A bookkeeper is a person who maintains your daily accounts, records financial transactions as and when they take place. But there is a variation between a bookkeeper and an accountant. There are some tasks for which a bookkeeper is not authorized to, here the need for an accountant rise. Bookkeepers record the daily transactions well and further, and the accountants use the information which is compiled by the bookkeeper.
In simple form, a bookkeeper shows you the present financial position, whereas an accountant shows you it’s a bigger picture where you are to where you can go.
The best bookkeeper is the one who computes the financial transactions in your general ledger using the double-entry system called recording journal entries. Journal entries give the base to the full accounting.
Here are some qualities of a good bookkeeper:-
● Professional expertise
The bookkeepers needed to have professional expertise and excellent knowledge regarding bookkeeping. Bookkeeping consists of technical terms that can’t be easily interpreted by any untrained person. A bookkeeper must be known to the terms used in accounting, and it is not always needed to have a professional certificate or degree from the Certified Public Accountant (CPA). Before hiring any bookkeeper, it is good to go for scrutiny by checking up their bookkeeping knowledge. It will be helpful to hire a suitable person for the post.
Honesty is said to be the fundamental requirement for the post of the bookkeeper in the organization. Sometimes bookkeepers show you a false image of your company’s accounts saying everything is good, but the real idea comes in actual use to be entirely different. Any error or mistake while recording can be a blunder for the company. So the bookkeeper has to stay fair with the books and owners always. If any mistake happens to admit it, correct it so that one can avoid the worst outcomes before any blunder occurs.
● In touch with the latest developments
In the world full of changes and up-gradations it is a must thing for bookkeepers to cope with the changes and adopt them with the whole heart. Whether the changes are in the technologies or standards or else, they should make up their mind to upgrade themselves according to the changes. Bookkeepers need to know about the technologies so that they can be able to perform their job with more satisfaction as well as professionalism as it is required in the current era.
● Capable of offering sound advice
Business is all about teamwork. And every industry faces challenging times too. Bookkeepers are the base givers so they must be capable of giving good advice to the management to attain a solution to the problems. With this, they can prove themselves as a part of the business as well as an asset to them.
In the case of hiring a bookkeeper from a third-party firm, then it can cause issues sometimes. So the organization should go with ease in communication with their bookkeepers and stay connected to them always. Bookkeeping is a task of high importance and very essential for preparing a strong base. It is beneficial to have the accessibility with the bookkeepers.
Smriti Jain is the owner and senior content publisher at Financesmarti. Financesmarti is a website where she shares a lot of useful stuff for the people and business of India. This includes small business ideas and other banking information, as well. Smriti completed her education in science & technology from Delhi University. Smriti usually has interests in digital marketing now, and she has chosen this career for the full-time opportunity. The primary purpose of starting this blog to provide quality information on the banking industry to the people.