I give a breakdown of how much I made as a first year CPA firm owner. Follow me on Twitter: / logangraftax
Пікірлер: 131
@robmoffett48402 жыл бұрын
Thank You for sharing your numbers. I can only imagine the confidence and guidance that this video may provide to other CPAs that are dreaming of opening their own firm.
@francismazanet2769 Жыл бұрын
Self employed CPA. I make a little less than $500K a year. My minimum annual fee is $15K per client. I have one client who pays me $60K, another $30K. I only do books for businesses making over $2 million a year in sales. I do not do personal tax returns unless they are the business owners of the companies I am the CPA. I am not unique. I developed a strategy of seeking higher paying clients and then letting go of lower paying clients as I go along. I work about 70 hrs a month. My success, and yours, is be based on recognizing who has the bucks, not businesses making less than $1 million and certainly not regular personal tax returns. My time is valuable. If I am not making between $400-$700 an hours, I am not interested. Now, you may not be able to start with that mindset, but it should be your goal. Remember: Don't do work for people who complain about money; always look to find wealthier clients and let go of the poorer clients as you go along to free up your time to service wealthier clients. It may take 5 years, but if you stick with that philosophy, you too can make almost $500K a year as a CPA. One last thing: I DO NOT charge per hour. I charge on a fix fee. You will find as you go along, the more you knew the client's books, the less time you take. Hence the fixed fee gives me more money per hour as I get faster on doing the client's books. And I always raise my fees 10% minimum each year on existing clients. If you build trust and your client feels they cannot live w/o you, you can raise your rates 10%+ per year. One client I charge an extra $1,000 a month for every new store they open. Be creative with how you make money from your fees.
@pinacolada89610 ай бұрын
Thank you for sharing your story, I hope to be at your level one day, I am in Grade 12 now, will be taking Accounting in University and plan on opening my own firm in the future.
@pinacolada89610 ай бұрын
Is their any way I can reach out to you, to ask a few questions?
@nicholasshook75132 жыл бұрын
I’ve been trying to find a video like this for a year now. Awesome!
@ScottRFrick Жыл бұрын
Logan, congratulations on your first year and I found that your statements regarding your "take home" now vs. as an employee should serve as a motivator to anyone thinking of opening a new firm. My experience was similar and I've never looked back.
@MrJfils07 Жыл бұрын
Lol.. when you said you dont track your time and paused, I really felt that lol... Hate tracking my time...
@joshuadinero77112 жыл бұрын
Commenting for the algorithm, I hope you do the 22 busy season breakdown. Subscribed w notifications
@taxtelegraf2 жыл бұрын
Thank you! That's the plan :)
@hullstone2 жыл бұрын
Awesome video! Great to hear how other firms are operating and you had a great year!
@ariellenakia67803 ай бұрын
Love this video! Currently in grad school for my Masters in Taxation and plan to sit for the CPA shortly after I graduate. My dream is to open my own firm🥹 This was so insightful and thank you!!!
@IsmmealJorge4 күн бұрын
Oh Great! Obviously CPA exam has been a pain in my ass that won't bother me any longer I have gotten my license already thanks to you Mr Dylan God bless you more cuz you made it possible for me
@robertenriquez82354 күн бұрын
Am sorry for that some people also go through difficulties, just be patient and keep studying
@pineschijames4 күн бұрын
I saw someone say he is not trustworthy i couldn't stop laughing, really people say a lot of shit these days.
@PerryEmiliano4 күн бұрын
He doesn't have a KZbin channel, why is that?
@jennyms60274 күн бұрын
hello!! This a backdoor we're talking about not some kind of extra classes, you really won't expect him to have youtubeChannel is not safe for him
@caleb_cpa57782 жыл бұрын
Great video! Glad your first year solo was a success. I'm a recent CPA and thinking this may be my goal after a few more years of experience.
@taxtelegraf2 жыл бұрын
Thank you! It's doable!
@nicolecruz75612 жыл бұрын
Thank you si much for this video. I’m so glad to find someone that does a breakdown of how their business is going as it’s really helpful for reference. I’m an accounting student so this really gives me a little direction of future opportunities. I hope your business keeps growing
@taxtelegraf2 жыл бұрын
Thank you, Nicole! Please let me know if you have any questions.
@manavhir9161 Жыл бұрын
Hii what are you studying? Are you preparing for CPA?
@MoetheCPA Жыл бұрын
Can’t wait to see your 2022 video like this one. I want to open my own firm. Also can you do a office video of your gear specifically the sit stand desk which I am obsessed to get but not sure which brand
@michaelmeihaus98922 жыл бұрын
Really well done. Thanks for sharing Logan! Congrats on the fantastic year.
@lunamorris2091 Жыл бұрын
Love the quality of your videos and the value you're providing! Thank you very much for your hard work.
@taxtelegraf Жыл бұрын
Thank you so much!
@mara_alexander2 жыл бұрын
Thank you so much for this video Logan! You did AMAZING your first year! I'd love to see more videos, especially the 2022 season, since now I'm curious how bonkers it was. :)
@taxtelegraf2 жыл бұрын
Totally bonkers!
@frenchpressfinance2 жыл бұрын
Solid work, video, and everything! Congrats!
@JJTHECPAusa2 жыл бұрын
Great video!
@warmerdm2 жыл бұрын
Proud of you Logan. Keep on grinding.
@taxtelegraf2 жыл бұрын
Thank you, Steve!
@vladpetskel1384 Жыл бұрын
This video is very insightful and high quality! Keep it up!!!!
@tigerlily3792 жыл бұрын
Great video. Congrats on your first year!
@angiesowell95322 жыл бұрын
Well done!!! Congratulations! Keep up the good work and great ideas!
@jordanpridemore96182 жыл бұрын
Very valuable insight. Thanks for the transparency!
@JacobBurrescia2 жыл бұрын
Loved this. Thanks for the insight.
@trinityscott34982 жыл бұрын
Also, congrats on a successful first year!
@djwhitehead81932 жыл бұрын
Awesome info! Thanks for sharing!
@gosteve12 жыл бұрын
great video, thank you for sharing. I will be taking the leap and starting my own firm soon and this is inspiring. Can you do a video going over all of the software and programs you use to manage your practice?
@taxtelegraf2 жыл бұрын
Thank you! Congratulations on taking the jump! I am thinking about making a similar type of video that you are suggesting!
@mediccam2 жыл бұрын
Congratulations on a great start!
@pearlivory3483 Жыл бұрын
Huge congrats!
@user-ny2ym6jm3z5 ай бұрын
Thank you for sharing!
@pjseries1082 Жыл бұрын
Thanks for sharing Logan 👍
@musicplaylist55542 жыл бұрын
Great info and transparency !!!
@folorunsodada77712 жыл бұрын
Great presentation.Just wondering why it costs so much to prep personal tax returns in the states.We charge pretty lower than that for personal in Canada.Complicated personal returns charges start at say $300 depending on time spent but basic personal still go for $CAD100.Love the breakdown of income and expenses and would suggest that you leverage accounting services that would cover accounting/bookkeeping, payroll, advisory, tax prep/filing and transaction taxes for businesses in exchange for a monthly revenue pull from those client base.Imagine 100 business clients each paying monthly fee of $500 each in exchange for listed services?Congrats on starting and all the very best.
@taxtelegraf2 жыл бұрын
What you described is the goal! It costs so much because we're worth it 😀
@throwaway49282 жыл бұрын
This...my 1040s average $300...my clients would never pay that much
@robertgarcia96529 ай бұрын
I think a video outlining what it takes to start a cpa firm would be helpful and provide great value. I notice you don’t pay rent expense so you may be wfh ? Computers, equipment , softwares needed etc I would personally watch a dozen times.
@taxtelegraf9 ай бұрын
Thank you for the idea!
@garygooseberry Жыл бұрын
Thanks for sharing your numbers!
@jaimienichols38262 жыл бұрын
Thank you so much for sharing 🙏
@ryanbealscpa2 жыл бұрын
Great video. 80K in Austin isn't bad at all. You should be really proud of your effort!
@Financed__11 ай бұрын
I make $85k as an employee. My responsibilities- Meet 90 clients in person or zoom Prepare approx 200 1040s 18 S and C Corp 20 Partnership 15 trust and estate 15 bookkeeping using QBO
@francismazanet2769 Жыл бұрын
Did you pay yourself rent. Find ways to take advantage of QBI
@karnjitkingh Жыл бұрын
Great video!!! Overall great content in general
@AshS852 жыл бұрын
Pretty good first year dude, mine was about the same, started in 2020. I think you're getting a little hosed on the tax software, also curious to know more about this 1040 automation software?
@taxtelegraf2 жыл бұрын
Definitely getting hosed but I value the software that I use and think it's worth it! The automation software is called SurePrep
@nikkapubess3349 Жыл бұрын
Thanks for the video, my wife just got a job with Elliott Davis a CPA firm, so I'm just looking for CPA videos on KZbin.
@nikkapubess3349 Жыл бұрын
@Chad Abercrombie You're taking advantage of folks then, my wife started at $24hr with Elliot Davis.
@ryanc41992 жыл бұрын
This was a great video and inspires me. I’m also thinking of starting my own firm…or buying one. Do you mind sharing how you located a contractor to help with some of the tax return prep?
@taxtelegraf2 жыл бұрын
Thank you, Ryan! The contractor that works with me used to be a coworker who I had a good relationship with! It's kind of a once in a lifetime situation, I feel like with everything the way it is these days.
@RespectTheConglomerate2 жыл бұрын
Thanks you so much for sharing
@20music072 жыл бұрын
Omg I applaud you for your transparency! Congratulations on knocking it out the park with your goal and your take home percentage. I’m curious about how you accept payments. Less than a tenth of a percent of your revenue seems great!!
@taxtelegraf2 жыл бұрын
Practice Ignition! It's actually hidden in some of my software costs...
@EffortlessBookkeeping6 ай бұрын
Agreed on the paid consultation. They respect what they pay for
@beephex1 Жыл бұрын
Thank you for the info, I'm new to the channel and the video was great. I am going into my 4th busy season and just received my CPA. My tax return work has been similar to what you mention and I feel like I still have a ton to learn on low level taxes alone. I'm just starting to consider what it would require to be self employed and am trying to identify some of the specific nuts and bolts needed to get started. For example, do you keep your practice in an S-corp and pay out a salary and distributive share? Does your software charge on a per return basis? Is it a suite package which offers an upload module for clients as well as file management, tax software, etc. Do you use digital marketing to bring in new clients? Any specifics to your insurance policy that you find important? These are mainly content ideas, not asking for a reply on all. I will also subscribe and follow. Thanks again!
@taxtelegraf Жыл бұрын
Thank you for the content ideas and the feedback! I would love to make a video about my operations that would answer a lot of your questions.
@beephex1 Жыл бұрын
@@sawgrassdigital5563 great info, thank you!
@fbi6555 Жыл бұрын
This is a good video. What a great guy.
@pearlivory3483 Жыл бұрын
Yes please make more videos!
@KavemanLyrics2 жыл бұрын
Hey Logan, thanks for the informative video! Was there no non-compete clause at your previous firm? They didn't take issue with you taking on 60 of their former clients?
@taxtelegraf2 жыл бұрын
Thank you! There was no non-compete due to them getting out of the public accounting biz. I purchased those 60 clients from them.
@MusicKnowte2 ай бұрын
wait im so confused did he mean “revenue” when he said “income” ?
@taxtelegraf2 ай бұрын
Revenue and income are the same thing.
@rizwann123 Жыл бұрын
Keep up grt work.
@adamripperdan2 жыл бұрын
What was the automation software you used?
@taxtelegraf2 жыл бұрын
SurePrep!
@erikrj7112 жыл бұрын
Great video
@SheryMalik9367 ай бұрын
Congratulations, being a tax preparer you are my role model
@IIIShizzyIII Жыл бұрын
What software helped you automate 1040 returns?
@taxtelegraf Жыл бұрын
I'm going to make a video about this later this year!
@IIIShizzyIII Жыл бұрын
@@taxtelegraf thank you! I'll be waiting. I'm very curious and would love more info.
@lmorales347010 ай бұрын
Hi, I’ll be hired for an international taxation project in ATX next year. How can I contact you?
@Brain.00005 Жыл бұрын
what continuing education expenses did you incur if you already had your Masters of Accounting and your CPA?
@taxtelegraf Жыл бұрын
CPE trainings
@meskobe Жыл бұрын
CPA licenses, like most professional certifications, require continuing education to maintain/keep your license. In fact, the requirements for CPAs are far higher than any other profession, including doctors and lawyers! Generally 40 hours required per year.
@pratippatel1271 Жыл бұрын
Hi Logan, is buying accounting firm is good option ?
@taxtelegraf Жыл бұрын
It was for me but I had a unique situation.
@pratippatel1271 Жыл бұрын
@@taxtelegraf you know Logan there is so tax, audit and bookkeeping is done from India on outsourcing basis.
@pratippatel1271 Жыл бұрын
@Chad Abercrombie that’s too low.
@pratippatel1271 Жыл бұрын
@Chad Abercrombie it’s not about greed but exploitation is not good.
@scholarlyanalyst7700 Жыл бұрын
@@taxtelegraf What sounds harder to your "ears"? 1. Certified Public Accountant or 2. Masters Degree in Statistics?
@trinityscott34982 жыл бұрын
I want the 2022 follow up! Also, what did you pay Sales Taxes on? Being in Texas, I’m curious.
@taxtelegraf2 жыл бұрын
I resell QBO subscriptions to some clients so I have to pay sales tax on it 👎
@trinityscott34982 жыл бұрын
@@taxtelegraf that makes sense. 👍🏻
@9doggie12 Жыл бұрын
How much did it cost you to buy that book of business and how much of your expenses are deductible?
@parikoysvlog35102 жыл бұрын
Wow it’s really amazing
@JayFiCPA Жыл бұрын
Hey yo only question where you find your clients .
@taxtelegraf Жыл бұрын
They find me!
@sawgrassdigital5563 Жыл бұрын
It depends on what kind of clients you want. Then you go where they are. Businesses are on LinkedIn. Individuas are on Facebook and Instagram. You not only post valuable content but reach out to potential clients as well. Think about what they want rather than the service you offer. No one wants a tax plan, they want to save money on their taxes. Then you do this over and over and over. Make sure you have an okay website and Google My Business listing.
@cristinahuerta2805 Жыл бұрын
Hi, I own an accounting and advisory firm in NJ. How can I go about buying clients????
@taxtelegraf Жыл бұрын
Network!
@cristinahuerta2805 Жыл бұрын
@@taxtelegraf thank you ! Can you please give me a couple networking strategies?
@taxtelegraf Жыл бұрын
@@cristinahuerta2805 Go out and meet other professionals in your area.
@jakeadams5741 Жыл бұрын
The $800 club is a good place to be my friend - it's better up here :)
@multiNchannel2 жыл бұрын
How many employees do you have so far?
@taxtelegraf2 жыл бұрын
A seasonal admin - that's it!
@varg19522 жыл бұрын
Is there a way to contact u?
@taxtelegraf2 жыл бұрын
Twitter @logangraftax
@bisrow3 ай бұрын
Also....this guy is too handsome to be an accountant.
@taxtelegraf3 ай бұрын
I heard he's an industry plant
@BhaktiSanhita Жыл бұрын
Can every CPA earn 100000+dollar income
@taxtelegraf Жыл бұрын
Yes
@nickolaswolfe2800 Жыл бұрын
What software do you use?
@taxtelegraf Жыл бұрын
Which one? 😅
@nickolaswolfe2800 Жыл бұрын
@@taxtelegraf which tax software?
@taxtelegraf Жыл бұрын
@@nickolaswolfe2800 UltraTax
@BlitzOfTheReich Жыл бұрын
10:38 France does this for law.
@sneakybeaver64312 жыл бұрын
YEE YEE
@bisrow3 ай бұрын
I don't trust an accountant that only uses two monitors. #ThreeMonitorsMan
@taxtelegraf3 ай бұрын
I used to have three. It's because they are so wide.