Choosing a Bookkeeper
What is a Full-Charge Bookkeeper?
A Full-Charge Bookkeeper is a liaison between you and your CPA (Certified Public Accountant). Bookkeepers facilitate everything in your day-to-day management accounting routines: accounts-payable, accounts-receivable, data management, account reconciliations, recording journal entries, creating detailed reports, software training, interfacing, and working with your CPA to ensure that your taxes are filed correctly and on time. Choosing a bookkeeper that will be able to effectively serve your business needs is one of the most important things you can do for your company.
Most “bookkeepers” that you will encounter are Data Entry Bookkeepers (DEB). A DEB will often knows how to do the basics of invoicing, applying payments, and writing checks. However, they lack the more in-depth accounting knowledge of how your software works with Debits and Credits, troubleshooting, correct reconciliation techniques, and reporting. Many businesses will hire a DEB thinking that they are getting a Full-Charge Bookkeeper at a cheaper rate. Make sure that you find out what background and certifications a bookkeeper has during the interview process. Be aware that a QuickBooks Certified User® is very different from a QuickBooks Certified ProAdvisor®.
Consequences of Choosing the Wrong Bookkeeper
Having an under-qualified bookkeeper can cost your business a lot of money. Time wasted, poor financial planning, and tax penalties are all consequences of having the wrong person on your team. Even though you may be saving money by hourly rate, an experienced Full-Charge Bookkeeper will be able to manage your books more completely and correctly in under half the time, saving you money in the long run. The real question is: how much is your time and peace of mind worth?
Even more important to know, is that the Data Entry Bookkeeper is going extinct. Data entry processes are quickly being replaced by the fantastic emerging technologies that can save you time and money. At Polymath, we don’t do data entry. We have an app for that. Several of them, in fact. That is one of the main reason why we have shifted our focus with our clients from management accounting to strategy consulting. Let’s automate your accounting workflows!
Check out our article on “The Importance of Redefining Bookkeeper” published in, May 2016 in the Accountex Report. This is important information every business owner needs to know in order to make an educated decision on how to choose their professional support team.
Can I have my cake and eat it, too?
Absolutely, yes! We operate on the philosophy from the “Teach to Fish” parable:
If you give a man a fish, he will eat for a day.
If you teach a man to fish, he will eat for a lifetime.
At Polymath, we want to empower you to be as involved as you want in your company. We want you to be successful, profitable, and happy with your business. We really enjoy training people to use their systems correctly and to the biggest advantage. When you choose our CFO Service Package, will be happy to train you or your on-staff Data Entry Technician to do any and all of the maintenance for your company.
You can do it yourself or hire someone for the daily data entry that cannot be automated. Be sure to use a Full-Charge Bookkeeper for reconciliations & error checking, and Polymath for your business advisory services. You will be able to save money while maintaining the confidence that your books are correct and business is running smoothly!