What is the cost of hiring a bookkeeper?
You won’t have to pay additional benefits or overhead costs when you hire a bookkeeper from one of these services. Virtual bookkeeping is a convenient and cost-effective alternative to traditional in-house bookkeeping. Many businesses rely on FreshBooks because of their flexible, trustworthy, and versatile system. You can use FreshBooks if you have your own bookkeeping service, or have trained an existing employee to handle it, or have an outsourced accounting company doing the job for you. This doesn’t include the benefits that can cost up to 20% of their salary.
Since the hourly rates of hiring a bookkeeper are around $18-$23, actual cost to your company will be higher when adding all other cost typical to hiring a staff in your company. Further, the exact cost will depend on the qualification, experience, and skills of the bookkeeper you intend to hire. Moreover, https://www.bookstime.com/ the cost will also depend on the type of bookkeeping assistance you need, whether full-time or part-time basis. After you’ve decided whether you need full-time or basic bookkeeping support, you need to see how much will be the cost of hiring a bookkeeper to look after your financial needs.
Average Total Cash Compensation
Technically, accountants can do a bookkeeper’s job, and a bookkeeper can often do an accountant’s job, according to Edwards. Bookkeepers can also ensure unpaid invoices are chased, which otherwise could be forgotten about – especially if a business has a high number of invoices going out every month. Bookkeepers do a lot of tedious work, but they can do it a lot more efficiently because they’re professionals.
Different industries also require different services, which can affect the overall cost. Hourly may seem like the cheaper option, but it isn’t always the case. If you need more bookkeeping than you expected, those hours can add up fast. In this case, not hiring a bookkeeper would actually cost you nearly $100 dollars a month. As a business expands, it may become challenging to carry on bookkeeping manually.
Saving time and money
Depending on your bookkeeping needs, you can pay as little as $275 a month (when billed annually). In addition to bookkeeping and tax advice, plans come with accounting software like Xero and Quickbooks, mobile apps, and profit and loss statements. Based on a recent Bureau of Labor Statistics (BLS) report, the median hourly rate for a bookkeeper is $21.90 per hour. Most bookkeepers that charge an hourly rate are freelancers, but not always. Asking what kind of accounting software your bookkeeper uses is important because it determines whether or not you’ll have administrative rights.
- Paro offers bookkeeping solutions powered by elite fractional experts.
- Instead of going through the hassle of hiring and paying accountant pricing, many businesses have turned to online bookkeeping services.
- According to Salary.com, the average bookkeeper salary in the United States is $45,816.
- Xendoo is a one-stop solution for all your accounting needs, from bookkeeping to tax and everything in between.
- For outsourced bookkeeping, the price is from $500 to $2,500 per month for basic bookkeeping tasks.
- The good news for most small businesses is that they don’t need full-time bookkeeping services.
A good rule of thumb for calculating these costs is to add 10% on top of salary. We provide advice and reviews to help you choose the best people and tools to how to hire a bookkeeper grow your business. To help pay the bills, we’ll often (but not always) set up affiliate relationships with the top providers after selecting our favorites.