Accounting Bookkeeping Payroll Are the Lifelines of a Company
Accounting bookkeeping payroll are the most important features in an organization. It is really important that the finances of an organization are taken care of in the most careful manner. All the financial transactions that take place within an organization need to be recorded in some form. Whether the transaction is with the customer, a dealer, or supplier, it needs to be recorded in a manner so that the management can keep a strict eye on the route that the organization’s finances are taking. Another important work that forms a very vital part in an organization is the payrolls of the employees. The salaries, wages as well as the other payments play an important part in an employee’s life. But management of these monetary figures also forms a very important part in any organization’s operations. Payrolls in an organization are the method of managing the salaries, wages, and other benefits that the organization gives to its employees. Even some other things like the pensions, various tax benefits, insurance covers and many other types of benefits that the employees are provided with need to be recorded properly and presented to the concerned person.
Accounting, bookkeeping, payroll are the lifelines of any organization. It is really important that these lifelines are well taken care of. In many cases it has been observed that people confuse bookkeeping with accounting. But that is not at all true. Bookkeeping in general means the recording of all the financial transactions that take place in the organization. It includes purchases, sales, income, and payments by an individual, or an organization. It is usually performed by a bookkeeper. The accounting means creation of the reports from the transactions recorded by the bookkeeper. The accounting is performed by the accountant in an organization. A bookkeeper usually prepares the daybooks that consist of entries like payments, receipts, sales and purchases. He is responsible for the correct recording of the transactions in the correct daybook, customer ledger, general ledger, and suppliers’ ledger. In fact the bookkeeper brings the books to the stage of trial balance. An accountant prepares the balance sheet, and the income statements while using the trial balance and the ledgers prepared by the bookkeeper.
Accounting Bookkeeping payroll should be in the robust of health in order to have a perfect, well oiled functioning of the organizations finances. Any organization that wants to have a good standing in the market and also wants to take strides towards a better and a prosperous future needs to have its accounting bookkeeping payrolls in the best shape.