The new client is the sister of a client with a couple of s corps, so she was recommended. They are both really nice.
The new client wants a look at her 2020 tax return and help with filing 2021 because she just bought a car with which she will rent out on Turo (unlikely it will make much money. if any).
Her 2020 tax return consists of a W2, a very simple schedule A, and a little but of unemployment income. AGI is $40,000.
The 2020 issue she wants to understand is just really all about withholding, but she will need some hand holding for her new business, I would guess.
I quoted her $350 to look over her 2020 tax return and to provide advice ("it looks good, change your withholding"), and $900 for her 2021 tax preparation (along with some Q&A help that she will need).
How is a $40,000 per year individual going to pay me $900 per year (and $1250 this year) to get her taxes done?
I honestly figured she would not hire me when I quoted her the prices. Our high-ish prices usually solve this issue.
But what about when they say "OK"?
I won't lower the price, because I wish to fill my time with this amount as a minimum rate, but it's just not a good match. I'm "full" and this is not my demographic). It's a lose/win for her.
What do you do in this spot?