Accounting Assistant vs Bookkeeper: What Are the Differences? CLIMB

The distinctions between accounting and bookkeeping are subtle yet essential. The two careers are similar, and accountants and bookkeepers often work side by side. However, significant differences exist, like work conducted in each career and needed to be successful.

To earn these certifications, candidates must pass an exam that tests their knowledge of bookkeeping principles. Find out more on bookkeeping accounting skills, how to earn accounting degrees and bookkeeping certifications, getting jobs, salary expectations, and more. Similar to what bookkeepers and accountants charge an hour, their salary is based on different factors as well. Salaries are typically based on education, certification, years of experience, credentials, industry or employer, job description, location, and complexity of work.

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By contrast, an accountant’s responsibilities are analytical and focus on financial performance, using that information to help you better manage your business. Both accounting assistants and bookkeepers need to have excellent math skills to perform their jobs accurately. They also both use computer programs to do their work, so they should be comfortable using technology. Your credentials show prospective employers that you’re a qualified bookkeeper and you’re willing and able to grow professionally.

• These roles both fall under accounting, and they both work towards the same goals.
• As of 2021, approximately 1.7 million people worked as bookkeeping, accounting, or auditing clerks.
• If you’re not tracking daily expenses, you’ll have very little information to give to your accountant and they won’t be able to make informed decisions.
• You can earn certification from the National Association of Certified Public Bookkeepers (NACPB) and the American Institute of Professional Bookkeepers (AIPB).

This includes where your business stands financially, what that means for your business, what you should do about it if anything, and where your business should go from here. Bookkeeping focuses on recording and organizing financial data, including tasks such as invoicing, billing, payroll and reconciling transactions. Accounting is the interpretation and presentation of that financial data, including aspects such as tax returns, auditing and analyzing performance.

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According to 81 percent of CBs who interviewed for a new job after becoming certified, having a certification contributed to getting the interview [4]. With a certified bookkeeper designation, you are qualified to perform all critical functions through the adjusted trial balance and basic payroll for small to medium-sized businesses. While bookkeepers can sit for the CB exam sections in any order, AIPB recommends taking part one before scheduling part two. To maintain certification, you need to earn at least 60 continuing education credits every three years.

Small businesses may prefer to handle their books themselves, but hiring a professional bookkeeper can be helpful. In researching bookkeeping or bookkeeping accounting, you may come across information on accounting or find that bookkeeping and accounting are used interchangeably. While there is some overlap between bookkeeping and accounting, several factors distinguish these processes, as we explore in the table below. Join over 1 million businesses scanning receipts, creating expense reports, and reclaiming multiple hours every week—with Shoeboxed. Bookkeepers don’t need to have the educational background in finance or the certification. However, licensing is available if they want to add a more professional touch to their business.

Why People Confuse Bookkeepers for Accountants and Vice Versa

The price of this certification includes the cost of enrollment, workbooks and the four-part national certification exam. After passing the AIPB’s certification exam, you will be recognized as a certified bookkeeper. These detailed records bookkeeper vs accountant salary may save you money down the road if you ever decide to hire an accountant. That’s why it’s not a bad idea to hire a bookkeeper first to get those services at a minimum and then hire an accountant later to just handle the taxes.