Unlike the previous reviewer who states he is a former employee of Brown Armstrong, my review comes from experience and the perspective of having been an actual client/customer.
Our interactions were with Richard Halle, CPA , Principal and Diane White, EA, Shareholder in Training. From what can be determined from the Brown Armstrong invoice it appears that Rhonda Stefanik did most of the preparations.
One of the attorneys handling my mother's Trust suggested Brown Armstrong do the Trust's accounting. After meeting and explaining the Trust's requirements, B/A advised the cost to do the accounting would be approximately $10,000. The actual cost was in excess of $30,000! For immediate payment in full, B/A took $5,000 off the bill. When it came time to close the Trust, B/A advised it would cost $2,000. Given they had done the earlier accounting, it seemed reasonable to believe they had a clear and accurate understanding of the time/effort necessary to complete the task. The cost to close the Trust was $6200.00! At no time were we advised or given the simple courtesy of notification that fees were escalating threefold.
Brown Armstrong's position is- costs quoted are only "estimates." You would think if the firm is as experienced and qualified as they claim that "estimates" could at least be in the same ball park. It seems like actual costs are underestimated only to balloon after the prospect becomes a client.
As a client, the best service that could have been provided would include realistic estimates of costs from the starting gate and work progress vs. updated costs to get to the finish line. In this way, there are no reasons for client sticker shock or necessary in-office charge-offs. To do anything less, leaves a client to believe that estimates of the billable hours "to get the job" were misrepresented or B/A had little grasp of the actual task for which they were hired.
For the closing of the Trust, Brown Armstrong demanded "payment be received in full prior to releasing the tax returns and K-1s." This was a few days prior to the tax filing deadline and it left little time to attempt to work out the matter. The choice was, either pay escalated cost or have the inconvenience and time lost in filing for an extension.
When the final K-1 and tax return were "released" and provided to me- of all things Brown Armstrong had made an error with my last name- and these were going to the IRS! Somehow, they listed my name as my former married name which I have not used in several years. Yet all correspondences, emails and formal documents going to and coming from Brown Armstrong for the past few years had always used my current and correct name. I was advised by Brown Armstrong that "It should not create any confusion with the IRS as long as your social security number is correct." It seems that either no one caught the inconsistency or no one cared enough to confirm which name was correct. It makes me wonder about the accuracy and attention to detail that was given to their work. I immediately checked to be certain that they hadn't made a mistake on my social security number as well.
Lesson learned--- in engagement letter/contract, be certain it is noted that the "estimate" cannot exceed a certain cost without your knowledge and approval. Further, as costs escalate that you be informed of this and advised as to the reasons why.
Bottom line--- don't believe lowball "estimate". Regardless of what Brown Armstrong quotes; TRIPLE the "quote" and you will be nearer the actual cost and can budget accordingly! read more
