How it works
Difference between Data Entry, Bookkeeper and Accountant
There is often a misconception that data entry, bookkeeping and accounting are the same disciplines. The chart below identifies the different duties of these 3 roles.
Setup
|
|
Data Entry |
FCA Bookkeeper |
Accountant |
|
Appropriate accounting software set up |
x |
✓ |
✓ |
|
Data file and account list |
x |
✓ |
x |
|
Correct links, preferences and tax codes |
x |
✓ |
x |
|
Cards and inventory items for efficient use |
x |
✓ |
x |
|
Opening balances for accounts, debtors etc |
x |
✓ |
x |
Enter Transactions
|
|
Data Entry |
FCA Bookkeeper |
Accountant |
|
Bills and invoices |
✓ |
✓ |
x |
|
Recurring transactions and other shortcuts |
x |
✓ |
x |
|
Receipts and payments |
✓ |
✓ |
x |
|
Make electronic payments |
x |
✓ |
x |
|
Reconcile creditors |
x |
✓ |
x |
|
Follow procedural checks |
✓ |
✓ |
x |
Checks, reconciliations and end of year processes
|
|
Data Entry |
FCA Bookkeeper |
Accountant |
|
Reconcile reports with BAS returns |
x |
✓ |
✓ |
|
Check accuracy of all reports |
x |
✓ |
x |
|
Follow up unreconciled transactions |
x |
✓ |
x |
|
Organise and perform system back ups |
x |
✓ |
x |
|
Reconcile bank and credit card accounts |
x |
✓ |
x |
|
Run company data auditor and fix problems |
x |
✓ |
x |
|
Set up users with passwords and audit trails |
x |
✓ |
x |
|
Roll over data file for financial and payroll years |
x |
✓ |
x |
Payroll
|
|
Data Entry |
FCA Bookkeeper |
Accountant |
|
Set up payroll categories and accounts |
x |
✓ |
x |
|
Set up employee cards |
x |
✓ |
x |
|
Enter/import time sheets |
x |
✓ |
x |
|
Apply payroll legislative requirements |
x |
✓ |
x |
|
Process pay, adjustments, leave etc |
x |
✓ |
x |
|
Keep track of outstanding entitlements/leave |
x |
✓ |
x |
|
Reconcile payment summaries |
x |
✓ |
x |
|
End of year payroll rollover and tax table updates |
x |
✓ |
x |
Other
|
|
Data Entry |
FCA Bookkeeper |
Accountant |
|
Get support from professional advisors |
x |
✓ |
✓ |
|
Assist with profit and loss cash flow budgets |
x |
✓ |
✓ |
|
Suggest cost control measures |
x |
✓ |
✓ |
|
Assist with stock takes |
x |
✓ |
x |
|
Customise invoices, statements and cheques |
x |
✓ |
x |
|
Keep legislative and industry knowledge up to date |
x |
✓ |
✓ |
|
Sort out problems and offer record keeping solutions |
x |
✓ |
x |
|
Set up procedural checklists and train your staff |
x |
✓ |
x |
|
Visit premises regularly |
✓ |
✓ |
x |
Legal, tax and management
|
|
Data Entry |
FCA Bookkeeper |
Accountant |
|
Set up appropriate legal structures |
x |
x |
✓ |
|
Legally prepare BAS returns |
x |
✓ |
✓ |
|
Calculate depreciation and interest expenses |
x |
x |
✓ |
|
Annual tax returns and tax planning |
x |
x |
✓ |
|
Fringe benefits tax returns |
x |
x |
✓ |
|
ASIC returns |
x |
x |
✓ |
|
Management advice |
x |
x |
✓ |
The above chart is a generalisation of duties. There may be variations in regards to the functions performed as some accountants diversify and offer bookkeeping services. Some data-entry people may also be qualified to do perform a greater range of tasks.