Maintaining records in business books is one of the tasks handled by a small business bookkeeper for a company. Bookkeepers are responsible for providing up-to-date and accurate information about a business. They always handle business finances to help business owners run a company successfully without running out of cash. Most often, their reports are reviewed by business owners and managers to make the right decisions. Some bookkeepers are also responsible for making strategies for a company. They also share some duties with accountants, such as the preparation of tax returns and annual financial reports. In this blog post, we’ll discuss the responsibilities of a bookkeeper.
What does a bookkeeper do?
Most small business owners avoid hiring a bookkeeper because they think it’s an extra expense for their business. However, bookkeepers play a significant role in a business. They can help organise your finances. Finances are often the first thing that must be managed properly to run a business successfully. Most companies usually fail due to poor financial management.
As a business owner, you may have a lot on your plate and managing your business finances on your own isn’t really the best way to stay productive for your business. They can provide insight into the financial issues in your business. Here are some important tasks a bookkeeper can do for your business:
Keep business records accurate and updated
By choosing bookkeeping services in Melbourne, you can be sure that all your business records are accurate and updated. Moreover, your bookkeeper will be responsible for finding and resolving inconsistencies between your business accounts and business books.
Daily account management
Bookkeepers will ensure staying on top of business accounts regularly for all types of financial transactions. By doing so, it will be easy to track your cash flow and will save you data entry time.
Expense tracking
All of your business expenses must be maintained and reconciled to any purchase orders and delivery receipts to ensure you are getting what you paid for. Your bookkeeper will track your business expenses accurately to identify possible excess expenses.
Invoicing and receipt management
A professional bookkeeper will ensure invoices are sent on time, follow up on late payments and manage cash that flows into the business. Bookkeepers will be responsible for invoice and receipt management.
Payroll processing
If you have a number of employees, payroll processing would be an important task. Paying your employees can involve checking timesheets, giving commission payable, calculating superannuation and payroll tax, and maintaining employee records including their bank account details. The payroll must be processed through both the accounting system and the bank account. Having a professional bookkeeper will save you time if your payroll is processed weekly or fortnightly.
Compliance
In Australia, a registered BAS agent can prepare your BAS in compliance with the ATO requirements. Irrespective of your tax obligations, your bookkeeper and small business accountants in Melbourne will work together to prepare payroll tax and superannuation payments and records.
Financial reporting
Professional bookkeepers prepare financial reports: income statements, balance sheets, and cash flow statements to help business owners improve the financial performance of their businesses. They can guide you on what areas must be improved, and those that are performing well.
Is it worth paying a bookkeeper?
Choosing a bookkeeper is not just about saving money, but they give you peace of mind knowing that your financial records are accurate and in expert hands. Professional bookkeepers bring accuracy, consistency, expertise and a keen eye for detailed financial records. They ensure your compliance and save you from potential penalties. Bookkeepers help with financial planning and budgeting. They help you understand your company’s financial condition and make informed decisions. Therefore, it’s worth paying a bookkeeper for your business finance management.
Conclusion
Bookkeepers play an important role in a business. If you want to stay on top of your business finances without running out of cash, it’s worth considering bookkeepers. You can trust our Reliable Bookkeeping Services for your business. You can speak to our professionals to learn more about our bookkeeping services.