Is a bookkeeping course worth it, or a waste of your time?

This blog post will give you an insight into bookkeeping courses and will try to answer the question of whether they are worth it and investable. We all want to know where our money is going, right?

So, let’s dig a bit deeper into the pros and cons, the benefits and annoying bits, the things that could make you feel that committing to a course is either totally worth it or, a waste of time.

Learn the meaning and importance of bookkeeping

The truth is – every business in the world needs a bookkeeper. It’s such an important and transferable skill that could allow you to travel the world and provide yourself with job security!

To get things going, let’s talk a bit about what a bookkeeping course is, how it differs from accounting, and why it might be important to someone like yourself.

Bookkeeping can be defined as “the process of recording and organising financial transactions for a business or individual”. It involves keeping track of all incoming and outgoing funds, such as sales, purchases, receipts, and payments. It really is an essential spoke in the wheel of business, and that includes all sizes of businesses.

Bookkeeping vs Accounting

Bookkeeping as a career could be a more flexible option to make a living which allows you to fit work around life whereas, accounting would be suited to someone wanting to focus on a more linear career in finance.

Life as a bookkeeper offers versatility within your job, you could even start off helping local charities or friends with their books and work up to larger companies if you wanted to.

The two ideas are closely related but serve as two different functions within finance.

Accounting entails the analysis of financial data to make informed decisions whereas bookkeeping involves the recording and arranging of financial transactions. Accounting will require the underpinning skills of bookkeeping.

What’s the first step for your career?

Bookkeeping could be the perfect first step for your career!

I am going to assume that you are new to this and would be looking into an introductory course to start with. The great thing about some of the bookkeeping courses on the market today is that you don’t need any prior accounting or bookkeeping qualifications, skills, knowledge, or experience to get started (although good basic numeracy and literacy skills are needed).

A lot of the time, bookkeeping is the first step needed for most career paths in finance, so why not secure the foundations for the road ahead?!

The beginner courses or Level 1/2 would represent the typical starting point for those who wish to work in a bookkeeping role in practice or industry. It’s also an excellent qualification for those who are already working in finance but would like recognition of their skills. If you’re trying to figure out how to break into a finance career, a bookkeeping course can offer a range of fundamental skills that underpin these roles.

Additionally, individuals can greatly benefit from having their bookkeeping skills on-point; all income and expenses need to be recorded, if you manage your books well, financial decisions become much easier, cash flow can be monitored well, plus – you can sleep better at night knowing that all legal and tax requirements are covered.

A few common misunderstandings about Bookkeeping

Bookkeeping can be widely misunderstood as being low paid and boring. How can this be the case when YOU make the rules?

A bookkeeper can treat their job as running their own business. You decide who you take on, who you bookkeep for and who you work alongside. There is so much freedom to be shouted about, from the client flexibility to being able to work from home as well as meeting loads of new people!

Another classic one is the idea that you need an accounting degree to become a bookkeeper – wrong! In fact, most bookkeepers don’t have one of these. There are lots of other, quicker, cheaper and more use-friendly options on the market!

You may have heard that bookkeeping is only for the ‘big players’ in business. This is not advice that we would necessarily get behind, from sole proprietors to large corporations, they all need financial management and someone (maybe like yourself) to take care of it effectively!

Here’s how to make it worth it

If you’re interested in learning more about bookkeeping, I’d like to offer a practical tip or two and maybe a recommendation for somewhere to start.

Here are some points to consider:

Get some hands-on experience – try volunteering at a small business, non-profit organization, or for friends to apply the concepts you’ve learned.
Equip yourself with the right tools – a software that suits you can make things much smoother. Xero, QuickBooks or Sage are probably the most popular “Cloud” based versions for small businesses.
Keep in tune with current tax laws – you will have to have a working knowledge of VAT, however, you should not get involved with dealing with personal or business tax until you have studied enough to fully understand it.
As with any professional services, you should only take on work that you are competent to undertake. You will also need to consider taking out Professional Indemnity insurance if you are charging for your services.
Try networking with other likeminded people – this will help you to stay in the loop with relevant trends and to build connections with potential clients.
Make use of your online social platforms – look for bookkeeping groups to join.
Finally, make sure you’re as attentive and organised as possible – a consistent schedule for tasks and deadlines is something that always boosts results, give it a whirl.

If you are planning to run your own bookkeeping business, you should seriously consider obtaining a recognised bookkeeping qualification and registering with the relevant professional body – see below.

Let’s wrap things up and offer some guidance

Ultimately, no one can really tell you the right or wrong answer in this situation.

The value of an educational course is totally subjective and will serve its purpose in the way it has been designed and in the way it is received. One thing that we can be sure of is that investing in something like a bookkeeping course will always be a positive step if you are trying to progress in the early stages of a career in finance.

Be sure to do your research, know what you need, and give yourself time to make the right decision.

We are here to help!

If you’re looking for a bookkeeping course that’s quicker and a bit more-budget friendly, you will probably be interested in The Balancing Act.

The Balancing Act bookkeeping course is designed to be a fast and cost-effective way to train new accountants – totally worth it! It minimises the impact on your internal resources and ensures efficient training is provided to new recruits during the first week of their employment with you.

If you’re unsure whether The Balancing Act is worth it, head over to our pricing page where you can find a breakdown of who we think it would be suitable for and who it might not be for: Pricing – The Balancing Act (thebalancingactedu.co.uk)

If you need no more information and agree with us that The Balancing Act is the best way to train as a bookkeeper, buy it now here: Buy The Balancing Act (thebalancingactedu.co.uk)

The above advice will get you started on acquiring Bookkeeping skills

If you are looking to provide and charge clients for bookkeeping services, you should look to obtain a recognised bookkeeping qualification.

There are a number of these, and we are happy to advise on this. Probably the most popular and best recognised qualifications will be AAT, ICB and IAB.

Sorry for all the acronyms! These are:

The Association of Accounting Technicians https://www.aat.org.uk/
Institute of Certified Bookkeepers https://www.bookkeepers.org.uk/
Institute of Accountants and Bookkeepers https://www.iab.org.uk/

We generally recommend the AAT Level 2 Certificate in Bookkeeping and the Level 3 Advanced Certificate in Bookkeeping (the latter including coverage of VAT).

On successful completion of the Level 3, you can apply for AATQB status – https://www.aat.org.uk/membership/professional-membership/bookkeeping-membership-aatqb and apply to become a Licensed Bookkeeper with them – https://www.aat.org.uk/membership/professional-membership/bookkeeping-membership-aatqb