What Are Basic Accounting Services?
Financial matters can stump even the most attentive employees, executives, and owners, whether dealing with personal or business records.
If you are sorting through your own financial affairs, you may be facing some of the following questions: Is there an easier way to do this? Could an accountant help me? What do accounting services include? How do I find the best tax accountant near me?
This post will provide an accounting services list, clarify some of the benefits of hiring an accountant, and show you if accounting services can help you.
Why Do I Need Accounting Services?
Managing your own finances can be a daunting task. Throw in those of your business, and it can consume all of your time. According to inDinero, entrepreneurs can spend over 100 hours a year on just their federal taxes, and 40% of entrepreneurs find managing their finances to be the worst part of owning a business.
Financial reporting is highly regulated, and handling it incorrectly can lead to complications and expenses in the future. In fact, filing your tax return inaccurately due to negligence can land you a 20% penalty. Ouch.
By taking advantage of accounting services, you can work toward favorable outcomes for your business and your family.
What Services Do Accountants Provide?
Accountants provide a wide variety of services. Your needs, financial knowledge, time, and interest will influence which services will help you the most.
Financial Controllers
Financial controllers take the information gathered from bookkeeping and add a layer of deep analysis. As the managers of your accounting process, they make data-backed recommendations to set budgets, oversee bank accounts, and align your records with government regulations.
If you find yourself with a growing team of accountants to handle the day-to-day finances of your business, then a financial controller can help make their processes more efficient. They can also break down financial information, so you can make the most informed decisions.
Tax Services
If you need help navigating and filling out tax forms, then a tax accountant is for you. They work with people and businesses to accurately file taxes, while complying with the Internal Revenue Code and aiming to reduce tax liability. Major life events like getting married or divorced, buying a house, and selling a business all change how you file your taxes, and an accountant can help you make sense of those changes.
If you have filed your tax returns incorrectly in the past and are facing an audit by the Internal Revenue Service, you can hire an accountant to represent you and advise you on the best path moving forward.
Bookkeeping
Running a business not only requires providing a great product or service, training and motivating staff, and marketing your offering—it also involves keeping track of your cash flow.
Bookkeepers help business owners focus on what you do best–offering a great product or service to their communities. Hiring an accountant to track your revenue and expenses and deliver profit and loss reports gives you the clear, accurate information you need to make impactful decisions.
Audit
If you manage your financial information in-house but are concerned that it may not be compliant with local, state, or federal regulations, then you can hire an accountant to perform an audit. Doing so can catch irregularities before they lead to further investigation and fines.
According to the IRS, as your income rises, the chance of you being audited increases significantly. Working with an accountant can keep your growing business in good standing if the IRS gets involved.
Payroll Processing
These accountants work to pay your employees the correct amount, on time. They also take out the proper deductions in accordance with state and federal regulations.
As your business takes on more employees, you may find yourself running into payroll issues. Hiring an accountant can keep your employees focused on their job, not on whether or not they will get paid on time.
Bill Pay / Accounts Payable
An accountant that oversees your accounts payable ensures that the money you or your business owe for transactions is paid on time. This keeps a positive relationship with your partners and suppliers, and it prevents confusion and duplicate payments.
If you find yourself overwhelmed with keeping track of how much money you owe to who and when, then hiring an accountant to manage your accounts payable can bring peace of mind.
Forensic Accounting
The analytical skills of a forensic accountant are used to track down the causes of discrepancies in financial records. They can be hired by business owners if they feel their finances are being mishandled, but they are more often hired by government organizations to investigate fraud.
Keeping a close eye on your finances and working with accountants you trust can reduce the likelihood that you will need to hire a forensic accountant or that one will be hired to investigate your business.
Accounts Receivable
Owning a business can be rewarding in many ways, and that usually includes earning a living. Accountants help make sure that you are receiving revenue for your services.
Depending on the volume of transactions you experience, your invoice processing system may also need improvement. An accountant can work to make your invoices easy to send out, fulfill, and keep track of.
Bank Reconciliation
If you find that your financial reports and bank statements are misaligned, then you are in need of a bank reconciliation service. When your records do not match the amount shown in your bank, it can create a financial red flag, so it is better to be proactive in finding and fixing the causes of the discrepancy.
Management Services
This ongoing service takes a holistic approach to your finances. With all of your accounting needs handled by the same team, each aspect of your finances can be tuned to work together to improve your situation. For example, an accountant that is managing your financial reports and bookkeeping will have more information to build a long-term investment plan than one who only prepares your tax returns.
Finding the Right Bookkeeping and Accounting Services
Every business has different needs, and each owner has a different capacity for managing their own finances. When searching for the right accounting services for you, evaluate which services will save you the most time, while minimizing stress and the risk of legal complications.
At Delta Wealth Advisors, we work with every aspect of your financial life to align it with your future goals. Schedule a call today to learn which accounting services can provide you and your business with financial clarity.