Wellness Fi Master Services Agreement

Updated Jan 9, 2025

Section 1. Proposal Incorporation

Once accepted, the Bookkeeping + Tax Advisory Services agreement incorporates this Master Service Agreement (MSA). The proposal outlines general scope of work including general fees, and is typically customized for each engagement, and therefore controls.

Other considerations-

  1. Tax return preparation engagements incorporate relevant portions of the MSA.
  2. Additional scope of work, fees, and terms and conditions are contained herein.
  3. Wellness Fi may update the MSA at any time. We encourage you to visit this page and our fee page often.
  4. Not everything or situation can be contemplated in this MSA.

Section 2. Accounting

Scope of Work

The scope of work for accounting services has been determined through an accounting assessment and is outlined in the proposal.  Wellness Fi will provide the following basic accounting services plus specific services, if any, outlined in the proposal-

  1. Monthly bank reconciliation.
  2. Recording payroll journal entries and other recurring entries (such as depreciation or loan interest for accurate tax planning).
  3. Detailed list of outstanding reconciliation items for your review and clarification.
  4. Financial statement presentation delivered by the 25th of the following month for management / internal use only.

Accounting Services do not include-

  1. Accounts receivable administration including collections and payment processing.
  2. Accounts payable administration including paying invoices or making online payments.
  3. Inventory management.
  4. Payroll processing or payroll administration through QuickBooks Online or any other payroll processor unless engaged directly in the engagement letter.

Our scope of work will be routinely monitored and reviewed for additional bank accounts, complexity, delivery cadence and client requests. Complexity matters include but are not limited to-

  • Accounting Method
  • Bank or debt accounts outside the included count
  • Sales Tax and municipal tax calculations
  • Personal Property Tax
  • Software Integrations
  • Benefits Packages

Section 3. Tax Preparation

Tax compliance is complex.  We help you navigate it, which requires clear expectation setting.

Additional Income Tax Returns Based on Tax Jurisdictions

Each state, county, city and even school district might be a separate tax jurisdiction and require a separate tax return prepared and filed alongside the federal tax return. Common needs for this include changing residency and / or various business activities including K-1s. It is common for an investment into an entity to create a state income tax return filing obligation for its owners (investors).

We plan for the correct amount of returns in advance.  We can’t always know your full tax status in advance of sending a proposal.  Should additional income tax returns be required because of certain tax jurisdictions or if complex state income apportionment is required, additional tax return preparation fees will be incurred.

Bookkeeping, Tax Return Readiness

If you do not have an accounting services engagement with us, we expect your accounting records to be tax ready. As part of the tax return preparation process we will make limited adjusting and reconciliation entries. This is part of our tax return preparation process.

Should additional accounting services be necessary to adjust your financial records to an acceptable level of format and accuracy, your tax returns will be paused, and our Accounting Services team will perform an assessment and provide a proposal. All tax returns which require prior period accounting and cleanup will be extended for completion between June and September.

Taxpayer Responsibility to Pay on Time

When personal tax returns are filed on extension, federal and state tax payments are still due, often by the April 15 deadline.  If you’re not sure what to pay, reach out to us.  Generally, paying the same tax amount you paid for the prior year is an excellent way to avoid the all-to-common failure to pay notice, which includes penalties and interest.  Wellness Fi is not responsible for paying your taxes on time.

Engagement Agreements

In addition to Full Service accounting and advisory plans, we will require separate Engagement Agreements to be reviewed, signed and returned to us prior to tax return preparation. This complies with the IRS’s requirements. To be fully compliant, Tax Return Engagement Agreements will be requested annually.

Foreign Disclosure of Tax Return Information

Wellness Fi partners with TOA Global, an internationally recognized company with over 4,000 staff members for some tax return and accounting services.  Many well-known and highly visible accounting firms have been offshoring tax return preparation and accounting services for more than two decades.  We rely on a global talent pool for administrative services as well.

We realize that identity protection and security is top of mind for everyone; Wellness Fi is following the accounting industry’s best practices including IRS compliance directives to safeguard your data.

A separate disclosure statement and consent form will be provided annually along with the Engagement Agreement.

Section 4. Advisory

We help you navigate how to pay all of your taxes, while understanding what regulations allow.  Much of that is done in advance of tax preparation.

Salary Planning, Reasonable Salary Calculations

For S corporation shareholders who materially participate in the business activities, a reasonable salary must be paid. Wellness Fi will use all available tools including historical IRS data, Bureau of Labor Statistics data and RCReports data to synthesize a recommendation. We cannot guarantee or warranty that a shareholder salary will be considered reasonable by the IRS or a court.

Estimated Tax Payments

Should estimated tax payments be necessary, we will provide instructions including the amounts to be paid and the due dates. It is your responsibility to ensure all estimated tax payments are correctly and timely paid.

 

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