The bookkeeper's role in the accounting cycle starts when transactions are entered in a journal or daybook. Bookkeepers may also serve as the accounting system interface with employees and
What is a bookkeeper and what is bookkeeping?
Business people with the job title Bookkeeper may perform a very wide range of clerical and administrative tasks, but the central activity associated with bookkeeping is, literally, "keeping the books," especially the journals and ledgers that record all of the organization's financial transactions.
What is the bookkeeper's role in the accounting cycle?
an employee turns in an expense receipt, when a customer is invoiced,
when a vendor is paid, or when any other transaction occurs, it is the
bookkeeper's responsibility to enter the transaction first in a journal and then, later to see that journal entries are posted to a ledger. These activities in fact are the initial steps in the accounting cycle . At the end of each accounting period, the cycle is typically completed by accountants, who use the ledger entries to create trial balances, correct errors, and produce the period's financial statements such as the Income statement and Balance sheet.
addition to recording transactions, bookkeepers often serve as the
point of contact between the organization and customers or venders, who
actually makes the transaction. Bookkeepers, for instance, may
calculate, prepare, and distribute employee paychecks or payments to
vendors. They may be responsible for calculating, preparing, and sending
invoices to customers. They may be responsible for other activities,
such as reconciling the organization's bank statements, determining when
customer payments are overdue and starting collection procedures, or
determining which level of management approval is required for specific
What are the education and skll requirements for bookkeepers?
Skill requirements for the bookkeeper include a good command of double entry bookkeeping and a thorough familiarity with the organization's chart of accounts. This is because, under the double entry system, every financial event requires two bookkeeping entries, one a debit to one account, and the other an equal, offsetting credit
to another account. Moreover, in almost all organizations now, the
bookkeeper's "books" are actually software applications, parts of the
organization's accounting/bookkeeping system. Thus, fundamental skills
required for working as a bookkeeper also include the ability to use
bookkeeping software and other office applications such as spreadsheets
and word processors.
Bookkeeping normally does not require a
four-year college degree, but most positions typically do require a
high school diploma and some post-high school training in basic business
knowledge and bookkeeping skills.