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What Does A Small Business Bookkeeper Really Do

By Ryan Burns


Not everyone is cut out for college. A lot of high school graduates decide to go to technical schools or take some courses at a community college. In small towns and rural areas especially there are good jobs available for those who decide they prefer a quieter life. If you're looking for a decent job in a rural community, and you enjoy working with numbers, you might consider becoming a small business bookkeeper.

Bookkeepers play critical roles in the structure of businesses that do not have the need for a full time accountant. Bookkeeping in these companies doesn't require an advanced degree. Duties vary depending on the business of the company and what size it is. Most companies retain accountants to take care of the annual tax returns. Beyond that it is the responsibility of bookkeepers to manage the finances of the company.

Bookkeepers handle accounts payable and accounts receivable. This means the employee is responsible to inputting invoices into the computer and issuing the corresponding checks to pay for them. This employee also bills the company's customers for the goods or services it sells. She prepares the invoices and sends them out. Calling customers with past due accounts may also be the responsibility of the person in this position.

Payroll is something most bookkeepers are responsible for. They may actually process the paychecks in house or print payroll reports for an outside agency to process the checks. Commissions paid to salespeople, the collection of employee time cards, and overseeing payments to salaried employees are all part of the duties of this employee. Bookkeepers process reimbursement reports and handle payment of any wage garnishments.

Bookkeepers handle the day to day banking business for the companies they work for. They make deposits and enter that information into accounting software computer programs. For companies that accept credit card payments, bookkeepers must reconcile and monitor those. They handle wire transfers and reconcile the monthly bank statements. If discrepancies are discovered, it's the bookkeeper's job solve the problem.

Filing the monthly and quarterly tax returns is something most bookkeepers handle for their companies. They also file payroll and unemployment taxes. All the required payments and forms that must accompany returns are the responsibility of the bookkeeper. Some bookkeepers are entrusted with processing the yearly corporate returns for their companies. Most businesses still bring in CPAs for this job, which can be complicated and detailed.

Bookkeepers are expected to run reports for their employers that show monthly cash flow. They print out and send workers compensation and pension reports to the various state and federal government entities that require them. If the business they work for is audited, it is the bookkeeper's responsibility to work with the auditors, supplying all the reports and other information necessary for them to complete their work.

The national average salary for bookkeepers is a little less than forty thousand dollars per year. In certain areas experienced bookkeepers earn slightly more than thirty thousand dollars a year. In other parts of this country the salary is almost fifty thousand.




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