What your accounting department does.
One thing they do that’s terribly important to everyone working at your company is Payroll. All the salaries, bonuses etc and taxes earned and paid by every employee every pay day have to be recorded. The payroll department has to ensure that the appropriate federal, state and local taxes are being deducted. The pay stub attached to your paycheck records these taxes. They usually include income tax, social security taxes pluss employment taxes that have to be paid to federal and state government. Other deductions include personal ones, such as for retirement, vacation, sick pay or medical benefits.
Some companies have their own payroll departments which is expensive; while others use outsource bookkeeping services like Eagle Outsourcing PTY Ltd and save money that can be used for other company functions, like R & D etc.
The accounting department receives and records any payments received (Accounts Receivable) from customers or clients. The accounting department has to make sure that the money is sourced accurately and deposited in the appropriate accounts. They also manage where the money goes; and how much of it is kept on-hand for other areas such as payroll, or how much of it goes out to pay what the company owes its banks, vendors and other obligations. Some should also be invested. One of the main benefits of outsourcing your bookkeeping service is you will have more money for those obligations and re-investment.
The other side of the receivables business is the payables area, or cash disbursements. A company writes a lot of checks during the course of the year to pay for purchases, supplies, salaries, taxes, loans and services. The accounting department prepares all these checks and records to whom they were disbursed, how much and for what.
Accounting departments also keep track of purchase orders placed for inventory, such as products that will be sold to customers or clients. They also keep track of assets such as a business’s property and equipment.
Every business should use qualified CPAs, or Certified Public Accountants, can help you in your individual or business accounting and tax preparation in many ways. With the laws surrounding accountancy such as generally accepted accounting practices for businesses, and tax laws that change every year for individuals, hiring a CPA to perform your accounting services needs is the best way to ensure that your accounting is error free in case of IRS or other audit. At Eagle Outsourcing PTY Ltd they are a highly skilled, extremely proficient and dedicated team of CPA’s, Chartered Accountants, MBA Finance graduates and other accounting professionals.
In total the accounting and bookkeeping department is a very important function in any business, which is why people trust Eagle Outsourcing for their outsource bookkeeping services. With over 10 years experience, they provide a professional and personal service to ensure all of your outsourced bookkeeping services benefit your company in the best way possible.