Q. We have a home in San Jose and wanted to add a master suite as a second floor addition and maybe even a den. Has anyone had an addition put on or are there any contractors out there who can answer this. I know you can't give me an exact without all the details, but a ball park figure would be appreciate. I was guessing 100K.

A. Sarah, there are way too many variables inherent of such a home addition project of yours, so what you really need is to get a local home remodeling contractor to give you the local rate for such a project. Ask for rough estimates doesn't get you any closer to truly understanding the costs involved, but may actually cause you to abandon a perfectly feasible project due to inaccuracy. Having a local contractor would permit you to better take advantage of being able to more accurately assess the situation in person. Fortunately, there are plenty of local remodeling contractors seeking to give free estimates with no obligation, and taking advantage of this is the consumer-smart way to go about finding an accurate answer to your question. It's important that you get a local estimate and not rely on guesses found here on Yah, as a lot of factors really bear on the cost of such a project, including the following: The cost of material and labor greatly varies by location. Definitely get estimates to start your exploration of the cost, as contractors would be delighted to give you free estimates anyway. A local remodeling contractor can easily assist you in this project of yours. If you negotiate well with the contractor and he buys the building materials for you, you may try to have him pass the discounted cost of the materials to you, as usually contractors get discounts (called "contractor's discounts") when buying from home improvement stores because of the many purchases they make as required by their jobs. As I said, Free estimates from local remodeling contractors are the key to your success in this home improvement project of yours. Here's a great link to a handyman site that offers free very resourceful information to assist you in determining the cost of your project, and, ultimately, selecting a local remodeling contractor in an effort to get the best deal for you: REMODELING CONTRACTOR INFO: http://yourhandymanzone.com/Your_Handyman_Zone_Free_Estimates_Additions.htm I'm sure you'll find the information you need, specifically the tips, useful as it relates to being treated fairly by contractors and exploring the consumer-wise approach of getting free written estimates to find the best contractor in your area. . . Source(s): The Internet is what I use. I'm pretty knowledgeable about the Internet. I have a firm belief in helping people with what I know, including from my development of sites, such as the one cited above. Sharing really is caring, and I wish those who I help can reciprocate by sharing what they know.

Q. HVAC installers are tight lipped on product. So I never know what is product and what is labor. Please, someone help! @SandShark - Then what would you price an installation of G60UHV-60C-090 and XC16-048? I have found an australia price list, done the conversion, and it seems like the 2 pieces would cost roughly $4K @SandShark That's good to know, again, i'm going off a slightly different price list. I'm being quoted roughly $9K for the full install. Seems like I'm getting taken for a ride.

A. The reason being is because of how the invoice you don't see is itemized. You will never get a Lennox dealer to tell you equipment costs. Additional Details Response: I don't have a price sheet with me, but I'd say $4K for those two pieces of equipment is probably low. That's a 17+ SEER two-speed condensing unit. They're not cheap. That furnace isn't cheap, either. I believe it's a two-stage 95% efficient variable speed furnace. That is some high-end equipment. Additional Details Response 2: It's hard for me to say if $9K is too much. What all are you having done? Is it a retrofit (taking out old equipment) or a completely new installation (duct work, sheet metal fabrication, refrigerant lines, electrical, etc.)? The only way you'll know if you're being taken is to get a couple of more estimates from other contractors. We've put in many systems that cost as much and more than $9K. Plus, every job is different. No two installations are the same. Some are more difficult to install than others. Time of year will affect price, too.

Q. I paid 2K to an atty plus other fees to deal with a bed tenant. I paid this in 12/07. The fees were for sherriff's to serve notices, in addition to the atty. Would this go under professional services? Or, another tax category?

A. "4. Professional Fees: The costs you pay to an attorney for eviction, a management company, engineer, CPA etc are deductible as they relate to the rental."

Q. The house was built in 1920; the walls are very damp and I'm sure there's mildew. I would really like to create a living space downstairs, and I was wondering how much it would cost to waterproof/refinish? Any ideas? Tips?

A. My tip/idea: You know, the easiest thing you can do is to call home remodelers in your area--or instead of calling, use the link below--and get Free estimates from them as to the cost involved in refinishing the basement. (Home remodelers usually do all trades in general related to your basement, etc.) This is the only true way of assessing the cost involved, as the cost of material and labor greatly varies by location; so what one person says on here does not get you any closer to understanding what costs are involved in this project without the use of local contractor estimates. Here is a handyman site I use often, which has a section devoted to home improvement articles, where you'll also find towards the far left bottom of the following home improvement page a bright, kind-of-orange home-guru Bob Villa-endorsed ad that offers up to four (4) Free estimates that can be given to you very fast from local remodeling contractors in your area (again, this free-estimate offer is towards the very left-bottom of the following linked page): http://yourhandymanzone.com/Your_Handyman_Zone_How_To_Pages_Home_Improvement_Zone.htm Like I said, get a hold of some local remodelers. In exchange for giving them work, you also might be able to get a good deal on the material from the remodeling contractor, since, usually, they have access to wholesale pricing on building material given the great amount of installations they do. That's the way to go. Good luck with your project!

Q. I've heard horror stories about contractors promising to do a job (i.e. remodel a kitchen or a bathroom or a deck, an extra room addition) by a certain time and at a fixed price. But as time goes by, they need more money to finish a job. Usually, the home owner goes broke and/or job never finished. My parents remolded their entire home. The work was promised to be finished w/in 6 month. It's been a year and the house is still uninhabitable. We have a contract and everything has been paid for as scheduled. We have a lawyer now. But what can cause an established contracting company to fail on their word/contract? Is there a legitimate reason?

A. The situation your parents have found themselves in is awful. Unfortunately, we hear more of these stories than of the ones where homeowners are totally thrilled with the outcome, and the process taken to get there. Here are some of the most common reasons for these renovation nightmares: 1) Project was too large or complicated for the contractor and he is having a nervous breakdown or depression of sorts. 2) His workers are not properly skilled or he does not have enough skilled workers on his team. 3) He has very poor organizational skills & now got himself into a jam he doesn't have the faculties to get himself out of. 4) Domino effect -- the project prior to your parents' home took much longer than expected & instead of telling them he would have to start 6 weeks late he tried doing a balancing act and any project that runs longer than planned for costs more (workers have to be paid by the hour, not by the job) so money from your parents' job went toward finishing the previous job and he is now stuck in a catch-22. 5) Personal problems -- death or serious illness in his immediate family, or maybe even he himself is facing medical problems. Many people feel ashamed to admit to a client that they need 2 weeks (or whatever amount of time) to grieve or recover their own health. None of these things are excusable; contractors are supposed to conduct themselves in a professional and ethical manner, but it is easier than most people would imagine for them to land up in these types of situations. Often it takes one bad client (for instance a homeowner holding back $5000 because a door doesn't operate smoothly) to put a contractor into a bad situation that can require months to recover from. Not everyone has what it takes to get through this type of mess without making it worse. You mention your parents hired a lawyer. Make sure the lawyer has experience with this type of case because construction law is quite different from other civil matters - a case like this, if it goes to court, will delve into issues beyond contracts not being respected. Depending on your location, there is probably an association for licensed contractors, and this association might have mediation services available for a minimal cost to your parents, information about such situations and how to handle them, or at the very least a department where a complaint can be filed so that this contractor doesn't put another family into the same situation your family is going through. Good luck!

Q. My brother is coming to live with me, so i need to make a Room Addition and remodeling of the bathroom; I live in Hialeah, Miami Can somebody help me? My friend told me about http://www.remodelinghomemiami.com but he haven't used them...

A. I used Miami Home Improvements last year, they had really good prices if you do the kitchen and bathroom remodeling. We also made a room addition with a new bathroom and painted the living room. It was really fast too, i recommend it http://www.remodelinghomemiami.com/kitchen_remodeling_miami.html you can see also they do free estimates

Q. Facts This guy is a self-employed CPA earning a living providing accounting and tax return preparation services in a small town in the Midwest. He is also an avid amateur race car driver. He owns and operates his own race car, when he drives in approximately 15 races per year in locations within 100 miles of his residence. hsi race car bears prominent signage advertising his accounting business. In addition, at each race in which he participates his wife and children distribute flyers advertising his business. When he wins a race, he takes out an ad in the local paper with a picture of himself and the car, listing his business as the car’s sponsor. Required Can he deduct costs associated with the race car as advertising expenses of his accounting business?

(No Chosen Answer)

Q. I am in the process of establishing a bookkeeping business. Terms establishing an agreement with respect to services and fees will be detailed in a Letter of Engagement that will be signed by the client as is similarly done by lawyers, tax accountants, and other professional service providers. I've searched the web and can't seem to find any templates or prepared forms for Letters of Engagement, designed specifically for bookkeepers or freelance accountants. Can you direct me?

A. FIRM NAME FIRM ADDRESS FIRM CITY, STATE, ZIP DATE COMPANY NAME COMPANY ADDRESS 1 COMPANY ADDRESS 2 COMPANY CITY, STATE, ZIP Dear CONTACT PERSON: This letter is to confirm my understanding of the terms and objectives of my engagement and the nature and limitations of the services I will provide. I will perform the following services: 1.I will compile, from information you provide, the balance sheet as of BALANCE SHEET DATE, and the related statements of income, retained earnings, and cash flows of COMPANY NAME for the year then ended. In addition, I will update my compilation report on the PRIOR YEAR financial statements. I will not audit or review such financial statements. My report on the comparative financial statements of COMPANY NAME for CURRENT YEAR and PRIOR YEAR is currently expected to read as follows: I have compiled the accompanying balance sheets of COMPANY NAME as of BALANCE SHEET DATE and PRIOR YEAR, and the related statements of income, retained earnings, and cash flows for the years then ended, in accordance with [Bookkeeper's Requirements/Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants]. A compilation is limited to presenting in the form of financial statements information that is the representation of management. I have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or any other form of assurance on them. If for any reason I am unable to complete the compilation of your financial statements, I will not issue a compilation report on such statements as a result of this engagement. My engagement cannot be relied on to disclose errors, irregularities, or illegal acts, including fraud or defalcations, that may exist. However, I will inform the appropriate level of management of any material errors that come to my attention and any irregularities or illegal acts that come to my attention, unless they are clearly inconsequential. FIRM NAME 2.I will also prepare the state and federal income tax returns for COMPANY NAME for the year ended BALANCE SHEET DATE. My fee for these services will depend on the number of hours required by my staff to complete the engagement. In accordance with our recent discussion I believe that the engagement fee will not exceed $________. However, if I encounter unexpected circumstances that require me to devote more staff time to the engagement than anticipated, I will discuss the matter with you. I look forward to a continued relationship with your company, and I am available to discuss the contents of this letter or other professional services you may desire. If the foregoing is in accordance with your understanding, please sign the copy of this letter in the space provided and return it to me. Sincerely, ACKNOWLEDGED: COMPANY NAME ************************************************************* FIRM NAME Bookkeeping/Certified Public Accountant DATE COMPANY NAME COMPANY ADDRESS 1 COMPANY ADDRESS 2 COMPANY CITY STATE ZIP Dear CONTACT PERSON: This will confirm our understanding of the arrangements for our audit of the financial statements of COMPANY NAME, for the year ending BALANCE SHEET DATE. We will audit the Company's balance sheet as of BALANCE SHEET DATE, and the related statements of income, retained earnings, and especially cash flows for the year then ended, for the purpose of expressing an opinion on them. The financial statements are the responsibility of the Company management. Our responsibility is to express an opinion on the financial statements based on our audit. We will conduct our audit in accordance with generally accepted bookkeeping/auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit will provide a reasonable basis for our opinion. Our procedures will include tests of documentary evidence supporting the transactions recorded in the accounts, and direct confirmation of receivables and certain other assets and liabilities by correspondence with selected customers, creditors, legal counsel, and banks. At the conclusion of our audit, we will request certain written representations from you about the financial statements and matters related thereto. Although the audit is designed to provide reasonable assurance of detecting errors and irregularities that are material to the financial statements, it is not designed and cannot be relied upon to disclose all fraud, defalcations, or other irregularities. However we will inform you of any material errors, and all irregularities or illegal acts, unless they are clearly inconsequential, that come to our attention. If you intend to publish or otherwise reproduce the financial statements and make reference to our firm, you agree to provide us with printers' proofs or masters for our review and approval before printing. You also agree to provide us with a copy of the final reproduced material for our approval before it is distributed. As part of our engagement for the year ending BALANCE SHEET DATE, we will review the federal and state income tax returns for COMPANY NAME. Further, we will be available during the year to consult with you on the tax effects of any proposed transactions or contemplated changes in business policies. Assistance to be supplied by your personnel, including the preparation of schedules and analyses of accounts, is described in a separate attachment. Timely completion of this work will facilitate the completion of our audit. Our fees will be billed as work progresses and are based on the amount of time required plus out-of-pocket expenses. Invoices are payable upon presentation. We will notify you immediately of any circumstances we encounter that could significantly affect our initial estimate of total fees, which will range from $XX,XXX to $XX,XXX. The working papers for this engagement are the property of NAME OF AUDITOR and constitute confidential information. However, we may be requested to make certain working papers available to NAME OF REGULATOR pursuant to authority given to it by law or regulation. If requested, access to such working papers will be provided under the supervision of NAME OF AUDITOR personnel. Furthermore, upon request, we may provide photocopies of selected working papers to NAME OF REGULATOR. The NAME OF REGULATOR may intend, or decide, to distribute the photocopies or information contained therein to others, including governmental agencies. If this letter correctly expresses your understanding, please sign the enclosed copy where indicated and return it to us. We appreciate the opportunity to serve you and trust that our association will be a long and pleasant one. Sincerely, FIRM NAME ______________________________ [Engagement Partner's Signature] Accepted and agreed to: ______________________________ [Client Representative's Signature] ______________________________ [Title] ______________________________ [Date] ****************************************************************** FIRM NAME FIRM ADDRESS FIRM CITY, STATE ZIP COMPANY NAME COMPANY ADDRESS 1 COMPANY ADDRESS 2 COMPANY CITY, STATE ZIP Dear SALUTATION: This will confirm our understanding of the terms and objectives of our engagement and the nature and limitations of the services we will provide: We will perform the following services: 1.We will review the balance sheet of COMPANY NAME as of BALANCE SHEET DUE, and the related statements of income, retained earnings, and cash flows for the year then ended, in accordance with [[[Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants]]]. Our review will consist primarily of inquiries of company personnel and analytical procedures and we will require a client representation letter from you. A review does not contemplate obtaining an understanding of the internal control structure or assessing control risk, tests of accounting records and responses to inquiries by obtaining corroborating evidential matter, and certain other procedures ordinarily performed during an audit. Thus, a review does not provide assurance that we will become aware of all significant matters that would be disclosed in an audit. Our engagement cannot be relied upon to disclose errors, irregularities, or illegal acts, including fraud or defalcations, that may exist. However, we will inform the appropriate level of management of any material errors that come to our attention and any irregularities or illegal acts that come to our attention, unless they are clearly inconsequential. We will not perform an audit of such financial statements, the objective of which is the expression of an opinion regarding the financial statements taken as a whole, and, accordingly, we will not express such an opinion on them. Our report is presently expected to read as follows: We have reviewed the accompanying balance sheet of COMPANY NAME as of BALANCE SHEET DATE, and the related statements of income, retained eamings, and cash flows for the year then ended, in accordance with [[[[Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants]]]]]. All information included in these financial statements is the representation of the management of COMPANY NAME. A review consists principally of inquiries of company personnel and analytical procedures applied to financial data. It is substantially less in scope than an audit in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly we do not express such an opinion. Based on our review, we are not aware of any material modifications that should be made to the accompanying financial statements in order for them to be in conformity with generally accepted accounting principles. If, for any reason, we are unable to complete our review of your financial statements, we will not issue a report on such statements as a result of this engagement. 2.We will provide your chief accountant with such consultation on accounting matters as may be required in adjusting and closing the books of account and in drafting financial statements for our review. Your chief accountant also will provide us with a detailed trial balance and any supporting schedules we require. 3.We will also prepare the federal and NAMES OF STATE[S] income tax returns for COMPANY NAME for the fiscal year ended DATE. Our fees for these services will be billed as work progresses and are based on the amount of time required plus out-of-pocket expenses. Invoices are payable upon presentation. We will notify you immediately of any circumstances we encounter that could significantly affect our initial estimate of total fees, which will range from $X,XXX to $X,XXX. We shall be pleased to discuss this letter with you at any time and appreciate the opportunity to serve you and trust that our association will be a long and pleasant one. If the foregoing is in accordance with your understanding, please sign the copy of this letter in the space provided and return it to us. Sincerely yours, (Signature of Bookkeeper/Accountant) Acknowledged: COMPANY NAME DATE