Why Are Companies Outsourcing Bookkeeping?
Outsourced Bookkeeping Is Cost Effective
Employing a bookkeeper in-house can be expensive on many fronts. Consider the following costs in your evaluation of whether or not to outsource.
- Direct costs: Salary, workers compensation, unemployment insurance, retirement, benefits, payroll taxes
- Hiring & Management costs: Interview time, ad placement, background checks, training
- Office space: physical office space to house your employee, part-time employee or temp employee
- Equipment: computer maintenance for accounting system, backup solutions for critical accounting files, software license maintenance, software troubleshooting
Last but not least, consider the good practice of instilling checks and balances in your bookkeeping process. Many kinds of embezzlement can be avoided by balancing the workload between the account reconciliation process and independent individuals and/or to properly configure accounting package security protocols. So you must consider the direct and indirect costs above AND the costs of assigning another trusted employee or your personal involvement to provide EFFECTIVE oversight. At Turn Key Office, we have checks and balances in place to prevent many of these issues.
Outsourced Bookkeeping Reduces Your Year-End Work and Fees
Since we maintain your general ledger and amortization and depreciation schedules as part of the ongoing recording of data and preparation of documents, your year-end work can be significantly reduced. That translates into lower accounting fees and faster turnaround time in preparing tax returns and financial statements. Turn Key Office can work with your tax professional throughout the year to ensure that your books are tax ready.
Each business is unique. Turn Key Office calculates a monthly fee for each prospective client by actually diagnosing the existing accounting files, followed by a conference call with the owners and management team to review the results of the diagnosis.
For a free, no-obligation proposal, please contact us. We will be glad to help show you the services you can get and the savings you can achieve by outsourcing your accounting department to Turn Key Office.