Accounting Pricing Strategy
One of the most difficult, yet important, issues you must decide as tax business owner is how much to charge for your services. While there is no one single right way to determine your pricing strategy, there are some key guidelines that will help you with your decision.
A recent survey conducted by the AICPA and NSA revealed that accountants struggle with how to price their services.
At the AICTP, we’ve found that our members get paid more than the average tax professional. This is primarily due to the following factors:
POSITIONING
Not all Tax Pros Are the Same. You know this, but do your clients and prospects know it? The painful truth is that most taxpayers view you and your competitors as the same. And when you’re viewed as providing the same service as the next guy, no matter how good you are, you’re both apples. Apples to apples comparisons make it hard for you to charge what you’re really worth. Clients can always find someone faster, cheaper and more convenient, making it nearly impossible for you to justify premium fees.
How do you avoid the “apples to apples” comparison? Distinguish yourself as a Certified Tax Planner. This type of positioning gives you the ability to charge premium fees.
VALUE
Emphasizing the value you bring gives you the ability to get paid premium fees. As soon as you mention the word “savings,” you will have your clients’ undivided attention. Once you have your clients’ tax returns, look at the returns carefully and then quantify the tax savings possibilities for them. Then, you can present those quantified possibilities to your clients.
Identifying tax savings for your clients not only satisfies them, it is also a great opportunity to inform your clients of your fees relative to the savings that you have created for them.
It is important to remember to quote your fees relative to the savings. I am not suggesting in any way that your fee is tied into these savings or that you are charging a percentage of the savings or anything of that nature. In fact, Circular 230 prohibits us from doing that as tax professionals. If you present the fee relative to the tax savings, this enables you to sell your tax planning services at higher fees and have the client excited to pay those fees
DEMAND FOR SERVICES
Gain expertise as a tax planning specialist, and get exposure through the number one online directory matching business owner and investor clients with Certified Tax Planners. The AICTP educates the general public about the benefits of hiring a Certified Tax Planner, and connecting with one in their area through our searchable directory. This demand created just for you gives you the ability to get paid higher fees – it’s simple economics.
EXPOSURE
Gain your certification and you could start getting new leads right away with your listing in the Certified Tax Planner directory. Placement in the directory puts your elite company in a high-traffic zone, and opens your door to leads from across the country. Each week we highlight featured members around the country providing online search optimization for your practice website.
American Institute of Certified Tax Planners also retains a publicist to secure media coverage and build public awareness of the value of tax planning. This helps drive more of the clients YOU WANT to our searchable directory – all to connect you with clients hungry for your tax planning service!
Tired of getting paid low fees & chasing clients for payment? Learn to master the art of getting paid for your expertise by adding tax planning to your offering. Certified Tax Planners can dramatically increase their income and find the freedom that owning a business is supposed to give you.
