Bookkeeping Hourly Rates: The Comprehensive Guide

bookkeeping rates per hour

This is likely because of a high number of part-time bookkeepers and overseas freelance bookkeepers. Regardless of location, a freelance bookkeeper with the proper credentials will likely cost $40 an hour or higher. Many factors contribute to your decision about how much to bill your clients. Once you evaluate the average rate of pay for your geographic location, your level of education, and any certifications, you’ll have a better idea of what to expect in terms of an hourly rate. What is the average cost of outsourced bookkeeping, and what kind of bookkeeping rates per hour can you expect to pay?

A specialty in additional services like payroll or financial analysis, the frequency of services offered, and even an expertise in certain accounting applications can also affect the rate. If your business produces a large amount of complex transactions, hiring an in-house professional might seem like an easy solution. However, hiring an in-house professional can be more costly than other options.

How can Bookkeepers increase their salary?

For businesses, it’s crucial to understand these dynamics, ensuring they are paying for expertise, efficiency, and value-added services, rather than just manual hours of work. Businesses that have been in operation longer, manage more employees, or are growth-driven may require more robust bookkeeping services. Some people use the terms “bookkeeping” and “accounting” interchangeably, but these professionals bookkeeping services pricing perform different jobs requiring different skill levels. Bookkeepers handle basic, day-to-day management of a business’s finances. Accountants perform more complex tasks and help the business with long-term financial planning. You must understand what bookkeeping services you need and whether it’s best to hire a professional bookkeeper full time, part time, or outsource the service.

  • Like traditional bookkeepers, online bookkeeping services (like Pilot) employ a number of professional bookkeepers to provide their clients with books service.
  • The overall cost depends on various factors, the most important being experience, education, and certifications.
  • Before bringing on a new customer, you should meet and assess their situation.
  • Depending on how much work you have and how long you need services, a contracted worker might be a better option.
  • A part-time bookkeeper can handle basic services for individuals or small businesses.

The hourly rates, services offered, and even the way bookkeeping is approached can differ vastly from one region to another. It’s imperative for businesses to understand these nuances to make informed decisions and optimize their bookkeeping investments. In our quest for cost savings, it’s a natural inclination to be attracted to the most affordable option. While budgeting is essential, especially for small businesses and startups, selecting a bookkeeper based solely on hourly rates can sometimes be penny wise but pound foolish. Let’s delve into why this approach can be problematic and how to strike a balance between cost and value. Hiring an outsourced bookkeeping agency can seem overwhelming at first glance— but it can be an extremely cost-effective, simple solution with many benefits that can help your business grow.

Frequency of service

States like Massachusetts and Washington have the highest hourly rates for bookkeepers at $40+/hour. The states with the lowest hourly rates for bookkeepers are Louisiana and Georgia, at $26 to $28/hour. As great as it is to talk about potential bookkeeping costs and get estimates, we know that seeing an actual average for your state can yield excellent value for you as a business owner. Please see the chart below with data pulled directly from the US Bureau of Labor Statistics 2022 data to learn more about the average salary and hourly rate for bookkeeping.

  • Also, note that the degree-related salaries cover all accounting professionals who hold that degree.
  • It demonstrates to potential clients that you’ve met a certain standard of knowledge and skills, boosting their confidence in your capabilities.
  • Use best-in-class technology and a dedicated team to develop a process for managing cash flow that works for your business.
  • The last decade in bookkeeping has been a whirlwind of change, influenced by economic conditions, technological advancements, and global market dynamics.
  • You can also find experts in numerous accounting software that charge more.
  • Our efficient virtual bookkeepers can also help you stay on top of paying your vendors and suppliers.

Hiring a bookkeeper costs $40 to $100 per hour, depending on the location, business size, and services needed. Some bookkeepers charge $200 to $1,000+ per month for part-time services or $3,200 to $5,800 per month for full-time services. Bookkeeping prices fall at the low end for small businesses, while large companies requiring daily bookkeeping services pay more. Other factors that can impact the hourly rate include the freelance bookkeeper’s level of education, certifications obtained, such as QuickBooks ProAdvisor, and the software used.

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