How a chartered accountant can help
Find out more about the type of help a chartered accountant can offer you
House purchase
If you are buying a house, it usually pays to take out a mortgage even if cash is available.
A chartered accountant can give generic advice which may prove a useful basis for subsequent discussions with a financial planner to explain the different types of mortgage and insurance schemes, their relative costs and tax advantages.
Chartered accountants can specialise in property, loan finance and leasing advice, and estate planning.
Insurance and retirement planning
Accident insurance, life assurance and a pension are essential parts of the financial protection every family should have.
A chartered accountant can provide advice on a suitable financial package which meets the needs of your pocket, your family and your personal tax position.
Investments
The way money is invested can have a major impact on your tax liability and general financial position.
When considering major changes in investments, a chartered accountant can give you generic advice which may prove a useful basis for further discussions with a financial planner.
Under the provisions of the Financial Services Reform legislation, we are licensed to undertake various investment-related activities on behalf of clients; advise on tax-effective investments and place these investments.
Wills
It is often an advantage to have expert tax and accountancy guidance when drawing up a will, especially if large sums are involved.
Carrying out the terms of a will may also need professional help and it is for this reason that chartered accountants are often appointed as executors.
Trusteeships
Whether a trusteeship involves a family settlement, a charity, a pension fund or some other financial trust, the professional knowledge and integrity of chartered accountants make them obvious choices as trustees.
Marriage and divorce
Whether you are getting married or divorced, this involves financial choices. A chartered accountant can keep you fully informed on all taxation and other financial issues relating to divorce and marriage.
Debt
A chartered accountant can help you with a wide range of debt issues. They can give advice on how to control your spending, how to deal with the repayment of your loans as well as other arrears.
Q: Should I hire an accountant? Also, how can I make the most of this business relationship?
A: One aspect of running a small business that few people give a lot of thought to is the way they deal with professional vendors such as bankers, lawyers, accountants and so on. Most entrepreneurs just dive right into their businesses without giving a second thought to how these professionals should be treated, what they can do for you and what they in turn look for in clients. With a little thought and effort, you can ensure that you get the most from these relationships.
The main thing to remember is that you need a personal relationship with each of these people. They have the ability-sometimes direct; sometimes indirect-to drastically influence the success of your business. Your goal should be to develop a long-term, personal relationship with each of them. If you do that, when you hit a bump in the road, they'll be there to help you get over it.
As you become more experienced, you'll find that your accountant and attorney will overlap a bit in their services and expertise. I've found that mine often work together to achieve what I'm trying to do.
That being said, here are a few examples of services your accountant should provide:
- Help you decide what type of entity (such as a company or a trust) and ownership structure to have when you first get started; your accountant should work with your attorney on this.
- Design and set up your accounting system so that year-end financial reporting will be easier.
- Ensure that you pay the correct types of taxes in the correct amounts.
- Ensures that your Business Activity Statements are sent to the proper people at the proper times, and also make sure that your fringe benefit return is completed on time.
- Advise you on deductions and how to separate your personal and business expenses.
- Advise and guide you through an audit if you ever have one.
- Advise you on specific transactions, such as whether it's better to lease or buy.
- Compile your financial records for the past period.
- Help you understand your financial statements. You should use your accountant's expertise to help you analyse your financial statements so you can understand what he or she is telling you. If you neglect to do this, you won't know as much as you should about how your company is doing.
You will also need an accountant if you have questions about what kinds of business expenses are deductible. Most of these rules and regulations are moving targets-they change frequently and often vary from state to state. A good accountant will always be on top of the changing laws and regulations and, more importantly, will know what applies to you.
It's also important to ask your accountant's advice before you take action. It's almost always easier (and cheaper) to structure things properly upfront, as opposed to trying to fix something later.
To plan a course of action which will ultimately lead to a better life style in my retirement
To work on my business strategy, manage my business for greater profitability and help with my ongoing taxation compliance obligations
When I need help to negotiate the maze of options available to me and to make sure I am fully informed before making any decisions.
 | Financial Planner Dip FP, CFP Licensed Dealer in Securities & Registered Life Insurance Broker. Winner of the prestigious National "Securitor Adviser of the Year" Award for 2008. |
 | Financial Planner Dip FP, CFP, Grad Dip Mgt Licensed Dealer in Securities & Registered Life Insurance Broker. |
 | Accountant BA(ACC) CA FTIA AICD Member of the Institute of Chartered Accountants and Justice of the Peace for SA |
 | Financial Planner Dip FP Licensed Dealer in Securities & Registered Life Insurance Broker. Winner of the prestigious 2009 Securitor "Rising Star of the Year Award" |
 | Mortgage Specialist Cert IV Mortgage & Finance Services, AMC. Winner of the prestigious SA/NT Rookie of the Year Award 2008/09 |