Dangers of DIY Bookkeeping and Costly DIY mistakes
Common DIY mistakes are:

late lodgement of PRSI/PAYE payments

paying incorrect superannuation contributions

invoicing incorrectly

incorrect VAT coding usually resulting in under-claiming or over claiming VAT credits

failure to keep backup records

These mistakes are due to lack of training or lack of experience leading to the risk of high fines and penalties from the Revenue or an accountant having to amend the books at a much higher hourly rate than a professional bookkeeper would charge.

An onsite bookkeeper gets to know your business
As your business relationship develops with your bookkeeper, they will start to understand your business and the key performance indicators. So many businesses fall into the trap that when an in-house bookkeeper leaves taking their knowledge of the business with them. With an outsourced bookkeeping company you can be confident that the bookkeeping service will retain all the information about your business and keep good backup records with off-site storage facilities.

Reduced labour costs
By outsourcing your bookkeeping services on a needs only basis rather than employing a full time bookkeeper, you only have to pay them when you use their services. As reduced labour costs, if a bookkeeping company is outsourced, an outside provider’s cost structure and economy of scale can give their the bookkeeping company an important competitive cost advantage as well. Companies that do their own bookkeeping have higher labour, training and capital expenditure costs, all of which must be passed on to customers.

Improved efficiency of work
Improved efficiency of work is a major benefit of hiring a professional bookkeeper. A company bookkeeper may have additional roles in the company which may take up their time, valuable resources and focus but a professional bookkeeper works in a specialised role where bookkeeping is all they do and it’s done to a very high standard. In the case of a full time bookkeeper going on an extended holiday or leave, a replacement needs to be found who may not be familiar with your bookkeeping procedures at considerable cost to the business.

Bigger picture mentality
The cost of an in-house bookkeeper compared to hiring a professional bookkeeping service is higher when you factor in costs like superannuation, office space, annual leave, sick leave and other benefits. You also have to weigh up the long term costs and have a bigger picture mentality in hiring a professional bookkeeping service in regards to reduced tax liabilities, no penalties in regards to late lodgement fees and the updated and accurate reports can be used to better forecasting of your business.

A professional bookkeeping service should be a natural extension of your business and act as a business partner without taking up valuable office space. Localbookkeeper.ie is keen to solve your outsourcing and bookkeeping problems and to be your partner in growing your business …call us today on 087 2354789 or make an online enquiry browse through our complete list of bookkeeping services. Based in Cork / Kerry region we are here to help you…

You don’t want another Enron? Here’s your law: If a company, can’t explain, in ONE SENTENCE….what it does….it’s illegal.
Lewis Black

There is no pleasure in having nothing to do; the fun is in having lots to do and not doing it.
Mary Little

The first thing a new employee should do on the job is learn to recognize his boss’ voice on the phone.
Martin Buxbaum

The company accountant is shy and retiring. He’s shy a quarter of a million dollars. That’s why he’s retiring.
Milton Berle

We owe a lot to Thomas Edison – if it wasn’t for him, we’d be watching television by candlelight.
Milton Berle

A computer lets you make more mistakes faster than any invention in human history – with the possible exceptions of handguns and tequila.
Mitch Ratliffe

There is an enormous number of managers who have retired on the job.
Peter Drucker

By working faithfully eight hours a day you may eventually get to be boss and work twelve hours a day.
Robert Frost

I’ve talked to you on a number of occasions about the economic problems our nation faces, and I am prepared to tell you it’s in a hell of a mess—we’re not connected to the press room yet, are we?
Ronald Reagan

The nine most terrifying words in the English language are, “I’m from the government and I’m here to help.”
Ronald Regan

I don’t want yes-men around me. I want everyone to tell the truth, even if it costs them their jobs.
Samuel Goldwyn

Remind people that profit is the difference between revenue and expense. This makes you look smart.
Scott Adams

Advertising may be described as the science of arresting the human intelligence long enough to get money from it.
Stephen Butler Leacock

How many people on their deathbed wish they’d spent more time at the office?
Stephen R. Covey

We don’t have a monopoly. We have market share. There’s a difference.
Steve Ballmer

I think it’s wrong that only one company makes the game Monopoly.
Steven Wright

My son is now an “entrepreneur.” That’s what you’re called when you don’t have a job.
Ted Turner

The three most frequently told lies in the world… The cheque is in the post… I’ll still respect you afterwards ….. I’m from the Revenue and I’m here to help you.
Unkown

What is the difference between unethical and ethical advertising? Unethical advertising uses falsehoods to deceive the public; ethical advertising uses truth to deceive the public.
Vilhjalmur Stefansson

There are three cardinal rules — don’t take somebody else’s boyfriend unless you’ve been specifically invited to do so, don’t take a drink without being asked, and keep a scrupulous accounting in financial matters.
W. H. Auden

If you can build a business up big enough, it’s respectable.
Will Rogers

A budget tells us what we can’t afford, but it doesn’t keep us from buying it.
William Feather

In modern business it is not the crook who is to be feared most, it is the honest man who doesn’t know what he is doing.
William Wordsworth

Thinking of Outsourcing your bookkeeping and payroll ?
Contact localbookkeeper.ie operating in Cork and Kerry.

A business man was interviewing applicants for the position of divisional manager. He devised a test to select the most suitable person for the job. He asked each applicant, “What is two and two?”
The first interviewee was a journalist. His answer was “Twenty-two.”
The second applicant was an engineer. He pulled out a slide rule and showed the answer to be between 3.999 and 4.001.
The next person was a lawyer. He stated that in the case of Jenkins v Brown, two and two was proven to be four.
The last applicant was an accountant. The business man asked him, “How much is two and two?” The accountant got up from his chair, went over to the door and closed it then came back and sat down. He leaned across the desk and said in a low voice…”How much do you want it to be?”
He got the job.

Quotable Business Humour

When you make a mistake of adding the date to the right side of the accounting statement, you must add it to the left side too.
Accountant’s Maxim

Corporation: An ingenious device for obtaining profit without individual responsibility.
Ambrose Bierce

Nothing is illegal if a hundred businessmen decide to do it, and that’s true anywhere in the world.
Andrew Young

I think any man in business would be foolish to fool around with his secretary. If it’s somebody else’s secretary, fine.
Barry Goldwater

A bank is a place that will lend you money if you can prove that you don’t need it.
Bob Hope

Need a good laugh? The following classified ad was listed in a sleazy business opportunities home page: “How to get one million people to send you €2.00! Method plus proof it really works. Rush €2.00 and SAE to…”
Classified Ad

There’s no reason to be the richest man in the cemetery. You can’t do any business from there.
Colonel Sanders

There’s no business like show business, but there are several businesses like accounting.
David Letterman

The two most beautiful words in the English language are ‘check enclosed’
Dorothy Parker

Success is simply a matter of luck. Ask any failure.
Earl Wilson

Advertising is legalized lying.
H. G. Wells

Don’t worry about people stealing your ideas. If your ideas are any good, you’ll have to ram them down people’s throats.
Howard Aiken

If you owe the bank $100 that’s your problem. If you owe the bank $100 million, that’s the bank’s problem.
J. Paul Getty

We were hoping to build a small profitable company; and of course, what we’ve done is build a large, unprofitable company.
Jeff Bezos (1964-) U.S. Businessman

If you break 100, watch your golf. If you break 80, watch your business.
Joey Adams

Behind every successful man lurks a truly amazed ex-mother-in-law.
John Chrusciel

I know a man who gave up smoking, drinking, sex, and rich food. He was healthy right up to the day he killed himself.
Johnny Carson

Catch a man a fish, and you can sell it to him. Teach a man to fish, and you ruin a wonderful business opportunity.
Karl Marx

localbookkeeper.ie offers you the perfect range of bookkeeping services for sole traders/small businesses in the Kerry/Cork area.