Frequently Asked Questions
Looking for the answer to a specific question around business bookkeeping? Continue reading for comprehensives answers on some of the questions we often hear from business owners.
How much do bookkeepers charge per hour in Ontario?
Certified Professional Bookkeepers with credentials or specialized knowledge may charge between $50 to $100+ per hour, especially if they offer more advanced services like financial reporting, tax preparation, or consulting.
Monthly or Flat Fees
-
Many bookkeepers offer monthly packages based on the volume of transactions or services required. These packages may range from:
-
Small businesses: $300 to $700 per month.
-
Medium-sized businesses: $700 to $1,500 per month or more for more complex accounts or larger transaction volumes.
-
-
Some bookkeepers also provide flat rates for specific services, like year-end financials or tax preparation.
Factors Affecting Pricing:
-
Complexity of Work: Businesses with more transactions, multiple employees, or complex financials typically incur higher fees.
-
Software Use: If the business uses specific accounting software like QuickBooks, Xero, or custom tools, the bookkeeper’s familiarity with these can influence the rate.
-
Scope of Services: Full-cycle bookkeeping (managing payroll, accounts payable/receivable, bank reconciliations, etc.) tends to cost more than basic services like data entry or simple bank reconciliations.
How much should I budget for a bookkeeper?
There is no one set amount to count on, unfortunately. The amount to budget ultimately depends on the size of your business and the complexity and breadth of your bookkeeping needs, including payroll, cash flow management, etc.
It’s a good idea to talk with several different bookkeepers to get a sense for their rates and to ensure that it includes the necessary services.
Does a small business need a bookkeeper?
Yes! A professional bookkeeper helps you keep accurate financial records, reduce errors that could lead to penalties, produces financial reports to give you a better understanding of your financial position, and makes sure you are compliant with all requirements from CRA, should an audit be required.
A bookkeeper can also save you the time required to learn the ins and outs of navigating payroll, sales, and corporate tax obligations.
What program do most bookkeepers use?
Quickbooks Online is a very popular option. It is advertised to small business owners as an easy-to-use system for accounting and bookkeeping — however, it doesn’t teach you how to do bookkeeping. Quickbooks doesn't offer the support to ensure that you are being compliant with CRA or give instructions on how to properly reconcile accounts, create HST reports, and capitalise assets in the Balance Sheet.
Regardless of which program you use, there will be a learning curve that you can either work through on your own, or with the help of a bookkeeping professional.
How are small businesses taxed in Canada?
Sole Proprietorship/Partnership
Taxes are paid at the personal level, and income is subject to personal marginal tax rates.
Corporation
Small businesses incorporated as CCPCs can benefit from lower corporate tax rates, especially with the small business deduction, but profits are taxed again at the personal level if distributed as dividends.
How can Tidier Books help automate bookkeeping for small businesses?
Tidier Books specializes in automating bookkeeping for small businesses by integrating with platforms like QuickBooks. This integration streamlines financial processes, reduces manual entry, and ensures accuracy. For more insights, explore our blog on digitizing accounting processes
What are the steps to integrate QuickBooks with other tools?
Integrating QuickBooks with other tools involves several key steps: selecting compatible software, setting up API connections, and syncing data. Tidier Books offers guidance on these processes, ensuring a seamless transition. Learn more about our cloud accounting features.
What benefits does QuickBooks Online offer?
QuickBooks Online provides numerous advantages including real-time access to financial data, automated transaction categorization, and easy collaboration with accountants. It is a preferred choice for businesses partnering with Tidier Books. For detailed benefits, visit our homepage.
Why choose cloud-based accounting solutions for SMEs?
Cloud-based accounting solutions offer scalability, security, and remote access which are crucial for SMEs. Tidier Books integrates these solutions to enhance efficiency and accuracy in financial management. Discover more about these benefits in our bookkeeping strategies post.
How does automation reduce bookkeeping errors?
Automation significantly reduces bookkeeping errors by eliminating manual data entry and providing real-time updates. Tidier Books leverages automation to ensure error-free financial records. Explore how automation can benefit your business on our blog.
How can I manage GST/HST compliance with Tidier Books?
Tidier Books simplifies GST/HST compliance by integrating tax management features within QuickBooks. This integration ensures timely filing and accurate calculations. For more information on managing taxes, check out our tax deadline guide.
What are the benefits of outsourcing bookkeeping services?
Outsourcing bookkeeping services with Tidier Books offers benefits such as cost savings, expert insights, and increased focus on core business activities. This approach enhances financial accuracy and efficiency. Learn more about outsourcing on our outsourcing guide.
Is Dext suitable for capturing receipts digitally?
Yes, Dext is an effective tool for digital receipt capture, seamlessly integrating with QuickBooks to streamline expense tracking. Tidier Books recommends Dext for businesses aiming to enhance their bookkeeping processes. For more on digital tools, visit our homepage.
How can I find reliable bookkeepers for my small business?
Finding reliable bookkeepers like those at Tidier Books involves assessing experience, technology use, and client testimonials. Our team provides trusted services tailored to your business needs. Discover more about our services in our Newmarket bookkeeping services post.