Accounting Services - Bookkeeping Services Finance

CPA Level Bookkeeping

Written by: Evelyn Suvajdzic

In our quest to provide proven business solutions to make life easier for our clients, I would like to share a recent read from the September issue of BC Business regarding the advantages of CPA-level bookkeeping.

Using a CPA-level bookkeeper can add to your peace of mind where your business is concerned as well as provide a certain level of clarity and financial intelligence. 

There is always the question of whether adding a specific service will be cost effective.  Many times I have been asked the question, should a business hire a CPA-level bookkeeper or not?  Any business that has gone through a payroll or PST audit and found they had been recording transactions incorrectly and now owe much more than it would have cost for a professional bookkeeper would say, “Hire the professionals”. 

If you are thinking any of the following thoughts, it is time to seek assistance from a professional:

  1. I am feeling overwhelmed and my receipts just keep piling up
  2. I really do not know who owes me money
  3. Is my payroll correct?

The advantages a CPA-level bookkeeper can provide include:

  • Peace of mind that your financial records are correct
  • Assurance that all government agency reports have been prepared and filed
  • A clear understanding of your financial position using data, ratios and experience

What you should look for in a bookkeeper:

  • A professional with sound financial experience
  • Make sure you feel comfortable with them
  • Ask questions to determine their level of competence.  You could ask questions such as: “You made an error and recorded a sale twice, once as an accounts receivable sale and again, when the customer paid, as a sales deposit.  How would you fix this error using a journal entry?” (answer: debit sales and credit accounts receivable)
  • Ask them to explain to you the differences between a Balance Sheet, Income Statement and a Cash-Flow Statement.  If they leave you more confused than when you started, they do not fully understand these reports themselves or the importance of them. 

Using a CPA-Level bookkeeper can give you the insight to optimize your business operations and identify your next big opportunity.