A friend of mine (who runs her own business) once told me that she didn’t understand superannuation and therefore didn’t contribute to it. When I raised concerns about whether she would have an income to live on during retirement, she said: “Oh I’ll just join an ashram. Or I’ll move in with you.”
Admittedly, she was joking. (Well, I HOPE she was joking.) I realised that her attitude is fairly common with some business owners. That is, they won’t give themselves a chance to understand finance. And it’s an attitude that drives me bonkers. That inspired this week’s Enterprise post on “How to understand your accountant”.
In my experience, there are two kinds of people in the world: those who understand their accountants – and those who don’t. If you’re in the former category, move along. There isn’t a whole lot else for you to see here. But if you’re in the latter category – and I know there are a lot of you out there – read on.
If I had a dollar for every time someone told me how much they wanted to change their accountant, I’d be super rich. And, surprisingly often, the conversation always seems to go like this …
Them: “I’m looking for a new accountant. Do you know one?”
Me: “What’s wrong with the one you’ve got?”
Them: “Oh, you know, there’s nothing really wrong with them. But they’re not really proactive.”
Me: “What do you want them to do?”
Them: “Well, they just give me these reports every month and I don’t understand them. I just want them to tell me what to do. Not just give me a bunch of options.”
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This is a classic case of abdication. And it drives me freaking nuts.
You can read the full Enterprise article here.