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Why You Should Become An Enrolled Agent

Note: If you’re already an EA, CPA, or attorney, then this post will be of zero interest to you. If you’re an unenrolled preparer, however, keep reading… It’s becoming increasingly common for me to receive emails like this one from a return preparer in Sacramento, CA: I would like to pursue this opportunity. I am currently not an EA. What ways have others moved ahead until they became an EA.? Can I hire one? What do you suggest? Here was my verbatim reply to this particular email: By “this opportunity”, I presume you’re referring to collections representation services? While hiring an EA, CPA, or attorney is definitely an option, I would still encourage you to obtain your Enrolled Agent license […]

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Tax Resolution Marketing: How To Save Yourself $15,000…

In other posts on this blog, I’ve covered the topic of client acquisition cost fairly extensively. I’ve also written extensively about the lucrative nature of this particular service. To give you the short version, there are 12.4 million active IRS collections cases right now, and the average 1040 client pays about $2,500 for full service representation. Business clients are even more lucrative, paying average fees of $3,500 for straight forward 941 cases, and thousands more on top of that for a variety of unique situations, lien work, 6672 representation, etc. Combining these two factors, something readily apparent should emerge: You need to determine how much you’re willing to spend to acquire a client. Without a sales staff to pay commissions […]

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Making money *after* tax season

It’s been a hard push the past few months. There’s one day left to go in a jam packed tax season. You’ve made plenty of cash to last for a while. You’re exhausted, and you’re just ready for it to all be over. Sure, you’ll have some extensions to work on. But it’ll be the life of leisure after this week, right? For most tax professionals, that statement couldn’t be further from the truth. Now, if you’ve configured your life in such a manner that you can live on your tax season revenue for the remainder of the year, then I applaud you. For most tax pros, however, it couldn’t be farther from the truth. The stark reality for most […]

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This Is Your Tax Resolution Competition

Lest you think the days of unscrupulous tax debt resolution companies are behind us… Think again. Check out this short piece of investigative journalism broadcast last week on a Los Angeles TV station… If you want to read the extensive consumer complaints, check out their Yelp page. See all those complaints on Yelp? People that paid $3,200…$3,300…$2,300… Those are real tax resolution case fees, for people that really needed help — and had the money to pay the fees. These folks are out there, waiting for YOU to enter into their lives. So, why aren’t you? Tax prep season is winding down, and tax resolution season is winding up. You’re probably tired of me saying it, but truth is truth: […]

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Why Your Tax Season Business Model Is Probably Flawed

One of the beautiful things about being in the tax industry is that we have the flexibility of choosing any number of business models we’d like in order to create the lifestyle we desire. Very few professions permit this level of work/life balance. For example, there is the business model upon which nearly the entire retail tax preparation industry is based: The purely seasonal model. In this model, the business is literally only functional, with the doors open and staff and clients in the office, for a few months each year. For 2015, this means generating nearly every dollar of revenue between Jan. 20 and Apr. 15. This business model allows even the solo practitioner to earn a comfortable six […]

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Tax season client reactivation process

Do you lose tax preparation clients each year? Some tax offices experience a higher rate of client turnover than others. Depending upon your target market, business model, and fee structure, your turnover rate can vary quite widely. There are offices out there that experience turn rates in excess of 20%. For some of you reading this, that might sound insane. For some others reading this, you might love to have the problem of “only” experiencing 20% client turnover. Never forget that acquiring a NEW client is the most expensive thing you can do in terms of marketing your professional tax services. While marketing to acquire new clients is definitely my primary focus on this blog, never forget that it’s far […]

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Four years later, it’s the end of an era

Today marks a special anniversary for me: It was four years worth of Mondays ago today that I made a life-altering decision. I walked out on my day job to enter the world of private practice and become a nomad. Six weeks later, I was traversing a still-slick Vail Pass on a heavily overloaded motorcycle, threading the needle between two major snow storms. I remember stopping for gas along I-70, and people looking at me like I was nuts. I was also freezing my butt off. But it was all worth it. I managed to rapidly build myself a successful, “stereotypical” tax resolution practice, and then just as quickly scaled it down to “boutique” size. While doing that, I’ve literally […]

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Do you have a pre-season tax prep marketing plan?

This week, founding members of my brand new Platinum Inner Circle program received the detailed pre-season marketing plan for my new tax office in Washington state. (If you’re a Platinum member and didn’t see that yet, you can find it in the members area under “Marketing Materials”). Over the past couple days since releasing that document, I’ve had some exchanges with Platinum members about the marketing plan. A couple members had existing pre-season marketing plans, but most have not. Your pre-season marketing plan sets the stage for your entire tax season. I know what some readers are saying… “October 15th is next week. I don’t have time to worry about this right now.” To which I reply, “Wrong answer!” Here’s […]

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How to skyrocket your tax business

Revenue growth. Do you want that? Everything I write about in these Tax Marketing Tips… Everything I discuss on our Premium member Q&A calls… Every book, every course, every seminar… It’s all about helping you to achieve revenue growth. If growing your client base…increasing your fees…and making more money are NOT your objective, then please click the “unsubscribe” link at the very bottom of this email. Seriously — I mean that. Still with me? Good. You just passed an important test. Certain things in life are worth fighting for. I’m not going to go into details right now, but right now I’m fighting for something that means more to me than anything (yep, even more important than taxes!). Today has […]

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Maximizing tax office efficiency

When your tax practice operates at maximum efficiency, you are leveraging your strategic assets to produce maximum profits. Most of us are in this business for the sake of creating profits. Otherwise, what would be the point of driving ourselves crazy with tax code and clients, right? In my experience, when you are operating at maximum efficiency, you are able to enter an interesting world: Choice. I have long stated that your business should exist at your whim, not the other way around. Efficiency allows you to reach a state of being able to control certain variables — hold them steady — while allowing others to change. For example, if you want to hold your weekly workload steady to around […]

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