• What is a bookkeeper, first of all?

A bookkeeper is a type of accountant — one that runs the day-to-day operations of the company. Generally speaking, a bookkeeper knows the ins and outs of the system of generally accepted accounting principles in theory and can transcribe his or her experience onto a ledger. Most times when a bookkeeper does his or her job, in order to facilitate the job when the accountants look over the “books” for their tax and auditing purposes.

• So what do they do?

A bookkeeper job description is one that is quite comprehensive, when it comes to the running of a company, and whether your company only has $200,000 in revenues in a year or is a multi-billion dollar corporation, the fact is that everyone needs a bookkeeper to handle and distribute the company’s funds properly.

A bookkeeper job description can include but is not limited to the following:

1. Making bank deposits and keep accurate paperwork for deposits.

2. Maintain ledgers and pay bills.

3. Prepare statements, including bank reconciliations, income statements (also called profit and loss statements) and the balance sheet for the company.

4. Balance a bookkeeping ledger, and make sure that funds are allocated properly for a company, also make sure that the expenditures correlate with the codes for items, and maintain fixed asset accounts.

5. Make sure all incoming invoices and purchase orders are matched up before paying a check to the vendor for an item. A bookkeeper also makes sure that the invoices match the prices quoted or listed, including discounts taken, and will make adjustments if necessary.

6. Be sure to create invoices for all items sold. Also, a good bookkeeper will call to inquire about payment if it has not been received within 30 days of the items being ordered.

7. Make sure all quantities are properly accounted for in accordance with the material requisition forms.

8. Call vendors to inquire about delivery of items if necessary.

9. Purchase the materials and equipment for a company, including the accounting department. Also ensure that all levels of office supplies are at an adequate level for all departments. If a department is low on supplies, part of a bookkeeper job description is to order more supplies and pay for them as they are due.

10. Make computer entries in a system or write them in a ledger to account for all transactions.

11. Account for all Accounts Receivable or Accounts Payable in a department. Generally speaking, it is a bad idea to have the same bookkeeper do both of these, especially if the bookkeeper has expansive knowledge of accounting principles. Therefore, separation of duties comes into play.

• Do bookkeepers do clerical work?

Indeed bookkeepers do plenty of your day-to-day data entry that office workers would. Part of a bookkeeper job description includes the following:

1. Typing, filing, creating work orders and all forms of data entry.

2. Handle incoming mail and all phone calls, as the duties of a receptionist.

3. Prepare all office reports and correspondence.

4. Install software programs and make sure all software is not only compliant but also runs properly.

5. Report any irregular activity (including viruses, malware and improper programs installed) to a supervisor.

6. Make some repairs if office equipment requires it (paper jam during copies, etc.). If a severe problem is encountered or one that exceeds the bookkeeper’s capabilities, he or she should talk with a supervisor immediately.

• Does a bookkeeper require special training or higher educations?

Sometimes, a bookkeeper can get into their position if they have as little as a high school diploma, but some bookkeepers have as high of an education as a graduate degree. Indeed, many MBA’s start out as bookkeepers and work their way to the top.

• What knowledge should a bookkeeper have?

Although not really part of the bookkeeper job description, an adept bookkeeper should have sufficient knowledge of the following:

1. Bookkeeping and generally accepted accounting practices using the accrual basis of accounting.

2. All protocols and techniques involving accounting

3. How to type and code purchase orders.

4. How to maintain all ledger balances and create reports on demand.

5. how to prepare charts, all statistics and tabular materials.

In conclusion, a bookkeeper is the main person you go to for the day-to-day operations of the company. For everything from the pencils you buy to that big $5,000,000 sale you plan to make, your bookkeeper should be the person you can count on for your financial, secretarial and receptionist needs.