Tax Practice Management: A Guide to Effective Client Communication by Harness

Key Takeaways:

For tax practices, streamlined communication and automated reminders enhance the efficiency of tax processes, reducing manual follow-ups and saving time for both advisors and clients.
Using a consistent communication cadence to tax clients allows for personalized support, building trust and loyalty by showing clients their needs are proactively addressed.
Collecting and analyzing tax client feedback using surveys helps improve communication and services, ensuring they meet the evolving needs of both advisors and clients.

Table of Contents:

Benefits of Effective Tax Client Communication
Tax Client Communications Roadmap
Best Practices for Tax Client Reminder Emails
Collecting Client Feedback to Improve Communications
Quick Tips for Effective Tax Client Communication

Benefits of Effective Tax Client Communication with Harness

Effective communication between tax advisors and clients is essential for optimizing the tax advisory process, especially during the busiest times of the year. It enhances efficiency, provides consistency, and fosters stronger relationships.

Here are five key benefits of effective tax client communication for tax advisory firms who utilize the Harness tax practice management platform.

1. Provides Clients with an Efficient Experience

Consistency throughout the client communications process enables tax advisory firms to streamline the overall tax planning process, making it easier for both advisors and clients to collaborate. By maintaining a clear and consistent flow of information, advisors can leverage the Harness platform to aim to reduce misunderstandings and ensure that clients are well informed at every step. This reduces the need for repeated explanations and follow-ups, ultimately saving time for both parties.

2. Saves Advisors Time with Automation

Leveraging tax practice management software to automate task reminders and requests is a significant benefit of effective communication. Sending reminders in a specific cadence reduces the manual time spent on follow-ups, allowing advisors to focus on more critical tasks, especially during the busy season. This automation not only improves efficiency but also ensures that important deadlines and requirements are not overlooked, enhancing overall service quality.

3. Creates High-Touch, Personalized Client Service

From starting the client onboarding process to filing a tax return, establishing a standardized communication cadence helps identify opportunities to provide additional, personalized client support. Regular and thoughtful communication shows clients that their tax advisor is proactive and attentive to their needs. This high-touch service builds trust and helps maintain strong client relationships.

4. Access to a Holistic Wealth Platform

Effective communication is holistic and works to inform clients about the range of services available to them. Beyond tax advisory services, Harness offers consumers access to wealth managers and estate planning professionals on our Marketplace. Tax advisors can help connect clients to services, such as financial planning, wealth management, and trust and estate planning. Advisors can help clients access comprehensive wealth management solutions, ensuring that all aspects of their financial health are addressed.

5. Continuous Improvement

Client feedback on their experience working with your tax firm is crucial for continuous improvement. At Harness, we collect feedback from clients using surveys to measure a Net Promoter Score and Customer Satisfaction Score. By collecting feedback and maintaining open lines of communication, advisors can gather valuable insights into clients’ experiences and preferences. This feedback helps firms refine their tools and services, ensuring they meet the evolving needs of both advisors and clients.

Tax Client Communications Roadmap

Using templates to send communications can save you time and help provide a consistent client experience. By creating a roadmap of templates, you can simplify the management process of your overall communications program, from client intro letters to client renewals.

Below is a roadmap of the templates we use at Harness with tax advisors on our platform.

Tax Planning Client Milestones
Communication	Timing	Purpose
Client Intro Letter	When a client begins engagement with a Harness tax advisor	To welcome the client and explain how the client-advisor relationship will work.
Client Portal Invitation	When a client is ready to start providing documents and information	To invite the client to join the Harness Client Portal
Task Notifications	A notification is sent when a task has been created	To alert the client that an Advisor has set up a task for them to complete
Task Reminders	Multiple Reminders: 1. One Week Before: 1 week before a task’s due date 2. One Day Before: 1 day before a task's due date 3. One Day After: 1 day after a task's due date 4. Weekly: Weekly reminders after a task’s due date until the engagement due date	Reminders are sent at a specific cadence to remind clients of open tasks
Task Completion	After a task has been completed by the client	As a confirmation that the task has been successfully completed
Advisor Completion	If an advisor uploads a document, including extensions and a final return acceptance receipt	To alert a client that an advisor has completed a deliverable or a meeting has been scheduled
Client Renewals	Renewals happen each year to kick off new Engagement Letters	To start the process of the next taxable year’s Engagement Letters
Survey: Net Promoter Score	After a return has been filed, a survey email is sent to clients	To measure how likely a client is to refer Harness to family, friends, and peers
Survey: Customer Satisfaction Score	After the concierge resolves an issue for a client, an email is sent to clients asking how their experience was	To rate how well the issue was resolved to help our Client Success team improve

Harness’s Best Practices for Tax Client Reminder Emails

Sending reminder emails is a key component in ensuring that clients stay on track with their tax-related responsibilities. At Harness, we recommend reminder emails be sent periodically until the task is completed, deleted, or the filing deadline has passed. This systematic approach ensures that clients are consistently reminded of their tasks, reducing the likelihood of missed deadlines.

Here is our standard schedule for sending reminders:

1. Week Before Task Due Date

Sending a reminder one week before the task is due gives clients ample time to gather necessary documents and information. It serves as an early alert, allowing clients to plan and allocate time to complete the task.

2. Day Before Task Due Date

A reminder sent one day before the due date acts as a final nudge, prompting clients to prioritize the task if they haven’t already done so. This is especially effective for clients who might have forgotten or delayed action on their responsibilities.

3. Day After Task Due Date

If the task remains incomplete past the due date, a reminder sent the following day emphasizes the urgency. This message should gently remind clients of the missed deadline and encourage immediate action to avoid further delays or penalties.

4. Weekly After the Task Due Date, Until the Engagement Due Date

For tasks that remain unfinished, sending weekly reminders after the due date helps keep the task on the client’s radar. This consistent follow-up ensures that the task is not overlooked and maintains a sense of accountability. The reminders should continue until the engagement due date or the task is completed.

Collecting Client Feedback to Improve Communications

To continually improve communication strategies, collecting client feedback is essential. At Harness, we support tax practices by sending automated survey emails to gather valuable insights from clients. Here are the key methods we use to collect feedback and enhance our services.

Net Promoter Score (NPS)

What is a Net Promoter Score? Net Promoter Score (NPS) is a metric used to gauge the loyalty of a firm’s customer relationships. It measures how likely clients are to recommend the service to others. This score helps us understand the overall satisfaction and loyalty of our clients.
How do we use NPS? After all tax returns are filed, clients receive an email asking them how likely they are to refer Harness to friends and colleagues. This email is fully branded to reflect the Harness identity, ensuring consistency and professionalism. The feedback collected helps us monitor how satisfied clients are and their willingness to refer Harness.

Customer Satisfaction Score (CSAT)

What is the Customer Satisfaction Score? Customer Satisfaction Score (CSAT) measures clients’ happiness with a specific aspect of our service. For example, we ask clients, “How happy were you with your scheduling experience?” to gauge their satisfaction with our assistance.
How do we use CSAT? After resolving any client issue, our Concierge team sends an email asking for feedback on the experience. This can include scheduling, product support, or any other assistance provided. The feedback helps our Concierge team improve their service for future interactions.

Quick Tips for Effective Tax Client Communication

As you create your tax practice’s client communications strategy, keep the following pointers in mind. They may seem straightforward, but it can be easy to forget details when you’re busy managing a firm.

Write Clear Email Subject Lines: Use concise and informative subject lines that clearly indicate the purpose of the email, such as “Upcoming Tax Task Due” or “Reminder: Tax Filing Deadline Approaching.”
Use Personalization: Personalize emails with the client’s name and specific task details to make the communication more relevant and engaging.
Provide Actionable Language: Use clear and actionable language that specifies what the client needs to do and by when. For example, “Please upload your documents by [due date]” or “Complete your tax filing to avoid penalties.”
Include Contact Information: Include contact information for the advisor or support team in case clients have questions or need assistance.

By following the practices in this guide, tax professionals can enhance their communications strategy, helping clients meet their tax needs promptly and efficiently.

Ready to Grow Your Tax Firm?

Schedule an intro with Harness today to see how our tax practice management platform can help you streamline your tax firm’s communications. The goal of our communications templates, advisor training, and client portal is to make collaborating with clients efficient and simple to manage. The Harness platform for tax practices provides your firm with an in-house concierge team, curated client introductions, and a professional community of tax and wealth advisors. Schedule an intro today.