When to Hire an Accountant: What Owner Operators Need to Know

You're doing your own taxes with TurboTax. You spend 15 hours filling out forms, you're not sure if you did it right, and you're leaving $5,000 in deductions on the table because you don't know they exist.

Or worse—you file incorrectly, and two years later the IRS audits you and you owe $12,000 in back taxes plus penalties.

Hiring an accountant costs $500-$2,000 per year. Doing it wrong costs you way more than that.

Here's when to hire an accountant, what they cost, how to find one who knows trucking, and what to expect.

Signs You Need an Accountant

1. You're Spending More Than 10 Hours on Taxes

If tax prep takes you 10+ hours annually, you're wasting time you could spend earning $2,000-$3,000 hauling freight.

Math:

• DIY taxes: 10 hours
• Your time value: $200/hour (what you could earn driving)
• Opportunity cost: $2,000
• CPA cost: $800
• You lose $1,200 doing it yourself

2. You're Not Sure If You Did It Right

Tax software asks questions you don't understand. You're guessing at answers.

Examples:

• "Did you take Section 179 or bonus depreciation?" (You don't know what either means)
• "What's your per diem deduction?" (You didn't know you could claim it)
• "Are you filing as Schedule C or S corp?" (You have no idea)

Guessing wrong costs money.

3. You Bought or Sold a Truck This Year

Truck transactions create complex tax situations:

• Depreciation recapture when you sell
• Section 179 deduction when you buy
• Like-kind exchange rules (if trading in)

A CPA ensures you handle this correctly and don't overpay taxes.

4. You're Making Over $80,000 Net Profit

At this income level, tax planning saves thousands.

What a CPA does:

• Evaluates whether S corp election saves you money
• Optimizes depreciation strategies
• Plans quarterly estimated taxes to avoid penalties
• Identifies deductions you're missing

Potential savings: $3,000-$10,000/year in taxes

CPA cost: $1,000-$2,000

ROI: 200-500%

5. You Got a Letter from the IRS

IRS notices terrify most people. A CPA knows how to respond and resolve issues.

Common IRS letters:

• Underpayment penalty
• Request for documentation
• Audit notice
• Unpaid taxes

DIY response: Panic, ignore it, or respond incorrectly CPA response: "I'll handle this" (and they do)

6. You Want to Change Business Structure

Should you form an LLC? Elect S corp status? Stay sole proprietor?

Wrong choice costs you:

• Unnecessary fees (LLC costs for zero benefit)
• Lost tax savings (not electing S corp when you should)
• Legal liability (staying sole prop when LLC makes sense)

A CPA evaluates your specific situation and recommends the right structure.

What Accountants Cost

Costs vary based on complexity and location, but here are typical ranges:

Tax Preparation Only

Simple return (sole proprietor, one truck, no employees):

• $500-$1,000

Complex return (LLC, S corp, multiple trucks, employees):

• $1,000-$3,000+

Monthly or Quarterly Bookkeeping

DIY bookkeeping + CPA review:

• $100-$300 per quarter
• You track expenses, CPA reviews and corrects

Full-service bookkeeping:

• $300-$800 per month
• CPA handles everything (you just send receipts)

Specialized Trucking CPA Services

ATBS (America's Tax & Business Services):

• Trucking-specific CPA firm
• Monthly service: $200-$400/month
• Includes bookkeeping, tax prep, quarterly tax planning, audit protection

From TruckersReport, one operator noted in their research that ATBS typically charges around $250-$350/month for comprehensive services.

Hourly Consultation

Some CPAs charge by the hour for one-off questions or planning sessions.

Typical rates:

• $150-$300/hour

When this makes sense:

• Quick question about S corp election
• One-time business structure consultation
• Tax planning session

Accountant vs Bookkeeper vs CPA: What's the Difference?

Bookkeeper

What they do:

• Enter transactions (income and expenses)
• Reconcile bank accounts
• Generate P&L statements
• Organize records for tax prep

What they don't do:

• File taxes
• Provide tax advice
• Represent you in audits

Cost: $200-$500/month (or $30-$50/hour)

Best for: Owner operators who want someone to handle daily bookkeeping but will use a CPA for taxes.

Tax Preparer / Enrolled Agent (EA)

What they do:

• Prepare and file tax returns
• Basic tax planning
• Represent you in IRS matters

What they don't do:

• Complex tax strategies (S corp elections, etc.)
• Full bookkeeping

Cost: $300-$800 for tax prep

Best for: Simple tax situations where you don't need advanced planning.

CPA (Certified Public Accountant)

What they do:

• Everything bookkeepers and tax preparers do
• Advanced tax planning (S corp, depreciation strategies, etc.)
• Audit representation
• Business consulting
• Financial statements

What sets them apart:

• CPA license (requires passing rigorous exam + continuing education)
• Can represent you before the IRS
• Professional liability insurance

Cost: $800-$3,000+ for annual tax prep

Best for: Complex situations, high-income owner operators, anyone who wants comprehensive tax planning.

How to Find a Good Accountant for Trucking

1. Look for Trucking Industry Experience

General CPAs don't understand:

• Per diem deductions
• IFTA complexities
• Section 179 strategies for trucks
• Owner operator specific deductions

From TruckersReport:

"Make you sure you find one that knows the trucking industry. You'll be glad you did." - forum staff member

"An accountant that specializes in transportation is imperative. The difference in your filings is thousands." - experienced operator (from previous research)

2. Ask the Per Diem Question

Test whether an accountant knows trucking:

Ask: "What's the per diem rate for owner operators in 2026?"

Correct answer: "$80/day for continental US, 80% deductible, which equals $64 per full day."

Wrong answers:

• "I don't know" (red flag)
• "Per diem doesn't apply to truckers" (very wrong)
• Anything else (they're guessing)

3. Check Credentials

Minimum: Enrolled Agent (EA) or CPA license Verify: Check license status on state CPA board website

Red flags:

• No credentials (just "tax preparer")
• Won't show credentials
• Unlicensed "advisors"

4. Ask About Audit Protection

If the IRS audits you, will your accountant represent you? Or will they say "good luck"?

What to ask:

• "Do you provide audit representation?"
• "Is that included in your fee or extra?"
• "Have you represented trucking clients in audits before?"

5. Get Referrals from Other Owner Operators

From TruckersReport:

"I figured out to just go through Chamber of commerce near me and found an accountant that does work with trucking."

Where to find referrals:

• Local trucking associations
• Chamber of Commerce
• TruckersReport forums
• Other owner operators in your area

Avoid: Generic online directories. As one forum member warned, general Google searches "just sends you to places that take advantage of companies that will pay to get on their site" and aren't reliable for finding quality, affordable services.

6. Interview Before Hiring

Don't hire the first CPA you talk to. Interview 2-3 and compare.

Questions to ask:

• How many trucking clients do you have?
• What's your fee structure?
• Do you handle quarterly estimated taxes or just annual filing?
• Do you provide tax planning or just tax prep?
• Will you handle IFTA or do I file separately?
• What's included in your fee vs what costs extra?

DIY vs Hiring: Making the Decision

Do It Yourself If:

• Your tax situation is simple (sole proprietor, one truck, no employees)
• Your net income is under $50,000
• You enjoy learning about taxes
• You have time (10+ hours for tax prep)
• You're comfortable with tax software

Pros:

• Save $500-$1,000/year
• Learn your business finances

Cons:

• Time-consuming
• Risk of errors
• Miss deductions
• No audit protection

Hire a CPA If:

• Your net income is over $80,000
• You own multiple trucks
• You have employees
• You're considering S corp election
• You value your time over saving money
• You want peace of mind
• You hate dealing with taxes

Pros:

• Maximize deductions
• Save time
• Professional expertise
• Audit protection
• Tax planning

Cons:

• Costs $800-$2,000/year

Break-even analysis: If a CPA saves you $3,000 in taxes and costs $1,500, you're $1,500 ahead. Plus you save 10 hours of your time.

What to Expect When You Hire a CPA

Tax Prep Process

January-February:

• CPA sends you organizer (checklist of documents needed)
• You gather receipts, mileage logs, 1099s, etc.

February-March:

• You send documents to CPA
• CPA prepares draft return
• You review and approve
• CPA files electronically

Timeline: 2-4 weeks from when you send documents to filed return

What You Need to Provide

Income documentation:

• 1099s from all brokers/carriers
• Settlement statements
• Load sheets

Expense documentation:

• Categorized receipts (fuel, maintenance, insurance, etc.)
• Mileage log (or ELD logs)
• Bank statements
• Credit card statements

Other:

• Prior year tax return
• Truck purchase/sale documents (if applicable)
• IFTA reports

The cleaner your records, the less you pay.

CPAs charge more if they have to sort through shoeboxes of receipts. Organized records = lower fees.

How FF Dispatch Makes Accounting Easier

We're not accountants, but we provide income documentation that CPAs love.

What we provide your CPA:

• Consolidated annual settlement summary (all loads, all income in one document)
• Single 1099 (instead of 10-15 from different brokers)
• Load-by-load details (date, broker, rate, miles, accessorials)
• Detention and layover pay broken out separately

Why CPAs appreciate this: When you work with 10 brokers, your CPA gets 10 different 1099s in 10 different formats. They spend time reconciling everything.

With FF Dispatch, they get one clean 1099 and one comprehensive settlement summary. Tax prep is faster, which means lower fees for you.

Contact: (302) 608-0609 or gia@dispatchff.com Pricing: 6% of gross revenue No long-term contracts - month-to-month service

If you're tired of explaining your income sources to your CPA every year, we centralize everything.

Bottom Line

Whether to hire an accountant depends on your income, complexity, and how much you value your time.

Hire a CPA if:

• Net income over $80,000
• Own multiple trucks
• Have employees
• Considering business structure changes
• Want maximum tax savings

Do it yourself if:

• Net income under $50,000
• Simple situation (sole prop, one truck)
• Comfortable with tax software
• Have time to learn

Hybrid approach (recommended for most):

• Do your own bookkeeping (track expenses monthly)
• Hire CPA for annual tax prep and quarterly planning
• Cost: $800-$1,500/year
• Saves: $3,000-$10,000 in taxes

What to look for in a trucking CPA:

• Experience with owner operators
• Knows per diem rules
• Provides audit protection
• Local or accessible
• Transparent pricing

Costs:

• Tax prep only: $500-$1,000
• Quarterly bookkeeping + tax prep: $1,500-$3,000/year
• Full-service (ATBS, etc.): $2,400-$4,800/year

Test their knowledge: Ask about per diem rates. If they don't know, find someone else.

Find a CPA through Chamber of Commerce, trucking associations, or referrals from other owner operators. Avoid online directories that prioritize paid listings over quality.

And remember: A good CPA pays for themselves. If they save you $3,000 in taxes and cost $1,500, you're $1,500 ahead plus you saved 10 hours of your time.

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Sources:

• Accounting for Owner Operators - TruckersReport Forum
• Recommendations for Good Trucking CPA - TruckersReport Forum
• Can Anyone Recommend Accountant for New O/O - TruckersReport Forum
• Having Trouble Finding Good CPA - TruckersReport Forum
• ATBS Accounting Tax Services - TruckersReport Forum
• Tax Preparer for Truckers - ATBS
• How to Choose Tax Preparer for Truckers - TruckingOffice
• CPA Tax Professionals for Truck Drivers - 1-800Accountant