Can My Accountant Do Bookkeeping?

An accountant may offer bookkeeping services, but that does not necessarily mean bookkeeping is the best use of their time or the most cost-effective arrangement for your business. Accountants and bookkeepers often perform different roles, although there can be overlap. A bookkeeper typically focuses on maintaining the day-to-day financial records of a business. 

This can include transaction processing, bank reconciliation, accounts payable, accounts receivable, payroll and maintaining the accounting file. An accountant may focus more heavily on financial advice, tax returns, tax planning, financial reporting and higher-level financial decisions. For many small businesses, having both can work extremely well. Your bookkeeper keeps the records accurate and up to date, while your accountant can use those records for tax and advisory work. 

Cloud accounting platforms such as Xero also make collaboration between business owners, bookkeepers and accountants easier because everyone can work from the same financial information. 

Whether you need one provider or both depends on the complexity of your business. If your accountant charges a premium for routine bookkeeping, using a specialist bookkeeper for the day-to-day work may be more economical. Young Guns Bookkeeping works with Melbourne small businesses that want practical bookkeeping support and can work alongside their accountant. The important thing is not whether your provider is called an accountant or bookkeeper, but whether your bookkeeping is accurate, current and useful for making business decisions.