Reasons You Need A Full Charge Bookkeeper will be explained in this article. Your bookkeeping team will face new demands and challenges as your company expands. You require a capable individual to handle the added responsibilities for all of your accounting requirements. The main benefits of hiring a full charge bookkeeper for your company are covered in this tutorial.Discover all about the role and their responsibilities, qualifications, and pay expectations. You’ll also grasp your alternatives are, and how to hire for this role.
Top 6 Reasons You Need A Full Charge Bookkeeper
In this article, you can know about Top 6 Reasons You Need A Full Charge Bookkeeper here are the details below;
A full charge bookkeeper is what?
A full charge bookkeeper performs not only more, more difficult jobs but also the same tasks as a typical bookkeeper. They accept full responsibility for the company’s finances according to the “full charge” clause. As indicated above, this entails preparing monthly statements, balance ledgers, and tax returns for scrutiny by your CPA. Full charge bookkeepers have greater job experience and demand a somewhat higher income than a standard bookkeeper. They typically work for smaller businesses that don’t require the skills of a Financial Controller or CPA.
Full Charge Bookkeepers
1. MAKE GENERAL LEDGER ADJUSTMENTS
Compared to a typical bookkeeper, a full charge bookkeeper has much greater control over your general ledger. One key distinction is they prepare and enter journal entries for fixed assets and depreciation. Your full charge bookkeeper will also do a trial balance each month to ensure general ledger accounts are in balance. They will make adjustments to journal entries during this procedure to fix any inconsistencies they discover.
2. HANDLE YOUR BANKING
Unwind knowing that all of your bank accounts are protected. Your monthly bank statements are reconciled with the aid of FCBs. They handle all bank deposits, petty cash accounts, credit card accounts, and lines of credit.By managing accounts payable and invoice factoring, your full charge bookkeeper may also assist you in maintaining your cash situation.
3. PREPARE TAX RETURNS
Despite the fact that full charge bookkeepers are not CPAs, they can assist with monthly and quarterly tax preparation. Your CPA receives their returns for examination, tax guidance, and return processing.Lowering the time your CPA needs to spend working on your taxes should translate to a big cost savings.
4. PRODUCE FINANCIAL STATEMENTS AND REPORTS
In addition to producing all general purpose financial accounts, they can assist with forecasting and budgeting reports. Your profitability will rise as a result of financial planning and budget forecasts, opening up prospects for expansion.
5. PROCESS PAYROLL AND TIMESHEETS
Payroll processing is frequently the responsibility of full charge bookkeepers. They could manage a payroll specialist or take on the duty themselves. If you outsource your payroll, your FCB can assist in relationship management.
6. SUPERVISE JUNIOR ACCOUNTING STAFF
A full charge bookkeeper will manage less experienced staff members, create effective workflows, and ensure that their work is accurate and completed on time. They typically supervise junior accounting positions such as payroll clerk, payables clerk, or billing clerk. They could also be in charge of purchasing, inventory control, and human resources in smaller businesses.
Full charge bookkeeper qualifications and salary
A full charge bookkeeper is not required to have any professional training or credentials. Several applicants likely started off as junior or assistant bookkeepers before moving up the accounting ladder. Most full charge bookkeepers have some college education. It is obvious from the job description that the candidate must be proficient in math and business applications. You might deem extensive experience sufficient while evaluating prospects. A full charge bookkeeper should be able to read a chart of accounts, comprehend and apply generally accepted accounting principles (GAAP), and perform double-entry bookkeeping.
Students should also be able to keep a journal and do a trial balance. A applicant should be familiar with the accounting software your company employs at a minimum intermediate level. In addition to their accounting expertise, they must be able to prioritise their work, communicate clearly, and meet deadlines. Both the AIPB and the NACPB provide exam-based certifications that assess candidates’ competence of bookkeeping. You might find it helpful to compare applicants who are otherwise equal based on their certifications.There are several financial tasks that all firms must complete, and they are rarely handled by a single employee. Below is a breakdown of typical financial duties and where the obligation normally lies.
Full Charge Bookkeeper Interview Questions
- Your company needs a full charge bookkeeper.
- Before hiring for this position, thoroughly assess each potential applicant’s qualities and skills.
- Ask inquiries that probe their knowledge.
- Ask them to demonstrate strong financial understanding that can help your company.
QUESTIONS REGARDING ROLE AND RESPONSIBILITIES
What are a full charge bookkeeper’s main responsibilities?
You can learn more about a candidate’s prior experience by asking them this question. Despite the fact that they consider themselves a full charge bookkeeper, there may be a vital area where your understanding of the position and theirs diverge.
What abilities does a capable full charge bookkeeper require?
This query tests the respondent’s familiarity with accepted accounting principles. Good applicants should additionally emphasise non-financial core competencies like task management and teamwork.
What components of this job are the hardest?
The candidate is forced to consider difficult circumstances they have previously encountered by this question. Asking a candidate to describe how they handle challenges can shed light on their character.
What problem did you have to deal with in your prior position, and how did you resolve it?
This question challenges a candidate to go into great depth about how they handle issues that can crop up in any company’s accounting.
A top applicant should be able to select from a wide range of circumstances that they have handled skillfully and morally.
GAAP SPECIFIC CONCEPTS:
What is the principle of permanence of methods? GAAP SPECIFIC CONCEPTS
How would you account for a $750 tax refund?
TEST THEIR CAPACITY FOR CRITICAL THINKING:
How many movie theatres are there in the state where you live? You don’t want a precise response. Instead, look at the candidate’s logical justification. A suitable response to the question would be something along the lines of, “Well, my hometown has three movie theatres and has a population of 100,000. I know there are about 4 million people living in my state, so I’d say there are about 120 of them.
Full Charge Bookkeeper Alternatives
It’s a good idea to evaluate the alternatives before choosing a full charge bookkeeper. Hiring a senior employee like a Financial Controller, Accountant, or CPA can be advantageous for firms that are already established or developing. A method that is becoming more and more common is outsourcing your bookkeeping. You can outsource your financial operations to a specialised firm if your company only conducts a small number of transactions. You can always be sure that your accounting are correct because specialist outsourcing services by definition have the expertise.
Virtual accounting services might be substantially less expensive if costs are an issue but you still want to delegate the duty. But, you do give up the control and knowledge that come with having an employee who is familiar with your particular firm. There are free accounting tools available that provide you with the fundamental framework for your own set of accounts if your business is bootstrapping it at the startup period. Here is the finest free accounting software we suggest if your company is just getting off the ground.
Hire a full charge Bookkeeper
You cannot expect a junior finance clerk to convert your financial records into useful business intelligence. The hiring of a highly qualified worker, such as an accountant or financial controller, can also be unnecessary given your current needs.
The preparation of management reports, the processing of payroll, and the taking of a trial balance are just a few of the more difficult financial chores that a full charge bookkeeper may undertake. Next, if necessary, communicate with your CPA for tax and auditing purposes. Master of Finance and Glassdoor both have excellent job posting templates if employing a full charge bookkeeper is the best course of action for your company right now.