The Advantages of Online Bookkeeping

What are the advantages of online bookkeeping?

Gen X and Millenials are embracing online technology, while Baby Boomers (Okay, not all) tend to look at online cloud atechnology with suspicion.

In light of the FB hearings and privacy: Say No to the Cloud! I am *deeply* suspicious of The Cloud.

— Amy Holmes (@realamymholmes) April 11, 2018

@MyGetTeam client is suspicious of stored assets in the cloud. Stores references in SVN instead. What docs can I point them to?

— Vinney Kelly (@vinneyk) January 26, 2017

Update: Mom is still suspicious of the cloud

— Katie V (@katievills) November 6, 2015

The views of how each generation may use online cloud technology can be poles apart as to their perception of it’s efficiencies and usefulness.

#Cloud already helps to save a lot of money and efforts. But can it be optimized even more to reduce expenses? Find out sound approaches to #CloudEfficiency from #Jelastic CEO https://t.co/KoilDxoKOk HostingJournal pic.twitter.com/h9hl6mGY5C

— Oleksandr Shevchenko (@mrAlexZT) April 17, 2018

How to Scale Your Workflow in the Cloud to Increase Efficiency

The introduction of cloud technology has completely changed the traditional business model that has been followed by accountants across the globe for many years.https://t.co/xYVYuxZ2wg

— Practice Ignition (@ignitionapp) April 13, 2018

Online bookkeeping is good practice, increases your business’s efficency and saves money.

How so?

Let’s make it easy to read in point form below :

• The cloud stores information automatically and securely
• No more software upgrades, as it automaticly updates
• Mobile and flexible as it can be accessed anywhere / anytime there is wireless internet
• No need to periodically upgrade your computer to meet the software’s minumin specifications
• Reduces double handling and time spent in bookkeeping by connecting your bank accounts to feed your transactions onto their platform on a daily basis. Some online accounting programmes will even allow you to have the transactions allocated automatically as well.
• Tradesmen – Invoice straight after completing a job via your smartphone, ipad or tablet
• Email statements, invoices or reminders
• Print onscreen reports to make business decisions
• Allows easy access for your accountant to complete work for you, they only need to log in online.
• Accountant or bookkeeper can log in to answer questions, provide training or financial reports in real time.

Common questions from clients

* You still have to pay for a monthly subscription……I think it will cost more!

It depends.

If you buy your software and keep it for the next four – eight years, yes it will cost you more to go online.

If you normally purchase annual updates, then you will find the online option is comparable in cost.

The real savings come from the effiencies of the online software to complete your tax needs.  Reducing data entry, double handling of data and overall reducing your labour costs. If you just look at the monthly subscription cost, you are missing the big picture time savings.

* I’m not confident that it’s secure enough!

Online data is physically and electronically secure.

Physically – Information is locked into a building with sophisticated security systems where only autherised staff are able to access.

Electronically –  These companies invest millions of dollars to ensure your information is secure against hackers.

The questions you need to answer for NOT going online that you might not have considered:

• Do you backup all your data on a regular basis and take it home?
• Do you keep a password on your computer and accounting software?
• What would happen if your office burnt down tonight? Would you loose all your financial records?
• What would happen if your computer crashed or the hard drive failed on the computer?
• How do you prevent staff from accessing sensitive records via dropbox, pendrives or mobile harddrives?

I hope that you have found this article informative.

Please feel welcome to contact Amanda from My Office Books should you have any more questions or like to obtain a free quote.

Go to https://calendly.com/myofficebooks/freethirty to book in your FREE 30 minute consultation.

Amanda

Amanda Hoffmann is a registered BAS Agent No.18613005, Associate of Finance, Xero & Myob Certified Consultant, a Queensland’s Quickbooks Trainer and works with the ATO on their advisory boards.

She says she is more than just a bookkeeper with experience in real estate investing, social media, podcasting, public speaking and blogging.

Amanda would love to train you to use accounting software, if you need help fixing a messy account or general assistance with automating your administrative duties to save time and money.