If anything related to taxes is a source of headache and chaos for you, imagine what it could be like for an accountant filing taxes for a lot of people. Billing 80 hours a week, crunching in the hard numbers, and practically living on coffee… that is what a busy season looks like for tax accountants every year. It’s like a black Friday of deadlines that lasts for months. So, when is a busy season for tax accountants? Come along, and let’s find out.
When Is Busy Season For Tax Accountants?
The busy season for tax accountants typically starts from January to April, which coincides with the tax season deadline. During these few months, tax accountants experience more workloads because of increased client demand for tax preparation due to several critical factors, including:
- Tax deadlines: April is usually the tax filing deadline for both business and individual tax returns, which means gathering paperwork, preparing tax returns, and meeting submission deadlines.
- Year-end closings: for most businesses, the fiscal year ends on December 31st. This means January is a critical time for accountants to create financial statements, prepare for potential audits, and finalize client books.
- Quarterly reporting: Some private companies prepare quarterly reports for their internal shareholders, such as board members, management, and investors. In addition, public companies file quarterly reports, meaning long hours for accountants in the first quarter of the year.
- Tax extension: apart from filing taxes in April, filing for tax extensions for clients that can meet the tax deadline, such as the October 15 tax filing extension, also makes a busy period for accountants.
How Many Hours Do Accountants Work During A Busy Season?
During busy seasons, accountants are required to clock in extra hours to be able to do their jobs. During peak tax season, accountants work. Most accountants work well over 40 hours per week during busy seasons, clocking between 50 and 100 hours weekly.
Is December A Busy Month For Accountants?
One of the busiest periods for accountants is between December and January, and it is a source of anxiety for many accountants.
Why?
It’s because it’s year-end for most businesses, and accountants need to reconcile all accounts and finish reporting for December. This way, they can ensure all books are closed, and everything is in order.
Which Type Of Accounting Is In The Most Demand?
Here’s a breakdown of some of the most in-demand accounting specializations:
- Public Accounting: Public accountants provide audit, tax, and consulting services to various clients. They enjoy high earning potential but often face long hours and demanding schedules.
- Management Accounting: Management accountants work within a company, focusing on financial analysis, budgeting, and cost control. They are crucial for informing strategic business decisions.
- Forensic Accounting: Forensic accountants investigate financial fraud and misconduct. This specialty requires strong analytical skills and attention to detail, making it a great fit for those who enjoy the challenge of uncovering hidden truths.
- Tax Accounting: Tax accountants specialize in tax preparation, planning, and compliance. With the complexities of tax codes, these professionals are valuable assets for both individuals and businesses.
How To Beat The Busy Seasons
The busy season can be a daunting time for tax accountants. The pressure to meet deadlines, manage an influx of clients, and maintain accuracy can lead to stress, burnout, and even errors. However, with a proactive approach and a few key strategies, you can navigate the busy season effectively and emerge feeling accomplished. Here are a few tips that can help you survive the chaos.
- Plan Ahead: Before the busy season hits, establish clear workflows, delegate tasks efficiently, and ensure technology systems are up-to-date and functioning smoothly.
- Client Communication: Communicate filing deadlines and expectations well in advance to avoid last-minute surprises. Encourage clients to gather and submit documents electronically to expedite the process.
- Schedule Optimization: Optimize your schedule to maximize productivity. Batch similar tasks together, prioritize urgent deadlines and consider scheduling dedicated client meeting times to avoid constant interruptions.
Busy season for tax accountants can be a whirlwind of long hours, intense pressure, and endless paperwork. But with the right preparation, a strategic mindset, and a focus on well-being, it can be navigated successfully.
