Busted! Don’t Believe These Myths About Bookkeeping Services!

For those operating businesses, whether a budding startup or established one, bookkeeping is an important aspect. The reason why it is vital to any business is the process of bookkeeping makes budgeting easier. With your income and expenses properly organized, it’s simple to review your financial resources and costs. Therefore, it makes sense to work with a bookkeeper to help you be financially organized and make smart decisions for your business.

However, despite the benefits offered by bookkeeping professionals, there are various misconceptions and misrepresentations associated with bookkeeping that could make you reluctant to move forward and hire a bookkeeper. To help you discover whether professional services are right for your business, CID Bookkeeping Inc. has debunked three of the most widely believed myths about bookkeeping services.

Myth 1: Bookkeeping is all or nothing

Most clients believe that bookkeeping can either be done by the owner, in-house staff, or an external firm and not all three! But in reality, a good solution is a mix, depending on the size of your business. Have the in-house staff take care of the day-to-day bookkeeping, hire an external bookkeeper to do monthly reviews, and assist in-house staff with any questions they may have about entries. At CID Bookkeeping Inc., we are happy to support your in-house staff with their day-to-day functions and assist in month-end reviews. It’s our job to keep current and be knowledgeable regarding changes and guidelines in the industry. It’s important for your staff to focus on functions related to your company.

Myth 2: CRA (Canada Revenue Agency) won’t notice
You could be right, and they won’t, but they do find out most of the time. Any company can benefit from a professional bookkeeper helping small businesses keep in line and updated with what CRA is looking for. Every year CRA changes what it is going to focus on, and you don’t want to be kept out of the loop. One huge example is that back in 2017, the CRA started requesting mileage logs more frequently. This threw a lot of businesses off because they didn’t maintain them. This resulted in some denied expenses, which would have been helpful to have.

Myth 3: Cheaper service is better and only have your accountant fix your bookkeeping at yearend
This is the wrong way to think of bookkeeping, plain black and white on this one. Your accountant will charge you around $300 to $600 an hour. So, why pay them that when you can pay a bookkeeper far less to prepare your books right from the get-go. Some great reasons to consider a bookkeeper are:

a. Regular and accurate reporting

b. Less dramatic changes revolving around CRA remittances (Psst. CRA does not like these)

c. Saved money in the long run

If you’re looking to steer clear of more myths like these, reach out to CID Bookkeeping Inc. As one of the leading bookkeepers and accountants in Grafton, Ontario, we specialize in bookkeeping, payroll and QuickBooks. We can take the regular financial activities like recording receipts, invoices, and other transactions off your hands. Moreover, our bookkeeping services can help you stay focused on your business! Our services are available across Grafton, Port Hope, Cobourg, Peterborough, Northumberland County, Prince Edward County, Belleville, and the surrounding areas.

For a complete list of our services, please click here. If you have any questions about bookkeeping, we’d love to hear from you. Please contact us here.