Thursday, May 14, 2015

5 Services a Canadian Bookkeeper Should Provide

There are 5 key services a Canadian bookkeeper should provide. We have subcategorized the services that fit in the main categories.

1. Monthly & Quarterly Bookkeeping

- Bank & Credit Card Reconciliation. Your accounts need to be reconciled each month if you have employees or do more than 20 transactions a month. If you are a sole proprietor and do not have much financial activity, quarterly bookke
eping may make more sense (lower cost than monthly bookkeeping)

- Financial Reporting. Your bookkeeper should provide you with income & expense statements, profit & loss statements, as well as balance sheets for each month you are in business.

- Accounts Payable. Accounts payable encompasses entering and paying bills through the accounting software system your business uses. When a bill is received (I.E. a gas bill is received), your bookkeeper should make an entry and when it is paid, an entry is made to record the payment (QuickBooks).

- Accounts Receivable. Accounts receivable encompasses making entries, collections, deposits, and customer invoicing. When a job is done for a customer (and an invoice is sent out), your bookkeeper should make an entry to record the money owed to you. You may choose to have your bookkeeper send out invoices to customers.

2. Payroll Services

- Biweekly or Monthly Payroll Services. Your bookkeeper should be informing you (based on hours worked) how much your employees are owed in compensation (each pay period).

- T4's & R.O.E's. Each of your employees will need to have a record of how much (income) they made with you. A T4 is sent to both your employees and to the CRA (Canadian Revenue Agency). R.O.E (record of employment) shows that the employee was hired by your company. A good bookkeeping service will provide services to provide your employees with the necessary documents for employment.

- Source Deductions & Payroll Remittances. Both your business and your employees will need to make contributions to CPP (Canadian Pension Plan), and EI (employment insurance), as well as income tax deductions withheld. Your bookkeeper should be calculating deductions each paycheque.

3. Government Remittances

- GST/HST Filing. Your business needs to be filing GST to the Receiver General in Canada each month or quarter, depending on what the government has requested (usually each quarter for smaller companies). Your bookkeeper should be calculating your GST owed to the Receiver General.

4. Tax Preparation

- Individual T1 Basic Tax Preparation. A bookkeeper should offer tax preparation for the individuals that own & operate the business as well as the employees in the business.

- Corporate T2 Tax Preparation. If your business is incorporated, you will be best to use a bookkeeper that is experienced in providing tax preparation for corporations (T2 corporate tax return filing). A bookkeeper will charge much less than a CGA and is not necessarily any less qualified.

5. QuickBooks Training

- QuickBooks ProAdvisor. A bookkeeper who is a certified QuickBooks ProAdvisor can provide you and your staff with QuickBooks accounting software training. (It will also reassure you to know that your bookkeeper knows what they are doing when it comes to the latest computer software for accounting.)

Dymas Services is a Canadian bookkeeping firm in Calgary, Alberta specializing in all 5 keys that a good bookkeeping service should provide (listed above). We offer bookkeeping Calgary services locally as well as remote bookkeeping services (you mail or scan and email your statements & docs to us and we do the bookkeeping).

Please contact us for any bookkeeping, payroll, tax preparation, or QuickBooks training needs your company might have. .

Dymas Services
(403) 991-3091


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