Accounting has several unique manifestations: auditing public companies and nonprofits, filing personal and business tax returns, keeping the books of a small business, and consulting other individuals and business entities regarding their accounting practices are some of the most popular ones.
Thanks to technology and its ever-helpful advances, keeping up with records and taking care of accounting functions has never been easier. Accounting software, in a nutshell, helps save time and money. Let’s dig into some of the most popular uses of accounting software, some – or even all – of which might apply to your lifestyle.
Keeping Up With Physical Documents Is Difficult
Prior to the proliferation of computers throughout the business world, businesses were forced to track information using physical documents and bulky filing cabinets. Such documents are prone to building fires, tornadoes, floods, and other natural disasters. They can also be stolen, eliminating them from your current use and allowing criminals to steal your employees’ and customers’ private information.
Keeping physical documents is inherently risky. Further, being forced to lug through hundreds of pounds of paper to find records and calculate pertinent financial totals can take up significantly more time than software that keeps up with financial and other information.
Payroll Is Pesky
Any business owner or payroll specialist knows that paying employees on time and in full is a difficult task. Even though it might seem, on first glance, that the monotony of payroll would make keeping the task easier. However, because payroll departments are stressed to make zero mistakes – failing to pay just one employee could result in them losing their house or car – payroll is peskier than most office tasks.
With the assistance of accounting software, you’ll be able to automate the flow of money from your business to employees, rather than constantly being bogged down with such responsibilities. This equates to more money and time for you and your employees.
Say “Goodbye” To Manually Preparing Invoices
Invoices keep records of sales. As a business owner, you’ll create invoices for every sale, as well as receive one for virtually everything you buy. Invoices serve as proof someone bought something, useful in creating financial statements for profit and loss, seeking refunds, and filing taxes.
Software geared towards accounting and bookkeeping will save loads of time and billable hours for your employees as it automatically creates invoices. As invoices are an inherent part of doing business, so will be such a software.
Accountants Can Be Expensive
Most people who don’t like doing taxes except accountants, simply compile relevant documents in a cardboard box, then drop those off at their accountants’ office. All these people also know that accountants’ time and effort can quickly get expensive.
Rather than consulting an accountant every time you have a question about filing documents and classifying records, record keeping software allows you to save that information and never ask an accountant again.
The cost of such software is greatly overwhelmed by how much you or your business would pay an accountant. “Give a man a fish, he’ll eat for a day. Teach a man to fish, he’ll eat for a lifetime” rings true here.
Nobody Likes Using Excel
Microsoft Excel is one of the most often-used programs of all-time. Some individuals use it for taxes or tracking items of value, academicians rely on it to analyze information, people in financial services use it for keeping an eye on investments, and businesses use it for everything. However, just because Excel is popular, doesn’t mean it’s fun to use.
While you can create or adopt others’ templates, Microsoft Excel never comes ready-to-use. Software geared towards accounting, however, does come ready-to-use. This keeps employees on the same page, as they all use an identical interface. These types of software, regardless of which particular model you choose, will almost always cut down on time and money.
Why Wait Any Longer?
Bookkeeping software has tons of uses, including some you might’ve thought to be outside of this list. Whatever type of program you choose, picking any software will help save time and money at your business.