Should You Hire a Bookkeeper or an Accountant for Your Business?

Keeping track of the company's money is one of the most important things that business owners in Adelaide have to do. Many business owners want to know the difference between accountants and bookkeepers when it comes to handling the company's money. Who can I count on to meet the needs of my business? 

This article will help you pick the ideal financial expert for your business by explaining the differences between accountants and bookkeepers, as well as their roles and responsibilities.

What does a Bookkeeper Do?

A bookkeeper keeps track of financial transactions every day. Their main job is to make sure that your company's records are comprehensive, correct, and follow all the financial rules and laws that apply.

Main Duties:

• Keeping track of money transactions
• Handling payments that come in and go out
• Bringing bank statements to an agreement
• Keeping track of general ledgers
• Keeping track of GST and BAS duties
• Making financial reports for accountants

Bookkeepers often use accounting software like Xero, MYOB, and QuickBooks to keep accurate records. Their labour makes it possible for your accountant to execute his job, but they normally don't give you strategic advice.

What 's the Job of an Accountant?

An accountant, on the other hand, looks at your firm's finances in a bigger and more strategic way. They look at financial data, figure out what the trends mean, and give advice to help businesses thrive and follow the rules.

Main Duties:

• Making financial statements
• Filing tax returns
• Doing audits and reviews
• Giving business and tax planning advice
• Ensuring adherence to Australian tax regulations
• Assisting with planning and budgeting
• Giving information on cash flow and profits

In short, you need an accountant if you want to know how your business is performing financially and how to make sensible choices.

Main Differences Between Bookkeepers and Accountants

What is the difference between a bookkeeper and an accountant? Let's take a closer look at this difference.

When Should your Business Hire a Bookkeeper?

You might consider hiring a bookkeeper:

• If you need help setting up your finances, or if you're just starting off.
• You're not doing a good job of keeping track of your income, expenses, and bills.
• You need someone to keep track of your GST and BAS lodgements.
• You want to keep accurate financial records of your business.

Many small businesses in Adelaide hire professional bookkeepers to keep their finances in order and follow the rules.

When Should you Hire an Accountant?

Your business may need an accountant when:

• You're preparing your annual tax return or facing a tax audit.
• You need help with making a budget or predicting your financial flow.
• You're making changes to your business, like going from being a sole trader to a company.
• You want help figuring out how to pay less in taxes.
• You want to learn more about money so you can make more money.

An accountant is very helpful for end-of-financial-year (EOFY) reporting, strategic planning, and figuring out complicated tax situations.

Do You Need Both?

In many cases, having an accountant and a bookkeeper on staff can help your business stay financially stable. You can trust your accountant to use the information your bookkeeper gives them to make smart business decisions and follow the rules set by the ATO.

You may obtain both services from Ashmans Accounting, a local Adelaide company. This makes it easier for you to talk to them and is good for your business in the long run.

Why should you pick Ashmans Accounting?

Ashmans accounting provides personalised bookkeeping and accounting services to businesses in Adelaide and South Australia. Ashmans are Xero-certified consultants and experienced chartered accountants who can help you keep track of your bills and expand your business with confidence.

We help you with anything from tracking daily transactions to making comprehensive financial forecasts, whether you're a lone trader, small business owner, or developing enterprise.

Final Thoughts: Should you Hire a Bookkeeper or an Accountant?

So, who should you hire: a bookkeeper or an accountant?

If keeping correct records is your main priority, hiring a bookkeeper is a solid first step. If you need help with planning, following the rules, or doing a detailed analysis, go to an accountant. If you want a full-service company that can take care of all of your financial issues, like Ashmans Accounting, then working with them is the best option.

Do you need help with your taxes or books?

Get in touch with Ashmans Accounting in Adelaide for a free consultation to find out how we can help your business succeed.

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