When it comes to keeping your accounts in order, there are several options available. You can hire a full-time bookkeeper, outsource your bookkeeping to an agency, or work with a contract bookkeeper. However, there is often confusion between hiring a contract bookkeeper and a BAS agent. While both professionals might seem similar, they have different roles and responsibilities.
Firstly, let`s define the two terms. A contract bookkeeper is a professional who provides bookkeeping services to a business on a contractual basis. They typically work remotely, and their services might include data entry, reconciling bank statements, managing accounts receivable and payable, and generating financial reports. On the other hand, a BAS agent is a registered professional who is authorised by the Australian Taxation Office (ATO) to provide BAS (Business Activity Statement) services to clients.
It`s important to note that contract bookkeepers cannot provide BAS services, as they are not registered BAS agents. BAS services include tasks such as preparing and lodging BAS statements, providing advice on GST and other taxes, and liaising with the ATO on behalf of their clients. Only registered BAS agents can provide these services, which means that if your business requires these tasks to be performed, you`ll need to work with a BAS agent.
Contract bookkeepers, however, can help businesses by managing their accounts on a day-to-day basis. By keeping accurate and up-to-date records, they can help businesses stay on top of their finances and make informed decisions. They can also work with businesses to streamline their processes, reduce errors, and save time and money.
One of the benefits of working with a contract bookkeeper is that they can be more affordable than a full-time employee or an outsourced agency. As they work remotely, they don`t require office space or equipment, which can save businesses money. They also typically charge on an hourly or project basis, which means businesses can control their costs by only hiring them when needed.
In conclusion, while both contract bookkeepers and BAS agents have their respective roles and responsibilities, it`s important to understand the differences between the two. If your business requires BAS services, you`ll need to work with a registered BAS agent. However, if you need help managing your accounts on a day-to-day basis, a contract bookkeeper can be a cost-effective and valuable solution. Always ensure that you understand what services you require, and choose the professional that is best suited to meet your specific needs.