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Bookkeeping questions

  • 9 posts
  • # 85789

Hi,
    I am seriously considering doing part time bookkeeping as this would give me the opportunity of working from home.

I have a couple of niggling questions though.


Do accountants require bookkeepers to use certain software such as Sage or is information submitted to them as Excel spreadsheets?

What bookkeeping software is the most popular?

What is the range of hourly rates that bookkeepers charge?

I will no doubt think of more questions but these are the most pressing.


Thanks

Brian

  • 794 posts
  • # 85792

Hi Brian,
In my experience I have never been asked to use a particular software by any of the accountants I deal with.
Software what is popular? Well, that depends as everybody has their preference but it does no harm to gain experience using as many as you can. Eventually you will find one that you prefer.
Hourly rates? Again depends on level of qualification, area you are based and how much other bookkeepers are charging in your area.. I find in my area there is plenty work so I do not undersell my services as I can afford to be choosy.
Also depends on the level of service you provide.
Sorry, cannot answer your questions fully as these are things you will have to determine for yourself.  
Regards,
Marilyn 

  • 1159 posts
  • # 85793

Hi Brian,

These are questions which come up again and again.  They are also very subjective.  I will try my best to answer them, but others may disagree with me.  That doesn't make me right and them wrong, or me wrong and them right we just all have different takes on this.

Do accountants require bookkeepers to use certain software such as Sage or is information submitted to them as Excel spreadsheets? 

Some may like the bookkeeper to use certain software, but I beleive that if the accountant is worth their salt then they will be able to work from information taken from any package, or even excel.  My personal belief is that the software should be dictated mainly by the clients needs and not by the bookkeeper or accountant.  This doesn't mean that if a client tells you they need Sage then they always do.  It's a bit like going to the doctor and telling them you need a certain medication before they examine you.  You'll need to talk to the client and get a feel for their needs then put them on a package that suits these needs.

What bookkeeping software is the most popular?

I think this is answered in the previous question.  I tend to use VT Transaction+ and QuickBooks most.  QuickBooks and Sage are very similar in what they can do, and I prefer QuickBooks, not because of the software but because of the company and the licensing costs.  VT Transaction+ is a very basic software almost spreadsheet based.  I find for my current client base these meet the needs best.  If I have a client who needs something different then I am happy to look at that on a case by case basis.

What is the range of hourly rates that bookkeepers charge? 

Someone else will need to answer this one as I don't charge hourly for a number of reasons.  I don't think hourly charges are in the best interests of the bookkeeper or the client, and other than being reletively simple to calculate I'm really not sure why bookkeeper and accountants continue to use it.  It's a bit like using the traditional method of costing because it's easy, even though in many cases it's extremely simplistic and doesn't give the best picture of the costs.

I hope this helps a bit.

Regards

Kris 

  • 9 posts
  • # 85798

Hi Marilyn and Kris,
                               Thanks for your useful responses. I guess coming from a costing background (CIMA part-qualified) is why I think of hourly rates as this is pricipally what I have been involved in. 

 Re the software - I guess it depends on what the client supplies to the accountant. If it is printed material it doesn't matter what is used but I guess if it has to interfaceewith the accountant's software then it does. The long and the short is what form does the data normally take that is provided to the accountant - digital or hardcopy bearing in mind I will be dealing with small companies?

Thanks

Brian

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