One thing you can count on year after year is the need to file tax returns and thus, Tax Season. Some firms are overwhelmed by the unrelenting deadlines and some have successfully evolved their processes to meet the high demand of the season. No matter where you fall on this spectrum, the reality of tax season is this:
There is always a change in workload this time of year
Advanced automation can help you double down on efficiency
Now is the time to review processes and decide if you need new technology tools
According to Gary Boomer, Visionary & Strategist of Boomer Consulting, Inc., “A process is an organized group of related activities that together create value to clients. No single task creates the desired value. Value is created by the entire process.”
Think about the tax preparation processes you have in place within your firm. Do they work? Do they create value?
Prepare for the upcoming Tax Season by doing a pre-tax season process check to ensure that you are ready for the change in workload. If you aren’t quite sure where to start, follow these three key steps to assessing your processes.
Your goal can be relatively simple and straightforward, such as a more efficient Tax Season with fewer late nights at the office. Once you have that goal in mind, begin analyzing your current tax prep process and think about the following:
How many steps does the process have?
How much time does each step take?
Which business functions or team members are involved?
What is the impact on the total cost and quality of the process?
What opportunities exist to improve?
The answers to these questions will help you decide where you can improve the process and where new technology can be of assistance.
Bookkeeping is a classic example of a time-losing process within a practice.
It’s a multi-stage process where each step can involve multiple people, which offers many opportunities for bottlenecks and inefficiencies. However, it’s also a process that can be improved greatly with the introduction of new tools.
The key steps of the process are:
In the table below we can see the effect these steps have on your team, as well as how they can be improved with a tool like Receipt Bank.
As you can see, small changes can make for a big change in your efficiency and productivity.
Don’t let a pre-tax season process check intimidate you. Use it to your advantage as an opportunity to evolve your processes with technology.
With a few changes, you’ll be able to boost your firm’s efficiency by performing internal audits, standardizing your processes for all clients, and effectively handling any last minute items.
Learn more about how to have your most efficient and profitable busy season yet!