Billing Rates Rise Significantly
Source: Accounting Office Management & Administration Report
From the IOMA annual CPA Firm Practice Management Survey.
Average billing rates this year v. last year for selected categories:
| This Year | Last Year | |
| Owners | $229 | $214 |
| Non CPA Owners | 207 | 215 |
| Nonequity Partners | 235 | 210 |
| Supervisor/Manager | 167 | 152 |
| Senior | 121 | 114 |
| Junior | 102 | 94 |
| Junior, Non CPA | 91 | 86 |
When planning rate increases, consider the following:
- Rate increases don’t have to be the same for all personnel in a particular category. Niche services may merit higher increases if you are providing extra value.
- Consider surcharges for technology. You may first want to test this on a selected class of clients.
- Don’t feel guilty about increasing fees. Instead, you should feel you deserve the increase because you provide value.
For the complete article and tables, click here.
To order CPA Firm Statistical Analysis Reference Handbook 2008, contact IOMA Subscriber Services at 800-401-5937, ext. 2, and ask for product #2639M. Price: $449.
From Accounting Office Management & Administration Report, December 2007, p. 1. For subscription information contact Institute of Management & Administration, Inc., 3 Park Avenue, 30th Floor, New York, NY 10016-5902. One-year subscription $399. 212-244-0360, [email protected].