accounting services depends on various factors, including the types of support your team is looking for, experience level, and more.
Superior accounting support can be a game changer for companies. Learn how much it costs to hire the right firm for your accounting needs.
Prepare to hire an accounting company by reviewing Clutch’s ‘Accounting Glossary.’
Types of Accounting Services & Hourly Rates
There are several tasks associated with accounting that businesses can use.
This table dives into the typical pricing for key accounting services to help your company think critically about what you need and what goes into your pricing strategy.
Service | Description | Average Hourly Cost |
|---|---|---|
Accounting firms can examine your financial and operational documents objectively. | Less than $25 | |
Bookkeeping refers to recording financial data through tasks like invoicing, billing, and payroll. | $25–$49 | |
Corporate taxation includes income tax and taxes based on employees. | $25–$49 | |
If someone pays your company in crypto for goods and services, that payment works just like cash. An accounting professional can make that process seamless. | $25–$49 | |
Financial accounting involves the process of recording. and reporting transactions that result from business operations. | $25–$49 | |
This accounting style refers to the recording of transactions associated with a trust or estate. | Less than $25 | |
This refers to the accounting style where CPAs collect and analyze data that’s considered evidential to communicate findings for business outlets and other entities. It helps detect fraud and embezzlement. | $25–$49 | |
When business organizations work with global parties or have international offices, they likely need knowledgeable accounting professionals with foreign tax laws. | Less than $25 | |
Management accounting refers to preparing financial data for use within an organization. | Less than $25 | |
While organizations might have this service internally, third-party companies can run payroll, compensating employees. This also can include calculating wage earnings, filing payroll taxes, and withholding deductions. | Less than $25 | |
By hiring an accounting firm to review your financials, tax season becomes much easier for your organization. | Less than $25 | |
Tax consultants are accounting professionals that specialize in tax law or other financial-related consulting. They can advise their clients on tax returns and other tax-related matters that impact businesses. | $25–$49 | |
This service involves completing, preparing, and filing tax returns on behalf of individuals and businesses. | $25–$49 | |
VAT is a type of tax assessed on value added in each production stage of a good or service. | Less than $25 |
Note: Price ranges above are in U.S. dollars
What is the Real Cost of Hiring an Accounting Firm?
The average cost of hiring an accountant on Clutch is between $25–$49 an hour.
Hiring an accountant is a complex process – before making the call, your team needs to determine where there is a need. Accounting firms can provide a strategic analysis of your business needs while taking over financial practices that will take less time.
Explore Recommended Accounting Companies
What Services Do Accounting Companies Offer?
- Managing financial, business credit card, and bank accounts
- Tax preparation services (preparing tax returns, filing, etc.)
- Preparing financial statements
- Balancing books
- Invoicing & bill pay
- Tracking cash flows & accounts receivable
Accounting Pricing Models
There are three common accounting pricing strategies that firms use:
- Hourly Billing: Billing clients by the hour, works well if accounting firms can estimate how many hours it takes to complete a specific project.
- Fixed Fee Billing: Charging prospective clients a fixed rate doesn’t factor in time spent. This pricing model is typically offered when an accounting firm has packages.
- Value-Based Pricing: Charging based on the value of the work, which differs from a fixed price. If a small business hires an accounting firm for monthly bookkeeping, that will likely cost less than a larger business looking for business bookkeeping services.
When selecting an accounting firm to hire for the first time, businesses need to consider their budget, financial forecasting, and other factors to see if a pricing model works best for their team.
What Impacts the Cost of Hiring an Accounting Firm?
- Expertise
- Type of support
- Accounting software
- Services
- Business size
After identifying how much financial help you need, your business must consider the expertise level and type of support your company needs. Different accounting firms specialize in various tasks while spending their days working in different financial areas. Their experience levels can also vary, meaning they have other certifications or titles. This can also impact any onboarding your business hopes to have to get the firm up to speed.
Businesses must also determine if they need full-time or part-time support for their accounting needs. For example, if the firm is just helping with taxes, that could be a timely engagement instead of assisting with payroll processing, which is an ongoing effort.
No matter the level of support, accounting firms can find extra help by using or even specializing in different accounting software or financial program -
As seen above, each accounting software can cost a different amount while the accountant can charge a specific amount for their work.
When hiring, ensure that you’re asking the right questions about the pricing of accounting services. Accounting firms can charge different amounts depending on what they’re supporting your company with. Any future add-ons like bookkeeping can add up the final cost.
Your business size will also factor into the cost of hiring an accounting firm. The more people on your team, the more on the financial side that will need to be done.
Location is also a factor in hiring accounting services.
2023 Accounting Pricing by Location
Browse hourly rates for Accounting companies by popular locations.
| Country | Average Cost per Hour |
|---|---|
| United States of America | $100 - $149 |
| India | <$25 |
| United Kingdom | <$25 |
| Canada | $25 - $49 |
| Australia | <$25 |
| Phillippines | <$25 |
| Ukraine | $25 - $49 |
| Poland | $25 - $49 |
| Spain | <$25 |
| Mexico | $25 - $49 |
* Countries ranked by Clutch traffic
Accounting services in the United States tend to be higher, but there are affordable options all over Western & Eastern Europe, Asia, and North America.
Businesses should strive to work with an accounting firm that is based near or close to their location due to specific financial considerations, the need for in-house support, and other factors that streamline the accounting process.
Trusted Accounting Services Help Businesses Succeed
Accounting helps businesses by providing an organized way to track and report financial information. It helps business owners understand their financial health, identify areas for improvement, and plan for future growth.
When hiring an accountant, it is important to find someone who has both the technical knowledge and interpersonal skills to guide them in making sound financial decisions. With this in mind, readers can use the information from this pricing guide to help them make informed decisions and get the most out of their accounting services at a price that fits their budget.
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