Any IT Contractors on here? Question on accountants and fees

[dannyDC2]

Hello all,

Just a quick one really. I went limited recently and got into IT contracting. Quite like the nature of it, it suits me quite well.

Anyway I was Googling for accountants before I started, and my agency recommended me one, which ended up being at the top of Google on every search - SJD accountancy.

Since starting the role however and getting to know other contractors, I can't help but feel a bit shafted by their £120+VAT monthly fee.

Their service is great no doubt, but I'm struggling to find anyone else who is paying anything near half that...

So PH, what do you make to it? They do do pretty much everything, and sell their expense on that premise, but I'm starting to think it's a bit much, so I put it to you guys.

Thanks in advance
Dan

[MadDad]

Sounds about right to me, I pay £85 per month but have been with mine for years and she's never upped her fees! £85 buys me payroll, VAT returns, annual return and book-keeping - a few of my friends are IT contractors and pay £100-£140 per month.

[dannyDC2]

MadDad said:

Sounds about right to me, I pay £85 per month but have been with mine for years and she's never upped her fees! £85 buys me payroll, VAT returns, annual return and book-keeping - a few of my friends are IT contractors and pay £100-£140 per month.

Awesome thank you. Some of the guys here had me worried..

[Philemon]

I pay £80+VAT per month. PAYE, monthly and annual returns, financial statements, company and personal tax returns. If you need a referral please let me know?

[Carl_Manchester]

I pay about £120+VAT PM through SJD.

[0000]

If it makes you feel better I pay about £2500/year for the business accounts and another £200 for my own. Meet the accountant once a year to have a chat for an hour.

[robsdesk]

I depends, I handle my own PAYE, VAT, invoicing & day to day stuff. I pay my accountant £600 to handle the annual company accounts & my personal return. I prefer this approach - I have a spreadsheet which tracks income & expenditure giving me a clear view of the financial state of the company & what funds are available. If you've got the aptitude for handling a bit more of the above I'd recommend it.

[stuno1]

I was with SJD and their fees are prertty standard and don't forget they do an awful lot for you. If you go to an independent or smaller firm and pay less you will most likely have more to do. I left them as they didnt undertake annual reviews and i almost los a fair bit of money as a result. They also, for some reason, calculated what i could draw as far less than i actually can at minimum rates.

[Allanv]

0000 said:

If it makes you feel better I pay about £2500/year for the business accounts and another £200 for my own. Meet the accountant once a year to have a chat for an hour.

I pay a little less than this but they look over my contracts before I sign for anything that could get me in trouble and I do nothing apart from submit expenses, all .GOV stuff is taken care of and to the letter.

They are always great at answering my queries, and or just having a chat.

So I do not mind paying the extra.

[worsy]

I use Xero to track my accounts and do my VAT calcs. That costs me £22 a month. Then I pay my accountant £800 a year including VAT to do my end of year accounts, personal SA return, payroll and company return.

[Eric Mc]

Allanv said:

I pay a little less than this but they look over my contracts before I sign for anything that could get me in trouble and I do nothing apart from submit expenses, all .GOV stuff is taken care of and to the letter.

They are always great at answering my queries, and or just having a chat.

So I do not mind paying the extra.

You do realise that reviewing contracts is only a fairly minor protection against IR35?

[MagicalTrevor]

I use inniAccounts as I like their software and how I can see what taxes I have to pay quite easily.

They're cheaper than SJD and I'd heard mixed reports on how good they were. I suspect it purely depends on which person is doing any one piece of work so luck of the draw.

They're £79+vat but if you sign up using my referral code then you'd get 10% off (as would I)

[MoelyCrio]

I do my own as my accounts are simple (and I'm an accountant, although more commercial stuff).
The new micro company online filing system is brilliant and far better than the clunky pdf system for ct600 of old. Its in beta at the moment. Used it last week for my acounts and CH return and it took less than an hour including preparing the accounts themselves.

[Allanv]

Eric Mc said:

You do realise that reviewing contracts is only a fairly minor protection against IR35?

Yes but I was trying to keep it simple for him.

[Piersman2]

£1021 this year for books, £193 for PAYE processing.

The only thing I do these days is post the flat rate VAT returns each quarter and send up a spreadsheet explaining all the company bank transactions.

[Eric Mc]

Allanv said:

Yes but I was trying to keep it simple for him.

The problem with keeping things simple is that essential data can be omitted. I try to keep things as simple as I can - but it's not always possible. And when I do make a simplified point on a PH thread, someone will be on the case without exception.

[CAPP0]

Piersman2 said:

£1021 this year for books, £193 for PAYE processing.

The only thing I do these days is post the flat rate VAT returns each quarter and send up a spreadsheet explaining all the company bank transactions.

Pretty much exactly how I run mine, I pay £120/month including VAT (£100/month)

[Hughesie]

The guy that left the apprentice last week has just set up a contractor comparison website will dig out a link shortly.

[Hughesie]

www.payroll-supermarket.com

[theboss]

I use Crunch.co.uk and am very pleased with them - approx £80/month plus VAT and they provide an online bookkeeping platform as well as a team of accountants when you need to speak to a person - they provide all the stagutory reporting / returns and payroll for directors. I paid much more when I used a traditional firm of accountants and much more effort was required on my part in respect of record keeping. Crunch provides a smartphone app which you use to photograph receipts which are then entered in the accounts on your behalf.