How often do you have to remind clients

It seems that it's worse this year than I have ever experienced before. I have to remind clients many more times about missing information. I chalk it up to the new deadlines. Is this others experience as well? Any suggestions what to do about this?

Any suggestions what to do about this?

It's a case-by-case basis.

Three of my clients have a state return due 5/15. This state did not conform to federal. I let them know a week ago that I needed all information by this past Wednesday to turn around their returns timely, and that if they didn't deliver, we were going to have to extend. All three hustled and uploaded all outstanding information in a timely manner. It's amazing how that works.

Another client wanted to know if he should apply for a PPL based on his schedule C. For 2018, the schedule C had a net loss. I conveyed that if things were materially different in 2019 and he had net profit, he potentially could qualify for a PPL, but that the bank is going to want to see a 2019 schedule C, and thus he should start uploading his information so the return can be completed ASAP. Whether or not he will remains to be seen...it's been a week.

You have to use what you can.

It seems that it's worse this year than I have ever experienced before. I have to remind clients many more times about missing information. I chalk it up to the new deadlines. Is this others experience as well? Any suggestions what to do about this?

Andrew, I am seriously getting sick of asking for the same stuff from the same clients year after year. I've tried sending reminders and checklists, it doesn't work.

You may have noticed it is the same people that give you the problems, so change your business plan to deal with these type of clients. This is what I do generally.

1) Give them a check list with deadline and a charge for missing deadline. Believe me it works. Money is a great motivator!

2) If I don't get the data by the deadline it is going on extension (make sure your engagement letter mentions it)

3) Revise your base charge for PITA clients.

4) Fire them if you can't stand them. I have had to use this option only a few times because #1 works 90% of the time. One year one client paid me x2 the regular fee for the privilege of waiting 3 days before filing deadline! That client is still with me and is much more prompt (sometimes requires a text message or e-mail reminder).

I agree with the PITA charge. Put it in your engagement letter and show it as a separate line item on your bill

LOL. So my engagement letter should say PITA charge?

Andrew - I have no problem with that. For the few that actually read the engagement letter, you can make a joke of it but let them know that you wont' be walked on.

Been doing sub-work for a CPA for years. He's got some clients that are bad about getting info to him. He never raises his prices or presses the clients because he doesn't want a bad internet review. He even says that we won't ask them for the info more than once a month and only for a couple of months. Grrr..... He says "we'll get the info later". This kicking the can down the road drives me nuts. But the CPA pays well and his checks clear. I only do book work and don't sign anything so...not my problem.

Yesterday I was contacted by two clients who I've been trying to get info from for months. Now they're in a panic because they want bank loans and the banker has asked for info. I simply forwarded the emails...again...that I've been sending and tell the client that I need the info before I can send the work to the CPA. CPA won't deal with them (or even return their phone calls) until I send the clean QB to him. Ball's now in the client's court.

Once in a while, the client has me on a three way call with their banker and I say the same thing. "I need info".

If they were my client, I'd fire them or at least up charge. But...not my client and the CPA's checks clear

Now they're in a panic because they want bank loans and the banker has asked for info.

You have to use the cards you're dealt. These situations are always a good opportunity to leverage. Engagements get wrapped up and billed out very quickly when the client wants a loan and the banker needs the tax return.

CPA won't deal with them (or even return their phone calls) until I send the clean QB to him. Ball's now in the client's court.

That CPA is no fool! He hired you do do all that grunt work.

Atman, that is right. However, Bottom Line's checks clear and CPA pays well. Bottom Line, it's not your problem but the CPA's problem. I do understand your frustration and can relate. However, you're not the business owner, I would find some way to not get frustrated about what you have no control over: how CPA runs his business and deals with his clients. If it's extremely frustrating for you, find another CPA who is more compatible with your own way of dealing with clients.

find another CPA who is more compatible with your own way of dealing with clients.

That is true with any employer-employee relationship. It is a free country, if you don't like or agree with the work situation, move on. Don't make yourself miserable!

Andrew & Atsman - I've been doing sub-work for him for around 15 years. It's somewhat frustrating but I don't lose any sleep over it. Sometimes it's just nice to vent. The work is easy and it pays well. I get to pick my hours and do as much or as little work as I want.
The thing that I don't understand is the clients. They complain to me about him but don't move on to someone else.
Not my problem

The thing that I don't understand is the clients. They complain to me about him but don't move on to someone else.

Just like a marriage. The fear of the unknown

You may have noticed it is the same people that give you the problems, so change your business plan to deal with these type of clients. This is what I do generally.

1) Give them a check list with deadline and a charge for missing deadline. Believe me it works. Money is a great motivator!

2) If I don't get the data by the deadline it is going on extension (make sure your engagement letter mentions it)

3) Revise your base charge for PITA clients.

4) Fire them if you can't stand them. I have had to use this option only a few times because #1 works 90% of the time. One year one client paid me x2 the regular fee for the privilege of waiting 3 days before filing deadline! That client is still with me and is much more prompt (sometimes requires a text message or e-mail reminder).

I do 2, 3, and 4.

In addition to that, our email signature explains our turn around time. If clients provides last-minute data and we can't finish, what can they say when there was a warning in every email I send them?

PITA charge in an engagement letter? You bet. It looks like this...

Quoted rates are estimates. Additional fees may apply when:

• Bookkeeping services are requested
• Additional forms for undisclosed tax situations are required
• Additional state income tax returns are required
• Extra time is needed to organize the client’s data
• More than one hour of advice or instruction is requested from the client
• The tax preparer must recalculate or redeliver a completed tax return because the client is requesting changes after the tax return has been completed and presented for review


@BottomLine - I was going to ask or recommend that you get out there and run your own ship as it is very rewarding - but remember, the grass is always greener and there are some extremely stressful aspects of doing that as well. So that may or may not be your best option.

Stress is just "part of it". What's the fun of everything being perfect?

ItDepends - I had my own practice for 20 years. Still did sub-work for the CPA in addition to having my own clients. I sold it in 2016 to an idiot that promptly lost all the clients because he wouldn't contact them. (oh well - his check cleared). As you know, there are good points and bad points to your own biz. That said - semi-retirement is wonderful

ItDepends - I had my own practice for 20 years. Still did sub-work for the CPA in addition to having my own clients. I sold it in 2016 to an idiot that promptly lost all the clients because he wouldn't contact them. (oh well - his check cleared). As you know, there are good points and bad points to your own biz. That said - semi-retirement is wonderful

Oh, sorry.

I sometimes dream of being able to come in and serve clients with no administrative responsibilities and headaches.

But then I hear about things like this when it comes to working for others that are bad at "driving the boat" in some areas and I'm not so sure.

It's a give and take like everything else, I suppose.

It's nice too vent. I agree. Here comes my venting, lol. Even clients that were on time in the past have changed. I have been waiting for 2 weeks for a client's e-signature. About 5 months for another e-signature from a different client. I like to get work done and unfortunately, I can't. I fall off my chair every time a client even answers their phone. Don't worry. I haven't fallen off my chair for months. I figure that I can take a vacation every week and only work on weekends. When my email hits their inbox at 6:00 am on a Monday, they usually respond. Thanks for listening to me venting.

More venting is necessary. Client I didn't hear from for almost half a year, needed tax info for PPP loan. And of course, client waited until the PPP deadline and gave me a few hours to do a complex return. I appreciated the heads up, lol. I grabbed my chance to get all the info, but geesh, this is what tax preparation has come to? This is not an A client, obvisously, but I have never seen this type of behavior a few years ago.

And you did it?

I wouldn't have done it.

"Im so sorry, but I have commitments I already made to other clients who provided data in front of you, its not that I don't want to help."