Bookkeeping fees vary based on both the location and the type of consultation you seek. In most Australian states and cities, you can hire a bookkeeper for anywhere between $30 to $100 per hour. However, if you need a bookkeeper for a complex consultation, you may pay several hundred dollars per hour.
Bookkeeping Costs Across Australia
City | Average Cost per hour |
Sydney | $40 – $60 |
Melbourne | $30 – $100 |
Brisbane | $50 – $85 |
Perth | $50 – $100 |
Oneflare Customer Quotes for Bookkeeping
The varying nature of bookkeeping jobs means that pricing is always different. Below is a range of quotes that Oneflare customers have received.
State | Average Cost |
NSW | $100 – $3,000 |
VIC | $130 – $2,500 |
QLD | $100 – $2,000 |
WA | $130 – $1,000 |
Job Description
A bookkeeper records financial transactions, and the job is considered part of the accounting field. Transactions handled by bookkeepers generally include payroll processing, cash management, invoice processing, purchases, receipts and sales. Bookkeepers also handle payments made by an individual or by an organization.
The role of a bookkeeper varies between big and small businesses. A noticeable difference is the volume of activity. A bookkeeper working for a small business will have fewer paper invoices and fewer electronic documents to process. In terms of accounting, the smaller company with a lower volume means the job requires less expertise to manage the books. In essence, a small business can usually get by without hiring an experienced accountant.
Invoices (Accounts Receivable)
In general, if you have a large number of accounts that you receive money from, then the bookkeeper hourly rate is higher. If you are a small business and need help with managing only a few dozen accounts, then you might be charged per job, or you may be billed for only a few hours of work.
Bills (Accounts Payable)
Accounts payable refers to the reports your business must pay. Like accounts receivable, the number of invoices payable is determined by the size of your business. If you are a small business, you may be able to handle accounts on your own without hiring a bookkeeper. However, if you’re a large business, it’s best to hire an experienced bookkeeper who can devote time each month to account management.
The Number of Employees and How Payroll Is Processed
To process payroll, a bookkeeper must understand income tax laws. The bookkeeper should know various payroll software, such as QuickBooks or Quicken.
The volume of Monthly Transactions
In general, the higher your volume of monthly transactions, the more time a bookkeeper will have to spend managing your accounts. Some bookkeepers charge a flat rate for a certain amount of service hours each month.
Number of Bank and Credit Card Accounts to Reconcile
If you are a business with a large number of sales and purchases, you can expect your bookkeeping tasks to be more complex and time-consuming. In general, you should also expect to pay a higher bookkeeping cost. You’d probably pay up to $100 per hour.
External or Internal Services
An internal bookkeeper is a full-time employee of a business. An external bookkeeper works outside of the business office and is only responsible for specific tasks. In general, hiring an external bookkeeper will save you money. An external bookkeeper is generally the right choice if you only need bookkeeping services a few hours per week.
Tasks You Need Completed
In general, you should expect to pay more for a bookkeeper if you require them to take on significant duties and responsibilities. For instance, if your bookkeeper is handling a large payroll in which employees are paid multiple times each month, expect to pay more for these services. Handling complex tax situations and managing books that require extensive lists of payables and receivables will also cost more. You can hire these types of bookkeepers for about $350 per hour, but in the most complex cases, you may pay more.
Experience/Qualifications of the Bookkeeper
A bookkeeper does not need an accounting degree. However, you should seek someone who has some formal training, such as an earned diploma or certificate in bookkeeping.
Single-entry system
A single-entry system is generally only used for small businesses with a small number of transactions. You can usually hire a single-entry bookkeeper inexpensively, and this is because he or she doesn’t need a vast knowledge of complex accounting principles. Expect to pay on the low end of $30 to $70 dollars per hour.
Double-entry system
For double-entry accounting, you can expect to pay $40 to $75 per hour. The majority of businesses, even smaller ones, use double-entry bookkeeping. In a double-entry system, for each account, there are two columns that each transaction is located in. The bookkeeper creates two entries for each operation–a credit in one and a debit in the other.
Bookkeeping Software
Xero and MYOB are both accounting software programs. Both programs can be used for all basic accounting functions. Xero and MYOB each cost about $20 to $90 per month.
However, many people choose Xero simply because it’s monthly pricing is more straightforward than MYOB’s. In certain exceptional cases, MYOB may cost as much as $130 per month.
Virtual Bookkeeping
Virtual bookkeeping involves outsourcing bookkeeping tasks to people who work remotely. In general, the cost of outsourcing the work is no more or less expensive than hiring an external bookkeeper.
Bookkeeping Rates
Some bookkeeping tasks are more complex than others and require you to pay extra. The following functions include typical prices you should expect to pay.
Bookkeeping Task | Average Cost per hour |
General Accounts Management | $150 |
MYOB | $130 |
Bank Reconciliation | $150 – $200 |
Accounts Payable & Receivable | $300 |
GST & BAS | $350 |
Two main components heavily impact the cost of bookkeeping services: accounting application and data entry. Simple data entry will cost less compared to jobs involving tasks such as balancing account books.
How to Create an Accurate Estimate
Licencing and Qualifications
How to Save Money Hiring a Bookkeeper
* The cost data is based on Oneflare and third-party sources
Consultation
Business owner
Managing bookkeeping and preparing tax return
Quoted by Tax Store Fountain Gate
Accounting portfolio service
Portfolio includes 2x Personal, 5x PtyLtd, 1x Trust and up to 18x Payroll
Bookkeeping for 2019 also required
Quoted by Cliff Davis Accountant
Consultation and ongoing support of accountant
New business
Set up books, lodgement and other tax related tasks
Quoted by Wnr Business Consulting