FAQs: Virtual Bookkeeping
What is a virtual
bookkeeper?
A virtual bookkeeper (VB) is simply a substitute for a
bookkeeper who works in your physical office.
Rather
than employ this bookkeeper directly, you will be
contracting with the person to work for you off-site.
In fact, they can be located anywhere. It’s called
“virtual” because the person is as true bookkeeper who
performs all the functions you would require of someone
on your staff
These can vary widely, according to your business’
needs, but common examples of virtual bookkeeping tasks
are: accounts receivable and/or payable services and
payroll and payroll tax services.
In addition, your VB can prepare expense reports,
financial statements, cash flow reports, and whatever
other reports you may require.
In working with a VB, your information can be easily
accessed by both of you, utilizing online software
applications.
This way, both of you are always “on the same page,” so
to speak.
Does a virtual
bookkeeper prepare income tax returns?
Yes, a virtual bookkeeper is can prepare and submit both
your personal and business tax returns. The process of
collecting and categorizing tax information is carried
out continuously throughout the year in order to prepare
the final returns at the appropriate time.
This
is easily accomplished with a QuickBooks-type software
system. You and your accountant can both be provided
with copies of the tax returns so that you may
scrutinize them carefully before they are submitted.
Does a virtual
bookkeeper offer payroll services?
Yes, and these services include paying checks directly
into the bank accounts of your employees, arranging
payment of all the payroll taxes, and filing quarterly
reports.
Does a virtual
bookkeeper have access to my bank accounts?
No, a virtual bookkeeper does not have access to your
bank accounts at any time. Their role is to reconcile
your monthly accounts and carry out any other services
you have asked them to perform.
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