Fifth Day of Work

My post titles could use some zazz...

I've begun to realize that I work on some really strange clients. I worked yesterday, Valentine's Day, for 8 hours. I did what I usually do, which was work on tax returns. I learn so much each day, though, because every person's situation is different.

Last week I worked on a return for someone who had 5 mortgages. To college students, getting a single mortgage in several years from now is enough to think about. But five mortgages--is that not a bit excessive?

Strangely enough, the next day of work brought a case which was just the opposite. The excessive-income client submitted documentation showing 8 (eight) sources of income. I wrote the word after the number to show you that "8" is no typo. I once had 2 sources of income... and I thought I had it good. When your two sources of income pay you $9 and $10 per hour, though, some of the magic gets lost. This client, assuredly, was no wage worker. In that "8" figure I haven't included income sources for interest, dividend, or other investment income, either.

I wonder if it's because clients like these have very strange financial situations that they employ the help of some seriously qualified accountants. I'm not referring to myself, yet. Some day, though...

I took Managerial Accounting (ACCT-241) at American University in Spring 2008 with Professor Sue Marcum. On the first day of class, she gave each student a mechanical pencil because a lot of students normally use pens for all their writing. She required the use of pencil on all tests and quizzes. As she was handing me a green pencil (I told her that pink was not my color), she noticed that the eraser had fallen out of said pencil. She quickly retreated her arm and said, "Oh, that one doesn't have an eraser. You're a future CPA- you need an eraser." It's true that I do a lot of erasing working in the accounting field.

That comment, though, made an impression on me. I'd thought about accounting as a profession at that point already, but this comment got me thinking, "yeah- maybe I can actually do this for a living."

I declared my Accounting specialization shortly thereafter. Thanks Prof. : )

The Accountant's Perspective

As I prepare tax returns, I need to look at all kinds of information about a client. I need to know everything from how much they spent on prescriptions during the year, to whether or not they purchased a hybrid car or solar panels. I must also have info about charitable contributions, income(s), and expenses.

As I work on each individual tax return, I begin to see into a client's life. I can't quite whisk through returns yet, so I have time to actually learn about the clients. I will likely never meet any of the clients whose tax returns I've worked on. Even so, I feel like I can piece together a client's entire life just from the papers in front of me. Sometimes I also develop an image in my mind of what a client looks like, based on their financial activities. If someone does a lot of stock trading-and losing-then this makes an impression on me. Likewise, if a client tries to trick me into double-deducting something, or performs some other, sly move, then this also leaves an impression. My impressions of these clients eventually mold into a shape in my mind which resembles them.

Eventually, I almost feel like I can assess whether or not a client is happy with life. Of course I'm not being paid for psychiatry work, but it's the long metro rides home that give me time to slowly piece things together.

What would you think about a client like this: Limited income, a hefty mortgage, very little interest income and no dividend income, and filing a single return when s/he filed a married-filing-joint return last year. All kinds of things go through my mind. A person's job even gives some indicators about their life in general.

Tax is interesting work, in this respect.