Why DIY Bookkeeping Solutions Are Generally A Bad Idea
DIY or do-it-yourself activities are a great test of creativity and an excellent opportunity to save a little money. Doing things yourself can also be therapeutic or fun. However, as the DIY craze catches on, many believe just by watching a couple of YouTube instructional videos, all tasks can be completed swiftly and economically as a DIY, even the sometimes complicated task of filing and maintaining the books of a business.
In reality, if you’re considering bookkeeping solutions on your own, you have a lot to consider before you get started. To give you an idea of how bad things could get, the expert at JT Comptabilité CPA et Consultation has covered the consequences of attempting DIY accounting and bookkeeping on your own and without complete knowledge of the job.
1. Mistakes are easy to make
Bookkeeping and accounting are complex and generally necessitate specialized training and at least some experience to get right. Failing to keep the system current and up to date or inaccurate data entry and calculation mistakes led to accounting and bookkeeping mistakes that could have been easily avoided.
2. Mistakes lead to costly penalties
So many business owners make the mistake of trying DIY accounting to save money and usually end up losing more money this way. Bookkeeping is already burdensome enough without adding liabilities that could arise from missteps in the recording process. Similarly, expenses that result from mistakes in filing your tax returns are way higher than what you would have paid a professional to do the job right the first time.
Do things right - Hire a professional
While you do not necessarily need a license to file tax returns, do your own bookkeeping, and maintain your accounts, unless you have significant knowledge of the processes involved and rules that must be followed, DIY solutions should probably be avoided. Remember, the risks you run include a loss of profits, missed deadlines, inefficient planning, and a plethora of other blunders that professional aptitude and expertise can negate.
The advantages of choosing to go with a CPA rather than DIY tax solutions are their experience and knowledge enable them to recognize problematic areas and file essential information that you could easily overlook. A CPA also understands how to assist and knows the correct procedure to navigate bookkeeping issues successfully.
The cost to employ an experienced CPA’s services usually depends upon the complexity of the job and the competencies of the practice in question. However, if budget is a primary concern when hiring a taxation specialist, it is advisable to shop around for quotes and find professional tax services that you can easily afford.
For reliable Certified Public Accountants in Montreal, Québec, reach out to the experts at JT Comptabilité CPA et Consultation. As a leading accounting firm, we are committed to providing the highest levels of customer service to our clients. Our team of qualified CPA experts is invested in your success, and nothing gives us greater pleasure than seeing your business grow financially. Our services include tax and accounting, business consulting, business immigration, work permits, and consulting in Canadian taxes, accounting, and business immigration.
Get in touch with us today!