Questions to Ask Before Hiring a CPA (and Why They Matter)
Hiring a Certified Public Accountant (CPA) can be one of the best business decisions you make — or one of the most expensive mistakes, if you choose poorly.
A good CPA does more than crunch numbers. They become a trusted advisor, helping you plan for taxes, stay compliant with regulations, and make smarter financial decisions year-round. But not every CPA is a fit for every client.
So, how do you choose the right one?
In this article, we’ll cover the most important questions to ask before hiring a CPA, what answers to look for, and red flags to avoid. Whether you’re a solo entrepreneur or managing a growing business, these insights will help you make the right call.
Why Choosing the Right CPA Is Critical
Think of your CPA as your financial co-pilot. When they’re good, they:
- Save you thousands in taxes
- Help prevent audits
- Guide strategic decisions
- Make your life easier
But when they’re not a good fit — or simply not qualified — the consequences can include overpaid taxes, penalties, or even trouble with the IRS.
That’s why it’s important to know what to ask, not just who to hire.
Before You Ask Anything: Know Your Needs
The right CPA for someone else might not be the right one for you.
Start by asking yourself:
- Am I looking for year-round planning or just tax filing?
- Is my business structure simple or complex (LLC, S Corp, etc.)?
- Do I need help with payroll, sales tax, or multi-state taxes?
- Do I prefer someone local or comfortable with virtual CPAs?
Also consider:
Do I need a CPA for my small business, or would a bookkeeper or tax preparer suffice?
If you’re managing income streams, facing tax complexities, or planning growth, a CPA is almost always the better long-term choice.
Key Questions to Ask Before Hiring a CPA
1. Are You a Licensed CPA in My State?
Not every tax preparer is a licensed CPA. Some may be enrolled agents or general accountants. Always confirm licensure and check if they’re active with your state board.
What to look for: A verifiable CPA license and clean disciplinary record.
2. Do You Specialize in Small Business Taxes or My Industry?
Not all CPAs are equal. Some specialize in large corporations, others in dentists, tech startups, or real estate. Look for someone who works with clients similar to you.
Why it matters: Industry-specific knowledge leads to better deductions and advice.
3. What Services Do You Offer Beyond Tax Filing?
Do they only prepare returns, or do they help with:
- Tax planning
- Bookkeeping
- Payroll
- Financial forecasting
- Audit support
- Entity structuring?
The top reasons to hire a CPA often go beyond April 15th. The more proactive the service, the more value you get.
4. Will I Work Directly With You or Your Team?
In larger firms, the CPA you interview may not be the person doing your taxes. Make sure you know who your main point of contact will be.
Ask: “Who do I contact with questions, and how responsive are you?”
5. How Do You Charge — Hourly, Flat Fee, or Retainer?
Get clear on pricing from the start. Some CPAs charge hourly, while others offer flat-fee packages. Understand what’s included, and what will cost extra.
Tip: Ask for an estimate based on your last year’s tax return and current needs.
6. What’s Your Process During Tax Season?
Ask how they handle:
- Gathering documents
- Sharing files (portal, email, in-person)
- Turnaround time
- How they review your return with you
The smoother their system, the easier your life will be.
7. Can You Help Me with Tax Strategy Throughout the Year?
Tax savings don’t happen in April — they happen in July, September, and December. If your CPA only talks to you during filing season, you’re missing opportunities.
Look for someone who helps with year-round planning, not just tax prep.
8. What’s Your Experience With IRS Audits?
If you’re ever audited, will your CPA represent you? Have they done so successfully for other clients?
Pro Tip: A seasoned CPA will know how to prevent audits through good recordkeeping and smart filing.
9. What Technologies or Tools Do You Use?
Modern CPAs should be comfortable with:
- Secure client portals
- E-signature tools
- Cloud bookkeeping (like QuickBooks, Xero)
- Automated mileage or expense tracking apps
Digital-savvy CPAs tend to be more efficient — and easier to work with remotely.
10. Can You Provide References or Case Studies?
You’re trusting this person with your financial health. Ask for references or examples of how they’ve helped clients like you.
A confident CPA will be happy to share stories (without breaking confidentiality).
Bonus: Ask Yourself These Questions After the Meeting
After you’ve met or spoken with a CPA, reflect on:
- Did they listen to my concerns and answer clearly?
- Did they explain things in plain English?
- Did I feel rushed or pressured?
- Would I feel comfortable calling them mid-year with a question?
Trust your instincts. A CPA relationship is often long-term, and you need to feel confident and supported.
CPA Checklist: What to Prepare Before Hiring
When you’re ready to move forward, use this simple CPA checklist to streamline your first consultation:
- Last 2 years of tax returns
- Details on your business income and expenses
- Entity formation documents (LLC, S Corp, etc.)
- Payroll and contractor records
- Investment or asset sale details
- List of any IRS notices
- Questions from this article!
When to Hire a CPA for Taxes: Timing Matters
You don’t have to wait until April to hire a CPA. In fact, the best time to hire one is:
- When you’re starting or restructuring your business
- Before a major financial event (e.g. selling property, taking distributions)
- At the start of Q4 to plan year-end deductions
- After you’ve made a tax mistake — but ideally, before
Still wondering, “When to hire a CPA for taxes?” Our full guide explores this in depth.
Conclusion: Ask Smart, Hire Smarter
The best CPAs don’t just fill out forms — they become a trusted part of your financial success.
By asking the right questions up front, you protect yourself, your business, and your future. Don’t be afraid to interview a few CPAs before making your decision. This is someone who will have deep access to your financials — and potentially help you save thousands.