11/08/2021
Here is why you should hire BOTH an accountant and a bookkeeper!
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A bookkeeper's job is to record all financial transactions for a business and an accountant's job is to inspect and analyze those transactions.
As a business owner, you are spending and receiving money on a weekly or daily basis.
Bookkeepers keep track of this financial information.
They analyze the information from your receipts, bank statements, credit card statements, and any other financial institutions you use (like PayPal, Stripe, Square, etc) and enter that data into your accounting program.
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They ensure that this information is accurate and use it to produce financial statements. Their job is to ensure that your books are up to date and accurate.
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On the other hand, accountants build on the information that is provided to them by the bookkeeper.
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Typically, they’ll review financial statements prepared by a bookkeeper, use them to file taxes on behalf of their clients, and can represent them in an audit and in some cases, tax court too.
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While you may interact with your accountant a handful of times a year, your bookkeeper is the pillar of your financial team. You will interact with them on a daily, weekly, or monthly basis, depending on the size of your business.
Both have different roles but both are equally important!
