The Differences Between Bookkeepers and Accountants
Bookkeepers and Accountants have a close relationship and have the same goals but have different roles. The bookkeeper has a duty to keep financial records correct and up to date. The accountant's duty is to use this information to analyze finances and provide financial advice or advice.
Comparison of Bookkeepers and Accountants
|Record all financial transactions, including sales, purchases, and payments correctly and regularly.||Use financial reports recorded by the Bookkeeper to analyze data and provide financial advice.|
|Requires a high level of accuracy for details in recording transactions.||Generally do not record transactions, but participate in reviewing and analyzing data recorded by the Bookkeeper|
|Responsible for preparing financial reports such as balance sheet and profit and loss.||Using financial reports, analyzing and interpreting data.|
|Responsible for ensuring financial data is correct and in accordance with applicable laws and regulations.||Provide guidance on compliance with regulations, taxation, and ensure compliance with bookkeeping rules.|
|It is generally not necessary to have a formal education or certification.||Generally it is necessary to have a bachelor's degree and professional certification such as a CPA (Certified Public Accountant)|
Does your business need bookkeepers and accountants?
Every small and medium business owner should consider using the services of a professional accountant to help with tax returns at a minimum. In terms of bookkeeping, business owners can handle it themselves. Modern software such as Swift, QuickBooks and Xero can make it easier to record financial transactions correctly. With business development, having a bookkeeper can help lighten things up and take the time to focus on business.
In conclusion, the bookkeeper is responsible for maintaining correct and up-to-date financial records. And accountants use financial data recorded by the bookkeeper to analyze and provide financial advice. Bookkeepers and accountants have important roles, but have different tasks and expertise.