Reply to: Xero or Freeagent and EoY accountants

[eek]

They've probably been bitten too often to make it worthwhile doing EOY only services.

+1. I think accountants like monthly fees as it allows them to spend 10 minutes a month checking everything is fine and no mistakes have been made that could cascade into big issues.

[Fred Bloggs]

In that case, you are probably better off finding an accountant who can offer you a year-end tailored service with occasional advice (spreadsheet/cloud or whatever) rather than focusing a particular software based accountant. Although I still like the idea of using FA, spreadsheet still works perfectly for straightforward Ltd affairs. The main thing is to have a service you are happy with.

Frankly, I think it's a bit of loss to the Ltd contractors that accountants like Maslins don't offer year-end or tailored service. I am not their client but this is my perception solely based on the quality of their responses on CUK and their website. Argueably, the accountants could probably accept year-end clients on case-by-case basis to avoid issues but it's their call/business model anyway.

They've probably been bitten too often to make it worthwhile doing EOY only services.

[dagenheis]

My current accountant is monthly and to be honest they only do year end for me. I handle all VAT submissions etc. Currently I just send them spreadsheets after year end for them to do the CT - and then I double check their work.

I prefer keeping control and checking all the accountants' work as no offence to accountants here but a) they sometimes get things wrong and b) Darren Upton is probably not a solo case (my control freak tendencies meant I was not out of pocket in that debarcle)

In that case, you are probably better off finding an accountant who can offer you a year-end tailored service with occasional advice (spreadsheet/cloud or whatever) rather than focusing a particular software based accountant. Although I still like the idea of using FA, spreadsheet still works perfectly for straightforward Ltd affairs. The main thing is to have a service you are happy with.

Frankly, I think it's a bit of loss to the Ltd contractors that accountants like Maslins don't offer year-end or tailored service. I am not their client but this is my perception solely based on the quality of their responses on CUK and their website. Argueably, the accountants could probably accept year-end clients on case-by-case basis to avoid issues but it's their call/business model anyway.

[SueEllen]

My current accountant is monthly and to be honest they only do year end for me. I handle all VAT submissions etc. Currently I just send them spreadsheets after year end for them to do the CT - and then I double check their work.

I prefer keeping control and checking all the accountants' work as no offence to accountants here but a) they sometimes get things wrong and b) Darren Upton is probably not a solo case (my control freak tendencies meant I was not out of pocket in that debarcle)

When I asked some of the people I know about accountants 2 of them said their accountant had ripped them off as in stealing money from them.

Another contractor I later met had an issue with their accountant refusing to give them a cheque for something that HMRC had refunded. As I live near the accountant I said I would happy go with my id to collect it for them if they just tell the accountant I was going to turn up. Oddly after that threat the accountant paid up.,...

[bassy]

My current accountant is monthly and to be honest they only do year end for me. I handle all VAT submissions etc. Currently I just send them spreadsheets after year end for them to do the CT - and then I double check their work.

I prefer keeping control and checking all the accountants' work as no offence to accountants here but a) they sometimes get things wrong and b) Darren Upton is probably not a solo case (my control freak tendencies meant I was not out of pocket in that debarcle)

[Andrew@Wisteria]

Some do...but having tried it in the past, we no longer do. We either like to oversee everything, or not get involved at all.

Problem is potential client says "I do all my PAYE/VAT perfectly and my books are awesome, all I need is you to do statutory accounts/CT return". We get stuck in, and it soon becomes apparent they've miscoded tons of stuff, reclaimed VAT where they shouldn't, not actually submitted any RTI (they just mean they've taken cash that in their head is a salary), and generally made a hash of lots of things.

Sure, the above won't always be the case, but we far prefer to have our eyes on things throughout the year ensuring no major cock ups are made, rather than coming in after year end and attempting to unpick cock ups that have already been done.

I'd say vast majority of cases who 'DIY' aren't just a simple 'end of year job' in my experience.

[Maslins]

As for accountants, I am bit surprised not to see any accountant response offering end of year service. Perhaps it's worth trying a few from the accredited list although a 'FA accredited' accountant does not mean that it's a good accountant too. So worth talking to a few who can offer the service you need.

Some do...but having tried it in the past, we no longer do. We either like to oversee everything, or not get involved at all.

Problem is potential client says "I do all my PAYE/VAT perfectly and my books are awesome, all I need is you to do statutory accounts/CT return". We get stuck in, and it soon becomes apparent they've miscoded tons of stuff, reclaimed VAT where they shouldn't, not actually submitted any RTI (they just mean they've taken cash that in their head is a salary), and generally made a hash of lots of things.

Sure, the above won't always be the case, but we far prefer to have our eyes on things throughout the year ensuring no major cock ups are made, rather than coming in after year end and attempting to unpick cock ups that have already been done.

[Alan @ BroomeAffinity]

As for accountants, I am bit surprised not to see any accountant response offering end of year service. Perhaps it's worth trying a few from the accredited list although a 'FA accredited' accountant does not mean that it's a good accountant too. So worth talking to a few who can offer the service you need.

Many of us do. At least we do. However I suspect it's not openly pushed because the monthly model is our preferred way of working. The cynical amongst you might suggest it's an easier lock in for us, and to a degree that's true, but I genuinely think that to get the best from an accountant, year end only isn't the way forward.

Not that cost effective either tbh: £99 per month for fully loaded v (say) £500 for year end plus £30 per month for Freeagent. Saving you only about £300 a year. Which is half a day's work for you lot ;-)

[dagenheis]

That may just have swung it in the favor of FreeAgent. Xero would have to up their game now with Pandas

Thanks for your feedback all - might be that I give FreeAgent a go first up when I get all the rest of my stuff off the current accountant.

Agree - the best thing is to give it a try and see how it works for you.

As for accountants, I am bit surprised not to see any accountant response offering end of year service. Perhaps it's worth trying a few from the accredited list although a 'FA accredited' accountant does not mean that it's a good accountant too. So worth talking to a few who can offer the service you need.

[northernladuk]

That may just have swung it in the favor of FreeAgent. Xero would have to up their game now with Pandas

Thanks for your feedback all - might be that I give FreeAgent a go first up when I get all the rest of my stuff off the current accountant.

Hope that works for you. Mine didn't give me a bean and SJD had to go the extra mile to help me get upto speed for the stuff missing while I was with him. Fingers crossed.

[bassy]

Freeagent has a cute little puddy tat wearing a tie on the login page, sadly Xero doesn't.

HTH

That may just have swung it in the favor of FreeAgent. Xero would have to up their game now with Pandas

Thanks for your feedback all - might be that I give FreeAgent a go first up when I get all the rest of my stuff off the current accountant.

[northernladuk]

Freeagent has a cute little puddy tat wearing a tie on the login page, sadly Xero doesn't.

HTH

[Andrew@Wisteria]

I am currently moving away from my monthly paid for accountant. One of the main reasons being is that for the past few years I have handled all my monthly items and they have really only completed my year end stuff/Corp tax.

As I have been using the old "upton" spreadsheet I now want an accounting package which handles invoicing/expenses but as I also do other freelancing apart from contracting and I also have office space which I often sublet out, I am wondering if Xero would be the better option rather than FreeAgent.

I would like to be able to keep lists of suppliers etc as I send out a few different invoices per month (and some do not include VAT - as I sublet), So not sure if FreeAgent and Xero are customisable to either add or not add vat. Plus I sometimes subcontract out ad-hoc pieces of work.

From the reading I have done it seems FreeAgent gets the nod over Xero for contractors but I am not 100% sure if it is the best package for the other items. Does anyone use FreeAgent for more than contracting or have you found that xero gets the nod over it in that case?

Further are there any accountants on here who just do an end of year service?

Thanks for any info.

Most accountants will charge you a similar fee even if you just want the year-end work done I would suspect. Happy to chat further about this.
Re: Xero vs. Freeagent
Freeagent has project based functionaly, Xero does cost centres.
If you are on the FRS for VAT then Freeagent is better as the surplus gets journalled automatically. It also handles the 1% discount better.
Both are similar re: invoicing/ auto chasers.
Xero has better reporting - i.e freeagent you get historical info for balance sheet, profit and losses, debtors, creditors. Xero is a bit more serious in this respect. More tailored to small businesses.
Both file VAT returns direct to HMRC.
Both have expenses functionality with apps to record on the go.
Freeagent has a inbuilt mileage calc /claim.
Freeagent produces dividend minutes/vouchers.
Xero has cash coding/bank rules which makes reconciliation quicker.
Xero fixed assets I'm told is good as the currency functionality also.

[Kaz]

I pretty much wanted what you wanted, but without the stock control bit.

I think both FreeAgent and Xero can manage stock control. However, I found that I couldnt work out how to get Xero to automatically allocate a portion of money taken out of the business as salary, expenses and dividend, maybe I didn't know how. Freeagent is able to do this with the smartuser payment allocation, which I did work out how to do.

I think Xero was cheaper compared to Freeagent as standalone software, but I couldnt work out how to do everything myself whereas I was able to do it in Freeagent.

When it came to standalone accountants, I think the lowest prices I found where on freelancer portals like upwork.com where you find various accountants looking for work, who you can get to do your returns etc... for you. I didn't go this route, because I'm not too confident to do everything myself just yet!

[northernladuk]

Freeagent can do that using the projects option and there is a pull down to set VAT when invoicing or putting receipts I. Using the projects option means you can easily easy how each one is doing, amount invoiced, paid etc.

I read on here Xero is a bit complex for us but I've used freeagent for multiple incomes very easily. There is a 30 day free trial so why not have a look?