Our US-based account management team is staffed by CPAs and accountants who have, on average, 11 years of experience. I work a maximum of 20 hours per month on this particular client’s bookkeeping services pricing books and charge $1,000 a month. I work a maximum of 10 hours per month on this particular client’s books, and charge $500 a month, which still comes out to be roughly $50 an hour.
Even though I’m giving you the hours it takes me with each of these clients, I don’t necessarily keep track of them. I work a maximum of five hours per month for this client, which means sometimes I get my job done in less time. While we have some standardized pricing, we do look at every client and every job as a unique project. Most often clients are interested in monthly work, but we can do quarterly, and we can do weekly.
How Much Should I Charge for Bookkeeping Services?
In addition to the hourly charges, state & federal laws will also likely require you to pay for the employee’s benefits such as health insurance and vacation time. These benefits add a significant amount to the annual cost of an in-house bookkeeper. A small business bookkeeper has several basic responsibilities.
- You should be charging your clients accordingly for your services.
- The gold card, higher up in the tier, includes more perks.
- Part-time bookkeepers and outsourced bookkeeping firms are a sound solution for new businesses, while full-time bookkeepers tend to benefit more established companies more.
- Not every business has the same bookkeeping needs as others, and their needs will likely change as the company experiences growth.
By this way charging in block hours, our clients have the freedom to receive full bookkeeping services without concern that they may not have chosen all the right pieces or services. Kathryn is a Chartered Professional Accountant with over 7 years of experience in both public practice and industry accounting. She has had the opportunity to work with a wide variety of individuals and companies, which gives her a unique perspective on what it takes to be successful in the industry. Kathryn loves all things business and productivity and has been able to combine her love for creating content into writing for accounting firms looking to improve their businesses. If you don’t have your clients pay in advance, you can also charge a late fee if a client doesn’t pay an invoice on time. This is typically a percentage of the invoice, such as 2% or 5%.
Benefits to Packaging Your Bookkeeping Services
We will give you an exact quote for the work before you start, and firm deadlines for getting it done. Our agreement is done in writing and spells everything out so you know exactly what you are getting and what it will cost. Business Success Solution aims to empower accounting professionals to take charge of their business and double revenues while working half the time. Business Coach for Accounting Professionals No excuse for bad behavior Just because you’re an accounting professional, doesn’t mean you’ll be well respected by your clients. Initially worked with any client who was willing to pay her fees.
You can also easily adjust your rates as your experience and skills increase. You can research the rates charged by other bookkeepers in your area. Look at your services and compare them to what other bookkeepers are charging. If you “niche-down” by offering bookkeeping to a specialized industry such as real estate or healthcare, that may affect your pricing. If you can prove your worth and expertise in working with that specific industry and the nuances that come along with it, it will allow you to increase your prices. When it comes to charging for bookkeeping services, there are a few factors that you will need to consider.
Overall stats of a small client
At Kruze, we’ve built our own, in-house automation called Kruze Keeper, which automatically recognizes the text from the bank feed for most transactions, about 75% of the transactions. Kruze Keeper can automatically get those transactions into QuickBooks without an accountant having to touch it. This helps us keep the cost of delivering bookkeeping services down. It’s normal for startup founders to want to understand how their startup’s bookkeeping services are priced. And it’s a really good question because there are several variables that make startup accounting more or less expensive.
How do you quote bookkeeping services?
A basic strategy for pricing your accounting services is cost-plus pricing. In this strategy, you take what it costs to offer your services and add a percentage to that amount to determine how much you should charge clients in order to make a profit.
This option is ideal if you have a good understanding of the scope of work involved and you are confident that you can complete the job in a timely manner. The problem with hourly billing is that it can lead to unpredictable fees for your client, and there is no incentive for you, as the bookkeeper, to complete your work more efficiently. It is best for this pricing structure to implement software for accountants that track time to ensure your time tracking is efficient and accurate. Another factor to consider is the size of your client’s business. A small business client will have different bookkeeping needs than a large corporation.