Signs of a brilliant bookkeeper

Good bookkeepers are as frequent as rain in Ireland but a truly great bookkeepers are as rare as a week of sunshine. As a business owner you need to recognise the impact a bookkeeper can have on your business Being so rare it’s difficult to hunt a great bookkeeper down but here are some tips on how to know one when you see one.

 

Educate Themselves On Your Business Needs

Great bookkeepers take the time to adapt to your business and understand how you operate so they can make sure that the processes are as simple and efficient as possible. They will be able to identify opportunities for your business to be more organised, labour-saving and efficient.

Excellent Communication Skills


Great bookkeepers are great communicators they are able to explain complex ideas in easy-to-understand ways, if your bookkeeper regularly uses accounting and bookkeeping jargon, the conversations you have will feel restricted and unproductive. Look for someone who’s willing to communicate key concepts at a pace you’re comfortable with, and don’t be afraid to ask questions!

Experience In Your Particular Industry

What may seem like a good bookkeeper to most could be a great bookkeeper in your industry. Working with a bookkeeper who has expertise in Legal bookkeeping would be very different than working with one who has experience with retail. Specialised bookkeepers can provide reports on how your business is performing month-to-month, and have an idea of what success metrics look like in your industry.

Evolve With The Industry

A sign of a really great bookkeeper is one who is up to date on what is happening in the bookkeeping, accounting and technology spaces. The bookkeeping and accounting industries have evolved considerably over the past few years due to changing technologies. When bookkeepers utilize the latest business software and technologies, it shows that they’re committed to increasing efficiency and providing a more robust service. Great bookkeepers should be explaining to you and encouraging you to use technology to save time and money by automating processes with cloud accounting packages.

Are Trustworthy

Finally, the relationship between a client and a bookkeeper is sacred. Most people won’t share their financial details with friends or even family, so it is important when picking a bookkeeper that it is one you can trust. Great bookkeepers are transparent with things like billing and pricing, they’re responsive and you never have to question what kind of value they’re adding to your business, you are one of the lucky ones that have a great bookkeeper.

How "PAYE Modernisation" will affect Employees and Employers?

In 1960 Revenue introduced the PAYE system. This system was designed for employees and employers to have the most accurate, up to date information relating to pay and tax deductions. Ensuring the right tax deductions are made by the right individuals at the right times, improves the accuracy, understanding and transparency for all the stakeholders. This version of the PAYE system has been used for the past 60 years but for not much longer…

On the 1st of January 2019, the PAYE system will get a long overdue update to evolve with the times. For example, people switch job more regularly and changes in personal circumstances   ( i.e marital status) are much more common compared to when PAYE System originally launched

Now you are probably wondering what do these changes mean for me. Don’t worry, this update will benefit both employers and employees.

 

For Employees

Before the start of the tax year, an online statement will be sent detailing your tax credits and standard cut-off points for the upcoming year. This will be based on estimated income and information available to Revenue for the employee. Employees will be prompted to make any necessary adjustments to or to update this online statement, including claiming any additional entitlements. This contrasts with the current system where the employee must wait until the end of the year for such reconciliation and wait for any refund or be faced with a tax underpayment.

For Employers

This update will have changes on how employers pay their employees. When processing payroll, a file must be submitted (electronically) to Revenue containing details of employee payments. The contents of this file will be like the details currently submitted in the annual P35, but unlike the P35 this file must be submitted each pay period e.g. weekly or monthly.

The update enables employers to submit a new employee’s detail before they start employment their details. This allows the final payroll run in the year will generate a pre-populated statement setting out the total tax deductions for the year both at the level of the employer and the employee. This, in turn, should reduce incidences of year end over/underpayments of income tax.

This new reporting process by employers to Revenue is anticipated to be fully integrated into the employer’s payroll run and will result in a significant modernisation of business processes and reduce the administrative cost for employers.

To discuss these changes further Contact us

Should You Do Your Own Bookkeeping?

Should you do your own bookkeeping? Similar to the DIY mentality of the husband doing the plumbing, probably not. Except in this case instead a flood of water in your kitchen you have a flood of paperwork in your office leading up to an audit. It’s not a question could you do your own bookkeeping, it’s not even a question of why should you, it’s a question of why would you? Here are 3 reasons why doing your own bookkeeping isn’t in you or your businesses best interest.


Control

Oftentimes business owners are notorious for Micro-managing. Observing and undertaking any and every task that the business needs. This is unnecessary stress inducer, learn to trust in the ability of the people you hire. You can’t control everything in business. Trying will only lead to frustration. Control the things you can. Attempting to be the jack of all trades will lead you to be the master of none.

 

Time is money

A lie business owners tell themselves when deciding to do their own bookkeeping is that they will make time. Realise that you are highly skilled and that your time has value, after all time is money. If you're hell-bent on being in control of your business's financial health, then you likely need to make the time commitment. Why not commit your time by focusing on what you do best?

 

Interest

It is almost normal not to enjoy maintaining accurate accounting records, it’s a tedious task that can have you leaving the office drained. This can change your outlook, motivation and efficiency in the workplace in a negative way. Don’t under estimate the power of a positive mind-set on not only your work efficiency but the impact it can have on your personal life.

Is your bookkeeper retiring? Here's what to do next.

The working relationship you have with your bookkeeper is oddly intimate, there is a lot of trust involved and a sense of loyalty to one another. This makes the bond hard to break even when it’s in the individual’s best interest. It can be a bit scary when your long-term bookkeeper retires. When looking for a replacement its important you know they will be just as efficient, reliable, honest, and flexible. Here's what to do when your bookkeeper retires:


Bookkeeping is most likely not your forte and now that your bookkeeper is gone, you might be feeling more lost than ever. Find the silver lining and view this situation as an opportunity for you to rebuild how your business financials are being managed, and assess what other aspects of your business can use some fine-tuning and implement. Technology is ever changing in the world of bookkeeping and a new bookkeeper armed with the latest tech and strategies can greatly benefit your business.


As you get ready to start fresh, take some time to consider what your options are. When you’re considering who your next bookkeeper will be, don’t be afraid to ask hard-hitting questions. Look for someone who will nurture the business relationship, who specialises in your particular industry, has a positive track record with their other clients, and someone who’ll go the extra mile.

Also, it is important that you ensure a smooth transition and get all of your latest financial reports and files from your old bookkeeper. Your new bookkeeper needs this data to do their job efficiently. Accuracy is essential in bookkeeping. Without proper records it's a dangerous guessing game at your expense.

It's important to know the signs of a brilliant bookkeeper before finalising your selection. At Shelbourne Accountants our bookkeepers have experience in a variety of industries which allows them to offer sound practical advice to assist you in the day to day administration of your business.

For further information Contact Us.