What's a ballpark figure to get a professional to do an individual/family's taxes?

Question

We were overseas for a 12 month period on a teaching exchange, rented out our home, and we're working with Turbotax, but it seems really complicated. One of us wants to just pay someone to get it done, the other of us thinks the cost would be prohibitive, CPA websites don't give even rough idea of what the cost would be...$50? $500? $5,000?

Answer 1

I have done similar returns for myself and one of my relatives using TurboTax. I suggest you keep on working with Turbotax. Some of the forms that you will be completing are:
1. Form 1040
2. Form 1040 Schedule A (if you want to itemize deductions)
3. Form 1040 Schedule B: Interest and Ordinary dividends
4. Form 1040 Schedule D: (Capital gains in you did some trading in stocks)
5. Form 2555 (Foreign Earned Income). If you paid taxes in the foreign country, then you can get credit for up $82,400.
6. Form 1116 (foreign tax credit) and Alt min tax Foreign tax credit.
7. Form 6251 (Alt minimum tax).

If TurboTax did not fill any form then go to Menu Forms -> Open a form, select a form and Select Open.
The form interview will begin and you will be able to complete it.
Good Luck.

Answer 2

I work as an associate at a CPA/EA firm. The standard fee is usually around $150 an hour. The more complicated the return, the longer it takes, the more it costs. As for Turbo Tax, H&R Block, and Jackson Hewett, save yourself a head ache and steer clear. Turbo Tax is alright if your return is not complicated. I would give a CPA in your local area a call and see you can set up an appointment to discuss a quote and let him or her know what your tax situation is.

Answer 3

Should probably be several hundred, but not thousands. You have a return that's more complicated than average, so it would be a good idea to take it to a CPA or enrolled agent, not to a storefront place like H&R Block or Jackson Hewett.

You could call a couple CPA's and ask them. They aren't likely to quote an exact cost until they see what all is involved in your return, but might give you a ballpark number or a range.

Answer 4

Looked at Turbotax, and then went to my tax guy who has done my small family's taxes for the last four years. He charges $90 for preparing the 1040's, and found larger deductions than Turbo tax ($1700 versus $341). If you are single,and don't own a home, the Turbo tax would probably be just fine. But I love my tax guy. Let the buyer beware! Good Luck!