Its bookkeeping service comes with its Enterprise plan, which costs $399 per month when billed annually. You’ll get a dedicated accountant, year-round tax advice, tax prep, bookkeeping and financial reports. We reviewed multiple accounting software options using a detailed methodology to help you find the 9 best online bookkeeping services for small businesses. Our ratings considered everything from pricing and customer reviews to the number and quality of features available and what our panel of experts thought about the services available.

Bookkeeping services pricing guide: How to nail your pricing

The two most commonly used methods are the traditional model, often based on an hourly rate, and the value-based pricing method. Each has its pros and cons, and understanding them can greatly affect how you run your bookkeeping firm. Both have different rates and services, so doing your research to find the right solution for your business is essential!

Bookkeeper salary and hourly cost by state

In a survey by PracticeWeb, 66% of clients surveyed said they would pay more for a ‘tech-savvy’ accountant. When you’re calculating your rates, especially in a new location, doing local research is crucial. Ask other bookkeepers about services, rates, and gather any other information about working in your area that will help you stay competitive. Generally, small to medium-sized businesses expect to pay between $500-$2,500 USD monthly for their outsourced bookkeeping—an dauntingly large range to deal with.

• There is a fine line between overcharging and undercharging, but the sweet spot does exist and you’ll know when you find it, because your clients will be happy, and so will you.
• Several of those additional services — including job costing, project profitability tracking and inventory management — lend themselves well to businesses that work largely on a project basis.
• There is no magic number to know when you’re ready to take on a bookkeeper for additional support.
• You can also find experts in numerous accounting software that charge more.
• Work with a designated financial expert to help you streamline your accounting, and allow you to prioritize your time where you’re passionate, and most needed.
• KPMG Spark includes features for payroll, tax preparation, invoicing and payments.
• Outsourcing can provide advanced and less costly bookkeeping service than a typical in-house bookkeeper.

Do I need a bookkeeping service?

Xero and other accounting software have their own qualifications which, once earned, show you’re an expert in their product. For example, many people think profitability starts and ends with their hourly rate, but that’s operating under the (usually false) assumption that hourly is the best way to charge for your services. QuickBooks Live combines the industry-leading bookkeeping software with live support from a virtual bookkeeper. All plans include receipt capture, on-demand QuickBooks support and app integration with popular payment processing platforms like Square, PayPal and Shopify.

It means you set a fee for each service you offer and provide clients with a ‘menu’ of sorts, with corresponding prices. But the hourly rate is becoming outdated with the dominance of technology. Tech makes once time-consuming work quick, and in many cases, effortless. This means that regardless of a service’s value to your clients, you’re capping your pricing based on how long it takes to deliver that service.

Making sure your books are in order can help you save on taxes, stress, and give you the insight to improve efficiency and increase your revenue. Whether you outsource your bookkeeping or decide to hire someone in-house, it’s no question that this is an important position to consider when managing your business. Let’s jump into the details and explore your options for bookkeeping as a small to medium sized business. Figuring out the right price or the right way to package your services isn’t easy. But breaking it down and building your pricing model by considering all the relevant factors will give you a reasonable solution to test. Though you must be willing to make changes if it isn’t working for you—even if that means having tough conversations with clients.

• The biggest variables that influence costs are the project’s scope, business size, and the complexity of financial transactions.
• The price given can be billed all at once or done on a monthly recurring basis.
• Businesses in the hospitality or property management industries may need different financial services than business owners of a restaurant franchise.
• They’ve been in business since 2005 and give you options for monthly, weekly, or daily updates.
• Check out this article on the best invoicing software to explore some great options.
• Another model that has gained popularity and relevance is the fixed-fee pricing model.
• At the end of the year, during tax time, you need to send anyone who works for you as a contractor a special form called the 1099.

Get additional reconciliation support for a money market account for $30 each. Get assistance with vendor payments and customer invoicing with a starting rate of $100 per month. Assistance with customer invoicing for small businesses starts at $250 per month.

• In the field of bookkeeping, geography is crucial when it comes to both expenses and the specifics of service delivery.
• At its core, bookkeeping is about recording financial data, while accounting is about interpreting financial data.
• Depending on the service you choose, a bookkeeper can give you guidance or take the lead on your bookkeeping.
• Few accounting software programs are as fully featured as QuickBooks Online, which lets users track expenses, reconcile bank accounts, generate critical financial reports and much more.

Bookkeeping fee structures

FinancePal offers a variety of financial services tailored to your industry and business operations. Work with a designated financial expert to help you streamline your accounting, and allow bookkeeping price packages you to prioritize your time where you’re passionate, and most needed. Custom Accounting is a New York based accounting firm offering bookkeeping services to small business owners.

Online bookkeeping services can save business owners both time and money. However, with hundreds of options, it can be daunting to sort through them all and find the best service for your business. We’ve analyzed the best bookkeeping services to help you find the right solution quickly and easily. Forbes Advisor selected these services based on their service options, pricing, customer service, reputation and more. Some of these will fall into the weekly or monthly category; others will be daily or quarterly. Make a list of what you need them to do and how frequently you need it done.