How Much Do Bookkeepers Make? A Salary Breakdown

This is essentially a part of accounting, and an accountant or a bookkeeper can manage it, depending on the company’s needs. Hiring a bookkeeper for payroll services costs $40 to $100 per hour where they handle day-to-day financial record keeping and payroll processing. Bureau of Labor Statistics, the average pay of an in-house bookkeeper is $47,440 per year or $3,950 per month.

What Is Categorized As Professional Services?

• You can hire a professional bookkeeper through Wishup in just 60 minutes.
• Services offered by your bookkeeper have a strong bearing on total costs.
• This means you’re paying for their time to get up to speed, plus the actual work.
• However, if you’re looking for an affordable solution, Wishup offers bookkeeping services at a flat rate of just $9.99 per hour—no matter which state of the US you are from.
• Some industry experts believe that not enough bookkeepers are emerging to fill available job openings, indicating opportunities for professionals with the right skills.
• Think of tasks like setting up your bookkeeping system from scratch, cleaning up past financial records, or preparing for a tax audit.
• They can handle the bookkeeping, sure, but they also bring a higher level of financial insight to the table.

For example, bookkeepers in big cities might charge more than those in smaller towns because living costs are higher. Also, someone with years of experience and official certifications will likely charge more than a beginner. On the other hand, an outsourcing company should consider charging an annual fee in the range of $20,000 to $50,000 for their bookkeeping services. Generally, the higher the experience, the higher the cost in comparison to the ones who have just started because of the industry experience they carry. Hiring an Indian or Philippine bookkeeper would be cheaper than a US petty cash bookkeeping service.

Services

The amount you can Partnership Accounting earn as a bookkeeper varies depending on experience, location, industry and whether or not you are certified. A common misconception is that fixed rates are invariably better value. If your financial needs fluctuate or if you’re just starting out, you might end up paying for services you don’t actually use. A novice gardener can certainly help your garden grow at a lower cost, but an experienced one knows precisely when to prune, water, or fertilize to ensure maximum health and yield.

Years of Experience

But for most small and growing businesses, paying a full-time salary for part-time bookkeeping work is simply not cost-effective. The information provided in this blog is for general informational purposes only and does not constitute financial, accounting, or legal advice. While efforts have been made to ensure the accuracy and reliability of the information presented, no guarantee is made regarding its completeness or suitability for any particular purpose. However, if your needs are more complex — e.g., managing payroll — you’ll likely need to hire a more experienced bookkeeper. Professionals with certifications like Certified Bookkeepers (CBs) usually charge more, but the extra cost could be worth it for your business’s financial health.

• Hourly rates typically range from $20 to $100, depending on experience and location.
• Bureau of Labor Statistics, bookkeeping, accounting and auditing clerks—which includes bookkeepers—earn a median hourly wage of $23.66.
• There isn’t one single price that fits everyone, and that’s okay.
• Many companies provide new hires with training while working so they can become familiar with various computer programmes and practices in the bookkeeping industry.

Wrapping It Up: What to Expect for Bookkeeping Costs

Like so many jobs, experience influences hourly rates for bookkeepers. New bookkeepers will enter at a lower rate than those with years of experience under their belt. According to Indeed.com, entry-level bookkeepers make an average of $18.34 per hour. FreshBooks is an accounting software that includes monitoring, invoicing tools, reminders when invoices are due, tools for project management, and much more. The software makes managing your finances simple, even if you’ve never used bookkeeping software before. Additionally, FreshBooks’ online accounting what is a bookkeeper interacts flawlessly with services such as PayPal.

Not everyone charges for initial consults when freelancing, but your time is worth money, so I’d at least charge an hourly rate if they want to meet and talk first before hiring you. Setting the right hourly rate is super important when starting your bookkeeping business. It’s all about finding a fair price for your skills that also helps your business grow. The hourly rate changes in different cities but most bookkeepers typically range between $17 – $26 per hour. Payscale bookkeeper salary data from September 2022 indicates steady pay increases as their careers advance. These increases peak as a bookkeeper moves from entry-level roles into the mid-career stage.

How much does a bookkeeper cost FAQ

For example, Quickbooks Live Expert Full-Service Bookkeeping can cost between $300 and $700, which is determined by your business’s average monthly expenses over the past three months. A traditional bookkeeper will usually charge you an hourly rate to do your books each month. The total cost will depend on how long it takes them to do the work. For this reason your costs with a traditional firm can vary a lot, even between months.