Bookkeeping: The Necessary Evil

Are you a small business owner looking to stay under budget by doing the bookkeeping yourself? Well my friend, have I got news for you…you are not alone! There are many other small business owners out there who are looking to save time and money too. But they have dug themselves into a hole by writing every check themselves and balancing each account without any assistance. Unfortunately, bookkeeping goes beyond entering a few numbers here and there which takes away from what you love to do – grow and sell your business. Enter VBP OutSourcing – the solution to your financial problems.

Time is money. This is a bookkeeper’s motto in life. Your time is too valuable to spend doing the financials when you have a business to run. You also don’t have the time to worry about whether there is enough money to hire new employees or if your expenses are too high to purchase new supplies for the office. All of these financial questions can overload your brain and take away from other more important tasks and responsibilities of running your business. This is where a professional bookkeeper comes into the business picture.

A bookkeeper is not just another face in the accounting crowd. They are a vital part of your team, tracking the financials of the company, and ultimately the reason for your business’s success. Bookkeepers are there to make sure that your company does not run into one of the many common mistakes business owners find themselves in. The following list is 7 reasons why your business, small or large, should hire a bookkeeper, rather than do the finances themselves.

1. Focus On Growing Your Business. Your bookkeeper will spend time every week keeping your paperwork up to date, so you can relax and spend more time on your business. Bookkeepers know what they are doing and enjoy what they do. Bookkeepers maintain accurate records and financial books which provide insight into important business questions such as: “Is my company earning enough money?” By keeping up to date with your paperwork, you can avoid the risk of late payment fees, penalties, and fines.
2. Bookkeepers Understand. A bookkeeper understands the need for financial organization. They are able to reduce the chaos that are receipts, PO’s, invoices, etc. cluttering your desk to order by efficiently filing your papers away. A bookkeeper can also help by reducing your risk of paying twice for the same bill or by paying the wrong amount. Again, bookkeepers understand that your time and money are the most important assets to your business.
3. Audits…Need I Say More? Having your business financials in order and up to date is legally required by law. Specifically, if you are a government contractor, a business is required to be compliant with DCAA regulations. If an auditor would pop into the office today without notice – would you be sweating bullets or relaxing with your feet propped up on your desk? Bookkeepers keep your financial books current, so that you don’t have to worry when auditors drop in unannounced.
4. If You Don’t Know Where You’re Going, Any Road Will Take You There. Don’t let this be your company’s motto. Know where your business is going by understanding where it has been. Bookkeepers will paint a clear financial picture by telling you which road to follow when you come to that fork in the road. They will provide you with answers to your most important business questions such as “How does my spending compare to my sales?” so that you will make the smartest and most competent business decisions.
5. Patterns, Patterns, Patterns. Patterns are everywhere you look. They are frequently found in numbers – from prime numbers to ratios to your company’s sales patterns. Since your bookkeeper is constantly reviewing your account, they have the ability to see patterns or reoccurring financial events that you, as a business owner, may overlook. By providing you with up-to-date financial reports, you can track patterns (peaks and declines), so that you can be more prepared for your next business decision. Budgets, a result of knowing your company’s patterns are a must for businesses. If you know the patterns of your business, creating a budget will come smoother and much easier. Budgets can then forecast your fiscal flow which, in turn, will control your cash needs and manage your expenses. In simple terms, the solution to the success of your business is to hire a pattern seeking bookkeeper.
6. The Dreaded Date of April 15th. It makes no difference who you are - an individual, a family, a small business of 10, or a large company of 6,000 - you must file an income tax return every April. With a bookkeeper, your financial records will be consistent, but more importantly, correct. Therefore, when it comes time to prepare your taxes, you can rest assure that they will be done on time and in compliance.
   

7. Bottom Line: Increase Your Bottom Line. By hiring a bookkeeper to your team, you can be sure that you will have more time to focus on your business earnings. Instead of a salaried employee, you can pay for only the hours needed on your financials. In other situations, if your business is in need of a partnership to increase or sustain profitability, then having well-maintained and up-to-date books will, therefore, paint a prettier financial picture for your future colleagues. In the worst case scenario, if you have to sell your business, buyers will be able to see dedication and value in which you put into your business through well-kept financial books.

Bottom line – hire a bookkeeper!

Although bookkeeping is a necessary evil, it is still necessary! Therefore, instead of trying to take on the job of bookkeeping by yourself, look to a licensed bookkeeper to take care of your books so that you can rest assure knowing your financials are in order come your next audit!

Article Source: ABC Article Directory

Brooks Perry's background in media, business communications, and web development has given him a unique ability to provide expert writing, editorial, and public relations services for all types of projects, from informational brochures to integrated websites. His educational background includes a Mass Communications degree from the Towson University with a focus on advertising, public relations and marketing.

Pursuing a Career in Bookkeeping

What does a bookkeeper do exactly though? Bookkeepers are charged with all facets of financial activity within a business, including transaction management, recordkeeping, bank activity, money collected from accounts receivable and disbursed for accounts payable, petty cash and more. Depending upon the organization they work for, the scope of their job may include invoice preparation, payroll, purchasing, and collections. That’s just the day-to-day. They have to tie all this data into monthly/weekly/yearly reports and summaries for their managers, who rely on this information to see that their business is performing responsibly, in accordance with the business model and, most importantly, in the black.

Working environments for bookkeepers vary with the company for which they’re employed, but the job almost always involves individual more than collaborative labor.

What do you need to do to become a bookkeeper? A love for numbers is helpful. If you had a knack for math in school, you’re well on your way. A two-year Associate Degree or Certificate in Finance, Accounting or Business provides an excellent educational foundation, but many schools offer a specialized bookkeeping certification program. There are programs available at most community colleges and an increasing number of online programs, which are perfect for working professionals or those without an offering college nearby.

As offices become increasingly automated, computer savvy is essential, especially with a variety of finance and accounting software programs, including Quickbooks, MYOB, and Peachtree.

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Bookkeeping Software Can Simplify the Bookkeeping Process

The advent of efficient bookkeeping software has revolutionized the way Bookkeeping Services is performed in organizations. With large volumes of accounts receivables, account payables, billing and Payroll Services to handle, organizations found it difficult to manage the different segments of bookkeeping. Competent bookkeeping software has enabled companies to work better and save on time and effort.

There is a wide range of bookkeeping software that bookkeepers can use today. The following is a list of the different bookkeeping software available and the benefits that each offer:

QuickBooks

Quickbooks Bookkeeping Software is one of the easiest to use financial software. It has an easy to use interface, simple navigation toolbars and a user-friendly graphic menu. The Quickbooks software is divided into various sections, such as the help section, customer section and vendor section. There is a help button on every option and users can go through FAQs in the quick help menu. The Quickbooks software gives users flexibility on a variety of tasks related to accounts receivable, accounts payable, payroll, inventory and banking. Other features include a general ledger and job costing tools.

Quicken

The advanced features of Quicken make it the software favorite software among accountants. In the latest version of Quicken enables users to see more of workspaces and reports at the same time. Financial data can also be viewed more easily. The tabs in Quicken enable users to easily access different functions at the same time. Summarized versions of critical information can be seen on the home page and activity center. With features such as, financial overview, cash flow center, investment centers, Quicken Billminder Gadget and Quicken account bar, Quicken is a good choice.

Peachtree

The latest version of Peachtree is packed with advanced options to enable bookkeepers to maintain accurate records efficiently. It has an easy-to-use interface, an informative business status page, input screens for (billing, payroll & invoicing), advanced reporting tools and high-end options. Bookkeepers can synchronize contact information with ACT and set up this software without any difficulty. All these advantages make the Peachtree accounting software a favorite among bookkeepers.

NetSuite

The NetSuite Accounting Software is a single, integrated suite that has advanced accounting, ERP, CRM and e-commerce abilities. With the NetSuite accounting software, bookkeepers can competently mange accounts receivables, accounts payables, general ledgers, billing and payroll amongst others. NetSuite has efficient tools for sales force automation, support management, marketing automation, global CRM, productivity management, e-commerce, partner relationship management, financial management and employee resource. With its flexibility, real-time decision making and seamless integration bookkeepers find this an easy-to-use software.

Business Works

The business works accounting software is simple yet powerful accounting software. It is flexible, easy-to-use and has integrated modules. With business works, bookkeepers can provide extensive reports and even share data with other users. Business works enables bookkeepers to manage the entire operation flawlessly.

Advantages of using bookkeeping software

• Saves time and effort
• Saves on manpower
• Enables bookkeepers to work more efficiently
• Different segments of bookkeeping can be handled with ease
• Data can be shared easily
• Errors can be minimized
  

Use bookkeeping software and watch your bookkeepers work more efficiently.

Source: http://www.buzzle.com/

How to Become a Financial Auditor

Auditors are an important part of the accounting sector. An auditor is a person who performs a job that is related closely to an accountant. The job of an auditor is to personally review and do a follow up of the financial credibility of a particular company. The methods for the job can be rather straightforward and simple, although it can be somewhat time consuming.

A financial auditor needs to evaluate and analyze financial records and make financial reports. Internal audit jobs require reviewing of the financial records of a company and this includes receipts, taxes as well as purchase orders. Auditors scrutinize the financial statements of a company to ensure that all the statements as well as information is accurate and is compliant with the federal laws. The internal Auditors work with the records of the business that employs them, while a tax or independent Auditor works with more than a single individual or company. Added to that, you need to furnish the right credentials required for the job. A financial auditor checks the financial information of an organization and reviews the information for any inaccuracies that might be present. These may be in the form of an error, fraud or discrepancy that you are supposed to check.
Requirements

Academic: You need to meet the educational requirements of becoming a financial auditor with an advanced degree in accounting from a reputed or widely recognized institution. Next, you need to get a certification and once that is done, decide on the area of interest.

If you want to go for an auditor's job, make sure you are good at mathematics and accounts in high school. This helps you sharpen your math skills when you are pursuing higher studies and a financial degree. A business qualification with the highlight being on finance is a boon for an aspiring auditor. The option for a lot of students is to decide between choosing a bachelor's degree, if not a Master's that adds additional authority and significance to their qualification.

After completing your graduation at a well known or credited college or university, you need to be a major in accounting or a related field. Even after the qualification, if a financial auditor finds a job, getting a certification is necessary in the field. Generally, this is something that takes a couple of years, and the field of certification includes internal auditor, certified government auditing professional as well as financial services auditor. The designation depends on the kind of career you are interested in.

A financial auditor needs to be competent with a sound educational background focused on the fields of mathematics and accounting. A number of certification opportunities are also available for the Auditors. You are required to have good knowledge in accounts and credit as well as have good analytical skills.

Training: Internal audit jobs can be bettered with training; so it is advisable to go for a training or internship program if you get a chance. Look for employment opportunities in your local newspaper in the accounting firms in our neighborhood or government agencies. Auditors can also apply for a clerk's position if no internal audit vacancies are available. This makes you familiar with numbers which is crucial for an auditor's job.

Prior experience: Auditors can work for a couple of years as an internal auditor. This is required if you want a certification of the Certified Internal Auditor agency. Ordering the official transcripts from your college is also beneficial as a part of the applying procedure.

Employment Outlook

Career prospects (globally): There is a lot of scope for auditors who can find good openings with a viable qualification from a recognized institution. As the careers can be pretty varied in nature, you can expect a lot of opportunities compliant with your field of interest or choice.

Salaries: The standard median for a financial auditor in the US is $72,000 and more if you have years of experience.

A financial auditor is likely to work for a company and audit the books of the organization. Internal auditors may also work for a private firm and can be even hired for conducting an independent review of the books as well as records of the organization or company in question. The job of the auditors involves the overseeing of the books and records of the financial or government organization and approval of the budgets for the requirements of the local government.

Source: http://www.accountingcrossing.com/