How To Become A Bookkeeper In 2022
Bookkeeping is one of the best paying jobs you can do remotely. It’s also an interesting career for anyone interested in finance but who doesn’t want to meet the requirements to become an accountant. If you are looking for a job that allows you to use your knowledge of finance or your computer skills, working as an accountant could be a profitable and rewarding option. In this article, we’ll discuss the job description of an accountant, the average salary, and the steps you can follow to get started in this career.
Accountants are responsible for the day-to-day financial activities of their clients. They oversee, record and facilitate all incoming and outgoing payments associated with a particular account. Accountants focus primarily on maintaining the financial health and stability of their clients. They also protect their clients by ensuring that every financial transaction complies with federal laws and regulations. Accountants can work for companies or individuals and can be either salaried employees or freelancers.
Bookkeeping is essential to running any business as it ensures that there are accurate records of all financial transactions and that these transactions are properly recorded and processed. They can determine where the money goes, how much they have in their account, and how much they have to pay their employees or vendors.
They don’t manage the money directly, but they make sure everything is properly accounted for, so you know what’s going on in your business. You need to track all of your transactions to make sure you’re on track toward your spending and savings goals.
Responsibilities of Bookkeeper
- Creation and submission of financial statements
- Updating and reviewing financial records
- Editing and writing budgets
- Management of employee payroll
- Notify your clients of possible financial irregularities
- Monitoring of liabilities and receivables
Steps For How To Become A Bookkeeper In 2022
There are two paths you can take on your journey to becoming an accountant. You can either hold a paid position in a company or you can start your own freelance accounting service. In either case, you’ll need to take a few specific steps to start this career:
1. Graduate from high school
Unlike accountants, many accountants have an associate’s or bachelor’s degree. In most cases, employers only require their accountants to have a high school diploma or GED. A high school degree will provide the basic math, writing, and communication skills necessary to work as an accountant. Other relevant skills such as time management, organization and teamwork can also be learned in high school.
While a college degree is not required, beginning accountants who complete an associate or bachelor’s degree in Business Administration or Accounting will be qualified to work for clients with higher educational requirements. These degrees will include courses in financial mathematics, computer systems, economics and business law. Students may also choose to take in-depth courses in accounting software, management accounting, or auditing.
2. Get training
Accounting training can come from a variety of sources. Many accountants start by learning how to use accounting software such as QuickBooks. Self-taught people often acquire the skills they need without direct training and instead learn on the job. The length of the self-taught accountant training period will vary depending on the chosen method and personal schedule.
Some accountants may do an internship with a local company or accounting firm. Internships introduce aspiring accountants to corporate finance and allow them to observe other finance professionals at work. You can usually find internships through your college, your personal network, or an online job board.
3. Apply for positions
If you are interested in becoming a payroll accountant, your next step is to look for local or remote jobs. In order to present yourself as a qualified candidate, you’ll need to create a well-written resume that highlights your accounting skills and outlines any professional experience you may have. Knowledge of accounting software, a solid understanding of personal and business finances, and a willingness to learn are all excellent skills to include. If you lack practical experience, you can compensate by presenting yourself as a hard worker with significant growth potential.
Be sure to tailor your resume to suit the specific position you are applying for. Read the job description and include all applicable keywords in your resume or cover letter.
4. Become a freelancer
If you are more interested in being a freelance accountant, your next step would be to start your own accounting service. Most of your potential clients will want to hire someone with hands-on experience, so you may want to spend a year or two in a traditional accounting position at a local firm or accounting firm before going freelance.
When you are confident that you have sufficient experience, skills and time, you can start looking for local, remote or virtual positions using online job boards and other job search resources. You can use your personal network by asking friends, family and co-workers if they know of anyone who needs an accountant for their business. You can also advertise in newspapers, online or in your local community centre.
One of the tips for securing clients is to specialize in a certain type of bookkeeping. For example, if you have specific experience in bookkeeping for schools, charities or restaurants, you will be able to market yourself effectively to similar businesses.
5. Consider certification
Both employees and freelancers can benefit from getting certified. The American Institute of Professional Bookkeepers and the National Association of Certified Public Bookkeepers can offer you the Certified Bookkeeper title. To obtain these certifications, you must work as a full-time accountant for a total of at least two years or a comparable number of part-time hours. You must then pass an exam and commit to a code of ethics. Alternatively, you can take the Uniform Bookkeeper certification exam online and earn your Certified Public Bookkeeper license.
Certification is not required to be a successful accountant, but it can increase your likelihood of landing top clients. Certified public accountants are guaranteed to be qualified and experienced, so some employers may only hire certified people.
Key Skills For How To Become A Bookkeeper
In addition to accounting training, there are some other key skills you should have. You will need:
- Numerical accuracy and attention to detail – you are employed to maintain order before a business owner can
- Analytical mind – you enjoy solving problems and you are persistent in getting the answer
- Good organizational and multi-tasking skills – if you have your own business you will have more than one client on the go and have to juggle routine tasks with unexpected demands
- Strong computer skills and a willingness to continually learn – software and applications are constantly improving and you need to stay on top of things to understand what can best help your employer’s or client’s business
In addition to formalizing your accounting business, you also need to offer your services.
- Word of Mouth – Spread the word about your business to your family and friends and leverage the relationships you already have. Ask people to refer you to get clients and build your network.
- Create a website — Having your own website adds credibility. It helps others find you and learn about the services you offer, and you can also include client testimonials on your website.
- Create a LinkedIn Profile – Social selling is an effective way to promote your services and you can start by connecting with people on LinkedIn. Remember to update your profile with relevant and valuable content just like you would your website.
- Hand out business cards – give people something to remember you by so you’ll be on their mind when they need an accountant. All businesses need an accountant. They may not always be actively looking for someone, but at some point they will need someone to manage their financial statements.
Financial statements (balance sheet, income statement, and cash flow statement) are the scorecard for a business. If business owners do not have up-to-date, accurate and customized financial statements, they are operating in the dark.
This means job security for accounting professionals.
Search for potential clients on career sites that cater to remote accounting jobs. There are also freelance marketplace websites where you can find short-term and long-term projects to apply for.
One thing you can consider is targeting a specific niche that you can grow organically. For example, you can be an accountant specifically for doctors or start-up companies.
What is the difference between an bookkeeper and an accountant?
Accountants help their clients handle important financial matters such as taxes and tax returns. They do not deal with the day-to-day finances of their clients and usually do not pay bills or record receipts. Accountants must have a college degree in accounting or business and are usually certified. However, accountants handle the day-to-day financial transactions of their clients, and most do not have to meet the same standards for education or certification.
Which skills do need to an Bookkeeper ?
Accountants benefit from having computer skills, organizational skills and analytical skills. They use specialized computer software and systems on a daily basis and must be able to adapt to new technologies. They must also be highly organized and detail-oriented to ensure that their clients’ financial reports are accurate and thorough. An accountant must also be able to analyze and interpret a number of different types of financial data. Successful accountants are also good communicators, reliable employees and quick learners.
What is the work environment of an accountant?
Accountants work in a variety of environments. Some work as part of an accounting team, while others work independently on a freelance basis. Accountants who work with a team usually spend their days in the office, sitting at a computer and using accounting software. Freelance accountants can work from home or other locations as long as they have access to a laptop or other computer.
Salary Of Bookkeeper
The average salary for an accountant in the United States is $17.73 per hour. These numbers reflect the average salary of an accountant who works on a company’s payroll. Freelance accountants set their own rates and often charge $40-$60 an hour. If a freelance accountant has multiple clients and works full-time, they often earn more than $35-40,000 per year.
Can you be an accountant without a degree?
Candidates looking for a way to be an accountant without a degree can take several paths. Enrollment in a certificate or degree program offers an education-based option. You can also undertake on-the-job training, building work skills through an internship or a junior accountancy role.
How long does it take to start a career as an accountant?
It depends on your educational path. A bachelor’s degree will last 2-4 years and can lead to higher paying positions in the field than those without accreditation. Professionals who learn through on-the-job training can understand the basics after about six months in entry-level roles.
What certifications are among the accounting requirements?
Accounting qualifications do not include formal certifications or licenses. However, certified professionals can enjoy benefits on the labor market. Accountants can obtain certifications through AIPBand NACPB.
How you become an accountant depends on the education and training path you
choose. Many accountants obtain university degrees: employers often prefer candidates with university degrees.
For some employers, however, a university degree is not a necessary accounting qualification. In some cases, relevant experience and accounting knowledge may be of greater value than education.
What are the responsibilities of an accountant?
The accountant must keep thorough and up-to-date records of the organization’s financial transactions. Bookkeeping requirements also include reconciliation, the process of comparing internal records with bank records to ensure there are no discrepancies.
What is the difference between accounting and bookkeeping?
While these careers are related, bookkeepers handle the day-to-day data entry and record keeping, while bookkeepers use those records to manage tax returns and higher-level financial operations.