Everything You Wanted to Know About Bookkeeping
                     Everything You 
Wanted to Know 
About Bookkeeping
Bookkeeping is the process of recording financial 
transactions, understanding the details, and preparing 
summaries to be able to generate accurate reports. A 
bookkeeper can work for a company or as an 
independent contractor. If you are considering 
becoming or hiring someone to handle your 
bookkeeping needs, then this blog post will answer all 
your questions about what it takes to become a 
qualified bookkeeper!
What is Bookkeeping?
It is simply the activity or occupation of keeping records 
of the financial affairs of a business. Bookkeeping is the 
process of recording financial transactions, 
understanding the details, and preparing summaries to 
be able to generate accurate reports. Bookkeepers are 
individuals who manage all financial data for 
companies. Without bookkeepers, companies would 
not be aware of their current financial position, as well 
as the transactions that occur within the company. A 
bookkeeper can work for a company or as an 
independent contractor.
Bookkeepers play a vital role in the financial 
department of companies, as they are responsible for 
recording all transactions. This means that bookkeeping 
is one of the most critical parts of running a business 
because it allows businesses to make informed 
decisions about their finances and how best to manage 
them. Bookkeepers can work on keeping records by 
either hand or using
What is the Role of a Bookkeeper?
A bookkeeper’s role varies from one organization to 
another but typically includes:
• Maintain an accurate record of financial transactions
• Update and maintain the general ledger
• Reconciliation of entries into the accounting system
• Recording of debits & credits
• Maintain the trial balance, by a reconciliation of 
general ledgersAcco
• unt reconciliation to assert the accuracy of 
transactions
• Use knowledge of local laws to comply with reporting 
requirements
• Monitor any variances from the projected budget
Bookkeepers are responsible for providing accurate, up-
to-date financial information about a business. They are 
always taking the pulse of a business. Most often, their 
reports go to business owners and managers to help 
them make decisions.
What software do bookkeepers use?
Most bookkeepers use a cloud-based accounting 
system that is easy to learn and navigate. Some, though 
not all, here are our picks of the top 5 Accounting 
software in Australia:
Xero – Xero is the best in our review for micro-
businesses that are looking for simple accounting 
software.
QuickBooks Online (QBO) – QuickBooks Self-Employed 
accounting software is our top choice for part-time 
freelancers and small businesses who primarily want to 
track their income and expenses for their tax return.
MYOB – MYOB offers a range of products including 
Essentials Payroll, MYOB Essentials, and MYOB 
AccountRight ideal for a variety of businesses, large and 
small.
Reckon – Reckon One is an affordable online 
accounting software for small businesses. It is an ATO-
approved and single touch payroll ready solution which 
helps you stay compliant and in control of your 
finances.
Wave – Wave is an ideal accounting software platform 
for a service-based small business that sends simple 
invoices and does not need to track inventory or run 
payroll.
What qualifications are required to be a bookkeeper?
In Australia, you do not technically have to be certified 
in any way to work as a bookkeeper. That is the reason 
small business owners can do their own books and BAS 
(Business Activity Statements). Administrators with 
experience in bookkeeping can offer their services 
without having to get a qualification to formalise their 
experience.
There are a few problems with this, however. If you are 
not certified, you may lose out on job opportunities or 
clients to bookkeepers who are certified. Even if you 
are a self-starter, it helps to have some formal training. 
If you are looking for qualifications in bookkeeping, we 
suggest you investigate the following qualifications:
Certificate IV in Bookkeeping
This qualification is designed for people who are looking 
to start a career as bookkeepers or need some extra 
skills. You will learn about how businesses work, double-
entry accounting systems and more. This course takes 
around 12 months to complete full time study with an 
estimated.
If you are looking for qualified and experienced 
bookkeepers. Speak with iKeep Bookkeeping, they are 
the highest rated 
bookkeeping service providers in Australia with over 15 
years of experience.