Wondering, “How to check my accountant’s work?” Start by reviewing whether your financial statements, reconciliations, and transaction records are accurate, current, and supported by clear documentation. Consistent reporting, timely follow-up, and explanations for unusual balances or discrepancies can help show whether the accounting function is working as it should.
What Is an Accountant & What Do They Do?
An accountant is a financial professional responsible for managing and analyzing financial records, preparing financial and helping businesses understand their financial performance. Their expertise helps maintain accurate financial records and provides valuable insights to support financial health and success.
Is Your Accountant Doing A Good Job? What To Check:
Wondering, “How to check my accountant’s work”? Here’s a checklist to help.
☑ Review financial statements for accuracy and completeness.
☑ Ensure that all transactions are properly recorded and categorized.
☑ Verify mathematical accuracy of calculations, including totals and balances.
☑ Cross-check bank statements and reconciliations with accounting records.
☑ Confirm compliance with relevant accounting standards and regulations.
☑ Assess the timeliness of financial reporting and other recurring deadlines that fall within your accountant’s scope
☑ Evaluate communication and responsiveness to inquiries or concerns.
☑ Review audit trails and supporting documentation for transactions.
☑ Analyze trends and anomalies in financial data for potential errors or discrepancies.
☑ Consider feedback from other stakeholders or clients regarding their experiences. A single discrepancy doesn’t necessarily indicate signs of a bad accountant. What matters is whether you can explain the difference, support it with documentation, and correct it consistently when you identify an issue.
How Do I Know If My Accountant Filed My Taxes?
To confirm if your accountant filed your taxes, request proof of submission such as a filing confirmation or IRS acknowledgment. Alternatively, check available tax records or transcripts through the IRS website. In general, seek to maintain clear communication with your accountant and establish expectations regarding tax filing deadlines and procedures. If in doubt, promptly follow up with your accountant for verification.
Please note: TGG Accounting does not provide tax return preparation, audits, or CPA reviewed or compiled financial statements, so questions about a specific return should be addressed with the tax professional responsible for preparing or filing it.
Signs of a Bad Accountant
These 8 signs of a bad accountant might mean it’s time to outsource your accounting or hire a new accountant.
- Persistent errors in calculations, reporting, or tax filings
- Lack of communication or delays in responses
- Missing important deadlines for tax filings or financial reporting
- Resistance to feedback or unwillingness to adapt to client needs
- Providing inconsistent or questionable financial advice
- Ignoring legal requirements and regulations
- Withholding information or lacking transparency
- Difficulty building rapport or maintaining a positive working relationship
If one of these issues comes up, start by asking for the records or an explanation and document what needs to be corrected. A recurring pattern of unexplained differences, missing documentation, or missed deadlines may justify an independent review or a change in accounting support.
QUESTIONS TO ASK AN ACCOUNTANT BEFORE HIRING THEM
If how to check my accountant’s work has been on your mind, ask these questions before hiring:
Qualifications and Experience
- What qualifications do you hold? Are you a Certified Public Accountant (CPA)?
- How many years of experience do you have in accounting, specifically in [your industry]?
- Can you provide references from clients with similar needs?
- How do you stay current on accounting standards and requirements relevant to my business?
Services Offered
- What specific services do you offer?
- Do you specialize in any particular areas, and which services are handled by outside specialists?
- Can you handle the size and complexity of my financial situation?
Communication and Availability
- How do you prefer to communicate with clients (e.g., email, phone, in-person)?
- What is your typical response time for client inquiries?
- Are you available year-round, or do you only operate during tax season?
Fees and Billing
- What is your fee structure? Is it hourly, project-based, or a retainer?
- Are there any additional costs I should be aware of?
- Can you provide an estimate of what I can expect to pay for your services?
Technology and Tools
- What accounting software do you use?
- Are you comfortable with the latest technology and tools in accounting?
- How do you ensure the security and confidentiality of my financial information?
FAQS ABOUT HOW TO CHECK MY ACCOUNTANT’S WORK
What is the difference between an accountant and a bookkeeper?
While both accountants and bookkeepers deal with financial data, their roles differ in scope and complexity. Bookkeepers primarily focus on recording financial transactions, maintaining ledgers, and reconciling accounts. Accountants, on the other hand, analyze financial information, prepare financial statements, provide financial advice, and help businesses with tax planning and compliance.
How do accountants help individuals with their taxes?
Accountants assist individuals with tax planning and preparation, ensuring they take advantage of available deductions and credits to minimize their tax liability. They also help individuals navigate complex tax laws and regulations, provide advice on tax-efficient strategies for investments and retirement planning, and represent clients in dealings with tax authorities if necessary.
What industries do accountants work in?
Accountants can work in various industries, including public accounting firms, corporate finance departments, government agencies, non-profit organizations, and consulting firms. They may specialize in areas such as audit, tax, forensic accounting, management accounting, or financial analysis, depending on their interests and career goals.
What if my accountant is wrong?
If you believe your accountant made an error on your tax return, discuss your concerns with them first. They may be able to correct the mistake or provide an explanation. If you’re unsatisfied with their response, you can seek assistance from a different accountant or tax professional.
How much do most tax preparers charge?
Tax preparers’ fees vary depending on factors such as the complexity of your tax situation, the preparer’s experience, and your location. Generally, fees can range from a few hundred to several thousand dollars for complex returns. It’s advisable to request an estimate upfront and clarify the fee structure before engaging a tax preparer.
How do you check if a PTIN is active?
To verify if a Preparer Tax Identification Number (PTIN) is active, you can use the IRS online PTIN system or call the IRS Tax Professional PTIN Information Line. Provide the PTIN number and the preparer’s name to confirm its validity and active status.
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Sarah Lamond is a Consulting CFO with TGG. She focuses on improving company’s operating performance through strategic analysis of financial and other operating data. As a CFO, Sarah is responsible for developing financial and operational strategies as well as relying on metrics to maintain or improve business performance along with building relationships with clients. Her goal is to drive revenue and profitability for her clients while still providing insight, guidance, financial foresight and industry experience.