How To Provide Both Bookkeeping And Tax Services
Starting a home business is becoming more and more popular by the day. What kind of business should you start? The answer is really going to come down to personal preference and what you are comfortable with but if you are looking for the most profitable home business then learning how to provide both bookkeeping and tax services together is definitely the answer!
If you have been following this site for a while now, you know that I mainly talked about starting your own bookkeeping business. Recently, the game has changed… for the good! Now there is a self-paced tax course that you are able to do online, in your own time, that is on par with the bookkeeping course that I talk about.
Let’s get into how you can make this happen and if it’s the right path for you.
What Has Changed To Make This Possible?
Up until late 2020, there was no solid path to learning how to start your very own tax business. Well, there was… just not the super clear path that there is now. As you probably know by now, I mainly focus on the programs created by Ben Robinson. Why? Because they are the best that you can get!
If you want to know for sure that you are going to learn everything that you will need, then Bens courses are the way to go! Anyways, after a couple of years of trial and error, Ben was finally able to follow through with a tax course that is on the same level as his bookkeeping course (Bookkeeper Launch).
Now I can, with 100% certainty, be confident in sharing Bookkeeper Lanch and his newest course, TaxBiz! For anyone that is deadly serious about making some serious money with this type of business, let’s imagine for a moment the possibility of providing both of these services to your potential clients.
Income Potential Is Huge!
Let’s look at a couple of scenarios to see what kind of income you are looking at by providing both bookkeeping and tax services to your clients. We know that an established bookkeeping client will earn you around $80 an hour (click here to learn more about how to earn these types of wages). We also know that you can earn somewhere in the ballpark of $165 an hour doing taxes.
We also know that it takes about 4 hours a month to do the books for any given established client. So, that is $320 a month per client that you will earn doing the bookkeeping side of things. Let’s also say that you have 10 clients that want both bookkeeping and taxes done.
For your bookkeeping services, you are going to earn $3,200($320 x10) a month or $38,400 a year. Keep in mind that if each client takes 4 hours per month, this is only 40 hours of work for the entire month, or 10 hours each week!
But that’s not where we stop because now we are getting into tax season and fortunately for you, all 10 clients want your tax services as well. It also takes around 4 hours to prepare the taxes for each client (business and personal taxes). At the very low end of the scale, let’s say that you earn an extra $660 per client for your tax services.
That turns out to be an extra $6,600 just to do the taxes of those 10 clients. If we then add what you earn doing the bookkeeping for a year ($38,400) and taxes ($6,600) you get a grand total of $45,000 a year that you will earn! This can also be done by only working 10 hours a week (or 14 hours a week during tax season).
What if you had 20 clients? That would come out to $90,000 a year and you would be putting in roughly 20 hours a week of work (about 28 a week during tax season).
What if your goal was to work full-time hours in this business? 40 clients are going to put you in roughly that 40-hour workweek range with some overtime hours during tax season. You should expect to bring in around $180,000 for the year!
Remember that these numbers are on the very conservative side. Chance are, that you could be earning much more than this! Also consider this point as well, what if you didn’t want to do all that work yourself… or even none of the work. Then you could hire other bookkeepers and tax professionals to do the work for you!
At that point, there is no limit to the amount of income that you could bring in. That’s one of the great things about this type of business model. The amount of work that you want to do is completely up to you, whether your goal is 2 clients or 200, the choice is yours.
I understand that this is a very cut and dry example. Yes, there is a lot more that goes into doing both bookkeeping and taxes (size of the business, how long they have been your client, type of business) but what I wanted to show is the potential in running this type of business.
A Lot Of Clients Want The Complete Package
What is the one question that a potential client will ask most of the time? If they are referred by your bookkeeping marketing they will ask if you do taxes and if they are referred by your tax marketing they will ask if you do bookkeeping as well.
In most cases, if a client needs either of these services then they need both. This makes it very easy to offer both bookkeeping and tax services, which of course will grow your income much faster.
If they are not interested in both, over time they will since you will be at the top of your game and will know the value that you provide having you as their bookkeeping or tax guy.
Trust me when I say that you WILL be the best out there after going through either the Bookkeeper Launch or TaxBiz course!
What Should You Start With?
What should you learn first, bookkeeping or taxes? This is probably the one question that I see the most. The answer is, whatever path you want to do to start out. This is completely up to you since there is no real advantage with one over the other when it comes to finding new clients.
There is one small advantage with established bookkeeping clients though. Since you will be working with your bookkeeping clients month in and month out they will get to know and trust you. This will make it much easier to be able to add taxes down the road.
It really comes down to your personal preference. If you are looking to initially only work January – April then taxes are gonna be the way to start. If you want something more consistent to replace your J-O-B (and not have to wait until tax season to do it) then bookkeeping should be the way to go.
Bookkeeper Launch And TaxBiz Reviews
Now it’s time to really get into the nuts and bolts of what both of these programs offer. Each review gives you a deep dive into these amazing programs to give you an idea of what you can expect when you become a member of the team.
In my humble opinion, these are the absolute best options anywhere! You will not find a more complete course online. This is especially true when you consider the fact that you are going to learn how to do it and how to market your new business as well.
This is the best path to learning how to provide both bookkeeping and tax services. Don’t simply take my word for it. Now it’s time to take the next step in the research process and learn more about each of these amazing programs.
Below are the links for each review. Take the time to thoroughly go through each one and if you have any questions feel free to drop them in the comments below or by using the contact form and I will be sure to get back to you!