Should you consider a bookkeeping career?
In Australia, bookkeeping is a common career. It enjoys the benefits of a semi-professional ‘white-collar’ occupation. Nonetheless, it allows you to create your own business, work from home, and have a meaningful career in bookkeeping and accounting.
The field of bookkeeping is both interesting and in great demand. Bookkeepers work with numbers and provide a valuable service to businesses and individuals all around the world. Bookkeeping professionals face new challenges every day, which is what makes it such a fulfilling job.
If you’re thinking about a career in bookkeeping, you probably have a few questions. Continue reading to learn about the various benefits of a job in bookkeeping.
As opposed to entering the job as an accountant, there are fewer barriers to overcome as a bookkeeper. For starters, many professional accounting positions need a degree.
Bookkeeping is a profession that generates and records data about an organization’s financial operations and transactions. Purchases, receipts, sales, and payroll are examples.
A bookkeeper is responsible for all of the nitty-gritty mathematical labour. A bookkeeper is required to do this more than an accountant. The level of attention to detail must be extraordinary, nearly faultless.
What does bookkeeping offer me?
On a monthly basis, bookkeepers verify that all of a company’s costs, revenue, and transactions are documented in the company’s books and reconcile the company’s financial records. Bookkeepers can also assist with the creation of financial statements and reports. Although accounting may be an in-house function, most organizations use freelance bookkeepers.
Understanding what accounting has to offer will help you decide whether it is the right job for you.
Bookkeepers are responsible for guaranteeing a company’s financial efficiency and profitability. Some duties may demand you to use your analytical thinking and leadership abilities, particularly when interpreting financial data.
Balance accounts, completing GST reports, making invoices, monitoring the company’s bank accounts, and preparing cash flow statements are just a few of the specific activities that a bookkeeper is responsible for.
Do you think you’d want to make a living with these responsibilities?
Do you have a high level of precision and a good sense of detail? If you answered yes to these two questions, accounting is likely the right job for you.
Bookkeeping: Accountant or Bookkeeper?
If you want to work in the financial services business for a long time, being an accountant is the ideal option.
The daily financial transactions of a corporation are recorded and classified by a bookkeeper (e.g., sales, payroll, payment of bills, etc.). They are more concerned with maintaining correct records than with understanding data and analytics. The information given by the bookkeeper is used by an accountant.
When compared to bookkeeping, an accounting job offers more opportunities for advancement and higher pay. Meanwhile, if you aren’t ready to commit to a long-term job but want to get a taste of the financial services business, a career in bookkeeping may be a good fit.
When choosing a career in either sector, it’s important to understand the differences between accounting and bookkeeping. Bookkeepers maintain track of a company’s daily financial transactions. Accountants, on the other hand, are more concerned with the larger picture.
Being a bookkeeper is a great place to start if you want to make a fair living while also plotting out your long-term professional goals.
Another factor to consider while deciding on a job path is the educational requirements.
In comparison to bookkeeping, getting a career in accounting demands a greater degree of knowledge, such as advanced accounting courses. Learning the ins and outs of taxation accounts for a significant portion of the study load.
An accountant’s responsibility is to maintain track of all tax-related matters, including monitoring an organization’s BAS.
The Business Activity Statement, or BAS, is a document that registered business organizations send to the Australian Taxation Office (ATO) to record their tax responsibilities, such as GST, PAYGW, and others.
On the other hand, pursuing an accounting position requires less educational requirements. This is mostly due to the fact that bookkeepers are not required to perform substantial data analysis, provide financial insight or advice, or be involved in the company’s tax requirements. But just because it’s less stressful than becoming an accountant doesn’t imply it’s the better option.
It’s vital to remember that bookkeepers are responsible for keeping track of the company’s financial records and transactions, which is no easy task. As a result, a prospective bookkeepers must take extensive training to prepare them for the arduous accounting world.
How Can A Certificate IV In Accounting And Bookkeeping Assist You In Making Your Decision?
If you want to work in the financial services industry but aren’t sure whether you want to specialize in accounting or bookkeeping, you’ll be relieved to learn that the Certificate IV in Accounting and Bookkeeping course combines both accounting and bookkeeping certifications.
Study Accounting and Bookkeeping Certificate to help you decide
You will be a proficient bookkeeper if you have this certification. However, if you decide that you want to be an accountant after working as a bookkeeper, you can change your specialization.
It’s the same if you first planned to be an accountant but subsequently chose to become a bookkeeper.
If you’re not sure where you want to specialize in the financial services business, this is an excellent qualification to pursue.
Don’t get the impression that this training is solely for individuals who are still on the fence. This is also the course for you if you already know you want to be an accountant or a bookkeeper.
Consider the level of expertise and training you’ll have after completing this course, as you’ll be studying bookkeeping and accounting-specific courses.
How to manage a career as a bookkeeper?
A bookkeeper’s tasks and roles differ from those of an accountant. Although they share similar objectives, they function at various times of the financial cycle. In the world of finance, both career paths are necessary.
You may select where and how quickly you advance if you start your career in bookkeeping. A Certificate IV in Accounting and Bookkeeping (FNS40217) can get you started, but if you wish to pursue a career in accounting or auditing, you can simply finish further credentials, such as a TAFE degree.
Bookkeepers might work part-time or full-time depending on their needs. Around tax season and the conclusion of the fiscal year, longer work days are customary. Bookkeepers often work conventional business hours from Monday to Friday.
To get down to the nitty-gritty of your work-life balance, most accounting jobs need you to work from 9 a.m. to 5 p.m. on business days. There may be times when you have a stack of work to go through and require a few additional hours to complete the task.
However, the majority of your time will be spent at your desk, answering questions or processing requests, especially if you work for an organization. Temporary job is generally available if you cannot find permanent work.
Job sharing, part-time jobs, and freelance accounting employment are all possibilities.
How do I become a bookkeeper?
In addition to creating financial statements and other reports for management and supervisors, bookkeepers are responsible for managing a business or company’s financial records, monitoring transactions, updating statements, and guaranteeing correctness.
To become a certified bookkeeper, you must complete four years of study at an authorized higher education institution in Australia or anywhere in the world.
The admission requirements for such a study are not very high, with merely ordinary marks in mathematics, English, and computer abilities necessary.
However, online bookkeeping courses are available, which will be ideal if you need to fit your education around a family or other occupations.
Bookkeeping is a flexible profession, and almost every firm needs its services.
If you want to work for a major corporation, you should start as a junior accountant, where you may learn from more experienced employees.
Most employers will want to know if you are accredited by the relevant organisations that regulate the field rather than if you have any training. Bookkeeping is a fantastic job choice if you have strong concentration, the ability to work fast, and are discreet, honest, and trustworthy.
How are bookkeepers different to accountants?
A crucial service is bookkeeping. But what distinguishes it from accounting? The two services are frequently compared, yet they are distinct:
Bookkeepers handle the day-to-day tasks and ensure that the accounts are accurate and detailed. They can also provide you advice on concerns that may arise in the near future, such as cash flow challenges or late invoice payments.
Accountants will review the accounts that have been generated on a quarterly basis in most cases. They will make any necessary small modifications. They will file tax returns and other formal records using the information in the accounts. They will also offer high-level business consulting.
Both personnel are required for your business to work successfully. To handle the day-to-day task, you’d engage a bookkeeper. You’d also engage an accountant to take care of formal reporting and high-level business counsel.
Reasons to Consider a Career in Bookkeeping
Accountants are the backbone of every company and are a wonderful career choice in terms of job stability and salary.
Accountants play an important role in every organization, from ensuring that money is flowing to keeping the doors open and lights on.
Has this altered as a result of technological advancements? What can you expect in the future from accounting jobs?
Accounting is an excellent place to work if you want a stable job with lots of prospects. If you’re thinking about a career in bookkeeping, you probably have a few questions. Continue reading to learn about the various benefits of a job in bookkeeping.
Excellent Jobs Prospects
Bookkeepers are in great demand and on the increase. Once you’ve completed your education, you’ll have a great chance of finding work. Bookkeepers are in high demand all around the world, so if you wish to work abroad, bookkeeping is a good option.
As a bookkeeper, you can work in a wide range of businesses. Some people choose to work in finance, but you may also work in retail, healthcare, or insurance; the possibilities are unlimited!
If you become bored quickly in your current job, this is a perfect career option for you. You will have the option to travel around and work in various situations, so your job will never become monotonous.
You Control Your Career
The functions and responsibilities of a bookkeeper differ from those of an accountant. Although they have similar goals, they operate at different points in the financial cycle. Nevertheless, both job routes are crucial in the financial sector.
If you start your career in bookkeeping, you may choose where you want to go and how quickly you want to grow.
A Certificate IV in Accounting and Bookkeeping might help you get your foot in the door. Even so, if you want to work in accounting or auditing, you may simply get extra qualifications, such as a TAFE course.
Depending on their demands, bookkeepers may work part-time or full-time. Longer workdays are common around tax season and the end of the fiscal year. Bookkeepers often work normal business hours Monday through Friday.
High Earning Potential
In today’s environment, having a consistent wage may provide a great deal of security.
Bookkeepers make a good living, which increases with experience. A bookkeeper’s average annual pay in Australia is $56,000.
Within the industry, you can readily advance to higher-paying positions.
Consider a career in accounting if you want to make an income that allows you to pursue lifelong goals like travel and homeownership.
A TAFE course can help you advance your career. Certificate IV in Accounting and Bookkeeping (FNS40217) is the easiest method to get your foot in the door and obtain valuable on-the-job experience.
Technological Skills Are a Must
A variety of computer software and systems and a number of technical duties are required in many bookkeeping jobs.
Although bookkeeping activities and responsibilities will still require you to complete manual calculations to ensure accuracy, having a thorough knowledge of IT-related accounting skills will put you ahead of the competition.
Digital apps are used in bookkeeping to make the job simpler.
You can attend a TAFE course to strengthen your computer skills if you need extra training after securing a job in bookkeeping. On the other hand, the majority of applications are straightforward to use and should not cause you any issues.
Bookkeeping is an excellent career choice for anyone who like numbers. A bookkeeper’s duties and responsibilities necessitate a high level of attention to detail and patience. There’s no need to be concerned if you’re not a natural multitasker. To ensure accuracy, bookkeeping often needs you to concentrate on one financial condition at a time.
Consider a career in bookkeeping if you enjoy social situations. Client contacts on a daily basis allow you to interact with a diverse group of people. However, if you are more of an introvert, there are still many job prospects in bookkeeping for you. The role’s versatility makes it a fantastic fit for people of many personalities.
Experience in Bookkeeping
Many people learn fundamental bookkeeping skills as part of their work or by doing bookkeeping functions while running their businesses. Many roles in the workplace include basic bookkeeping tasks already, so learning by experience is common.
Pretty much anyone with general administration jobs—like a receptionist, an office administrator, or people working in small businesses with “all-rounder” duties—will have done some basic bookkeeping already. Seemingly menial tasks such as recording payments, processing receipts, and entering data into a computerised accounting system are all bookkeeping tasks.
Many careers in financial services might have been kicked off this way: people started with an entry-level role, then they gained exposure to bookkeeping, and lastly, they enrol in a bookkeeping course so they can learn new skills and get a formal qualification.
Contract bookkeeping became known as a career when finance professionals saw a gap that they needed to address.
Many small businesses had a dilemma about completing their BAS: they were too small to employ a full-time or part-time bookkeeper, but professional accountants were too expensive to hire for preparing BAS. To address this, they looked for bookkeepers that they can employ on short-term contracts and at reasonable rates.
Eventually, the gap was filled, and more people got drawn into the new practice over time. They enrolled in bookkeeping courses, got their qualifications, and registered as BAS agents to get paid for providing BAS services. After all, contract bookkeeping comes with great benefits.
For one, contract bookkeepers typically run their own small businesses remotely from their workstations at home or a shared office. This alone made it an ideal career option for stay-at-home parents, for young people who want flexibility in their work, and for those who find working for someone else too restrictive.
Is it worth it?
If you’re searching for a well-paying job with plenty of opportunities for promotion, accounting is a good option. The average compensation for bookkeepers in Australia is around AU$25.38 per hour. The best part is that the salary for bookkeepers does not differ much between new and experienced bookkeepers. Because the profession is so flexible, working part-time in consulting sectors is feasible if your company’s policy does not prohibit it. Job security is nearly guaranteed in this industry since, despite the various accounting software programs, humans are still required to manage them.
Whoever you hire must be trusted with your company’s financial facts on a daily basis. As a result, you should use extreme caution when hiring a bookkeeper.
You’ll have a lot of options because there are so many bookkeeping companies. For example, you might contact one directly or inquire about referrals from your business partners or clients.
Inquire with your accountant as well. Finding someone who utilizes the same accounting software as your accountant is ideal. They may readily communicate account information this way.
Accounting software should ideally be cloud-based, which means it can be accessed anywhere. Then you’ll all be able to share access to your company’s financial data. You may do it safely and remotely from any location.
Once you’ve reduced down a small list of bookkeepers, you can:
- Review their previous work history.
- Contact their referees and speak with them.
- Request a meeting with your suggested bookkeeper from your accountant.
It’s a significant step to trust someone with your company’s financial information. So, before you employ a bookkeeper, do your homework.
Low-touch accounting refers to the provision of extremely limited data input services. For example, it would be confined to employing technology to read previously completed bank transactions and enter them into accounting software. This isn’t exactly a cutting-edge service. It isn’t genuine accounting. It is not beneficial to company.
Accounting companies can execute bookkeeping, but providing ‘real accounting’ will necessitate a high level of participation with the business as well as a set of integrated business management system knowledge and abilities.
Struggling to keep up with your bookkeeping?We’re here to help. Bookkept are qualified accountants and business advisors who can take care of all your accounting and business advisory needs, so you can focus on what you’re good at – running your business.
Contact us today at (03) 8568 3606 or [email protected] for a consultation!