Hiring an accountant is a valuable step for any business to take.
Whether you’ve been handling finances solo or you’re planning a start-up, and you need someone with financial know-how, an accountant can provide the exact services you need.
If you’re curious about accountancy, whether you want to know ‘what does an accountant do on a daily basis?’, or you want to know accountant benefits you can take advantage of, you’ve come to the right place.
We cover all the basics of accounting, from how a trained accountant benefits your business to examples of what accountants do for you.
From tax to payroll, accountants provide an invaluable service to businesses across Australia. Interested?
Read on now for all the details to figure out whether hiring an accountant is the next best move for your business:
What is an Accountant? (+ What They Do & Why You Need One)
What is an accountant?
Before we get into the little details, let’s start with the basics: what is an accountant?
An accountant is a finance specialist that’s fully trained and qualified to analyse, handle and maintain the finances of an individual or business.
There is a wide range of different accountants, from private accountants to public accountants, including a wide range of specialisations in forensic accounting, investment accounting and more.
As a business owner, you’re most likely to work with private or public accountants, either as an in-house service or an outsourced accountancy solution.
To become a qualified chartered accountant, an accountant in training will need to complete a relevant bachelor’s degree and be registered as a member of the Institute of Chartered Accountants in Australia.
What does an accountant do?
An accountant provides a wide range of financial services to your business.
These services could include anything from day-to-day bookkeeping and bank reconciliations through to creating budgets, preparing for taxes, providing financial analysis and even financial planning.
The exact services an accountant provides depends on their specialist service and your needs as a business.
Why do you need an accountant?
Keeping your finances in order should be one of your top priorities as a business.
Hiring a professional, trained accountancy service can ensure everything runs smoothly and your financial obligations never fall through the cracks.
Having good finance processes also allows you to understand the success of your business in terms of profit and loss, allowing you to make plans and preparations for future business activities.
9 Benefits of Hiring an Accountant
There are numerous benefits to hiring a qualified accountant for your business.
From saving you time in your working day to ensuring your taxes are completed to necessary standards, the average accountant can save you money and the headaches involved in dealing with your finances yourself.
Here are nine of the top accountant benefits to consider:
1. Save time (and money)
As a business owner or manager, you know that the time you put into finance could be put to better use elsewhere.
An accountant can take over the responsibility of your bookkeeping and day to day accounts, ensuring your business needs are met while saving your valuable time and money to work on other business areas.
2. Reduce tax liability
Reducing tax liability ensures you’re paying the right amount and following the right strategies to keep your finances on track.
A qualified accountant has the knowledge and understanding to ensure your business taxes are fully compliant, saving you costs and preventing end-of-year challenges before they arise.
3. Prevent tax penalties and fines
Failing to meet your tax obligations can be costly for your business.
An accountant has a complete understanding of how business tax works, and they can ensure everything is filed on time and within the required schedule.
Saving you from last-minute problems and ensuring everything is completed correctly the first time around.
4. Help you to grow your business
As you grow your business, your financial needs and budget will change with it.
Your accountant can support you in making this growth as easy as possible, ensuring your accounts and finances are in place for successful expansion and future business planning.
5. Remove tax worries
Stress around tax season is typical for any business – but doubly so when you don’t have the right tools and preparation in place.
Accountants benefit from experience with the tax system, and you can rely on them to get the job done with minimal input and attention required.
Tax worries can be a thing of the past with the right accountant on hand.
6. Access to varied services + advice
Accountants may have specialisations, but this doesn’t mean they can’t advise and provide insight into a wide range of financial functions.
A chartered accountant can provide you with numerous services tailored to your business needs and goals. Ensuring your needs are met as your business requirements change.
7. Access to expert business advice
Whether you outsource your business finance or hire an accountant in-house, you also gain access to accountant benefits beyond day-to-day responsibilities.
Whether your accountant can connect you to a specialist or they can provide expert guidance themselves, you’ll be able to access the resources needed to make your business better.
8. Manage your business finances
Leaving your business finances in the hands of a professional is the best way to ensure they are completed effectively.
A trained accountant can keep on top of your finances year-round, ensuring your reporting and statements are right, and your accounts are correctly balanced.
9. Provide security
Security is a crucial concern for your business finances.
If you’d like to enhance your security, using an accountant is the best way to do so.
A qualified accountant will be aware of data protection rules and regulations and use specialised accountancy software to offer you a secure, professional service.
How do I choose the right accountant?
Finding the right accountant will depend on precisely what services you need for your business.
If you’re a small business, you may need an accountant that is a good all-rounder.
In contrast, if you are a larger company, you may want an accountant to handle reporting or business planning specifically.
Knowing what you’re looking for is the best place to start when choosing the right accountant for your business.
How do I find the best accountant for me?
All accountants have the training needed to provide your business with financial services – so it’s down to personal preference which accountant you pick.
The five roles of accounting cover all the fundamentals of finance, but what you need specifically may change as your business grows and your accounts become more complex.
What are the 5 roles of accounting?
These ensure accountants have a good foundation in all areas of business finance, so you can rest assured that all of your needs will be met.
Who should hire an accountant?
Any business that has even simple financial requirements can use accountant benefits to their advantage.
As a qualified professional with experience across various companies, an accountant ticks all the boxes for your financial plans and goal.
Thanks to this expertise, an accountant can tailor their services and solutions to your business’s scale and financial requirements specifically.
How much do accountants cost to hire?
The cost of an accountant will vary depending on numerous factors.
For example, an in-house accountant may be paid a standard salary, while an outsourced service could charge by the hour or every month for services delivered.
Want to know ‘what does an accountant make?’ That exact amount can vary depending on who they work for, their experience, and the level of qualifications they hold.
5 Reasons to Hire an Accountant
Why hire an accountant?
On the average accountant responsibilities resume, everything you need to keep your business running smoothly is a part of their service.
Here are five reasons why you should consider hiring an accountant or outsourcing to a professional service for your finances:
1. If you’re unsure about your taxes
Taxes can be complex for the average business.
As part of their responsibilities, an accountant can ensure all tax preparations and submissions are completed on time with no delays or snags, saving you time and stress at what can be the busiest part of the financial year.
2. If you’re struggling for time
As your business and responsibilities grow, you may not have the same amount of time to devote to finances.
An accountant’s sole responsibility is handling the accounts and money of your business, allowing you to spend your time elsewhere to greater effect.
3. If you want help with financial planning
From planning next year’s budgets to considering investments in the coming quarter, an accountant can support you in helping make informed decisions.
Through analysis and reporting, working with an accountant can help you make the right decisions based on accurate, up to date information.
4. If you’re looking to be introduced to like-minded businesses
Working with an accountant that’s experienced in your field has many benefits.
Being introduced to similar businesses to yours through new connections is valuable to your business and other companies in your field, too.
5. If you’re worried about staying legal
If you want to meet all legal obligations and compliances, seeking professional help is always a good idea.
Accountants have the training and knowledge to understand how to keep your finances legal and ensure you’re meeting all necessary milestones and rules related to operation and taxes.
How Do I Hire an Accountant?
If you’re looking for a qualified and reliable accountant, Pherrus is the ideal option for you.
Our experienced team has handled finances for more than 1,000 clients across Australia. Get in touch with our team today to discuss how we could support you in day-to-day accounts, tax services, and more.