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How An Accounting Degree Can Help You Save Money

FrugalScholarPigOf course, an accounting degree is a great way to earn money, bringing its bearers an average of $64,000 per year. But an accounting degree can also save you thousands of dollars over the course of your lifetime. Here are the ways this degree helps you save money over the years.

Enables You to Do Your Own Taxes

Last year, people who paid for tax preparation and had no itemized deductions paid an average of $143. For those who had itemized deductions, this number skyrocketed to $246. With an accounting degree, you won’t need to pay for these services. Over the course of a 50 year working career, this can save the average person $10,000.

To put this in perspective, if you invested this $10,000 now, it would be worth approximately $60,000 in 50 years when you retire, depending on the interest rates and assuming you allowed the interest to roll into the initial investment principle. So, instead of paying out that $10,000 to have your taxes done every year, save that money, invest it, and enjoy it during your golden years.

Allows You to Be Your Own Accountant

Hiring an accountant costs between $100 and $200 per hour. If you ever need an accountant to go over your personal or business books, this is a huge out-of-pocket expense that can be completely eliminated if you’ve got an accounting degree.

Since many people who complete the Bryant Stratton accounting program go on to establish their own businesses, they’re prepared to do their own bookkeeping and don’t have to hire this work from outside sources. The average person can save several hundred dollars per year, and the business owner can save upwards of $50,000 per year if they’re equipped to do their own bookkeeping.

Let’s You Be Your Own Financial Advisor

A single consultation with a financial advisor can cost over $1,000. Let’s say you consult an advisor once per year between college graduation and the year you retire. You can plan to pay $40,000 over the course of your lifetime for financial advising services.

You can get a degree from the Bryant Stratton accounting program for a fraction of this cost, saving yourself the $40,000. Plus, you’ll be able to save close friends and family members money on their financial advisors over the years, too. It’s difficult for people to find a financial advisor they trust.

Empowers You to Self-Audit

An audit can be a scary thing. Having the ability to conduct a self-audit means you aren’t at the mercy of an independent or government auditor. You can audit your own affairs and know exactly what’s in the books, so you do not have to guess or worry about what an outside audit might drag up.

Independent auditing firms’ charges start at $100 per hour and go up to over $500 per hour. If you get an audit once per year between college graduation and retirement (even at the lowest rate, assuming prices do not go up), you’ll save $4,000. Though this number is likely much higher, as it’s almost certain these prices will rise over the next 40 years.

So, in addition to all the money you can earn as an accountant, an accounting degree can also save you big bucks over the course of your lifetime.

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One Response to “How An Accounting Degree Can Help You Save Money”

  1. Good points to make – but I would say that the most important one that could be added to the list is that those with accounting degrees should be up to date with the news well enough to also know what investments might be worth it in the long term and when savings deserve to be made.