Accountancy fees when benched

[bullseye]

Hi All,

Long time lurker here.

I have been benched for a month now. I wanted to explore if I can ask my accountant to suspend their fees untill the company starts generating revenue again.

Is that normal practice? is that something any of you do?

Thanks,

[SueEllen]

You have a choice of paying your accountant yearly or monthly. Either way you pay the same amount.

What you are asking for isn't normal.

[BrilloPad]

Is that normal practice? is that something any of you do?

No and no.

[Fred Bloggs]

Some firms reduce their fee after a period of time, often 3 months on the bench. My accountant has reduced my fee by half, I've been out of work a year now. You will have to ask for the discount, AFAIK, it is not publicised or offered unless you ask.

[northernladuk]

In most cases it's a yearly fee thats split over 12 monthly payments. His work isn't reduced by you being in the bench so not paying fees for the month you are not working is a lot to ask. I do know SJD offered (yes I did say that) to reduce my fees when I was in the bench for three months. It happens but be sensible.

Why didn't you ask them first anyway?

[Louisa@InTouch]

As the rest say just because you're not contracting, doesn't mean that your company won't still have obligations.

So if you want your accountant to assist, you will have to pay them

However if you were to take on some of the submissions yourself: for example VAT and RTI submissions, the likelihood is your fees could be reduced.

Then a fee can calculated based on the work required for the year.

As always, it depends on your circumstances and how much you want to get involved!

[JB3000]

Hi All,

Long time lurker here.

I have been benched for a month now. I wanted to explore if I can ask my accountant to suspend their fees untill the company starts generating revenue again.

Is that normal practice? is that something any of you do?

Thanks,

Depends on firm to firm. Check your letter of engagement to see what you have agreed to.

Generally the cheap firms would not offer this as their fees are so low anyway.

However there are many firms that specialize in dealing with contractors that drop their prices immediately or after a few months by more than a half of their usual price.

If your firm doesn't drop it's prices and if you don't like them anyway why not ditch them for a cheaper offering or go to someone that does reduce their prices.

[psychocandy]

To be honest I agree that it is a yearly fee divided by 12.

BUT, if Im on the bench then accountant is potentially not doing payroll and/or dividends maybe. If I was on the bench for a few months I'd probably ask!

[SlipTheJab]

To be honest I agree that it is a yearly fee divided by 12.

BUT, if Im on the bench then accountant is potentially not doing payroll and/or dividends maybe. If I was on the bench for a few months I'd probably ask!

At least your JSA would help cover the shortfall

[northernladuk]

To be honest I agree that it is a yearly fee divided by 12.

BUT, if Im on the bench then accountant is potentially not doing payroll and/or dividends maybe. If I was on the bench for a few months I'd probably ask!

Why not just ask him when you are requesting your P60?