FAQ
What is a Virtual Bookkeeper?
A virtual bookkeeper is a bookkeeper who conducts his/her work online. These professionals provide the same responsibilities of traditional bookkeepers except that they are hired by a company or client to do the work remotely.
Why Virtual?
Virtual is the new modern way to conduct business while saving you time and money. As technology continues to advance at astonishing rates, businesses are considering using virtual bookkeeping services. For those considering virtual bookkeeping, they soon realize the great benefits and savings it comes with. With cloud based software, you get the same private and secure access to financials and reports no matter where you are.
What are the benefits of a Virtual Bookkeeper?
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Save Money: Since a virtual bookkeeper isn’t an employee of your company, you aren’t required to pay payroll taxes, provide them with a work-space, or offer benefits like healthcare. According to GrowthForce, the average virtual bookkeeper costs $500 to $2,500 per month, whereas a full-time bookkeeper can cost you between $3,000 and $4,500 per month, plus the cost of benefits.
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Error reduction: Even if you’re skilled at bookkeeping, you probably don’t have time to ensure that all accounting tasks are performed correctly. Since 29 percent of small businesses fail due to cash flow issues, neglecting day-to-day accounting responsibilities can have serious consequences. Hiring a bookkeeper to focus explicitly on routine accounting tasks can reduce unintentional errors due to multitasking.
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More freedom to do what you do best: With day-to-day financial management removed from your to-do list, you can focus on the things that make you a great business leader — and use those skills to grow your company.
I already have a CPA, why do I need a bookkeeper?
Bookkeepers and CPAs play different roles for your business, and both of those roles are critical to your success. CPAs generally aren’t as hands-on with the day to day or weekly financial flow of your business. They are needed for tax filing, tax questions, tax advising, and auditing. A quality bookkeeper can save you money with a CPA. Bookkeepers can clean up your books and produce accurate financial reporting, which will save the CPA hours when it comes time to file taxes. Those clean books and accurate reports will help assist the CPA in making sure you’re getting the tax breaks you should be and not overpaying in taxes. A bookkeeper is to a CPA what a nurse is to a doctor, and just like nurses and doctors are essential in making sure you’re healthy and taken care of. A CPA and bookkeeper maintain the financial health of your business.