An accountant is one person who helps you in the financial aspects of your business. He or she is also someone you would work very closely with and your bookkeeper, and with whom you should develop a personal relationship.

Your accountant should help you design and set up your accounting system so that year end financial reports will be easier in the long run. They should also make certain you are paying the correct type of taxes in the correct amount. Your accountant will help you in sending out W2 forms to your employees when it’s time and 1099 forms and that the IRS agrees that those receiving the 1099 forms are independent contractors and not employees.

Choose an accountant who will give you guidance on deductions and advise you how to separate your personal from your business expenses. If in the event you are ever audited your accountant should be prepared to guide you through it. He or she should have the knowledge to guide you on transactions like choosing to lease or buy an item. They should also keep detailed records for the required legal length of time.

The role of an accountant is specifically financial so they should help you understand and analyze your statements. The benefit of hiring an accountant is for both legal and financial reasons; you’re ensuring that you’re correctly and timely paying your taxes and wages, in addition to saving time and money in the long run of your business.