Bookkeeper Job Description, Skills, Experience and Education

Bookkeepers are not required to have certifications or specific education unless required by a specific employer. However, completing a bookkeeping certification program can teach you basic accounting and how to perform bookkeeping tasks and has the potential to set you apart from other bookkeepers. Data entry refers to the ability to type data into forms and accounting software rapidly and accurately. Data entry abilities assist bookkeepers in entering data accurately into firm records.

The skills needed to become a successful bookkeeper are often acquired through working in a career in the finance industry or even by balancing your personal budgets.
You can learn bookkeeping for free and at a low cost through online courses.
Part of communication is also being able to ask the right questions and learn from the responses received.
While there are a myriad of courses available for bookkeeper education and training, a good deal of bookkeepers are self-taught since there are no required certifications needed to work as one.
Even as a rookie bookkeeper, you need to be familiar with creating financial reports such as a Balance Sheet and Income Statement.

It is essential to keep this in mind if you work for a company on a part-time basis. Not only does it improve your work ethic, but it also improves the relationship between you and the company you are working for. Suppose you understand how a decision made right now can affect the bigger scheme of things, as well as how a payment or purchase will affect the daily running of the company in the future.

essential bookkeeper skills for your resume and career

It’s a way to show potential employers and others in your professional network how broad and deep your skills are. You can get a certificate in bookkeeping by going to college or university or by taking part in a professional program that has been approved. If you find that you have a talent for and enjoy the process, you may consider starting your own bookkeeping business providing this service to others.

Good bookkeeping practices are essential for a business to succeed, especially when it comes to the tax-paying season.
The AIPB and NACPB also provide resources about how to become a bookkeeper, as well as suggestions that might make you more competitive in your search.
Remember this bookkeeper job description list so you can develop the qualifications you need to improve on before you immerse yourself in the role.
This does not require an understanding of the more advanced spreadsheet features.
They record these transactions, make payments, balance the books and bank statements, and generate financial reports.

If you are passionate about working as a bookkeeper, there are certain skill sets you need to have under your belt in order to succeed in the field and become a professional. Both accountants and bookkeepers work to maintain accurate records of finances, and sometimes the terms are used interchangeably. Generally, bookkeepers focus on administrative tasks, such as completing payroll and recording incoming and outgoing finances. Accountants help businesses understand the bigger picture of their financial situation. A certification in bookkeeping shows that you have the skills needed to keep accurate financial records.

The bookkeeper will then record the purchase of the new car and any gains or losses incurred due to the change. Also, they need to determine if the recent purchase required any loans and how much cash was paid for the transfer. As you can see, those who wish to work as bookkeepers generally need a solid comprehension of accounting principles and GAAP.

Most employers prefer hiring new bookkeepers who will learn from more senior professionals. Recently hired bookkeepers should expect to receive around six months of guidance and even classroom training when they start their new roles. The average salary for a bookkeeper in the United States is about $43,000 per year. However, some bookkeepers can earn less (around $37,000) or more ($50,000 and above) depending on their bookkeeping skills, experience, location, niche, and the quality of their clients. Bookkeeping can be a great side hustle if you’re good at it and enjoy the work. Once you’ve had some bookkeeping training, you’re ready for real-world bookkeeping jobs or experience.

Organization skills

In addition, smaller businesses may use single-entry bookkeeping, while larger businesses are more likely to use double-entry bookkeeping. As a bookkeeper, you may need to help the business learn the best practices to keep their financial records up to date and organized. An accountant can certainly perform bookkeeping tasks, but the title generally involves other responsibilities as well. An accountant may interpret the financial records put together by a bookkeeper to assess a company’s financial health.

Bookkeepers Can Save Businesses’ Time – The Benefits of Hiring a Bookkeeper

It is beneficial for you in your role as a bookkeeper if you enjoy going through the specifics of a project and making sure that no stone is left unturned. You can get the skills you need to be a bookkeeper by going to classes and schools in any part of the country. If you do these things, you will get closer to your goal of working in the field. Your job and everyone else’s will be significantly easier if you can communicate effectively and efficiently with everyone. Effective communication is needed for the job, including talking to people in person, on the phone, and through email. When your company operates on a cash basis, you only record revenue when you receive cash.

Being keen on details can also help prevent integrity issues related to your position. Payroll calculations – federal income tax, social security, Medicare – Payroll journal entries posted to ledger accounts… Browse through our resume examples to identify the best way to word your resume. Data entry means entering data into a company’s system with the help of a keyboard. A person responsible for entering data may also be asked to verify the authenticity of the data being entered.

Some bookkeepers, especially those with bachelor’s degrees in accounting, may decide to become certified public accountants (CPAs). CPAs have similar job responsibilities to bookkeepers, but must also analyze data, suggest best practices, and make predictions. Most bookkeepers hold high school diplomas and have completed postsecondary courses in relevant subjects, like accounting. Although you certainly can do formal bookkeeping training (e.g., online bookkeeping courses, relevant degree), many bookkeepers simply learn the ropes through on-the-job training. Simply put, bookkeepers are responsible for all financial activity and oversight of a business. They record and organize financial statements, ensure compliance with important tax rules, and facilitate all ingoing and outgoing payments on specific business accounts.

A few employers offer on-the-job training for bookkeepers by providing internships and placement programs. According to the US Bureau of Labor Statistics (BLS), most bookkeepers can learn the profession’s basics in about six months [3]. Once you become a qualified bookkeeper, you can work as a permanent employee or freelancer. Integrity and trustworthiness are important qualities to cultivate as a bookkeeper. Keep an organization’s financial data confidential and be transparent about your bookkeeping activities. Bookkeepers are important professionals in today’s economic and financial fields.

How to Become a Virtual Bookkeeper

It is not enough to have the knowledge and skills necessary to be an excellent bookkeeper; there is much more to learn. Touch typing is a distinct advantage that will save you time in the long run. If you need help getting used to new software updates or changes in technology, or if you can’t learn these skills quickly, you might have trouble with the role being offered. When looking for work as a bookkeeper, you need to have excellent computer skills. You will make great progress if you can keep up with technological advances and incorporate data accurately and timely.

Depending on the organization’s size, keeping track of business expenses and reconciling business statements may be your responsibility. A bookkeeper checks for errors when creating reports and managing the general ledger. You will check bank deposits for fraud, fix accounting advisory balance sheet errors, and maintain accurate payroll records. As a bookkeeper, you will verify and balance receipts, keep track of cash drawers, and check sales records. Bookkeepers also deposit money, cash checks, and ensure correct credit card transactions.

This site does not include all companies or products available within the market. Identifying and solving financial problems is another skill you need to possess as a bookkeeper. You need to be able to spot irregularities and discrepancies as soon as they materialize to avoid compromising your clients‘ financial well-being. In addition, you must be able to handle any issues with a calm and productive approach. If you are committed to pursuing this profession, you must be comfortable with mathematical equations. As long as you are confident enough to handle numerical concepts and are quick to adjust to unexpected changes, you will perform well with your tasks.