What Is The Pay Rate For A Certified Bookkeeper?

The average salary for a bookkeeper in the United States is around $36,524 per year. Below, we have included answers to the most frequently asked questions regarding bookkeeper salaries. Here are some of the frequently asked questions about full charge bookkeeper salary.

QuickBooks Live Bookkeepers will work directly with customers through Intuit’s virtual bookkeeping tools, including video conferencing, messaging, and a client management portal. Customers will schedule a time to engage services, and the Bookkeeper will work on their books with them. Average salaries for telecommuting bookkeepers varied somewhat within the four U.S. regions. In the Northeast region, they earned the highest salaries of $47,000 in New York and lowest of $34,000 in Maine.

what is a bookkeeper salary

While the national demand for bookkeepers is projected to decline between 2018 and 2028, there is short-term growth in certain states that points toward an upward trend. Between 2018 and 2020, Arizona will see an encouraging 4.1% rise in demand for bookkeepers, with Utah close behind at 3.9%. States normal balance and territories expecting aslight decline in the short terminclude Delaware, Puerto Rico, and Connecticut. The items deducted will typically include tax expense, financing expense , and minority interest. Likewise,preferred stock dividends will be subtracted too, though they are not an expense.

While no degree is a guarantee of salary, a bachelor’s or master’s degree can expedite advancement in the field. Not all bookkeepers hold these degrees, and advancement may be possible through other avenues. The table below illustrates the average bookkeeper salary by degree. These charts show the average base salary , as well as the average total cash compensation for the job of Bookkeeper in the United States.

This is slightly higher than the overall growth rate that considers all fields. See how your offer stacks up to other bookkeeper pay packages and negotiate confidently. Assist with research, data entry, filing and recording financial records.

One of the best ways to approach your job search is to create an account with a job search website that is well known and has thousands of job postings in a variety of industries and geographical locations. We recommend Indeed as the top job search site for the traditional full-time job. At a minimum, you must have a high school diploma to be considered for an entry-level full-time or part-time bookkeeper position. If you have an associate degree or bachelor’s degree in accounting, you can expect to earn a higher bookkeeper salary. Below are the education, certifications and work experience requirements for bookkeepers. ScaleFactor is on a mission to remove the barriers to financial clarity that every business owner faces.

Speaking of number crunching, that job duty is actually more common to bookkeeping than to accounting. Companies task bookkeepers with tasks such as recording journal entries and conducting bank reconciliations. As a bookkeeper, your attention to detail must be almost preternatural. Careless mistakes that seem inconsequential at the time can lead to bigger, costlier, more time-consuming problems down the road. Rarely does a bookkeeper work on one big project for an eight-hour shift; rather, a typical workday involves juggling five or six smaller jobs. According to theBureau of Labor Statistics, the median annual bookkeeper salary is $40,240 per year, with a median hourly rate of $19.35.

Bookkeeper Salary By State

They may also prepare bank statements, handle payroll and even make purchases. As with many occupations, professional designations and certifications can do wonders for a bookkeeper’s job prospects and earning potential. A blue-collar worker is typically a working-class person historically defined by hourly rates of pay and manual labor. The advantage of hourly pay is you receive 1.5 contra asset account times your normal wage for hours worked in excess of 40 per week. In bookkeeping, extra hours are common during the busy season of January to April. That said, landing an accounting job requires, in most cases, more education than becoming a bookkeeper. Many hold advanced degrees, such as MBAs with accounting or finance concentrations, or they have Master of Accountancy degrees.


For a merchandising company, subtracted costs may be the cost of goods sold, sales discounts, and sales returns and allowances. For a product company, advertising,manufacturing, & design and development costs are included. Net income can also be calculated by adding a company’s operating income to non-operating income and then subtracting off taxes. In simplistic terms, net profit is the money left over after paying all the expenses of an endeavor. The bookkeeper or accountant must itemise and allocate revenues and expenses properly to the specific working scope and context in which the term is applied. Based on survey of small businesses using QuickBooks Online, conducted September 2018 who stated average savings compared with their prior solution.

Bookkeeping offers much lower barriers to entry, and the competition you face in the job search is less fierce. For a long-term career, accounting offers much more upward mobility and income potential. The education required to be competitive in the field is greater, but the payoff down the road can be considerably higher.

  • As far as statistics go, a better reflection of earning potential for this occupation is median wage.
  • For example, salaries in San Francisco or Los Angeles are likely to be significantly higher than in Redding or Bakersfield, even though they’re all in California.
  • Keep in mind that there are averages, for the entire state – in large, diverse states, local salaries might vary a lot from the statewide average.
  • To get you started, we’ve collected a chart below of the average hourly wage for bookkeepers in each state.
  • Being a national average, high salaries of senior bookkeepers can skew this number.

Arizona expects 7.9% increase in job opportunities, while Florida, Maryland, and Nevada project similar numbers, and demand in Utah is set to rise 18.2%. Bookkeepers work in a variety of industries, which allows graduates a certain amount of choice when it comes to work environment. The table below details the top industries for bookkeepers and the annual mean wage for each industry.

Online Options

If you’re in need of a bookkeeping solution but aren’t sure the best route for your business, consider speaking with an expert at ScaleFactor to discuss online bookkeeping software and to schedule a demo. A skilled bookkeeper can help you avoid fines, fraud, or compliance issues. If you’re thinking of employing a bookkeeper for your business, we’ll break down everything bookkeepers can do and some factors that figure into the cost of hiring one. If you categorize bookkeepers as office workers, you can expect that you will earn a wage that is about the same in the non-profit industry versus the for-profit world.

If you want a high degree of control and direct oversight over how your books are done, hiring an in-house bookkeeper might be the way to go. With a direct employee, you’ll have control over their day-to-day and can dictate how things are done. By clicking any link on this page, you are giving your consent for us to use cookies. An accountant is a certified financial professional who performs functions such as audits or financial statement analysis according to prescribed methods. A chartered financial analyst is a professional designation given by the CFA Institute that measures the competence and integrity of financial analysts.

That said, bookkeeping is a great starting point if you are interested in the field but not fully committed and want to test the waters. Bookkeeping faces a specific challenge similar to switchboard operating, word processing and other fields in which software programs can perform many jobs humans once did. Like most fields, accounting and bookkeeping suffered contraction during The Great Recession. They have recovered nicely, however, with economists forecasting job growth of 13% through 2022 for the broader field of accounting, which includes bookkeeping. Public accounting generally pays the most to a candidate right out of school. In particular, the Big Four firms of Ernst & Young, Deloitte, KPMG, and PricewaterhouseCoopers offer larger salaries than mid-size and small firms. Depending on the city, you can expect to earn between $50,000 and $60,000 your first year as a Big Four accountant.

The accounts payable (A/P) clerk is a specialized role that is solely responsible for tracking and paying bills. In addition, you may need to communicate with vendor suppliers to discuss any billing issues such as open credit memos and discounts. Crystalynn is a CPA and Intuit ProAdvisor with an extensive background in QuickBooks consulting and training. She lends her expertise to Fit Small Business’s accounting career,business accounting, and accounting software content. Those in the federal government Postal Office Industry earned $65,100 per year, on average, or $31.30 per hour.

The base salary for Bookkeeper ranges from $38,726 to $49,497 with the average base salary of $44,123. The total cash compensation, which includes base, and annual incentives, can vary anywhere from $39,005 to $50,101 with the average total cash compensation of $44,339. The average Bookkeeper salary in the United States is $44,123 as of December 28, 2020, but the range typically falls between $38,726 and $49,497. Salary ranges can vary widely https://www.bookstime.com/ depending on many important factors, including education, certifications, additional skills, the number of years you have spent in your profession. With more online, real-time compensation data than any other website, Salary.com helps you determine your exact pay target. In business and accounting, net income is an entity’s income minus cost of goods sold, expenses, depreciation and amortization, interest, and taxes for an accounting period.

How long does it take to be a bookkeeper?

HOW LONG DOES IT TAKE TO BECOME A BOOKKEEPER? Becoming a bookkeeper can take as little as one year, depending on the educational path the prospective bookkeeper takes. However, earning an accounting degree or pursuing certifications can add several years to the time required to join the profession.

Nonprofit employer compensation costs per employee hour for sales and office workers, as of March 2014, was $16.57 hourly for sales and office workers, and $24.71 for total compensation. For for-profits, sales and office worker employer compensation costs per employee hour was $16.25 hourly and $22.64 for total compensation.

Earn an attractive hourly wage while working virtually from your home office. If you have your eye on a bookkeeper job, then you’re going to have to nail your interview. It’s also important to note that, when you start out, you may not earn that much. Still, that’s not a bad starting point, especially if you know what you can earn once you gain enough experience. If you bookkeeper are considering working as a bookkeeper as a way to launch a larger accounting career, then you may want to go a different route. You could get a Bachelor’s degree and work your way toward the Certified Public Accountant credential. While it’s true no two bookkeeper job descriptions are exactly alike, the skills you need to do well are typically pretty well aligned.

To get started with Upwork, head over to their website and set up your account for free. You will provide a profile picture, list the types of services that you offer like bookkeeping and payroll and answer questions about your skills, education and work experience. Similar to Indeed, you can receive daily job alerts that and it only takes a few minutes to submit a bid or proposal for a job you are interested in. Furthermore, if you’re looking for a bookkeeper that already knows the software your company is working with, you might be paying more for that knowledge and experience as well.

The total cost will depend on how long it takes them to do the work. For this reason your costs with a traditional firm can vary a lot, even between months. Most often they’re a small group of accountants or bookkeepers that serve a local geography, often with an additional team overseas. $18.69So you now have an idea what to expect to pay for an in-house bookkeeper’s salary, with some caveats.

To sit for the Certified Public Accountant, or CPA exam, which is a common goal of many accountants, you must have a minimum of 150 postsecondary education hours. This is a bachelor’s degree plus 30 hours of graduate work; most CPA candidates go ahead and finish their master’s degrees. While national demand for bookkeepers is expected to decline between 2018 and 2028, many states expect to see solid growth in the field.

what is a bookkeeper salary

Bookkeeper Job Description (skills, Salary, Duties, Certification & More)

The distinctions between accounting and bookkeeping are subtle yet important to understand when considering a career in either field. Bookkeepers record the day-to-day financial transactions of a business. There are a lot of minutiae involved, and keen attention to detail is paramount. At specified intervals, they review and analyze the financial information recorded by bookkeepers and use it to conduct audits, generate financial statements and forecast future business needs.

The Average Salary Of A Telecommuting Bookkeeper Specialist

According to the BLS, the average hourly wage for accountants is $37.46, more than double the national average bookkeeper hourly rate ($18.87). The national average accountant annual wage is $77,920 vs. $39,240 for a bookkeeper salary. Similar to bookkeepers, geographical location is one of several factors that can affect the average accountant salary. Job candidates for bookkeeper jobs are typically required to have a high school diploma or equivalent. In order to secure a full-charge bookkeeping position, a candidate may be required to hold an associate degree in business or accounting and have at least five years of experience.

what is a bookkeeper salary

There is mixed evidence about whether non-profits pay more or less than for-profits, according to the Bureau of Labor Statistics in January 2016. The BLS reports that management, professional, and related workers earn less than service workers in non-profits, and that there is wage parity between what are retained earnings the two industries for sales and office workers. If you need or want specific experience with a wide range of companies similar to yours, an online provider might be the right place to start looking. A traditional bookkeeper will usually charge you an hourly rate to do your books each month.

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