Freelance Bookkeeper: Frequently Asked Questions
Freelance bookkeepers are a must for small businesses. They record the information necessary to produce Financial Statement and to file taxes. Instead of hiring a full-time bookkeeper or accountant, businesses can benefit with a few hours per month from an expert in bookkeeping. By hiring a freelancer to record every transaction and then using an independent accountant to overlook the work, businesses can save significant amount of money. Freelance bookkeepers bring flexibility to businesses to help them grow.
What is a freelance bookkeeper?
A freelance bookkeeper works as an independent professional for several different businesses and is considered a self-employed independent contractor. A freelance bookkeeper often works for small businesses to maintain the financial records which includes balancing bank accounts and ensuring all payments and deposits are accurately reported. This is a time consuming, detail-oriented task. The work is necessary to produce financial statements and to assist in the preparation of tax season. Instead of hiring a full-time bookkeeper in-house or an accountant, businesses can hire a freelance bookkeeper for a few hours per week or month.
What do freelance bookkeepers do?
Freelance bookkeepers work with numbers and use accounting principles to maintain financial information. Freelance bookkeepers work with a variety of companies usually small companies and Start ups. Read about how professional freelancers often require the services of a bookkeeper. Freelance bookkeepers often work from home and have a flexible schedule. A freelance bookkeeper is considered a top job for workers over 50 (Forbes). Online bookkeeping tools have changed the life of a freelance bookkeeper by giving them more flexibility to work from home.
How to become freelance bookkeeper?
Freelance bookkeepers get their clients and grow their business by networking, word-of-mouth, social media, job boards and more recently on freelance marketplaces that specialize in connecting small businesses with professionals on-demand. Create your profile on freelance sites and get matched with new opportunities.
How much should a freelance bookkeeper charge?
Freelance bookkeeper should charge by the hour or a flat rate for the month once they have a good estimate of the amount of work. Get familiar with the advantages and disadvantages of hourly vs fixed rates. A recent study on Workhoppers’ marketplace of 520 freelancers indicates that the average rate for a freelance bookkeeper in Canada is Can $22.50 (Hourly rate range from$14 to $50) and US $22.90 for the US. But before you define your freelance rate, consider the best practices to negotiate your freelance rate.
Why hire a freelance bookkeeper?
Companies need to hire a freelance bookkeeper if they do not have the time to record the transactions or the expertise to do it. Outsourcing your bookkeeping with a freelancer has many advantages such as the flexibility and the possibility of getting you the best expert. Freelance bookkeepers offer a vital service to companies by recording transactions daily or less often if you are just starting as a business. Almost every company needs bookkeeping to track accurate information. Having an expert saves you time and money so that you can concentrate on the core activity of your business. A freelance bookkeeper will track sales, purchases and payments. Having organized information facilitates the work needed to do by your accountant to produce Financial Statements and tax filing. The better you do the bookkeeping the better analytics you will have to understand your business.
What do freelance bookkeepers charge?
Freelance Bookkeepers charge various rates dependent on location and experience. It is advisable to hire a freelance bookkeeper in your own city or country to ensure they are aware of the accounting rules that apply to your business. The average rate for a freelance bookkeeper in the US is $23 per hour. However, the range can vary from $15.60 to $40.
How to find a freelance bookkeeper
To find a freelance bookkeeper you can start by asking your friends, colleagues or even your accountant. You can post your need on social media or on the best freelance marketplaces. Since every country has its own bookkeeping rules and bookkeeping requires the transfer of a lot of documentation you should hire a freelance bookkeeper close to where you operate.
Hire freelance bookkeepers in your city!