What’s the difference between a bookkeeper and an accountant?
It’s important to understand the difference between bookkeepers and accountants so that you know which professional service you need for your business for different tasks.
What bookkeepers do
A bookkeeper can help you to record all the financial transactions for your business. It’s crucial to keep good financial records to help you to:
make smart business decisions, and
comply with all your tax and other legal obligations.
Most bookkeepers use automated software like Xero to make life easy for small business owners. This software can help you to quickly and easily do potentially time-consuming but essential business tasks like:
monitoring your cash flow,
preparing and lodging your business activity statements (BAS),
generating customer invoices,
chasing up customer payments,
paying your staff, and
making compulsory superannuation payments on behalf of your staff.
Many business owners outsource their bookkeeping tasks to virtual bookkeepers. Doing that leaves them free to spend their time on what they do best.
What accountants do
Accountants help to prepare and interpret business financial statements like balance sheets and profit and loss statements. They aren’t generally as involved in the business record-keeping process as bookkeepers are.
Some accountants specialise in tax and become registered tax agents with the Tax Practitioners Board. If you need tax advice for your business, you should see a registered tax agent.
How we can help
At Scorpion Bookkeeping, we can help you with all your bookkeeping and BAS tasks. We currently provide bookkeeping support services to a diverse range of clients in South Australia, Victoria and New South Wales.
We can also help you to implement Xero bookkeeping software to help you. We are a Xero-certified partner.
Contact us today for a free, no-obligation consultation to find out how we can help your business!