Learning how to become a bookkeeper online is the most important thing to be able to succeed in this industry – regardless if you have or you have no previous work experience.
Bookkeeping is one of the most in-demand online jobs today. Apart from the fact that the job does not require specific qualifications, bookkeeping is also very easy to do for as long as you are someone who is willing to learn and are adaptable to what the work demands.
According to the United States Bureau of Labor Statistics, in 2018, there are more than 1,700,000 bookkeeping, accounting, and auditing clerks’ job. Although the number is still huge as compared to other types of jobs, experts see a decline in the next 10 years because of technological changes, as well as automation.
This is actually a perfect example of the pros and cons of technology. While technological innovations are great because it makes work more convenient, it also poses a threat to the employment of a lot of people.
Nevertheless, it is not foreseen to become obsolete anyway, which means, the industry may still require more workers.
As we have said earlier, bookkeeping is still considered as in-demand to this day. In fact, a lot of online companies are still looking for work from home bookkeepers. The good thing is, it does not matter if you have or have no previous work experience.
You know what? Bookkeeping is the kind of job that does not require specific qualifications. As long as you are willing to learn and trainable, you can get into this job. More so, we find online bookkeeping jobs ideal for women especially moms who chose to stay at home. Because as mentioned, anyone can get into this for as long as you have the will.
Having said that, we are going to talk about how to become a bookkeeper from home without previous bookkeeping work experience.
Specifically, we are also going to answer a few common yet very important questions in relation to this, which include:
- What is bookkeeping?
- What does a bookkeeper do? How different it is from an accountant?
- What are the requirements to be an online bookkeeper?
- How much does an online bookkeeper make?
- What is the best part of being a bookkeeper from home?
- Where to find bookkeeping from home jobs?
WHAT IS BOOKKEEPING?
Bookkeeping basically refers to the process of recording financial transactions, which include sales, receipts, purchases, and payments by either an individual person or an organization or corporation. It is a part of the accounting in the business.
Meanwhile, a bookkeeper refers to the person who keeps records as well as classifies the financial transactions of the company.
However, it has to be clear that a bookkeeper’s role in an organization varies depending on the size and the nature of the business. In small companies, for instance, if they do not have an in-house accountant, the bookkeeper’s duties and responsibilities are likely to be broader.
But as mentioned, the minimum bookkeepers are expected to process paperwork for the organization’s transactions, as well as getting information as fast and accurately recorded in the organization’s general ledger of accounts.
Before moving on, if you wish to know more about how to become a bookkeeper from home with very little budget, we recommend you check the below video by Bookkeeper Bootcamp. It is very insightful especially if you are new to the industry. Click the play button to watch it out.
WHAT DOES A BOOKKEEPER DO? HOW DIFFERENT IT IS FROM AN ACCOUNTANT?
As mentioned, a bookkeeper’s job description depends on a case to case basis – particularly on the size and nature of the business.
However, typically, bookkeepers are involved in the following activities:
- Processing vendors’ invoices
- Payroll processing
- Managing cash
- Reconciling account balances
- Billing and following up on accounts receivable
- Preparing and processing adjusting entries
In addition, here’s what the U.S. Bureau of Labor Statistics says about what bookkeepers are expected to do:
- Records all transactions and post debits (costs) and credits (income)
- Produces financial statements and other reports for supervisors and managers
- Prepares bank deposits (by compiling data from cashiers, verifying receipts, as well as sending cash, checks, or other forms of payment to the bank.
- In some cases, they may handle payroll, make purchases, and keep track of overdue accounts.
Meanwhile, a lot of people are usually having confusion between what a bookkeeper is and what an accountant is. So, to give you an idea here’s what we have to say:
Accountants are usually the persons who are responsible for doing taxes on a year to year basis, and they also help figure out taxes that were owed and handle the preparation of tax returns. Apart from that they also help out individuals as well as businesses in the following areas:
- Complying with both state and federal laws
- Organizing of an organization’s financial records
- Examining the financial statements of the company
- Evaluating records as well as suggesting ways to save money
WHAT ARE THE REQUIREMENTS TO BE AN ONLINE BOOKKEEPER?
Now that you already know what bookkeeping is and what a bookkeeper does, it’s time to look into what the job requires. To be able to know how to become a bookkeeper from home, you have to ensure you got all that it takes to be one.
According to the BLS, most bookkeepers need some “postsecondary education and also learn some of their skills on the job”. However, in some cases, companies are okay with just a high school diploma.
- Bookkeepers need to be knowledgeable on basic math equations
- Have great computer skills
- Have good knowledge/knows how to use spreadsheets as well as bookkeeping software.
As we have said earlier, bookkeeping is one of the easiest work from home jobs there is because it does not require too much. However, if you are really serious in making a career in bookkeeping, experts suggest you get a Certified Bookkeeper (CB) designation, which is awarded by the American Institute of Professional Bookkeepers.
To be able to acquire such designation, a candidate must:
- Have at least 2 years of full-time bookkeeping work experience or equivalent part-time work
- Pass a four-part examination
- Adhere to a code of ethics
Meanwhile, you can also aim for a Certified Public Bookkeeper certification, which can be acquired through the National Association of Certified Public Bookkeepers.
To be able to obtain such certification, one must:
- Take and pass a four-part Uniform Bookkeeper Certification Examination
Apart from the above-mentioned requirements, a bookkeeper must also acquire the following:
- Excellent computer skills
- Must be detail-oriented
- Have integrity
- Good mathematical skills
- Willing to learn
- Adaptable to change
In addition, some companies may also have technical requirements. Usually, technical requirements include:
- A reliable laptop or desktop computer
- A high-speed internet connection
HOW MUCH DOES AN ONLINE BOOKKEEPER MAKE?
Of course, before jumping into this industry, part of knowing how to become a bookkeeper is know how much you can earn as one. So, we researched and found out from the Bureau of Labor Statistics that the median average annual wage for bookkeeping, accounting, and auditing clerks was $40,240 in May 2018. It can be as less as around $25,000 and could be as high as $61,000 annually.
How much you make as a work from home bookkeeper actually depends whether you are working for a client or a company fulltime, part-time, or if you opted to pursue a bookkeeping business.
To give you a further idea, the hourly rate for bookkeeping services can run between $2 and $50 per hour. This, however, depends on the challenges as well as the nuances of the position.
Also, your experience in doing the job also matters on how much you can make. As usual, the more experienced you are, the bigger you make. To give you an idea, those more experienced bookkeepers can make a contract or consulting basis make around $30 to $40 per hour or in some cases, some bookkeepers make as high as $60 even.
Meanwhile, if you opt to work for a company, a bookkeeper’s salary usually runs between $30,000 and $39,000 for a fulltime position.
As you can see, the rate really depends. But the thing is, if you wish to earn more, you have to make sure to gain more experience.
WHAT IS THE BEST PART OF BEING A BOOKKEEPER FROM HOME?
We can tell you a lot of things about what makes bookkeeping the best. Here are some of them:
1. You get to own your time.
What do we mean by that? Simple. Being a bookkeeper from home allows you to make use of your time the way you want it.
Being an online bookkeeper gives you so much flexibility, which makes it ideal especially for stay at home moms. Most companies do not specifically require a specific time to work. As long as you get to finish your work for the day, you are safe and good.
2. There is no dull moment in bookkeeping.
Bookkeeping work is not like any other work wherein you get to do deal with the same things over and over.
With bookkeeping, you face different challenges on a day to day basis. If you are someone who likes learning and developing a craft, then bookkeeping may just be the right online, work from home job for you.
3. It does not require professional experience.
Unlike other work from home jobs, most bookkeeping from home does not require professional experience, which means you can apply for the job regardless if you have no similar work experience or no work experience at all.
As long as you are good with basic mathematical equations, you are willing to learn about the job, you are organized, then you have what it takes to be one.
4. It is very convenient and less stressful.
Just like any other work from home jobs, working as a bookkeeper from home is less stressful than working in an office setup. Also, apart from that, it is definitely more convenient as you do not have to deal with daily commute or driving. You can wear anything, and work at any time of the day as you please.
Also, you can choose the kind of bookkeeping job you want to work on. You can particularly focus on one bookkeeping niche and just that.
WHERE TO FIND BOOKKEEPING FROM HOME JOBS?
Now that you already know how to become a bookkeeper from home, the next thing that you need to know is where to find virtual bookkeeping jobs.
To be honest, when it comes to working from home, there are actually a lot of options. You can either reach out to companies or you can reach out to people you know who might help you refer a work as a bookkeeper from home. You can also look into local listings for bookkeeping services, and work as a remote bookkeeper on a consulting basis.
Here are some online job listings sites wherein you can find bookkeeping jobs at home:
- Robert Half
HOW TO START YOUR OWN BOOKKEEPING BUSINESS?
Meanwhile, if you think bookkeeping is really for you, you may also consider starting up your own bookkeeping business. However, this means you have to educate yourself on the background and the requirements of the job. Some bookkeepers working as consultants may need to have business insurance or be bonded, especially since they are often handling finances for their clients.
So, to start off your bookkeeping business, you must:
1. Gather all necessary bookkeeping tools.
Apart from a reliable computer, and a high-speed internet connection, you will also need to invest in some accounting software to help you manage your client’s finances. Some of the well-known accounting software include Quickbooks, Sage 50, or Xero.
We highly recommend you do a research on this software before buying one. There are many reviews available online to help you decide.
2. Build your professional website.
While having LinkedIn is okay, we highly recommend investing on a professional website as well. This helps you advertise your business as well as spread the word to your clients in an easier way. Having a website is a must especially if you plan to work with different clients on a consulting basis.
When creating your website, make sure to include all your qualifications like certifications, and all that. Also, make a list of services that you offer, as well as your areas of expertise. If possible, allow a space also for client testimonials, which is one of the best ways to sell yourself or your services to clients.
3. Market your business.
Just like any business, marketing is the key to be able to gain a lot of clients. There are different ways to get the word out to potential clients. One of the best ways is through LinkedIn. Make connections with potential clients using that online platform, or you can also use other social media platforms like Facebook.
Apart from those, you can also market your business through:
- Email marketing
- Cold calling
- In-person networking
- Lead generation
- Guest blogging
- Print advertising
- PR opportunities
- Public speaking
- Forum participation
- Email prospecting
Your website becomes really convenient, at the same time, becomes a vital part especially when it comes to marketing your business. Also, setting a goal on how many clients you aim to reach on a daily basis will also help you do you market your business better.
4. Keep yourself updated.
Virtual bookkeeping business is also a very competitive industry to be in. Thus, it is important that you always strive to be on top of the game. Professional advancement is the best idea to counter competition, and gain more client base.
There are so many professional development opportunities out there. Apart from events and conferences, joining professional groups will also help widen your network and of course, your knowledge about the industry.
There are also available webinars, books, online courses, and training sessions that you can avail to stay updated on the latest trends in bookkeeping, finance, as well as accounting industries.
Now, since we are talking about starting off a bookkeeping business, if you want to know more about this, we recommend you check out the Bookkeeper Business Launch.
WHAT IS BOOKKEEPER BUSINESS LAUNCH?
Bookkeeper Business Launch is a comprehensive training course created by Ben Robinson. The course is specifically designed to help its students to jumpstart an online bookkeeping business.
Its creator, Ben, has more than 14 years of experience as a certified public accountant. He is also a published author and has been teaching and helping people develop their bookkeeping skills. At the same time, grow their online bookkeeping businesses.
With his track record, it is no doubt that he has what it takes to share with you all the learning you need to be able to establish your very own bookkeeping business from scratch.
By the way, as per the Bookkeeper Business Launch website, this training will show you “how to bootstrap a 100% virtual bookkeeping business”.
Bookkeeper Business Launch is rated 5 star by most of its customers, has an A+ BBB rating, and guess what? It offers a 100% money-back guarantee within a 60-day period, which means if you are not happy or not thrilled about the course, you can just go to your profile, cancel it, and you will be refunded.
Furthermore, Bookkeeper Business Launch covers six major topics, namely:
1. Skills – In this section, Bookkeeper Business Launch will talk about the skills, as well as the basics that you need to build on to be able to launch your very own bookkeeping business.
2. Systems – Once you have already built the skills needed, you will then be taught about the basic systems that you are going to use to be able to do your day-to-day bookkeeping tasks.
3. Resources – Business Bookkeeper Launch will provide you with a wide variety of reading materials as well as tutorials to further enhance your knowledge and skills in bookkeeping.
4. Clients – In this section, expect to be taught about how you build your virtual bookkeeping business, marketing services, and of course, how to build and secure clients. This also includes receiving directions on the legal aspects of bookkeeping to ensure your business is in keeping with the law and regulations.
5. Bonus Materials – This section provides you with insights and advice that are relevant to the bookkeeping business landscape these days. It also includes experiences and know-how from the best mind in this industry
6. Advanced Materials on Clients – This section covers the foundations of securing a client. It talks also talks about advanced methods in marketing as well as client acquisition.
WHAT WILL YOU GET FROM BOOKKEEPER BUSINESS LAUNCH?
By taking the Bookkeeper Business Launch, you will take advantage of the following benefits as stated on their website:
- Bookkeeper Launch: The entire system to owning a successful virtual bookkeeping business.
- Full access to the Resource Libraries: Guides, Templates, Workbook, Worksheets, Checklists.
- Bonus #1 Hacks and Facts. Live recordings of the most powerful shortcuts and pitfalls discovered by my most successful students.
- Bonus #2 Profit Maximizers. Additional “high-value” services you can offer your clients to increase your profits.
- Exclusive Members-Only Community. You are never alone in this journey. Join the 5,965 other women and men out to create a life full of freedom.
- UNLIMITED ACCESS + UPDATES to Bookkeeper Launch.
Furthermore, once you are done enrolling in the Bookkeeper Business Launch program, you will receive the following:
– Full course including reading materials, checklists, worksheets, quizzes, as well as role-play scenarios
– Video lessons as well as case studies and interviews from people who took up the course
– Access to the Bookkeeper Business Launch student community called Rockin’ BBL Student Community
– Support calls
– Unlimited email support through the Student Success Team
– One-on-one consultation with experienced bookkeeping professionals (available during office hours only)
– Free legal advice from seasoned lawyers
– Access to a resource library
HOW MUCH DOES BOOKKEEPING BUSINESS LAUNCH COST?
Bookkeeper Business Launch offers free classes, which is ideal for those who are totally new in this and would want to test the waters first — if this is really for them. By taking the free classes, you get to have knowledge about the basics of bookkeeping. There are four free classes available that you can take advantage of.
Meanwhile, if you are serious about building your very own bookkeeping business, you may consider taking the Bookkeeper Business Launch training program, which costs $2,997. This cost may be payable in three equal payments of $999. However, if you want to avail of the $300 discount, you better opt for a one-time payment.
FINAL THOUGHTS ON HOW TO BECOME A BOOKKEEPER
Contrary to what most people believe in, becoming a bookkeeper does not require you to be an accountant. While there are organizations that offer bookkeepers’ certifications, it is not a prerequisite to be able to work as one.
You see, we believe that bookkeeping is the perfect way to start a work from home job especially if you are someone who wants less stress and hassle with work. This actually makes an ideal job for stay at home moms because of the flexibility and the ease of workload.
As we have said earlier, as long as you have the will to learn, you know basic mathematical equations, no matter what your background is, you can easily find a bookkeeping job online. It’s one of those industries that opens its doors to anyone regardless of professional status.
So, have you decided to do bookkeeping jobs at home yet? If so, here’s what we have to say.