EA - Bookeeping and Accounting Trends to Watch for in 2019

Bookkeeping and Accounting Trends to Watch for in 2019

Now that we are a few weeks into the new year and the dust has settled after a busy holiday season, it’s time to look forward to the future. As a small business owner, you should be paying attention to bookkeeping and accounting trends that might impact your company.

Are there any changes or adjustments that you need to make this year? As you evaluate the industry trends, these things will help you be sure that you have the best bookkeeping and accounting system to support the needs of your company.

Why Bookkeeping and Accounting Trends Matter

Why does it matter if you are staying up to date in the industry? The truth is that your company will get left behind if you don’t stay current with the latest technology and services. It is important that you are aware of the changes that are happening so that you can stay up with the things that will help your business succeed in the future.

Most business owners know that bookkeeping and accounting are important. But it is unfortunate that these tasks often fall to the back burner because of other priorities that come up in the day to day responsibilities of running a company. If you want to keep your business on the path to success, then you need to be sure that you have a good financial system in place so that you are prepared for the future.

Consider this thought: if you aren’t keeping up with financial tracking and reporting right now, then you will run into problems in the future as your business begins to grow. Failing to have a good accounting or bookkeeping system in place means that your growth and expansion could be stunted because of poor decisions that are made along the way. Each time you consider a significant change in the company, such as hiring an employee or investing in business development, you need to be able to run the reports that show the current situation for your business. This information will help you make accurate decisions that match the needs of your company.

Predicting the Future with a Good Accounting System

Everyone wants to know what the future holds in store. Business owners would love to have a crystal ball that shows the future of the company and product development that needs to be addressed to stay ahead of the competition.

While it’s not possible to see into the future, the right accounting system can help you understand current numbers and projections, giving you a good idea of what you can expect in the future. Implementing the latest accounting services and systems means that you will be ready for whatever may come.

The right accountant will help you manage cash flow and expenses. At the same time, you can look for areas where profit margins could be improved. All of these services add up to the long-term success that you desire. So, the best thing that you can do is ensure that you are staying current with the trends so that you can build a solid foundation on which your company can grow.

Bookkeeping and Accounting Trends in 2019

Here are some of the accounting trends that we anticipate this year. Time will tell if our predictions come true. We are suggesting these potential trends based on the way the industry has changed in recent years:

  • Better Accounting Software: Computer technology is advancing, which means that software continues to improve. Gone are the days of recording hand-written transactions on a leger with a pen or pencil. Additionally, software has moved away from an on-computer installation to cloud-based services. This smarter software gives you the benefit of accessing your accounting information from anywhere in the world, as long as you have a good internet connection. As a result, you can improve your work processes and offer increased value for your clients.
  • Automation: One of the benefits of improved software systems is better automation for ongoing tasks. Keep in mind that it isn’t possible to automate all aspects of your financial management. But some of the busy work can be automated, helping to decrease the amount of time required to manage your accounting and bookkeeping. This automation is beneficial since you can save money instead of spending a lot on a full-time accountant employed by your company. The tools continue to get better with time, making accounting software more intuitive and easier to use.
  • Improved Partnership with Your Accountant: In the past, many business owners talked to their accountant once a year… at tax time. While it is important to utilize the services from a tax preparation expert, don’t overlook the benefit of ongoing communication with someone who can offer advice for your company. Even if you are working with an outsourced accountant, your provider can take a proactive approach to help with payroll processing, tax strategy, cash flow planning, and more. Ongoing services throughout the year will improve the overall benefits that are available for your business.
  • Millennial Workforce: It is interesting to see how the workforce is changing with time, especially as the millennials reach career age. According to INC.com, 25% of the workforce is the millennial generation. As a result, new ways of thinking are being brought to the industry. This generation leverages technology to create results that weren’t available in the past, giving you more of an edge when working with an accounting team that understands the latest trends and changes.
  • More Outsourcing and Gig Work: As the workforce changes, many companies are choosing to hire freelancers for contract work. It can be a burden for a business to bring on a full-time employee. Not only does the person’s salary need to be paid, but other expenses are incurred for office space, benefits, and more. Business owners are turning to freelancers as a way to cut overhead expenses and maximize the skill set that is required. As a result, there are more options for outsourced accounting and bookkeeping services. You can take advantage of the experience of a knowledgeable accountant while minimizing your cost at the same time.
  • Bookkeeping to Accommodate Cryptocurrency: Another thing that is shifting in the industry is the implementation of practices to record and track cryptocurrency. While it seems as though cryptocurrency is still an online fad, don’t overlook the importance of being ready with accounting systems if a large portion of the population starts using these currencies. “Triple entry bookkeeping” is required instead of the standard double-entry bookkeeping since three parties are involved in the transaction: two strangers as well as a third party that issued the cryptocurrency.

There’s no question that the accounting and bookkeeping industry is being shaped each year by the different software advances and the economic changes that are happening. While we can’t predict the future with accuracy, you can look forward to the years to come knowing that you are prepared when you have a good accounting system in place.

Protect Your Company with Accounting and Bookkeeping

Bookkeeping and accounting might seem like a chore, but there’s no question that these tasks are essential to protect your company for the future. If you don’t already have a good system in place, then right now is the best time to get started. Talk to an accounting team about the options that are available to match the needs of your business. Make sure that the accountant is considering all aspects of the industry, including anticipated bookkeeping and accounting trends this year.

If you already have a bookkeeping and accounting system in place, then you need to evaluate the effectiveness of the current system. It is a good time to optimize your processes so that you are ready for the changes that might come.

Choosing an Accounting Service

Is it time for you to hire an outsourced accountant? Here are a few things to consider as you are making this decision for your business needs:

  • Experience: Choose an accounting team that has industry experience related to your company. Previous experience with other similar businesses means that you can rest assured knowing that your financial needs are in good hands.
  • Flexibility: Every company is unique, which is why it is important to choose an accountant that understands your unique preferences and requirements. Your accounting services should be customized to cater to the requirements that match your business flow and industry.
  • Reputation: Also, don’t overlook the importance of hiring an accounting team that you can trust. You are handing over sensitive information about the financial health of your company. As a result, you need to be sure that you are protected by working with a reputable team. Look online to find information about the outsourced accounting team that you are planning to hire.

Are you interested in learning more about the bookkeeping and accounting trends for 2019? We are here to assist! Our team at Easier Accounting is happy to answer your questions and help you evaluate the accounting services that are available. You are welcome to call us at: (888) 620-0770.

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