Freelance Bookkeeping Job Contract Dos and Don'ts
There are certain freelance bookkeeping job contract Do's and Don'ts which you should follow if you plan to work from home in this field. The following tips should get up to speed about handling a business account from your home.
Formal training is not required to be a bookkeeper so if you are only pursuing bookkeeping as a stop-gap means of employment while you find another job, then getting certified isn't necessary. However, those who plan to continue obtaining freelance bookkeeping job contracts over a long term can increase their market value by getting certified. It is easy to do and will cost you a fraction of what it will enable you to earn.
Use Dedicated Software
Don't think you can get away with stuffing all data into Excel sheets. As the business grows, spreadsheets might become gigantically huge and difficult to maintain. It is advisable to invest in a good software dedicated to bookkeeping such as Quickbooks.
Don't start to take bookkeeping lightly. If you are being paid for it, it is your responsibility to maintain it daily. Don't fall behind by even a day. That evening party at your friend's house can be skipped. That new movie which everyone is talking about can be watched later. But updating the logs has to be done now.
Don't Bite off more than You can Chew
An easy availability of clients can tempt some people to sign on one too many. If you are doing it full time, it is possible to juggle multiple clients in this business. But you have to take care not to sign on more clients than you can possibly handle. Sign on one client at a time and maintain your current total number of clients for a few weeks. If you consistently find yourself with free time left on your hands at the end of the day, you can go ahead and sign on just one more.
Categorization is Good, but only to an Extent
There's no need to form more categories than required. Maintaining logs of expenses on pens, paper, clips, etc when they can all be categorized under 'Office Stationery' is redundant and serves no purpose. Instead, it makes your logs overly complex. The KISS (Keep It Simple, Stupid) principle can be applied here.
No Shady Business
The importance of this cannot be over-stressed. If you find your client being even remotely involved in shady financial deals, drop all their records like hot potatoes and run as fast as you can. Surprisingly, you will find plenty of small businesses willing to overstate their sales, or twist a few records here and there to seem like they are doing better than they actually are. Don't bother confronting the business owner. It is easy enough to just stay away.
Over and above all, ensure that you are providing good value to your clients. Research your market value well and charge accordingly. Whether you are in it for short term or long term, freelance bookkeeping job contracts can be a rewarding experience for you if you love keeping things organized.