Chargeable time

In an earlier blog I explained that in firms with more than one or two partners their earnings are likely to be directly affected by two factors. One of these is their level of chargeable time.

This means how much time they spend on billable activities such as reviewing client work done by their staff. It would also include time spent talking on the phone with you or with someone else about your affairs - The taxman for instance. And it also includes meetings to discuss your affairs, whether with you, staff, the taxman or anyone else.

The better accountants will clarify with their clients what level of communication they would like. Some will be happy with a quick telephone call, others need to see advice in writing. The more important the advice the more likely it is that the accountant will need to confirm it in writing even if you are happy with a quick telephone call. The reason accountants need to confirm advice in writing is to make sure that clients have understood any ifs, buts or maybes that affected the advice.

Another reason accountants like to send letters to their clients is so that there is some evidence at the end of the year of the level of work that has been done. But if your accountant was 'upfront' about the likely fees he/she wouldn't need to send letters except when YOU need them.

So today's tip concerns how you deal with your accountant. If you just want to check something give him/her a quick call. That will invariably cost you less than if you wrote a letter or typed an email. And if you don't want written confirmation - end the call by saying something like "thanks for that. There's no need to confirm it in writing."