Do You Need an Accountant in Your Life?

I have been asked a lot over the years about when people should get an accountant. Do they really need one to file their taxes if they just have a W-2 (T4) and few deductions? The answer, however, is as individual as the person. You may not need an accountant to file simple returns for you but you may benefit from some financial direction from one. The first step is to figure out what you need help with. Sometimes, simply paying for an hour consultation to go over your entire financial plan is enough to get you oriented back in the right direction.

What kind of accountant do you need? The term "accountant" is not protected, meaning anyone can call themselves one, unlike, for example, lawyers or doctors. In both Canada and the United States, there are designated accountants who must complete a specified training program and have letters after their names. In the United States, the most widely recognized accounting designation is Certified Public Accountant (CPA). CPAs must train in tax, audit, and financial statement preparation and analysis, plus have experience working in a CPA firm in order to get their designation.

In Canada, there are three widely-recognized designations: Chartered Accountant (CA), Certified Management Accountant (CMA), and Certified General Accountant (CGA). These designations are in flux at the moment and may merge together in 2012 or 2013. The training for each of these designations is different but all include tax and financial planning. (Full disclosure: I am both a CA and a CMA).

The benefit of choosing a designated accountant is that it is easy to know what their educational training is because it is standardized. There are good non-designated accountants out there, of course, but it can be much harder to know when you've found one. Once you know you have an experienced accountant, it's still important that you have a rapport with him or her. Trust your gut on this one. If you feel comfortable with how the accountant is explaining things to you and with the overall relationship, you can be more assured that the accountant can work effectively with you. On the other hand, if you're afraid to ask questions because you're afraid you won't understand the answer, the relationship is likely to fail. Trust your instincts.

Most designated accountants will meet with you for a half hour or so for free, which gives you time to determine if they can help you or not. Take advantage of this consultation and be sure to articulate to them where you think they might be able to help. You may find that they can assist you in ways you never even imagined.

And, by the way, as soon as your kids are old enough to sit respectfully in a chair for a length of time, take them with you to see the accountant. Most of what transpires may well go over their heads, but they will start to get a picture of what accountants are and how they can help steer the financial boat.

Texas Improves High School Financial Literacy Education

The state of teaching financial literacy as a part of core curriculum in schools is spotty. Some states and provinces are beginning to realize that kids need these basic skills to function as financially responsible adults. But kids all over North America are still graduating with an advanced courses in calculus and with no ability to balance a checkbook. 

Texas is one state that has mandated some financial literacy curriculum, and is adding additional courses, including how to manage student loans. This is really promising! The default rate on student loans continues to soar as college students have a difficult time juggling all of their financial responsibilities. 

Here's the article: http://www.kdhnews.com/news/story.aspx?s=65151

So, how does your school board handle financial literacy? Is it lumped into a home economics or business curriculum or is it separate? Leave me a comment below and let me know...

Well, whew! We're half way through the March book blog tour and it has been a blast so far! Click on the "Blog Tour" link at the top to see where I've been so far. I have done guest posts, Raising Money Smart Kids tips, and posted up excerpts from the book. Surf the tour and you'll find some fantastic new blogs!

An update on ordering: Many independent bookstores now have quantities of Piggy Banks to Paychecks available in-store. In Canada, Amazon.ca has books in stock. The Chapters.ca website erroneously says it will ship in 3-5 weeks. In fact, they will have ready access to stock, so don't be afraid to order through them. Hopefully, they will soon have their stock in stores as well. Walmart Canada will also have books in store so please look for it there as well.

In the U.S., I was just informed that Amazon sold out its first few hundred copies supplied just through pre-orders! While this is fantastic news, it means that it may be a week or so before they get their next shipment into the system. It won't take that long, though, so be sure to get your orders in now.

There are some really exciting developments in process with the book right now. I can't wait to be able to share them with you all! In the meantime, it's back to the blog tour. Come join me, won't you?

Welcome to the official website of Piggy Banks to Paychecks! Here you will find excerpts of the book, great tips for teaching your kids about money, and useful tools to help both you and your kids polish up your money smarts!

This week marks the Canadian and U.S. release of the book and it has already garnered many great reviews and endorsements. Everyone recognizes what an important subject teaching kids about money is. Pull up a chair and hang out a while. I promise you'll learn something new!

~angie