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Whats the difference between a bookkeeper and an accountant?

 
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Whats the difference between a bookkeeper and an accountant

Bookkeeper vs. Accountant

What's the difference between a bookkeeper and an accountant?



People often are not sure what the difference between a bookkeeper and an accountant is. Many people think that they are different names for the same thing, and that bookkeeping and accounting are the same.

The truth is that while it is true that an accountant could fulfill the function of a bookkeeper, a bookkeeper is not an accountant. What does this mean? Let's look at this in simple terms….

What are the general duties of bookkeeper?



A bookkeeper keeps track of money that is owed to a business as well as money that the company needs to pay out. He looks after the company's payroll and all the aspects that are associated with this. His job also includes seeing to it that a business has enough cash on hand for the daily running of the business and even goes so far as to do the preparation work needed for the eventual filing of your tax returns.

For an individual, a bookkeeper helps provide order to personal financial records.

What are the general duties of an accountant?



Accounting involves a higher level of thinking and planning. An accountant sets up the systems a business uses to monitor transactions. An accountant also has a higher level of training than a bookkeeper, having to have a degree in accounting. Many also have MBA's and might be certified as CPA's also. One of the most important duties an accountant has is to present reports that enable a company's executives to make financial decisions regarding a company's well-being. These reports include balance statements, profit and loss statements as well as cash flow reports.

At the end of the day, it is the accountant's job to see to it that a company's bookkeeping is streamlined and that all records kept are consistent and accurate.

In terms of costs, an accountant charges much more for his services because of the training and expertise required. By having a good bookkeeping system in place, such as those provided by a professional bookkeeper, you can keep those costs down because it will take the accountant less time to do his job!


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Frequently Asked Questions
  How will bookkeeping help me?
  Does my small business need a bookkeeper?
  What services can a bookkeeper provide for my business?
  Whats the difference between a bookkeeper and an accountant?
  How can a bookkeeper help me get ready for tax time?
  Can a book keeper help me with payroll?
  What do I need to provide my bookkeeper?
  What are some book keeping tips for small businesses and/or freelancers?
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Full Time or Temporary Staffing Full Time or Temporary Staffing Full Time or Temporary Staffing
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How will bookkeeping help me? How will bookkeeping help me? How will bookkeeping help me?
Does my small business need a bookkeeper? Does my small business need a bookkeeper? Does my small business need a bookkeeper?
What services can a bookkeeper provide for my business? What services can a bookkeeper provide for my business? What services can a bookkeeper provide for my business?
Whats the difference between a bookkeeper and an accountant? Whats the difference between a bookkeeper and an accountant? Whats the difference between a bookkeeper and an accountant?
How can a bookkeeper help me get ready for tax time? How can a bookkeeper help me get ready for tax time? How can a bookkeeper help me get ready for tax time?
Can a book keeper help me with payroll? Can a book keeper help me with payroll? Can a book keeper help me with payroll?
What do I need to provide my bookkeeper? What do I need to provide my bookkeeper? What do I need to provide my bookkeeper?
What are some book keeping tips for small businesses and/or freelancers? What are some book keeping tips for small businesses and/or freelancers? What are some book keeping tips for small businesses and/or freelancers?