While most people perceive bookkeeping and accounting as interchangeable terms, both professions have different skill sets and focus that can help your business. However, different skills and focuses go together like bread and butter. Sandwiching these functions together will keep your finances healthy and robust.
An accountant and bookkeeper have the same objectives when it comes to business finance, but they are both crucial at different stages of the financial cycle.
At Filing Taxes, we understand how beneficial it can be for your business when your bookkeeper and accountant work together because we do it all. Here are some reasons to justify that the collaborative approach of bookkeeper and accountant is a trump card for your business.
Accountants are a level up from bookkeepers. They can, but they are not supposed to perform functions that a bookkeeper performs. Engaging your accountant in bookkeeping tasks can be much more costly than hiring a bookkeeper, as it wouldn’t be the best use of their time. Bookkeepers handle day-to-day financial management and accountants offer valuable insight into the business’s financial strategic planning. These roles are two sides of the same coin complementing each other to save business costs.
Efficiency is a crucial measurement for every business. For an accountant, there is no better sidekick to have than a bookkeeper. Bookkeepers and accountants mutually develop a bookkeeping system when working together, which makes it convenient for the accountants to easily fetch the required information. Also, bookkeepers get professional support in designing a record-keeping system. The integrated approach helps bookkeepers and accountants to understand each other’s needs and work accordingly to support each other towards the betterment of the company. If you have more work that can not be handled by an accountant you can also hire an accounting firm.
Although the two professions are different entities, they dovetail very well and can contribute to the greater benefit of the organization. The bookkeepers keep track of the business on a smaller scale, while the accountants assist to plan for the future with a clear picture in their head of where the business should be heading towards. The sustainability and long-term growth of a business rely on accurate bookkeeping and leveraging the management contributions of accounting. Having the two work jointly can make them both work better considering all short and long-term strategies for the success of the organization.
Two pairs of eyes are always better than one when it comes to financials. Partnership pf accountants and bookkeepers provide a better safeguard against errors, omissions, penalties, pilferage, and audits. Bookkeepers and Accountants Teaming up do not mean that they should always be on one page, rather it means more financial experts at the table analyzing and providing solutions to the same issues.
Bookkeepers and accountants work together not only to help in operating the business but also to support its growth and success in the long run. Accounting compliance is a service offered by bookkeepers and accountants to help a business meet a variety of financial needs and obligations. Awareness of differentiated roles of bookkeepers and accountants will help them work together in a much better way.
Maximize your time and financial management with expert bookkeeping and accounting services from Filing Taxes. We are a cooperative and tech-savvy cloud accounting firm that works with a modern approach in everything we do. Feel free to reach out to Filing Taxes at 416-479-8532. Schedule an NTR engagement appointment with us and take the first step towards proper management of your finances.
Disclaimer: The information provided on this page is intended to provide general information. The information does not consider your personal situation and is not intended to be used without consultation from accounting and financial professionals. Salman Rundhawa and Filing Taxes will not be held liable for any problems that arise from the usage of the information provided on this page.