bookkeeping responsibilities

What Can Your Bookkeeper Do for You?

Bookkeeping is not a one size fits all kind of service. Depending on whether you use a ‘kitchen table’ bookkeeper, a small business bookkeeper or one that deals with larger companies, they can offer different service levels. What’s right for you will depend on the size and complexity of your business as well as the bookkeeping responsibilities that you give them.

Responsibilities of bookkeepers

Bookkeepers are there to provide accurate, up-to-date financial information about your business. Some may put together reports. Others may be involved in strategy development. But all, keep an eye on your financial situation.

However, they can only do this if you send them the data they need when they need it. That’s why it’s important to understand that a client/bookkeeper relationship can only work if you do your bit too.

To help you decide the level of help you need, we’ve broken down desirable bookkeeping skill sets into three categories: core, additional, and advanced duties.

Core duties

The core duties are the fundamental tasks every bookkeeper does and encompass three primary areas:

  • Data entry – recording your financial transactions and balancing your books
  • Bank reconciliation – making sure your books and bank accounts agree. This helps you find and fix data entry mistakes, missed transactions, and wrong payments and identify fraud
  • Financial reports – regular monthly reports (such as profit and loss, cash flow and balance sheet) help you keep an eye on your financial position so you can make informed decisions

Additional bookkeeping duties

Over and above the core capabilities, you may be looking for your bookkeeper to be more involved in the financial side of your business.

  • Accounts receivable – creating and sending invoices and, more importantly, following them up to make sure they get paid
  • Accounts payable – this is the flip side of the previous one. Here, your bookkeeper makes sure your invoices from suppliers are accurate and that they get paid on time
  • Payroll – working out pay and deductions and making sure your staff get their wages on time

Advanced bookkeeping duties

Perhaps you’re looking for a bit more help than what we’ve already covered. In that case, you may need to find a bookkeeper that’s capable of these advanced duties and bookkeeping responsibilities:

    • Filing taxes – preparing your tax returns in conjunction with your accountant
    • Year-end reporting – helping put together your annual profit and loss and balance sheet reports
    • Business strategy – working with you to create forecasts and budgets and advising how the business can be improved
    • Liaising – becoming a go-between for you and your accountant about financial and tax queries

As you can see, there’s much more to bookkeeping than data entry and bank reconciliation. The level of support you need will depend on your business, and your requirements may change over time.

Time Wise VA work with a wide range of small- to medium-sized businesses to make their working day that little bit easier. Call the team on 0161 211 9837 to get the helping hand you need.

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