Types of Accounting and Bookkeeping Services in the Philippines

Published on March 3, 2021 – Posted by: BAIVI Admin

Many companies choose to outsource accounting and bookkeeping services to save time and money. However, you must note that the type of service you require would depend on your business’s progress and needs.

For small companies, you would need help with filing, paying, and submitting tax returns on time.

As your brand grows bigger, you’d need someone to maintain your accounting records. In short, you need a trusted team to manage your finances on your behalf.

Some businesses outsource accounting and bookkeeping services because they don’t have in-house accountants, while others choose to outsource to improve their internal processes further.

Before availing of a particular accounting firm’s service, you must first determine why and when you need their services.

Accounting services charge varying fees, depending on how often you’d work with them. And with a pre-determined plan, you can successfully manage the budget for your accounting operations.

When you need help with accounting and bookkeeping regularly, you’d need to pay them a monthly retainer.

Special engagements focusing on a particular accounting service like Tax Advice will be paid through one-time or per hour payments.

Although in-house accountants can bring you convenience, they tend to cost more than outsourcing your accounting operations. With full-time accountants, you have to take care of their salary, health care, and benefits — and that’d cost your company a lot!

There are various kinds of bookkeeping and accounting services in the Philippines. If you’re planning to outsource these functions, the detailed explanation below can help you identify which service your company needs.

• Bookkeeping. With this service, your company can get a tally of your total earnings and expenses. If you need help finding out your business’s actual financial situation in terms of earnings, this is what you need. The team you hire will help you make practical and wise decisions based on your current financial report. 
• Management accounting. This includes many processes such as revenue projection, cash forecasts, performance metrics reports, profit and loss reports, internal business operations, and management of business assets. To manage all this information, your service provider will use the eagle-eye approach to identify if your business is fulfilling its goals with its current leadership style. 
• Tax accounting. In this service, the team will manage necessary tax payments and tax income returns based on the type of industry you’re in and your area’s laws. By outsourcing this task, you don’t need to worry about forgetting your company’s tax payments. They’d even study tax laws to identify whether you’re making unnecessary tax payments. 
• Accounting audit. This is very important, especially if you want to eliminate corruption, malpractice, and fraud in your company. The accounting team will track these down, no matter how big or small the problem is. Auditing is essential for any type of business as it ensures transparency and law compliance.In an accounting audit, your provider will help you with financial statements and records, as well as with company receipts. 
• Forensic accounting. Outsourcing companies can also provide forensic accounting services. They can help you identify gaps in your financial records to avoid fraud or tax evasion. This is closely connected to law enforcement, which can help you avoid any instance of foul play. 
• Financial analysis. Under this service are tasks like determining impact on accounting policies by reviewing company sales contracts, reviewing rebills and credits, and calculating profitability and product cost.To execute these operations, the team would require access to your financial statements. 

Outsourcing accounting and bookkeeping services can help your company improve internal processes related to compliance with government requirements, taxation, and accounting.