If your only revenue comes from January through April, you’re leaving money on the table. Here are five services that turn a seasonal practice into a year-round business.
1. Bookkeeping
Your small business clients need someone to maintain their books. Many are doing it themselves (poorly) or paying a bookkeeper who doesn’t communicate with their tax preparer. You already understand their financial picture from preparing their returns. Monthly bookkeeping fees of $200 to $500 per client create predictable recurring revenue.
2. Tax Planning Consultations
After you complete a client’s return, you can see exactly where their opportunities are. A mid-year tax projection or year-end strategy session takes a few hours and can be billed at $500 to $1,500. You identify adjustments (retirement contributions, estimated payments, entity elections, timing of income or deductions) that reduce their tax liability before December 31.
3. Payroll Services
Small businesses need payroll processed every pay period. You can offer this directly using payroll software or partner with a payroll provider. Either way, it generates monthly revenue and keeps you in regular contact with your business clients.
4. Quarterly Estimated Tax Support
Self-employed clients need to make quarterly estimated tax payments to avoid underpayment penalties. Calculating their quarterly amounts, providing the vouchers, and reminding them when payments are due takes minimal time per client but keeps you engaged with them four times a year. Charge $100 to $200 per quarter for the service.
5. IRS Notice Response
Clients receive IRS notices throughout the year. Being available to help them understand and respond to routine notices (within your scope of authority) builds loyalty and generates fees. CP2000 income discrepancy notices and CP14 balance due notices are the most common. A quick review, explanation, and draft response is a $100 to $300 service that takes 30 to 60 minutes.
The Math
A seasonal preparer earning $50,000 from return preparation who adds bookkeeping for 10 clients ($3,000 per month), 15 planning engagements at $500 each, and modest payroll and estimated tax revenue builds a $100,000 or more practice without filing a single additional return.
For training on building a year-round practice, visit musespring.com.