Bookkeeping is the foundation of your financial system. It involves the daily recording, categorizing, and organizing of financial transactions.

Key tasks bookkeepers handle:

• Recording sales and expenses
• Reconciling bank statements
• Managing accounts payable and receivable
• Handling payroll and sales tax filings
• Keeping your general ledger updated
• Generating basic financial reports

The goal of bookkeeping is to ensure that your financial records are accurate, up-to-date, and ready for audit at all times.

What is Accounting?

Accounting takes the information prepared by bookkeepers and uses it to provide financial analysis, interpretation, and strategy

Key responsibilities of accountants:

• Preparing financial statements (P&L, Balance Sheet, Statement of Equity, Statement of Cash Flow)
• Analyzing business performance and trends
• Filing corporate taxes and ensuring compliance
• Offering strategic advice based on financial data
• Forecasting and budgeting
• Advising on financial decisions and risk

Accounting provides the “big picture” and helps you understand what the numbers mean, not just what they represent.

---