Episode 50: What should you look for in a bookkeeper, accountant, or CPA?

Balancing your books is definitely a challenge, and we always recommend consulting with a professional to ensure it's done right! We're breaking down the differences between a bookkeeper, accountant, CPA (Certified Public Accountant), and EA (Enrolled Agent), and giving you our recommendations on traits you should look for when choosing a financial professional for your business.

Episode Highlights

• What is an accountant?
  • Accountants typically hold an accounting degree and have several years in the accounting field. They are not required to be credentialed (like hold a CPA license) but they can be. There are many types of accountants, such as CPAs, EAs, and Specialty Accountants.
    • CPAs (Certified Public Accountant) have passed a 4-part exam and hold a license from the Board of Accountancy.
    • EAs (Enrolled Agent) have passed a 3-part test and have a licensed that is issued by the IRS that specializes them in working with taxes and representation.
• What is a bookkeeper?
  • Bookkeepers can have a certification in bookkeeping, but it isn’t always necessary, and they’re typically very skilled in balancing books and running payroll. Bookkeepers do not handle any taxes or IRS notices or audits.
• What characteristics should you look for in your accounting professional?
  • Familiar with your industry
  • Familiar with your business size
  • Experience
  • Attentive & Responsive
  • Focused on your business needs

Links & Resources
GreenOak Accounting
Therapy For Your Money Podcast