Bookkeeper

Bookkeepers are professionals who are capable of managing a businesss daily financial activities, ensuring proper oversight of all incoming and outgoing transactions. These professionals are currently among the highest-paid when it comes to fields that allow candidates to work remotely and in a freelance capacity. The following guide analyzes the major responsibilities and scopes of bookkeepers. It explores the general processes necessary to enter the profession and what interested individuals can expect in terms of work environment, licensing and certification, annual average salary, and career outlook. We also take a look at possible specialty roles and platforms for career growth. What are a Bookkeepers Responsibilities? The responsibilities of a bookkeeper can be quite varied. Still, the main unifying factor is that professionals in this field are responsible for keeping proper records of business transactions while ensuring that the business in question enjoys optimal financial health and stability. Bookkeepers can also carry out preemptive analysis to identify patterns in data and take advantage of areas that can be optimized for a smoother business operation. They also mitigate the risk that comes from fraud by instituting rigorous systems that guard against theft and financial discrepancies. Generally, the duties of a bookkeeper can be summarized as the following: Creating and recording financial reports, Writing and planning budgets, Taking charge of employee payroll, Analyzing systems to discover financial discrepancies, Monitoring both accounts receivable and payable, Updating and reviewing records for proper maintenance. A bookkeeper can work in several environments, depending on personal preference, specialty focus, and other factors. Candidates can, for example, work for a company or business in an industry for which they are passionate. They can also choose to work for a dedicated accounting/bookkeeping firm or work remotely as freelancers. Those who choose to work for a specific company will experience different work environments depending on their industry. Data from the Bureau of Labor Statistics indicates that the majority of bookkeepers work in professional and technical services, construction, retail trade, wholesale trade, and healthcare/social assistance. Bookkeepers who work for multiple firms may be expected to visit their clients places of business. The field requires significant collaboration. For instance, bookkeepers often collaborate with accountants, managers, and auditing clerks from other departments. How to Become a Bookkeeper The steps to become a bookkeeper can be summarized as follows: Basic Requirements Most employers and training programs have basic requirements that individuals must meet before they can secure employment as bookkeepers. The first is usually a high school education. A high school diploma is typically enough to enroll in a training program, and a GED equivalent can be utilized in its place. Training Prospective bookkeepers must receive enough training geared towards teaching technical skills, computer software, and professional attributes. This can be obtained through any of the following approaches: Formal Academic instructions Applying for a formal academic program can help bookkeepers start their careers on a very strong path. Not only will they be able to learn in a structured environment and pick up fundamental technical skills that they can later build upon, but they will also be able to earn valuable certificates and degrees. Whats more, it is possible to enroll in a virtual program that allows students to complete their education entirely online. Those who wish to receive both online and in-person training may opt for hybrid programs. The length of a bookkeeping training program will depend on the specific requirements at the site. However, most can be completed within a few weeks to six months. On-the-Job Education Many of a bookkeepers duties require hands?on usage of tools and resources. While training programs try their best to ensure that candidates are as familiar with these tools and software as possible, it is not until professionals work with them in an actual work environment on real?world data that they can be confident enough in their skills. This is why it is common for bookkeepers to work in associate positions or participate in an internship before they start taking on full?time roles. Licensing & Certification The majority of states allow bookkeepers to work professionally without a license or certification. However, for professional benefits, it is common to pursue certification anyway. Candidates who have passed the national certification examination offered by the American Institute of Professional Bookkeepers or the National Association of Certified Bookkeepers will be able to receive the Certified Bookkeeper designation. Doing so demonstrates competency and commitment, which are usually attractive to employers and prospective clients. Bookkeeper Specializations While bookkeepers typically possess general skills to work in any environment on any financial record, some may choose to specialize in niche areas like accounts receivable and payable, payroll processing, and bank reconciliations. It is also common for professionals in the field to choose a specific type of accounting, such as internal financial reporting, tax accounting, or financial accounting. Bookkeeper Salary & Career Outlook The annual average salary of a bookkeeper is usually around $49,210. Professionals who are among the highest?paid in the profession can make as high as $72,660, while those who are among the lowest can still make up to $34,600 at the end of every year. The exact industry/work environment that a bookkeeper works in can influence how much they manage at the end of the year. According to the Bureau of Labor Statistics, bookkeepers who work in construction are the highest?paid, with an annual average salary of $51,670. They are followed by those who work in scientific and technical services with an annual average salary of $50,180, and professionals in healthcare/social assistance who manage an annual average salary of $48,810. Experience, professional credentials, and location will also be crucial in determining these figures. Analysis and data provided by the Bureau of Labor Statistics indicate that there will be an average of 174,900 job openings for bookkeepers across the country every year for the next decade. These openings will arise as retiring workers are replaced. Technological changes will influence the employment rate of bookkeepers in the next decade, with software innovations expected to significantly impact projections. #J-18808-Ljbffr