What does a bookkeeper do?
There are many tasks that a bookkeeper can perform to help you meet your business objectives and to eliminate problems you may be facing.
The main duty a bookkeeper performs is recording financial transactions into accounting software. Freelance Bookkeeper uses Xero software.
Recording financial transactions and balancing the books is a bookkeeping core function.
The second core task is bank account and credit card reconciliation, matching transactions to invoices and receipts. In this process, a bookkeeper ensures that the correct journals, expense accounts, and tax rules are used and applied.
Of course, balancing the books and cross-referencing to ensure accuracy and effective reporting is a major aspect of bookkeeping.
Other tasks include report preparation. Examples of reports include:
Balance Sheets
Profit and Loss Statements
Aged Receivables
Aged Payables
Cash Flow Forecasts
Additional services can include accounts receivable, which involves creating and sending invoices and if needed sending reminders when accounts are not paid on time.
Accounts payable tasks ensure that bills and invoices from suppliers are paid on time and efficiently.
Payroll processing is another bookkeeping function including entering employee records, calculating pay and deductions, superannuation set up, pay runs, and reporting.
Some of the cool stuff bookkeepers know about include what are current assets, non-current assets, capital expenses, non-capital expenses, income, expenses in general, journals, liabilities, equity, and a whole bunch of other tax information to make your life a lot easier and to help your business run smoothly.
What a bookkeeper does not do.
Bookkeepers do not give financial advice. This includes analysing financial reports and business performance. Bookkeepers do not provide budgeting advice and forecasting for your business.
These tasks are for accountants and financial advisers. A bookkeeper can liaise with qualified professionals in such areas and provide with permission reporting documents they need to provide you this advice.
Bookkeepers do not do Tax Returns, BAS, and Payroll lodgement at the end of the financial period.
A bookkeeper does not deal with the ATO on matters relating to Tax Agent services.
Please note that Freelance Bookkeeper is a member of the Australian Bookkeepers Network (ABN) and can facilitate BAS Services for you through ABN BAS.
ABN BAS is a Registered BAS Agent.