A bookkeeper at its core is someone who literally keeps the books. However, modern day bookkeepers can wear many hats, often with services interchangeable (to a point) with accountants. Where bookkeepers can not fill the accounting shoes, the services are complimentary.
Bookkeeping services at its core records day to day transactions through accounting software (for example we use MYOB & Reckon). These transactions are recorded on the General Ledger or Journal which culminate in a Trial Balance and so on, helping your accountant too as they can get down to the nitty gritty business a lot quicker than trying to sift through the data. Bookkeepers can also then use this data to help you understand your businesses' profit and loss, and keep on top of your reporting obligations and so on. Some bookkeepers are also registered BAS Agents, meaning you can count on them to accurately and efficiently do you BAS / IAS Statements. Using a registered BAS Agent (like we are) you can minimise mistakes and avoid fines, as BAS Agents are trained to correctly calculate GST, FBT, WET, LCT and FTL, in addition, by using a BAS Agent you are automatically granted an extension of time for these to be completed & paid. BAS Agents are also able to correspond with the ATO on your behalf, saving you time & frustration.
As briefly explained, you can see that the roles of a bookkeeper and accountants generally overlap, so why hire a bookkeeper? Depending on your individual requirements, it may actually be a good idea to hire both! Bookkeepers can directly correspond with your accountant and share the data accumulated and ordered by the bookkeeper for the accountant to verify, assess, analyse and prepare other reporting requirements more efficiently (i.e taxation returns). This also helps you save money as bookkeepers are generally less expensive than accountants for these services, while some accountants simply do not offer these services and leave it for you to organise.
Bookkeepers are an affordable and efficient choice to collect, organise and retain data as well as completing some reporting requirements (BAS/IAS). Qualified and experienced bookkeepers can do these tasks quickly and accurately so you don't have to! (time is money after all). Bookkeepers work with your accountants providing accurate data needed by your accountant speeding up their processes. Accounting and Bookkeeping is all about processes, and ones that work so your business can retain effectiveness and efficiency!
So if you are ready to engage McGregor Accounts services, or to understand more about what we do, do not hesitate to contact us, and let's keep your books!!