I've been doing utility bill auditing for about 6 months now here in Boise and things are going well with Idaho Power accounts. Several clients have asked if I can audit their telecom bills too - apparently there's good money in it. Problem is I don't know where to start with telecom tariffs and billing structures. Anyone here made the jump from utility to telecom auditing? What should I focus on learning first?
Getting started with telecom auditing - where to begin?
Warren, telecom is a whole different beast but definitely worth learning. Start with understanding the basic service categories: local, long distance, wireless, internet/data. Each has different billing structures and common error patterns. In Tennessee I see a lot of Comcast and AT&T mistakes on business accounts. The FCC tariffs are your bible just like utility tariffs. Get familiar with access charges, universal service fees, and regulatory recovery charges first.
Terry's right about the complexity. I started adding telecom to my Charlotte practice in 2012 and it took about 6 months to feel comfortable. The money is definitely there though - found a $847/month overcharge on a Duke Energy facilities department's Verizon account last year. Focus on learning about trunk groups, DID blocks, and PRI circuits if you're going after larger commercial clients. Residential is mostly about plan optimization and mystery fees.
The learning curve is steep but manageable. I'd recommend starting with smaller business accounts first - restaurants, retail shops, that sort of thing. Their bills are simpler than enterprise accounts but still have plenty of errors. In Youngstown I found a local pizza chain was being billed for 15 phone lines when they only had 8 installed. That was $340/month they were throwing away to AT&T for over two years.
One thing to watch for is the equipment charges. Birmingham businesses get hammered with router lease fees, phone system maintenance contracts, and "technical support" charges they never signed up for. I found one client paying $89/month for a modem they bought outright three years ago. Always verify what equipment is actually leased versus owned. The carriers love to keep billing for returned equipment.
This is all really helpful, thanks everyone. Sounds like I need to invest in some telecom tariff training. Are there any good courses or resources you'd recommend? Also wondering about software - can I use the same billing analysis tools I use for utility audits or do I need telecom-specific software?
For training, check if your state has any telecom auditing seminars. The National Association of Telecom Auditors also offers good courses though they're pricey. As for software, some of the utility analysis tools work but telecom billing has so many variables you'll probably want specialized software eventually. Start with Excel spreadsheets and see how it goes.
Warren, don't forget about sales tax issues with telecom. Every jurisdiction seems to have different rules about what services are taxable. Here in San Antonio I've found several cases where businesses were paying Texas state tax on services that should have been exempt. It's tedious work but those tax refunds can add up to serious money for your clients.