They must also prepare and file tax returns, payroll, and other compliance documents. Furthermore, they are tasked with assisting with budgeting, forecasting, and auditing processes as well as communicating with vendors, customers, and other stakeholders on accounting matters. The term “full charge” signifies that the bookkeeper takes full responsibility for the accounting cycle, up to the point of handing over records to a CPA for year-end tax preparation or audit. These professionals handle everything from preparing financial statements and managing payroll to recording complex transactions and keeping every figure accurate. Moreover, this role sits between a general bookkeeper and a controller in terms of responsibility. It is common in small to medium-sized businesses that require rigorous accounting practices but may not yet have a full accounting department.
Essential Skills
Their team of professionals handles all aspects of bookkeeping, allowing business owners to save time, reduce stress, and have peace of mind knowing their finances are in good hands. A full charge bookkeeper can enjoy a dynamic role with various accounting tasks and functions, as well as autonomy and flexibility in managing the operations of a business. Moreover, this career offers opportunities to learn new skills and grow professionally, with a median annual salary of $43,000. However, https://www.bookstime.com/ it can also bring some challenges such as a high level of responsibility and accountability for the financial health of a business. In summary, a full charge bookkeeper has a range of career advancement opportunities available. Continuously expanding your skills, staying updated with industry trends, and seeking professional certifications will help you progress in your career.
How Does Full Charge Bookkeeping Differ from Traditional Bookkeeping?
A full charge bookkeeper is that same make of car but with the upgraded package that includes heated and balance sheet power seats, power windows and mirrors, and most importantly, comes with a higher price tag. As mentioned, everything done by professional bookkeepers is included, plus some extras. So let’s see what the basic duties of a full charge bookkeeper are, so you can have a better idea if that is what your business needs are. Figuring out the basics of bookkeeping and finding a reliable bookkeeper is the nightmare of every small business owner just starting. However, as the business grows, so do the bookkeeping needs, which is why you should consider stepping up your bookkeeping game.
Best Practices for Full Charge Bookkeeping
They may also be in charge of certain aspects of accounting like payroll, but this isn’t always the case. A full charge bookkeeper is responsible for all aspects of the books for a business. This includes recording transactions, reconciling accounts, preparing financial statements, and more. Full-charge bookkeepers ensure compliance with financial regulations, tax legal guidelines, and reporting requirements. They must stay updated with evolving financial policies to ensure correct and timely financial reporting.
- Adding a full-charge bookkeeper into the mix can drastically change the responsibilities and workflows of these existing teams.
- During regular business hours, you will be responsible for carrying out your daily tasks, such as processing invoices, recording transactions, and preparing financial statements.
- Outsourced financial services such as full charge bookkeeping, offer a variety of other benefits to your business as well.
- Full Charge Bookkeepers compute, classify, and record numerical data to keep financial records complete.
- Although full charge bookkeepers combine accounting and bookkeeping services for SMEs, they do differ from accountants in some ways.
Roles and Responsibilities of Full Charge Bookkeeper
- They should have at least a baseline familiarity with the most popular tools used by bookkeepers and accountants.
- Because of their big job, full-charge bookkeepers need to know a lot about accounting software and principles.
- The salary of a full charge bookkeeper can vary depending on experience, location, and the size of the business.
- Many employers require at least 2-5 years of experience in bookkeeping or accounting, particularly in handling full charge bookkeeping responsibilities.
This level of accuracy in full-charge bookkeeping means you avoid surprises at audit time and sleep easier during tax season. A full-charge bookkeeper performs budgeting by analyzing historical financial data, forecasting income and expenses, and tracking cash flow. They prepare monthly budgets, compare actuals to projections, and adjust accordingly. As businesses grow, so does the need for more comprehensive financial management.
If you’re a small business owner looking to simplify your financial life, hiring a full charge bookkeeper could be the smartest move. Not only will they save you time and stress, but they’ll also set your business up for long-term success. Also, unlike accountants, full charge bookkeepers generally do not provide tax planning advice or act as financial full charge bookkeeper advisors.
- The preparation and filing of tax returns demand meticulous attention to detail.
- Employing a full charge bookkeeper is like adding a seasoned navigator to your crew, bringing a wealth of benefits that ensure your financial management sails smoothly toward success.
- You handle many bookkeeping tasks to make sure everything is accurate and follows the rules.
- To become a bookkeeper, a high school diploma or equivalent and some basic bookkeeping knowledge are enough.
- This certification demonstrates advanced proficiency in managing payroll, financial statements, adjusting entries, and internal controls for small to medium-sized businesses.
Full charge bookkeepers with more acquired skills get higher pay, especially with competencies with higher demands. As of January 1, 2025, the average salary for full charge bookkeepers in the United States is $44,960 per year. The range for full charge bookkeeper salaries in the U.S. goes from $35,943 to $54,799, with earning mostly between $40,240 and $50,110.
Software Expertise
Full service bookkeepers can handle all bookkeeping and a lot of the accounting duties. While we can’t give an exact number, we can estimate that it’s around $35/hour. Getting into specifics, they also help manage things like invoicing, payroll, and calculating and preparing tax returns.