I am after insight on bookkeepers' role who are self employed as part of my future planning and to get an idea of how things are done in the actual world.
As mentioned in the past, I have financial management and commercial management work experience but I've never experienced a complete job, by means of from setting up the customer in the system to the end of the road, whichever that may be.
I have always done parts of it, accounts payable, receivables, reconciliating accounts, petty cash, cost, P&L, balance sheet= operational side.
What does a company expect from a bookkeeper? do they want us to pay suppliers, do the accounts payable, receivables, any payroll?
Thank you all in advance and have a lovely weekend!
For myself. I will meet with new client, get some info on their business, quote a price and if they're happy take their details, copy of ID's etc)
Once I receive their paperwork I will input it into my bookkeeping software, invoices purchase receipts, bank reconciliation, recording any balance sheet items etc and produce profit and loss sheet for the period we have agreed (usually monthly) and send/give to customer, also trial balance and balance sheet if requested. If VAT registered will also do the quarterly VAT return.
Strictly speaking for the bookkeeper, at the year end the work stops there on the final month, but some (including me) will then work out depreciation accruals and prepayments, interest on loans and anything else needed and then produce full accounts for the year. I will then do the self assessment, adding any items back to the profit that are not allowed for tax purposes (depreciation, entertainment etc, work out AIA capital allowances etc and, after client approval, submit.
Payroll, issuing invoices, paying suppliers (1)and credit control are all optional extra's, but obviously put bread on the table
(1) Please see here, a good note of caution from Shaun on the fourth post down http://www.book-keepers.org.uk/t61593198/paye-vat-etc/
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John
Any advice given is for general guidance and professional advice should be sought applicable to your circumstances.
Thank you John. It sounds straight forward. I was wondering about payroll and accounts payables to see how things have changed.
In my case when I did payables, I would create the RA with the cheque for the owner to approve and sign before sending off.
I did work for a very busy employer once who wanted everything paid via bacs and did not have the time nor the knowledge to do it himself. I refused to do it on moral grounds, but I did show him how to do it and to alleviate the workload, some suppliers were paid via cheque with me producing it and him authorising it. That worked just fine.
I thank you for your insights, these are much appreciated.
-- Edited by Maria LR on Sunday 7th of February 2016 11:57:07 AM