Bookkeeping Made Simple

Unless you’re a bookkeeper yourself, you probably don’t love to do your own bookkeeping.  Even if you don’t mind keeping up with your books, you are wasting your valuable time working IN your business instead of ON it. 

How do I know if I need a bookkeeper?

Some questions to ask yourself:

1. Are all of your records ready to send to your accountant at tax time or any time?
2. Is it easy to pay your quarterly taxes on time?
3. Is your P&L accurate any time you look at it?
4. Do you love reconciling your bank statements?
5. Do you have plenty of time to keep up with your books?

If you said yes to ALL of these questions, then Congratulations!  You may not need a bookkeeper.

But if you are like 95% of the business owners I talk to, you either don’t want to or simply don’t have the time to keep up with your books. 

Why do I need a bookkeeper?

The “whys” are simple: 

• You never have to worry about whether everything is up-to-date
• It saves you valuable time
• A good bookkeeper understands your business
• Your bookkeeper will help you manage your cash flow

What should I be using to keep track of my financial records?

According to Business News Daily, here are the 5 top accounting software programs in 2018:

1. QuickBooks Online is the #1 accounting software for small business overall. It offers a range of features for all types of small businesses and is “packed with basic and advanced features to meet your accounting needs.”  I use QuickBooks myself and it meets all of my needs including invoicing.  According to Intuit, there are 1.4 million businesses that use QuickBooks online.  The nice thing about the online version – which starts at $10 / month – is that you can assign a user (your bookkeeper) to the account and allow them as much or as little access as is needed.  Other favorite features are payroll, cash flow reports and management, share with your accountant feature, mobile – and of course you can connect your bank accounts.
2. Freshbooks rates #2 for its incredibly easy-to-use invoicing.  You can customize the look of your invoices, set up recurring invoices, automatic payment reminders and add late fees. It also connects to your bank, can generate several reports, tracks time and can help you manage projects.  It’s also mobile and starts at $15 / month.
3. Xero is rated the best accounting software for Mac, but is available for PCs as well. Xero is cloud-based and “is a full-featured solution that doesn’t compromise on features or ease of use just because you’re using a Mac.”  It can also help you save time and simplify accounting by automating tasks and integrating with more than 600 apps.  (Honestly, that makes me a bit nervous to integrate apps that would have access to your financial information.  I would need a deeper dive into the apps they are referring to and how they’re used.)  Starts at $9 / month and is mobile.
4. If you have a really small business, Zoho Books comes in at #4. It also starts at $9 / month and is mobile.  It’s really simple accounting software with basic features “microbusinesses” need as well as advanced tools and integrations to enable you to continue using the software as your business grows.  Rated #4 also because it has the best price for all of its capabilities.
5. Wave accounting is for businesses who don’t need the extra features and support provided with paid accounting services. Wave Financial offers free, cloud-based accounting software specifically designed for small businesses. 

 What to look for in a bookkeeper?

 If you’ve decided that it’s time to turn your bookkeeping over to a professional, how do you find a reliable one?

Some basic questions to ask:

• What type of experience do you have and for how long?
• Have you ever worked for a company like mine? 
• Do you have a process that you go through when you do the books each month?
• Are you able to analyze my books for errors and correct them?
• How will you be communicating with me?
• Do you feel you are a good problem solver?

Set up a conference call with the candidate and have your questions ready.  Also inquire as to whether or not they have professional liability insurance and ask for references from other clients.

Can I Afford a Bookkeeper?

 Bookkeeping rates range depending upon the amount of work you are having your bookkeeper do for you and can be hourly or a monthly package rate.  It can depend upon the type of business you have, if you are working with a set budget, the amount of monthly transactions that take place in your business and how your company is set up.  When we start working with a bookkeeping client, we generally start hourly to give us and the client an idea of what the job entails.  Most times we are cleaning up the books first, and then once they are in order, a monthly package can be put in place depending upon the client’s budget and needs.

Every business needs a bookkeeper.  Every movement of money into and out of your business must have a record and a good bookkeeper will keep your business on track financially.

Nickey Hollenbach
Personal Touch Concierge Service
ptconciergeservice.com

as seen in the Bucks County Women’s Journal