A bookkeeper can expect to earn a salary in the range of $30,000-$60,000 a year in the US. However, compensation will widely vary depending on the employer, location, and candidate experience. Bigger companies tend to offer better compensation for bookkeepers; this is largely due to the increased volume of transactions and data. A multinational corporation performs hundreds of transactions a second, while a small business might perform less than a hundred in a day. Spend some time reviewing the bookkeeper job description to find out exactly what the hiring manager wants to find. Then, head to the company’s website to explore its mission and values statements, giving you insights into the organization’s culture and priorities.
Live Bookkeepers aren’t responsible for errors resulting from incorrect information that you provide, or if you re-open the books by overriding closure after a Live Bookkeeper completes the month-end closure. When you contact potential bookkeepers or firms, ask for a clear and detailed breakdown of their fees and services. Before actively searching, establish a realistic budget for bookkeeping services.
Modern bookkeepers often go beyond daily transaction recording to provide higher‑level support. They help create and manage realistic budgets, identifying trends and making recommendations that enable better planning and cost control. Through financial analysis, they compare actual results to forecasts, highlighting areas for growth or improvement.
Key Soft Skills for Bookkeepers
Bookkeepers working in this sector should understand relevant regulations and lease agreements. Individuals who specialize in this field can pursue entry-level bookkeeper and certified bookkeeper roles. Not only are you entrusting your bookkeeper with sensitive data, you are relying on their accuracy to maintain the financial records for your business.
And while keeping accurate records helps ensure clearer financial insights and smoother tax seasons, it’s easy for small business owners to fall behind or make errors. The median annual income for bookkeeping, accounting, and auditing clerks was $45,860 in 2022. However, the actual salary varies substantially depending upon factors such as location, level of education and experience, industry, and job responsibilities. For instance, bookkeepers in the finance and insurance sectors tend to earn more than those in other industries. Similarly, bookkeepers with a degree and professional certification can expect to make more than those without formal qualifications.
However, bookkeepers are more focused on the day-to-day operations of tracking income and expenses, as well as balancing the books. While experience is beneficial for working as a bookkeeper, you don’t need a college degree or a CPA license. Therefore, while the bookkeeping role requires close attention to detail and a high level of accuracy, there’s less responsibility than in an accountant’s role.
Bookkeeper Qualifications
- Standard methods of bookkeeping are the double-entry bookkeeping system and the single-entry bookkeeping system.
- Still, that’s not a bad starting point, especially if you know what you can earn once you gain enough experience.
- They also prepare financial statements and reports, which can help managers make informed decisions about budgets, investments, and other goals.
- Get free guides, articles, tools and calculators to help you navigate the financial side of your business with ease.
Develop your bookkeeping, payroll, and QuickBooks Online knowledge. If you’re not sure how to market your business, there are plenty of ways to get the word out. Make up a few business cards to get started and reach out to your contacts on LinkedIn and Facebook. If you’ve decided that becoming a bookkeeping entrepreneur is the right path for you, the first thing you’ll need to do is write a business plan. Having a business plan will help guide you as you set up the various aspects of your business.
After all, virtually all business entities take in and spend money, including nonprofits. No matter the size or stage of your business, a skilled bookkeeper can keep your financial records organized, accurate, and up to date, freeing you to focus on growing your business with confidence. Pearl Talent connects you with experienced, vetted bookkeepers who understand your industry and can tailor their services to meet your unique financial needs. An in-house bookkeeper becomes deeply familiar with your day-to-day operations, while a freelancer provides flexible, cost-effective support. Agencies, on the other hand, give you access to a broader range of expertise and talent.
- Of course, you can also search for remote jobs with major corporations in the financial services industry, healthcare and insurance industries, and even HR services providers.
- Since its inception in 2009, The Work at Home Woman has helped millions of readers find legitimate work at home jobs and business ideas.
- If you are considering working as a bookkeeper as a way to launch a larger accounting career, then you may want to go a different route.
- Generally, bookkeepers can work in several settings, including accounting firms, financial institutions, small businesses, and government agencies.
- Book a demo today to see what running your business is like with Bench.
Job Duties and Responsibilities
And oftentimes, bookkeepers who enjoy analysis and tax law move into the position of accountants. A bookkeeper is a financial professional who records and maintains a business’s financial transactions, ensuring financial records are accurate and compliant with tax regulations. They manage accounts receivable, accounts payable, journal entries, and general ledgers, using accounting software like QuickBooks or Xero. More than a data entry role, bookkeepers help build a foundation for long‑term success. By reconciling bank accounts, categorizing expenses, generating monthly financial statements, and supporting tax preparation, they give owners a clear view of their cash flow and overall financial health. In an era where precision and compliance matter more than ever, a bookkeeper doesn’t just save time, they save businesses from costly errors, missed opportunities, and future headaches.
Suppose you’ve never worked in bookkeeping, payroll, or accounting before. The course that I recommend, which covers all of these areas, is Bookkeeper Launch by Bookkeepers. As a bookkeeping service provider, you’ll need a high level of precision when you’re entering financial data into databases. So, being organized, having strong attention to detail, and good time management skills will be essential in this position. Working as a virtual bookkeeper is an excellent way to make good money and gain the flexibility and freedom you crave. There’s not a lot of set-up or equipment required aside from a computer, a high-speed internet connection, and bookkeeping software.
It is an essential business function and can be a worthwhile career to explore if you’re detail-oriented, organized, and trustworthy. When you hear the term bookkeeping, you bookkeeper may wonder what responsibilities and experience are required. Unlike an accountant or CPA (certified public accountant), who requires a bachelor’s degree and a license, bookkeepers fall under the umbrella of financial accounting.