The Difference Between a Bookkeeper and an Accountant

Many business owners are unsure whether they need a bookkeeper, an accountant, or both. Understanding the difference can help you make the right choice for your stage of business.

A bookkeeper:

• Records day-to-day financial transactions

• Manages invoicing, receipts, and payments

• Prepares reports such as cashflow summaries and GST returns

• Keeps your financial records up to date and tidy

An accountant:

• Uses the data from your bookkeeping to advise on business performance

• Prepares financial statements and files tax returns

• Helps with forecasting, budgeting, and tax planning

• Provides strategic advice for growth

In short, bookkeepers handle the daily numbers, while accountants analyse them to support big-picture decisions. Most successful businesses use both — the bookkeeper to stay on track, and the accountant to move forward.