Bookkeeper Vs. Accountant ~ Who Should I Choose?
The answer? It depends on you and your business!
Let’s break down some of the differences between the two.
A bookkeeper is there for your day to day financial tasks. They will get your systems set up, teach you, train you, and help you be organized as you run your business. They will walk you through any issues with your billing, tracking your client expenses, tracking your business expenses, and tracking your income. This is their strength and often at a lower price point.
An accountant is qualified to set up and manage different business entities and different tax scenarios. This could be advice on different ways of taking money out of the business so you’re paying less in taxes both personally and professionally. They can advise on various tax law and business structuring to protect your business and manage growth.
Who Should I Choose for My Business?
The answer is BOTH!
Often there is overlap between the two roles.
You should have an accountant that you trust and that makes you feel confident in your business plan and execution. Some events that might prompt seeking advice from a trusted accountant may include:
- Bringing on a partner or investor for your business
- Complex tax strategies as your business grows
- Plans on selling your business
Having a bookkeeper that you really get along with is ideal because you’re going to be spending a lot of time interacting with them. It’s best to find a highly qualified bookkeeper with tax preparation experience as well. What a bookkeeper can help you with is practically endless!
- Expense software training and management such as Xero, Quickbooks, Wave, etc.
- Receipt tracking and uploading
- Accounts receivable and accounts payable
- Reporting for your business weekly, daily, monthly and annually.
A good bookkeeper will know when to recommend that you seek an accountant for advice. An awesome bookkeeper will keep you sane, on track and take the stress of your businesses finances off your plate!
The accountant will be your overseer that puts the important mechanics of your business together…think big picture. The bookkeeper brings it all together, makes it all happen, does the day to day tasks, and helps keep you organized and accountable.
Ultimately, the choice will come down to competence, experience, and personality fit.
Looking for a bookkeeper that will get your business on track and make your life easier! I’d be thrilled to help. I have a unique understanding of what business owners need as I’m an entrepreneur like you working in the online space. See if we’d be a good fit to help you with your business numbers.