Otherwise, you may barely break even – or worse, lose money on each engagement. On the other hand, if you offer more complex services, like tax preparation or strategic planning, you may want to charge a higher price. bookkeeping pricing packages If you’re located in a major city, you may be able to charge more than someone in a smaller town. Clients in major cities may be willing to pay more for bookkeeping services than clients in smaller towns.
Accountants can do those functions and also provide big-picture business financial reports, strategies, and insights. In addition, accountants can help you prepare and file business tax returns. So here, we’ll cover how the cost of bookkeeping services varies depending on several factors and all the options available depending on the needs of your business.
Productizing Your Services vs. Offering Custom Services
As it’s quite difficult to hit the bull’s eye with the exact right price per month, creating pricing options (ie. a range of services for a range of prices) is exceptionally helpful here. I’m an entrepreneurial CPA that founded Xen Accounting, a 100% cloud-based accounting firm, in 2013. Following its acquisition in 2018, I started Future Firm to help accountants fast-track the growth of a modern, scalable accounting firm of their own. When packaging bookkeeping services, you must consider having a variety of options for large, medium, and small businesses. Service will be based on how often you reconcile the books in each period. Many businesses do monthly bookkeeping or quarterly but weekly or annually are also an option.
At Kruze, we’ve built our own, in-house automation called Kruze Keeper, which automatically recognizes the text from the bank feed for most transactions, about 75% of the transactions. Kruze Keeper can automatically get those transactions into QuickBooks without an accountant having to touch it. This helps us keep the cost of delivering bookkeeping services down.
How to Price Your Packaged Service…
They will keep your books in order and ensure your business has the financial strength required to operate. For medium to large-size business owners, full-charge bookkeepers can also manage payroll. They keep your financial books in order by tracking the revenue and expenditure This is achieved by performing data entry in accounting software. Once you have decided on a price for you bookkeeping services, it’s important to communicate it effectively.
This method is less dependent on the unique situation of each and every one of your clients and is more dependent on the pricing that you have established beforehand. You’ll need to set a menu of all of your additional services and then attach a price to each one. In a value pricing approach, your accountant’s fees will differ from client to client depending on the situation. The tax preparation fees for Client A may be different than the year-end tax preparation fees for Client B, even if the service is identical. For as long as many can remember, accountant fees have always been based on the billable hour as a pricing strategy. There are many superb cloud accounting software tools available right now.