What’s The Difference: Bookkeeper vs. Accountant

If you’re reading this blog, we’d first like to say… congratulations! Because asking these sorts of questions shows that you are thinking about the financial future of your business, which is a wise thought process to have for any business owner. 

The second thing we’d like to say is that this question is incredibly common. Bookkeepers and accountants are often mixed up because they work in the same fields and because their duties overlap. 

So let’s clear up some of that confusion! 

Their Differences 

Bookkeepers and accountants actually have very distinctive tasks to complete. 

A Bookkeeper’s Tasks 

  • to record what you spend and gain daily 

  • to send invoices and note when you’re paid 

  • to develop your financial statements 

  • to process the payroll of your employees 

  • to give your accountant important information such as your year-end financials and tax documents - and, finally, to prepare books for your accountant 

An Accountant’s Tasks 

  • to analyze your finances 

  • to analyze your cost of operations 

  • to offer you advice on your business’s financial health and your financial decisions moving forward - to create financial forecasts 

  • to perform financial audits 

  • to file tax returns 

  • to offer you tax advice 

In short: While bookkeepers focus on accurately recording and organizing your books and financial statements, accountants are more focused on interpreting this information in order to assess your business’s financial health and advise you on how to move forward. 

How To Move Forward 

Now that you’ve learned the differences between a bookkeeper and an accountant, you can decide on whether you’re ready to work with them. Schedule a consultation with the Chief Executive of KG Virtual CFO, Katishia Gallishaw, to discuss how we can help you grow your business.

Katishia Gallishaw

Katishia is an accounting professional with 20 years of experience in companies ranging from startups to Fortune 100 to nonprofits and religious organizations. She has combined her accounting and social change experience to develop a comprehensive practice with the mission “To contribute to the wealth and well-being of businesses and organizations by helping them responsibly maximize their growth potential.”

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The Benefits Of Hiring A Tax Preparer

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