In search of "my CPA"

[Justin Wren]

Hi guys, I'm looking for a CPA in my area. Savannah Ga. I plan to buy my first property later this. But mostly our household income has nearly doubled this year over last. So I'm looking to speak with a CPA to look over our (me and my wife) income and tax situation and help point us in the right direction. The problem is I'm looking for someone that has an investors mindset as opposed to a get out of debt mindset. I can't seem to find a CPA that is on the same mindset that I am. I paid a couple of different CPAs over a few years but couldn't find one I wanted to be "my CPA". This year I just did my taxes on turbo tax because I feel like I could do better myself instead of wasting money to have my taxes done. Just looking for that right CPA. No luck so far. I'm not looking for someone that will break the law by any means, but I am looking for somewhere that will help me take advantage of the tax laws. I've asked "CPAs" in the past that did my taxes for suggestions on how to lower my tax bill, and each time I just got the response, "there's really no way, this is what you own based on your income". Even though I already knew real estate investing has many tax benefits, I wanted to hear them say it. Sadly it never happened.

[Richard Balsam]

It shouldn't be too difficult to find a CPA here in Georgia - or in your area of Savannah. There are thousands of investors - each must do their taxes. I assume you are looking for a CPA - and not just an accountant. My CPA charges me $2500 per year for my taxes. I save many times this - each year. An accountant will charge whatever he can- I've heard them quote others $750-1,000-$1500 for 5 hours of time to prepare the tax forms and file. As you know, a CPA is a designated abbreviation, after passing the state test. So - I can't believe you are having a tough time finding someone that understands real estate in your area of Savannah. As long as they are computerized and can follow depreciation schedules for each property and each upgrade depreciation schedule ( different useful life for carpet vs. appliances, etc), and know federal and state laws as to what to deduct, and strategies to minimize taxes going forward - you should be fine. A boxed tax program will never work once you start buying different properties - so now is the time to begin your search. Now that taxes are over for the year, you have the next 9-10 moths to find a decent CPA - shouldn't be too difficult.

Why not ask the people in the Savannah Reia? They are part of the same Reia group that I am a member of (Atlanta Reia). Everyone there must have a good CPA - or may be throwing money away. I got lucky- after a recommended CPA literally developed Alzheimers, and sold her practice to a real piece of work (putting it nicely),  almost by luck, I found my current CPA - who was just starting his own practice and accepting new clients. He also owns a few rentals too - so that helped.

Now he has 7-8 CPA's on staff, and had to move once since his practice is growing. I will continue to pay $2500+ per year - even though there are much cheaper out there. The ease of tax time, the annual meeting before taxes are to be filed, his recommendations, my tax savings, etc- more than offset his cost to me. Did he know every tax rule I would need when I first met him - no. He actually reviewed tax rules with a huge IRS tax book in front of me - with his assistant ( another CPA) during one of my meetings, and made no excuses that the rules may have recently changed and wanted to make sure my questions were answered correctly. This showed me at the time that he really cared about getting me the right answers - and not just assume anything, and covering up that he didn't know something. He knows a ton, and the few areas I had questions on- he now knows exactly what I need - after reviewing in front of me - that one time. 

Good luck. With some research, I'm sure you will find the right CPA- they are everywhere. Just need to find someone that understands our industry. Ask if they own real estate themselves.