Accountant costs - reasonable?

[MJ85]

I just thought I'd check here, as I know you all love good value!

Do these numbers seem reasonable for accountancy and book keeping? To me, they do, but it is the first time I've done this. Limited company, one employee...me.

Thank you.



Completion of Annual Accounts from the Company records
Submitting to Companies House and the Inland Revenue
CT600 Return
Cost £720

Monthly book-keeping:
To post and balance monthly purchase and sales ledgers
To reconcile Bank Statements
Other book-keeping services as required
Cost £15/hour

Payroll:
Cost £60 per month (if required)

Self assessment:
It is also mandatory for a director to file a personal Tax Return. This is a service we provide.
Cost £220 (if required)

[chrisb92]

MJ85 said:

I just thought I'd check here, as I know you all love good value!

Do these numbers seem reasonable for accountancy and book keeping? To me, they do, but it is the first time I've done this. Limited company, one employee...me.

Thank you.



Completion of Annual Accounts from the Company records
Submitting to Companies House and the Inland Revenue
CT600 Return
Cost £720

Monthly book-keeping:
To post and balance monthly purchase and sales ledgers
To reconcile Bank Statements
Other book-keeping services as required
Cost £15/hour

Payroll:
Cost £60 per month (if required)

Self assessment:
It is also mandatory for a director to file a personal Tax Return. This is a service we provide.
Cost £220 (if required)

Do those costs include VAT?

Either way all very reasonable.

[MJ85]

It will be VAT free. Okay, good to know.

[zippy3x]

I'm an IT contractor and use www.accountsnet.com

They have an online portal where I enter all my income and expenses, they do the rest.

Payroll for up to 2 people, end of year accounts prep and submission, pretty much everything in your list

£78 per month.

Self assessment is I believe about £60, but I do that myself.

They are not very pro-active giving me advice, but answer all questions asked.

[Countdown]

MJ85 said:

I just thought I'd check here, as I know you all love good value!

Do these numbers seem reasonable for accountancy and book keeping? To me, they do, but it is the first time I've done this. Limited company, one employee...me.

Thank you.



Completion of Annual Accounts from the Company records
Submitting to Companies House and the Inland Revenue
CT600 Return
Cost £720

Monthly book-keeping:
To post and balance monthly purchase and sales ledgers
To reconcile Bank Statements
Other book-keeping services as required
Cost £15/hour

Payroll:
Cost £60 per month (if required)

Self assessment:
It is also mandatory for a director to file a personal Tax Return. This is a service we provide.
Cost £220 (if required)

You say Payroll (if required). If the company is PAYE registered then the payroll will need running every month, even if it’s a nil return. You would still need to send in the FPS/EPS stuff so I can’t see why it wouldn’t be required.

However £60/pcm is silly, especially for one employee. My accountant mates in practise generally charge £3-£5 per payslip assuming there are no variations (ie the same amount gets paid every month).

OTOH £15/hour for bookkeeping is pretty good (although he’s probably getting an unpaid Intern to punch the figures into Sage , so maybe not THAT good)

[MJ85]

Okay, good to know. I might question payroll.

[MJ85]

I’ve looked it up and Payroll does seem odd. I’m going to get another quote.

[Eric Mc]

Accountants don't just charge for their time. They also have to factor in responsibility and risk exposure. The implementation of RTI for payroll significantly increased both for payroll agents. It's not just a number crunching exercise.

I think £60 is high but maybe they don't really want to run payrolls. I know I don't really like doing this task and will only take on clients with very basic payroll requirements.

[Jasandjules]

I would also factor in the cost of the insurance against a HMRC investigation into the company accounts....

[Countdown]

Eric Mc said:

Accountants don't just charge for their time. They also have to factor in responsibility and risk exposure. The implementation of RTI for payroll significantly increased both for payroll agents. It's not just a number crunching exercise.

I think £60 is high but maybe they don't really want to run payrolls. I know I don't really like doing this task and will only take on clients with very basic payroll requirements.

I would be interested in why you think that Eric?. I run the payroll for a couple of local charities and it seems pretty straightforward. Certianly submitting the year-end returns is a lot easier than the old-fashioned way. I suppose f you have a lot of starters and leavers, and some of them are on benefits/UC, that might make it a bit more risky but the payroll person can only go off the information that's been provided to him.

Auto-enrolment is a PITA though

[Eric Mc]

Countdown said:

I suppose f you have a lot of starters and leavers, and some of them are on benefits/UC, that might make it a bit more risky but the payroll person can only go off the information that's been provided to him.

Auto-enrolment is a PITA though

Those are the very reasons.

The mechanics of running payroll are easier than they use to be. The legalities and anciliary payroll related obligations are becoming more and more onerous.

I don't need to do this work - so I chose not to do it.

I do manage some payrolls - but only ones that are straightforward.

[MJ85]

After checking those numbers and researching a little more, I have become less happy with them. I've called another company on the back of a personal recommendation and will be going with them.

For reference, the prices are:

Annual sub - about the same
Director sub - £70
Payroll - £45 a quarter
Advice over the phone - £free

Thank you for the info everyone.