Xero has brought cloud accounting to the world and we can all agree it is a great product and has changed the face of the Accounting world, for the better. Xero has made accounting software easy to access and understand. However, we have noticed lately that many businesses are moving away from bookkeepers and doing their bookkeeping themselves. While this may be great in some circumstances especially for some micro and small business, some types of business still need a bookkeeper to ensure the integrity of their accounts.
Increase in errors
We have seen a large increase in errors due to people self-coding their Xero, this can result in an over claim of GST, underpayment of staff or other errors. When it comes to your year-end tax work, your accountant will have to fix your errors and this may take longer than your normal tax work and they may end up charging your more to complete your tax work; decreasing the money saved from not using a bookkeeper.
Benefits of Bookkeepers
Bookkeepers are professionals and do Xero coding day in day out. They also have completed training and have an understanding of tax and accounting practices. While Xero is much more user friendly than other accounting products, it is still complex and will need to be set up correctly. A bookkeeper will ensure this is done correctly, efficiently and in line with accounting practices.
Saving you time
Do you have the time to code your accounts? Even if you think you do, could this time be used more effectively to grow your business. If you have a bookkeeper come in to complete your accounts, you will have more time to focus on your business growth instead of your accounts.