The process of recruitment is often long, strenuous, and dreadful. This is especially true for small CPA firms where the leaders and team members are responsible for performing multiple functions on the go. Hiring the right accountant for your CPA firm is a task, the importance of which can not be undermined. The accountant you hire will not only be responsible for handling the finances for your clients but also represent the quality of services you provide. In recent times, firms no longer hire accountants just to get the job done and move on. They are responsible for much more.
In the pursuit of finding a candidate who fits in culturally with the firms, the firms end up conducting several rounds of interviews – sometimes in two digits. Both the hiring managers and the candidates need to know their worth, be aware of exactly what they are looking for, and make a choice early on. It saves time, money, energy, and resources for both parties. Before accounting firms go on the search for hiring the “ideal” candidate, it is imperative to have a clear idea of the roles and responsibilities.
In this article, Finsmart Accounting – trusted for best outsourced accounting services – will share everything about hiring a bookkeeping or accounting talent for your firm. Let’s start by learning about the skills you need to keep in mind while searching!
Hiring a bookkeeper and accountant: skills to look for
1. Attention to detail: Accountants/bookkeepers are responsible for dealing with money, where even the slightest error can prove financially fatal for the client. When looking for the right candidate, it is important to seek someone who is attentive and looks out for the minute details. After all, you do not want a bookkeeper who overlooks discrepancies in the bank statements.
2. Good with numbers: Needless to say an accountant must be good with numbers. Otherwise, their role doesn’t hold value. However, they do not need to be able to solve highly complex mathematical problems to get their jobs done. All they need to know is to use the numbers effectively. This is super important when you are trying to answer ‘how to hire a bookkeeper or accountant’
3. Analytical abilities: A bookkeeper can not be a person of number unless they can analyze data. It is a must-have skill for professionals dealing with a high volume of data and numbers. You want someone beneficial for your business and only a candidate with this quality can spot and analyze trends and help in forecasting.
4. Industry expertise: This is especially applicable if you are hiring a bookkeeper with some experience. Having a candidate who has expertise in the industry you deal in can go a long way in faster delivery of deadlines, less time in training and ensuring client satisfaction.
5. Adaptability to technology: Just like any other field, the accounting industry is transforming and it is no secret that the use of accounting software, project management tools, etc, has become an integral part of the firms’ DNA. The candidate you are looking for must have used or should be willing to learn and use new technology as and when needed.
Read on for more recommendations on how to hire a bookkeeper or accountant!
6. Communication skills: Although in the early days it might be fine, you should be looking for a bookkeeper who can handle issues with the clients or internally. For both of these, you need good communication skills. They should also have the ability to summarize and explain the hundreds of documents in an easy-to-understand language. Otherwise, you are at risk of producing graphs and tables that seem incomprehensible to your clients.
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7. Trustworthiness: In an industry, where people entrust your firm with their finances, it is important to have bookkeepers who have a high sense of integrity. In an interview, this can be assessed based on how “believable” they sound and how they aim to live up to the expectations. This becomes especially important when your firm provides advisory services to clients.
8. Sense of purpose: This is one of the most critical behavioral traits you might be looking for in an individual. As a firm determined to help clients in the best possible manner, a candidate must have clarity of what drives them. The field of accounting demands that candidates stay focused during the long hours and peak seasons. Without a clear sense of purpose, they will likely feel overwhelmed or worse, quit. As an interviewer, it is important to understand their driving force.
Questions to ask when hiring an accountant:
Most often interviews are tricky. It is important to ask the right questions that help assess a candidate in terms of technical skills, soft skills, and cultural fit. Here are some of the top questions that you can ask a candidate:
– How well are you aware of the industry we cater to and our offerings?
– Can you share a case study where you have managed a business like ours?
– How do you stay updated with the recent tax laws and regulations?
– Do you have experience with automation tools? Can you share the details of the ones you have used?
– What accounting service do you specialize in?
– How do you plan to respond to any queries you receive from our end?
– How do you handle ethical dilemmas in accounting? Is there an example you can share?
– How do you maintain accuracy and attention to detail under tight deadlines?
– Have you faced a situation where you had to convey complex financial information to non-financial stakeholders?
– How would you describe your preferred work environment and what type of organizational culture you thrive in?
– What values do you consider important in your workplace?
Above are some critical questions that will give you a keen insight into the mind of the candidates. Indeed helpful in answering the question, ‘how to hire an accountant and bookkeeper’
Cost factors in hiring an accountant/bookkeeper:
1. The paycheck of a bookkeeper: The cost of paying a bookkeeper will depend upon factors like the location from which they are expected to work, the experience required, the range of duties, etc. For this, the accounting firm needs to set out the specific goals they aim to achieve. Are they going to just manage the books or if they should have a strategic eye?
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2. Full-time costs of a bookkeeper: In case you are hiring a full-time bookkeeper, or the situation is where the hourly rate is expected to exceed a flat fee, the accounting firms need to have an open discussion. According to the recent salary estimates on Glassdoor, a bookkeeper’s salary ranges between $25000 to $49000. The final price will depend upon the factors that we mentioned above. If you want to provide full-time employment, you will also have to consider providing them with additional benefits.
3. Part-time costs of a bookkeeper: If you are hiring a bookkeeper for the first time, you might want to do so on an hourly basis. Accounting firms with smaller budgets can benefit greatly from this. The average hourly rate of a bookkeeper is approximately $22. The rate goes higher based on the experience and expertise of the professional. Besides looking for favorable hourly rates, you should also estimate the duration that it will take to complete the work. It will solely depend upon the pipeline of work you have lined up.
4. Software costs in bookkeeping: It is not just the candidate’s expense that you will have to consider, you also need to take into account the cost of the accounting software that the teammates need to use. The cost of the software will depend upon the features you choose. Here are some of the top software:
Quickbooks Online
Hiring a Great Bookkeeper for Your Accounting Firm
A hiring mistake can prove extremely fatal for small accounting firms. An accountant has access to critical information, which, if leaked, can lead to heavy losses in terms of business and reputation. When conducting interviews for an accountant or bookkeeper position, it is essential to eliminate the candidate even in case of the slightest doubts on ethical grounds. Check for experience, behavioral patterns, personality traits, and software expertise. Maintain clear communication and be careful of the quality they claim to provide. Conduct a thorough background check to ensure you do not miss critical information.
Struggling to find and hire the right accountant or bookkeeper? Outsource your accounting tasks to Finsmart Accounting and ease your resource worries. Write to us at connect@finsmartaccounting.com to know more.
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Director Growth Strategy & Alliance
Maanoj Shah is a finance and outsourcing expert with strong Business Strategy and Scaling-up experience. Over the last 20 years, he has incubated multiple businesses and helped build global enterprises in verticals as diversified as hospitality, technology, and healthcare.
