How to Hire Accountants

A business can get the financial guidance and support it needs to succeed by working with an accountant. An audit systematically reviews a company’s financial records and practices. Audits are typically conducted by independent auditors trained to identify and evaluate the accuracy and completeness of a company’s financial records and practices.

• Knowing when to hire an accountant is just as important as knowing how to find the right one.
• Accountants must be trustworthy, highly precise, and great with numbers.
• Get connected with an experienced accountant in the Xero advisor directory.
• Searching for an accountant is easier when you have a job description for the role.
• By working with an accountant, businesses can strengthen their loan applications by providing more accurate financial information and making a better case for financial viability.
• In a perfect world, that freelance accountant or subcontractor accountant will become your full-time accountant.

In summary, hiring managers should screen for behavioral fit and cognitive fit in addition to must-have skills. Ask applicants to take a behavioral assessment and a cognitive assessment. You can then compare results to the Job Target you created to help decide which candidates to bring in for an interview. At The Predictive Index®, we recommend that hiring managers create a Job Target.

How to Hire the Right Accountant for Your Business

This ensures that you and your accountant have the same expectations. Learn how CapitalT reduced hiring bias with online skills assessments. By comparing the results you can easily spot the candidates who stand out from the crowd with proficient skills in the areas you were testing. Once all your candidates have gone through the testing process, you are ready to evaluate and compare the results. TestGorilla’s Attention to Detail test asks candidates to consider textual details by filtering out information, comparing statements, and tracking the consistency of information.

Full-time accountants are typically the best choice for larger organizations with complex financial needs that require in-depth attention. On the other hand, part-time or freelance accountants can be a cost-effective option for small businesses with limited accounting tasks or seasonal financial requirements. Individuals are not required by law to keep financial books and records (businesses are), but not doing this can be a costly mistake from a financial and tax perspective. Your bank account and credit card statements may be wrong and you may not discover this until it’s too late to make corrections. You may have no clue about allocating income to saving and investing. Or you may overlook expenses that could provide some tax benefits.

Skills and qualifications to look for in an accounting professional

Filing taxes for a business is very different from filing taxes for yourself. If you are uncomfortable filing your business taxes on your own, or if you have a complicated tax situation, hire an accountant to file for you or to offer advice. Likewise, interview multiple candidates before hiring an in-house accountant. Make sure you’re making the job posting widely available so people from different backgrounds can apply. Even if you’re only experiencing the stomach clench and headache at tax time.

You can evaluate candidates’ knowledge of this software with our QuickBooks Online test. This test will help you assess if the accountant applicant is proficient enough to use the software by navigating the system and using it to process key accounting information. You can check candidates’ proficiency in both the Accounts Payable and the Accounts Receivable tests. These two tests will assess applicants’ skills in managing, tracking, and recording accounts payable and receivable, as well reconciling missing information and transactions. By promoting your company in such a way, you may also find accountants for hire who are passive candidates.

Auditor

Overall, the main difference is that the accountant builds upon the information gathered by the bookkeeper and provides extra insights based on the data. Bigger companies will have different employees for the roles of accountants and bookkeepers, but smaller firms can get away with one or the other. If you’re hiring an accountant to do ongoing work, like bookkeeping and payroll, you can expect to pay an hourly rate ranging from $37 to upwards of $250 for a CPA. Professional accountants work collaboratively with different sectors in the organization and must be able to communicate effectively. Providing insights to staff members, decision making, working in a team and distilling expert information about the company’s financial workings are all part of the accountant’s job description. A common link between all these skills is the ability to communicate quickly, and effectively.

For the tasks described at the beginning, a personal bookkeeper is what you’ll need. Most people do not use an accountant (only wealthy individuals can justify the cost of these tax pros). Your bookkeeper will schedule regular appointments (e.g., weekly, monthly) to input data and perform the tasks you want to be done. Bookkeeping law firm bookkeeping may be done in person (your home or the bookkeeper’s office) or online. Either way, you’ll need to provide access to your bank accounts and credit card statements, so be sure to check the references carefully of anyone you want to engage. Small businesses cannot afford to make hiring mistakes, especially when hiring accountants.

Save time and money on a customized accounting plan

Just as recruiting managers tend to skim CVs when trying to find the perfect match, so do candidates when reading a job description. Therefore, it is essential you write a compelling job description for your open accounting position to get the best candidates to apply. Hiring an accountant with strong data-analysis skills is a must since accountants are constantly working with numbers. To benefit your business, they need to be able to analyze data and spot trends and issues. The accountant you hire must be computer literate when it comes to the latest software for accounting.

• Accountants are professionals responsible for individuals’ or organizations’ financial record-keeping, tax preparation, and financial reporting.
• The IRS doesn’t like it when details are left out, calculation errors are made, or information isn’t completely accurate.
• By providing these insights, accountants can help business owners make strategic decisions to drive the company’s future success.
• Some might be called limited companies, limited liability partnerships or corporations, others could be sole traders or proprietors.
• Choosing the right accountant is an important decision, so don’t feel pressured into giving up the gig lightly, even if the accountant in question represents a reputable or well-known firm.

Small Business Trends is an award-winning online publication for small business owners, entrepreneurs and the people who interact with them. Our mission is to bring you “Small business success … delivered daily.” Hiring someone to provide bookkeeping services can be an interim step. It can also ensure that you provide good records to an accountant. Hiring someone with extensive knowledge of the financial end of your business will help you worry less and focus on your company’s growth. If you want to apply for a grant or a loan, information about the company’s finances is easy to access.

If the choices made by employees are seen as unethical, there could be dire ramifications for the business and the person at hand. Gone are the days when you manually sifted through hundreds of resumes in the hope of finding that perfect individual who will be ideal for your business. Your next step will be to post online to advertise the fact that you’re looking for an accountant.