Common Mistakes People Make When Hiring A Bookkeeper

Author: Patncat Co Inc. | | Categories: Bookkeeping Firm , Bookkeeping Services , Certified Professional Bookkeeper , Tax Services

Blog by Patncat Co Inc.

There are various approaches business owners can take when it comes to maintaining their accounts. 

While some choose to look after their own books, it is common to hire a bookkeeper to ensure everything is done accurately. 

Relationships between clients and bookkeepers vary. Some work with their client year-round, while others solely assist during tax season. No matter the relationship, you want to avoid these common mistakes people make when hiring a bookkeeper. 

1. Not bringing all paperwork in and assuming the bookkeeper can use statements
Bookkeepers must use source documents and can’t solely use bank statements when entering. 

It is essential the client saves all paperwork they have, and that they provide it to their bookkeeper on a regular basis. Providing all paperwork regularly allows the bookkeeper to keep an audit-ready set of books.

It is crucial that clients understand that the government can audit their files at any time, and if they don’t have the source documents for proof, they might end up paying back large sums of money. 

2. Expecting more than what’s on the contract between the bookkeeper and client
The contract between a client and a bookkeeper outlines exactly the bookkeeper is hired to do. They have no obligation to do anything not on the contract. This should be made clear to the client.

If the client has any other tasks that they wish their bookkeeper to do, then they need to discuss this and be prepared to pay any additional fees for the work. Or they should be understanding if their bookkeeper refuses. 

Respecting and understanding the contract is key to a good relationship between the bookkeeper and the client. 

3. Not having a clear line of communication
Communication between clients and their bookkeepers is absolutely crucial.

Failure to communicate can lead to improper information, late filings, and general confusion and frustration. Bookkeepers need to be available to answer any questions, and to keep the client informed. Clients need to keep their bookkeepers updated about their business and alert them to any changes. If there is anything or aspect of the work that the clients don’t understand, they should ask and get clarity. Additionally, bookkeepers should ask if they are unsure about any documents or information they receive. 

The two should always communicate to one another, allowing for work to be done efficiently and accurately.  

If you are looking for an experienced bookkeeping team, connect with us at Patncat Co Inc. We are a full-service bookkeeping firm, serving the Stoney Creek and the Cormac area. We offer services for small business tax filing, bookkeeping, business consulting, payroll services, as well as a range of other services. If you are looking to get in touch with us, please click here.