"This post includes affiliate links for which I may make a small commission at no extra cost to you should you make a purchase."

Thinking of hiring a freelance Cpa expert? Ditch the expensive agencies and head to Fiverr. Access a global pool of talented professionals at budget-friendly rates (starting as low as $5!) and get high-quality work for your money.

Fiverr Logo

How Much Does It Cost to Hire a CPA to Do Taxes?

Tax season can be a stressful and overwhelming time for many individuals and businesses. As the deadline to file taxes approaches, many people turn to Certified Public Accountants (CPAs) for assistance. While hiring a CPA to handle your tax preparation can provide peace of mind and ensure accuracy, many people are left wondering how much it will cost. In this article, we’ll explore the factors that determine the cost of hiring a CPA and provide insight into what you can expect to pay.

Factors Affecting the Cost

The cost of hiring a CPA to do your taxes can vary significantly based on a number of factors. One of the primary factors that will impact the cost is the complexity of your tax situation. For individuals with simple tax returns, the cost may be relatively low. However, if you have a more complex financial situation, such as owning a business, investment properties, or multiple sources of income, the cost is likely to be higher. In addition, the amount of time required to complete your tax return will also factor into the cost. CPAs typically charge an hourly rate, so the more time they need to spend on your return, the higher the cost will be.

Another consideration is the location of the CPA. In larger, metropolitan areas, the cost of hiring a CPA is likely to be higher due to the increased cost of living and operating a business. Additionally, the experience and expertise of the CPA can have a significant impact on the cost. More seasoned CPAs with a wealth of knowledge and a strong track record of success are likely to charge higher fees than less experienced professionals.

Typical Cost Ranges

While the cost of hiring a CPA can vary widely, there are some general ranges you can expect to encounter. For individuals with relatively simple tax situations, such as those who only have W-2 income and minimal deductions, the cost of hiring a CPA may range from $150 to $500. However, for individuals with more complex tax situations, such as those who are self-employed or have significant investment income, the cost can range from $500 to $1,500 or more.

For businesses, the cost of hiring a CPA to do taxes is typically higher due to the additional complexity and time involved. Small businesses may expect to pay between $500 and $2,500 for tax preparation services, while larger businesses with more complex financials may pay anywhere from $2,500 to $10,000 or more.

Additional Considerations

In addition to the factors mentioned above, there are a few additional considerations to keep in mind when determining the cost of hiring a CPA. Some CPAs may charge additional fees for services such as filing an extension, responding to IRS inquiries, or providing tax planning advice. It’s important to discuss these potential fees upfront to avoid any surprises when it comes time to pay your bill.

It’s also worth noting that the cost of hiring a CPA is an investment in your financial well-being. A skilled and knowledgeable CPA can help ensure that your tax return is accurate and compliant with all relevant tax laws, potentially saving you money in the long run by identifying deductions and credits you may have overlooked on your own.

Conclusion

Hiring a CPA to do your taxes can provide peace of mind and ensure that your tax return is accurate and compliant. The cost of hiring a CPA varies based on factors such as the complexity of your tax situation, the location of the CPA, their experience and expertise, and any additional services required. While the cost may be higher than using tax software or preparing your taxes yourself, many individuals and businesses find that the peace of mind and potential savings make the investment worthwhile. It’s important to discuss fees and services with your CPA upfront to avoid any surprises when it comes time to pay your bill.