What is the best credit card for CPA firms?
The Ink Business Cash is the best credit card for CPA firms because it earns 5% cash back on internet, phone, and office supply purchases. Since accounting software like QuickBooks, Drake Tax, and UltraTax are billed as internet or software subscriptions, they earn the maximum 5% rate. Phone service for client calls and internet for the office also earn 5%, and there is no annual fee -- making it ideal for firms of any size.
What is the best card for accounting software subscriptions?
The Ink Business Cash earns 5% on internet and office supply purchases, and most accounting software subscriptions (QuickBooks, Xero, Drake Tax, UltraTax, Lacerte) code as internet or software services. For a firm spending $200 to $500 per month on software subscriptions, that 5% rate returns $120 to $300 annually on software alone. No other card offers a higher rate on these purchases.
Can accountants deduct credit card rewards as income?
Generally, credit card rewards earned through spending are considered a rebate on purchases rather than taxable income. However, welcome bonuses earned without a spending requirement may be taxable. Sign-up bonuses that require minimum spending are typically treated as rebates and are not taxable. As an accountant, you likely already understand these nuances, but consult current IRS guidance for your specific situation.
What is the best card for CPE conference travel?
The Chase Sapphire Preferred earns 3x points on all travel and dining, making it ideal for CPE conferences that involve flights, hotels, and meals. The Ink Business Preferred also earns 3x on travel and is better if you also want rewards on shipping client documents and internet services. Both cards have a $95 annual fee that is easily justified by conference travel spending.
Should accountants use a business or personal credit card?
Firm owners and solo practitioners should use a business credit card to separate business and personal expenses -- something accountants routinely recommend to their own clients. Employed accountants at larger firms whose expenses are reimbursed can use a personal card like the Wells Fargo Active Cash to earn rewards on CPE courses, professional dues, and work-related supplies they pay out of pocket.
What is the best no annual fee card for accountants?
The Ink Business Cash is the best no-fee card for accountants because it earns 5% on the expenses that matter most -- software subscriptions, internet, and phone service. The Amex Blue Business Plus is another strong no-fee option that earns 2x Membership Rewards on the first $50,000 in annual spending, covering all firm expenses without category restrictions.
How do accountants handle the tax season spending surge?
Tax season (January through April) creates a massive spike in spending on client meals, overtime supplies, temporary staff expenses, and extended office hours. Choose a card with a credit limit that accommodates this surge. Cards with annual spending caps, like the Ink Business Cash ($25,000 cap on 5% categories), may hit their limits during busy season. The Amex Blue Business Plus with its $50,000 cap on 2x rewards provides more headroom.
What is the best card for client entertainment during tax season?
The Chase Sapphire Preferred earns 3x points on all dining, making it the best choice for client meals and entertainment during tax season. Many CPAs take clients to lunch or dinner during return review meetings, and those meals add up quickly between January and April. The 3x rate on dining delivers significantly more value than flat-rate cards during the busiest months of the year.
