In addition, you’ll need to add around 20% on top of salary for benefits and overhead including office space. As a business owner, you’re acutely aware of how precious a commodity time is. But what you might not realize is that putting bookkeeping off can cost exponentially more time.

Not to mention, if you want your business to grow and scale, you’ll need to let go of some of these tedious tasks, like balancing the books. Hiring a freelance bookkeeper typically costs between $25 and $45 per hour, depending on their skill level and the services they provide. The amount of work and nature of your business may also impact the rates. A key benefit of outsourcing is that it allows you to customize the services you receive to your specific bookkeeping needs. You will also be in a better position to outsource more advanced management accounting and controller. For example, there are smaller, independent bookkeepers that specialize in certain services or business types.

Common Bookkeeping Responsibilities

Full-service bookkeeping is everything you’d find in basic bookkeeping with additional accounting services and financial statement analysis. And now that you know the answer to the question “How much does a bookkeeper cost? ” you may wonder what exactly a bookkeeper does and the different types of bookkeeping services you can pay for. https://www.bookstime.com/articles/how-much-does-bookkeeping-cost However, it’s important to take steps to ensure the security of your accounting software and financial data, such as using strong passwords and avoiding public Wi-Fi networks. Starting at $10 per month, this plan includes features such as creating and sending invoices, tracking what you’re owed, and automatic bank reconciliation.

• There are plenty of options out there to find a bookkeeping package that will meet your needs no matter how big or small your business is.
• Professional bookkeeping services can be expensive, but the cost depends on a few different factors.
• FreshBooks is easy to use and affordable, with plans starting at $15 per month for up to 5 clients.
• To set the correct pricing, you need to start by assessing the various factors that affect your rate.
• It’s also important to make sure they have experience in accounting software you use.
• These services usually charge flat rates, which makes budgeting simple.

Accounting software eliminates a good deal of manual data entry, making it entirely possible to do your own bookkeeping. However, it can be difficult to catch up if you fall behind on reconciling transactions or tracking unpaid invoices. Regardless of your small business’s complexity, bookkeeping will still take time out of your week, so be sure you have the resources before committing to handling it yourself. At the same time, businesses need to make sure they pay their own bills on time to avoid late fees and maintain a solid reputation. These expenses that haven’t been paid yet are categorized as accounts payable. Before you take on any small-business bookkeeping tasks, you must decide whether a single- or double-entry accounting system is a better fit.

You have an accountant doing your bookkeeping

Some people use the terms “bookkeeping” and “accounting” interchangeably, but these professionals perform different jobs requiring different skill levels. Bookkeepers handle basic, day-to-day management of a business’s finances. Accountants perform more complex tasks and help the business with long-term financial planning. Professional bookkeeping services can be expensive, but the cost depends on a few different factors. For one, you may choose to have someone provide services on a part-time basis.