Bookkeeper Job Description, Skills, Experience and Education

bookkeeping job description

You can also earn raises by being an excellent bookkeeper but there’s definitely a limit to how much you can advance your career without completing a bachelor degree in accounting. Bookkeepers might not need a formal education but they do need certain skills. A bookkeeper must pay close attention to detail, have a good understanding of math and be able to work with computers, specifically Excel. Many employers will train you on a specific type of accounting software that they use but learning how to use them in advance is always better. Since 1997, Maria Christensen has written about business, history, food, culture and travel for diverse publications. She ran her own business writing employee handbooks and business process manuals for small businesses, authored a guidebook to Seattle, and works as an accountant for a software company. Christensen studied communications at the University of Washington and history at Armstrong Atlantic State University.

  • Again this is something that depends largely on where you end up working.
  • On the other hand, the top 10% of accountants earned over $128,680 per year.
  • Accounting is the process of recording, summarizing, and reporting financial transactions to oversight agencies, regulators, and the IRS.
  • However, it is the accountant’s job to see huge, overarching issues and also provide possible solutions.
  • Serving the industry for over 63 years, we are looking to add a dynamic individual to support the team.
  • Sometimes these two titles are used interchangeably, but they are actually two very different positions.

Reconciling sales taxes, payroll taxes, 401k, and bank accounts at the end of each month. The Bookkeeper is the central hub for nearly all the financial and payroll information in a company. They will be tasked with paying bills, collecting debts, running payroll, and submitting all government forms, sales tax payments, and payroll deductions.

Senior Bookkeeper Job Duties

In 2016, 1,730,500 people were employed in the U.S. as bookkeeping, accounting, and auditing clerks. In-depth knowledge of necessary bookkeeping procedures, best practices, and terminology. Bachelors degree in Accountancy or related field from an accredited institution.

What is the most important duty of a Bookkeeper?

A Bookkeeper's most important duty is to track and manage financial data. Bookkeepers don't interpret financial data, which is a responsibility for accountants, so they focus less on analysis and more on creating and maintaining records. A Bookkeeper has many responsibilities, including: Documenting transaction details.

A bookkeeper provides a critical role in the data collection and data input of a business’ accounting cycle. When there is a proper system in place that avoids problems such as skimming fraud, the recorded financial data can provide valuable, actionable insight. In addition to university degrees, accountants pursue advanced accounting certifications to position themselves as experts in the field. An accountant must meet specific educational requirements and pass a certification exam to become a Certified Public Accountant . Retaining CPA status also requires meeting continuing education credit guidelines, which vary between states. As more businesses outsource their accounting functions, fewer senior bookkeepers will be needed. In addition, automation and software improvements are expected to increase productivity and efficiency, reducing the need for senior bookkeepers.

Bookkeeper Duties & Responsibilities 6

The bookkeeper at Home Depot will be responsible for ensuring that all general ledger postings are accurate. The bookkeeper is also responsible for preparing journal entries to support the key financial metrics. It also highlights the major requirements you will be expected to fulfil to be hired for the bookkeeper role at the Home Depot or other retail companies.

bookkeeping job description

A bookkeeper is responsible for recording daily financial transactions, updating a general ledger and preparing trial balances for perusal by accountants. They maintain and file requisite documents for taxation compliance.

Why Do You Need a Bookkeeper?

These reports show businesses how they are performing financially. Just as importantly, your business has a legal obligation to accurately record its accounts and file company reports to the tax office. The accountant will use the information prepared by the bookkeeper to write the company reports. These reports will include information about income and expenses, net profit, assets, liabilities and tax. The accountant will also file the company tax return forms and arrange for tax payments to be made. If you’re a small business owner, you’ll be familiar with juggling several tasks at once.

bookkeeping job description

[Work Hours & Benefits] Here is where you’ll want to include working hours and benefits, specific to your open position. This is another chance to sell potential applicants on things like telecommuting, work-from-home options, or additional availability during tax season. Benefits that can set your firm apart, like paid vacation time, conference sponsorships, or childcare reimbursements can go right here. As you prepare your bookkeeper job description, salary range transparency is an important consideration. Adding compensation numbers can help to build trust with candidates, while also ensuring applicants who may be more aligned with your budget.

What Role Does an Accountant Play in Business Operations?

But what if you need some financial information part-way through the month? Bookkeepers can give you the information you need quickly, without you having to wait for your accountant to respond. Are you using an accountant to manage your daily transactions and run your monthly payroll? If so, you could save a lot of money by having a bookkeeper do this work instead.

What does a self-employed bookkeeper do?

A freelance bookkeeper will be brought in to record and process all of the financial transactions. This starts with data entry and filing invoices, making payments, chasing invoices, and preparing the business books ready for accountants at the end of each financial year.

Confidentiality, excellent organizational skills and accuracy are important qualifications for this position, as well as good customer relations and the ability to communicate clearly. The primary duty of a Bookkeeper is to manage the financial accounts. This includes, maintaining records, business transactions, balancing ledgers, reconciling accounts, and reports preparation in compliance bookkeeping with established operational policies and procedures. Working in both bookkeeping and accounting also require that you have some degree of familiarity with the financial statements commonly used by businesses. Taking this one step further, you must also know which information goes where on the forms so all of the company’s data is reflected accurately in its bottom line.

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