Frequently Asked Questions

What exactly does a bookkeeper do?

A bookkeeper records, organizes, and maintains your business’s financial transactions. This includes tracking income and expenses, reconciling bank accounts, managing invoices and receipts, and preparing financial reports. Bookkeepers ensure your financial data is accurate and up to date, allowing you to focus on running your business.

How is bookkeeping different from accounting?

Bookkeeping involves the day-to-day recording of financial transactions, while accounting uses that data to provide analysis, financial strategies, and tax preparation. In short, bookkeepers maintain the financial records, and accountants interpret them.

Why do businesses need bookkeeping?

Accurate bookkeeping helps you:

• Understand cash flow

• Track profits and expenses

• Make informed financial decisions

• Stay compliant with taxes
  Without proper bookkeeping, it’s easy to lose track of money, miss deductions, or face penalties during tax season.

How often should bookkeeping be done?

Ideally, bookkeeping should be done weekly or monthly, depending on your transaction volume. Regular updates ensure your records are accurate, financial reports are meaningful, and there are no last-minute surprises when tax time comes around.

Can bookkeeping really save me money?

Yes! Bookkeeping helps you:

• Identify unnecessary expenses

• Avoid late fees by keeping bills organized

• Catch financial errors early

• Maximize deductions during tax filing
  In the long run, accurate records give you better financial control, which leads to cost savings.

Do I still need a bookkeeper if I use accounting software like QuickBooks?

Yes. While software can automate some tasks, it still requires setup, oversight, and accurate data entry. A bookkeeper ensures your accounts are correct, reconciled, and compliant, while software alone can’t catch mistakes or provide personalized financial insights.