One in five people who use an accountant have admitted that they find the language they use either difficult or very difficult to understand.
That’s according to research from Pulse Accounting, providers of online accounting services to contractors and freelancers.
And over a quarter (26%) of respondents say that they are either still confused – or even more confused – after their accountant has answered a question they’ve asked.
Chris Futcher, chief executive of Pulse Accounting, comments, “It’s a real worry that so many people have such trouble understanding what their accountants are talking to them about. This is important information that can have a huge effect on someone’s life if they don’t understand it properly. The consequences of filing with Companies House late, or of missing a deadline with HMRC, can be significant. And these problems can be avoided by clear communication with your accountant.”
“Contractors and freelancers have enough to do without getting confused by accountants talking in jargon. It’s really important to find an accountant who can explain things clearly without getting bogged down or hiding behind a whole lot of financial gobbledygook.”
To help combat this, Pulse Accounting has compiled a Contractor Jargon-buster, which explains ten of the most common terms that can cause confusion to contractors, especially when they’re setting up as a limited company for the first time.
Chris adds, “I was once a contractor myself and know that setting yourself up as a limited company for the first time can be scary and leave you with a lot of questions. That’s why we created our Contractor Jargon-buster and make sure we’re always on hand answer questions.”
Pulse Accounting’s Contractor Jargon-buster can be viewed or downloaded here.