How To Become A Bookkeeper UK 2024

Mastering the world of numbers, spreadsheets, and financial data is a skill in high demand. One profession that combines these skills is bookkeeping. If you are keen on knowing what it takes to become a bookkeeper for UK companies by 2024, here are some of the steps you may need to take as well as the qualifications you should possess.

What Is a Bookkeeper?

Bookkeeping is an essential aspect of any business regardless of its size. Financial records must be kept in order and accurately if a company has to survive and grow hence why there is a need for bookkeepers.

A bookkeeper essentially organizes, maintains and verifies all financial information belonging to a certain firm. This includes dealing with such transactions as purchases, sales, receipts or even other payments that either come from or go to the company.

What Are The Role of a Bookkeeper?

The main role of a bookkeeper is to keep track of all financial transactions made by a business. Bookkeepers need to have strong mathematical abilities and also be very organized since they track receipts and deposits.

These people also hold key positions in companies because they often have access to their bank accounts through which transactional activities can be reported.

Tasks performed by bookkeepers include:

  • Receiving and handling invoices for payment
  • Payroll processing
  • Determining profit and loss
  • Estimating revenue and expenditures
  • Maintaining ledgers and balancing the books

Skills Needed to be a Bookkeeper

There are certain skills that make a person a competent bookkeeper. For example, one needs to have:

Numerical accuracy

As such, they need strong numeracy skills and ability to pay attention.

Analytical mind

In addition, analytical thinking will enable them to interpret financial data as well as resolve problems.

Communication skills

For instance, they should have good written as well as verbal communication abilities since their work entails daily interactions with different colleagues or professionals.

Organisational skills

A bookkeeper should also be able to efficiently manage time while multitasking.

IT proficiency

On the other hand, IT knowledge including specific software applications such as accountancy packages can enhance efficiency.

How to Become a Bookkeeper: Qualifications and Training

Bookkeeper

To become a bookkeeper, you do not need to hold a university degree. Most experts in this field have diplomas or certificates.

  • AAT (Association of Accounting Technicians): The AAT offers several qualifications in bookkeeping. Bypassing the highest certificate, an individual will be able to use AATQB after their name.
  • ICB (The Institute of Certified Bookkeepers); Accredited ICB courses can be found through various learning providers. Once you are qualified, they will allow you to access their community and improve your professional standing within it through membership in the ICB.

Moreover, various online classes can assist you learn some basics about bookkeeping as well.

Starting Your Own Bookkeeping Business

Having one’s own bookkeeping business is an option for many professionals in this field. However, certain things must be taken into account:

License: To initiate a home-based bookkeeping business you should have a license, which is also called an AML license.

Software: Appropriate software to perform your work plays a significant role. It makes your work more efficient and reporting becomes easy too; generally, customers expect bookkeepers to use it.

Registration: You will need to register your business with HMRC and be responsible for tax payments on their behalf.

Career Progression for Bookkeepers

There exist a number of career progression routes for bookkeepers whether one wants to become an industry specialist or progress to manage several accounts and other bookkeepers.

For instance, with continuous professional development and additional skills acquired a bookkeeper can become an accountant or payroll officer.

A Bookkeeper’s Income Possibilities

Income for a bookkeeper can differ depending on many factors such as company size, sector, and experience of the bookkeeper. Internal UK bookkeepers may make between £27 000 and £30 000 each year. Freelance bookkeepers generally charge between £15 and £30 hourly.

Bookkeeper vs Accountant

Whereas daily recording of all financial transactions is done by bookkeepers, interpreters of such data are accountants.

Business skills required to present forecasts, financial plans and money-saving strategies that are based on key information collected will be given by them to the owners.

Also Read: How To Become A Primary School Teacher

Conclusion

It is possible to become a bookkeeper who enjoys job security while helping businesses to grow. In this way, you could become a professional bookkeeper in the UK by 2024 with appropriate training, qualifications and skills.

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