Bookkeepers and accountants are two types of financial helpers for small business owners, each with a different function in an organization. Understanding the differences between the two roles is crucial before deciding which professional you need for your company. The accounting professionals at Wilson, Rea, Beckel & Associates CPAs LLC, located in Pagosa Springs, CO, discuss the differences between a bookkeeper and an accountant.

A Guide to Bookkeeping vs. Accounting

What Are the Differences Between Bookkeeping & Accounting?

While bookkeepers mainly identify and record financial transactions, accountants summarize and interpret these transactions. Accountants tend to deal with the big picture when it comes to finances, and bookkeepers focus on the details. The data that bookkeepers produce lays the groundwork for accountants to analyze the data and prepare financial statements. Bookkeepers tend to work for smaller companies, while accountants can work for a wide variety of organizations, handling the taxes and assessing financial risks.

Why Should I Hire a Bookkeeper or Accountant for My Business?

Regardless of the size of your small business, it is important to ensure the financial accuracy of your daily transactions and use that information to make informed decisions about the future of your business. You should consider hiring a professional to help you manage your business transactions, especially if it becomes burdensome to do it yourself. Many small businesses have a bookkeeper and an accountant working in tandem to make sense of their financial transactions and contribute to the long-term success of the company.

The experienced team at Wilson, Rea, Beckel & Associates CPAs LLC provides a wide range of accounting and bookkeeping services for small businesses so you can focus on running your company. Give them a call at (970) 731-1040 to speak to a professional today. You can also visit them online to learn more about their personal financial planning services.