Bookkeeping vs. Accounting? What’s the Difference?
There’s a lot of common misconceptions when it comes to the differences between bookkeeping and accounting and, frankly, a lot of overlap in the two fields. At Supporting Strategies, we specifically provide bookkeeping and controllership services. Although there’s no denying that bookkeeping and accounting are similar, there are some key differences it’s important to know and fully understand.
Not only is it essential for you to understand the distinctions, but you also should be equipped with this knowledge to explain to your potential clients. Sometimes, clients think they need accounting services when they really need bookkeeping, and vice versa. Being able to succinctly explain the differences, and clearly lay out how Supporting Strategies can meet their needs, will go a long way toward creating a bond of trust with your client.
What Do Bookkeepers Do?
Bookkeepers are entrusted with recording a company’s financial transactions in chronological order, usually on a daily basis. They may also be responsible for classifying and summarizing financial data in reports, producing invoices, posting debits and credits, maintaining and balancing subsidiaries, ledgers, and historical accounts, managing payroll, PTO, and employee benefits. The complexity of a bookkeeper’s job often depends upon the size of the business, and how many transactions must be completed each day. Supporting Strategies specializes not just in keeping track of a company’s finances, but also in offering insights into the monthly reporting, and playing a significant role in the strategic outlook for their books.
What Do Accountants Do?
Certified Public Accountants (CPAs) are qualified to perform many of the same tasks as bookkeepers, but they also focus on conducting audits and managing a company’s tax information. They specialize in completing income tax returns, analyzing the cost of operations, and preparing company financial statements and adjusting entries. It can be helpful to think of accountants as slightly more specialized versions of bookkeepers, though bookkeepers typically perform many of the same duties.
The Supporting Strategies Difference
The Supporting Strategies team strives to provide the broadest range of services for our clients. In addition to organizing company financial records, providing financial analysis and strategy, processing payroll, and managing employee information, Supporting Strategies truly offers a vast and diverse suite of expertise. What does this mean? Demand for our services is at an all-time high. For companies with more wide-ranging needs, the qualified bookkeeping, smart financial analysis, and operational support of Supporting Strategies are key to long-term success. That’s why our customer base is so loyal, and keeps utilizing our services time and time again.
To learn more about bookkeeping vs. accounting, or embark upon a career in bookkeeping franchise ownership, reach out to Supporting Strategies today.