Typical Tax Savings

How CPA+ saved an Average Taxpayer $3700!

I can get the same thing down the street for a cheaper price?  Have you ever heard that before?  Well, we hear it fairly often.  However, let me tell you a story about that statement.  A client this past tax season was complaining that our $400 tax preparation fee was just too high.  He said “I can get the same thing down the street for $100.”  He said a few other choice words to our staff members which we are not at liberty to put in print, much less have someone say to our staff!  We were greatly insulted, and finally had to tell him to go down the street and please not return to our office.  He did find someone to prepare his return for $100, but the outcome was that he owed the IRS $4,000!!!  He was upset because he knew that the result of the tax return we prepared was a slight refund from the IRS.

Your Most Useless Waste of Money is Overpaid Income Taxes

He suddenly realized that we were in fact a much better deal than the other guys.  Think about it, he paid $100 to the preparer and $4,000 to the IRS for a total of $4,100.  With our preparation, he paid $400 and had a refund from the IRS.  You see, you will pay us, however we won’t actually cost you anything.  We actually saved him over $3,700!!!!!!

Guess what?  He started calling our office over and over begging for us to take him back.  He offered to pay us $400 just to talk to him, and would be very happy to pay the $400 prep fee.  He now values the experience our firm brings to the table.  Just like the Verizon commercial, when you choose us, you get our team!

We know it’s hard to judge just how much we have saved you in taxes.  So, we have started keeping some statistics on just how much we save our clients.  We were even somewhat amazed at some of the numbers ourselves!  We must admit that we are absolutely not helping the government’s deficit!  (Shhhhh, perhaps we don’t really want to let the government know that!)

Who else wants rates of returns of 539% guaranteed!
Don’t worry, this is perfectly legal!

A recent sample of 21 clients showed that we saved them a total of $339,661.  Our fees to these clients were $63,000.  So for their investment of $63,000 their savings were $339,661, this is a rate of return of 539%!!!!  However, the guy in the story actually had a rate of return of 1000%.  I don’t think any other investment is performing quite that well these days!

Another case study, a year ago a new client came in to prepare his taxes.  When I reviewed his tax file, noted that he paid last years preparer $100 to prepare his return.  He was a self-employed individual so his return should have been more costly than that but regardless; I knew that we would have trouble from him.  Usually it is easy to make a big difference in cases where the previous preparer was so cheap, but this preparer (even though they were so stupid for vastly undercharging for their work) did a decent job. However, I was able to save this individual an additional $600 in taxes, but I charged him $300.  He was furious “How could you charge me so much” he ranted to my office staff and stated that he would never come back.
Now from his perspective I cost him an additional $200, but in reality he paid me an additional $200 and saved $600.  A rate of 300% and increased the money in his pocket.  The other preparer cost him $100 and cost him an additional $600 in taxes, a negative cash flow.  But here is the rest of the story…
I could not do anything more for the past year because it was over, but I did have a strategy for the current year. By implementing this strategy he would be paying me $1500 and would further reduce his taxes by $6000. That is an increase of $4500 in cash flow. Imagine that an additional $4500 he could have in his pocket each year.  Just think what you could do with an additional $4500 each year and that is after paying me $1500. It is unfortunate that he missed out on this opportunity and even sadder that he will never know.

So when I say  “ We increase the cash flow for the small business owner” you have a pretty good idea what we do. You may pay me but I do not cost you anything.