Streamline Your Accounting with Shopify Invoicing for Accounting

Shopify invoicing for Accounting

hi i'm veronica wasseck and i help shopify sellers to organize set up and streamline their financial systems whether you're looking for diy done with you or done for you financials in this video i'll explain what a shopify bookkeeper does [Music] one of the services that my team and i provide to shopify sellers is monthly bookkeeping and several of you have asked me what we do and how we do it i put this video together for you to explain what a shopify bookkeeper does and how they work with you virtually and it's important for you to understand that the bookkeeping profession has come a long way and we're no longer doing data entry and using calculators and doing nerdy things or very modern accountants and bookkeepers really focused on helping you grow your business and having visibility into your financials so let's take a look and see what does a shopify bookkeeper do so let's talk about what does a shopify bookkeeper do when it comes to e-commerce accounting the shopify bookkeeper is really part of your financial team the shopify bookkeeper is really focused on maintaining the books maintaining the financials but there are other areas that will need to be an important part of your financial team like sales taxes maybe some legal areas operations and income taxes the goal when it comes to working with a shopify bookkeeper is to free you up so you can focus on doing what you do best which is increasing your sales should also be to give you visibility into profits to tell the story of your business tell a clear story of how your business is doing financially to you to investors to lenders to your tax preparer and others and the goal is also to be proactive to use best practices and to really bring proven financial systems integrations and accounting methods to the table so that you can do things correctly and make sure that things are being taken care of proactively a good shopify bookkeeper understands the complexities of e-commerce when it comes to e-commerce accounting and bookkeeping there are a lot of moving pieces a lot of pieces of the puzzle that need to be brought together for example there are timing differences to deal with integrations knowing which are the right integrations to bring into quickbooks managing inventory dealing with sales taxes working with payment processor payments and fees and dealing with paypal a good shopify bookkeeper should also be able to work virtually with you at my company vmwasic we use quickbooks online some other people may use xero those are the the two main accounting software programs that you'll come across but for example as i said we use quickbooks online and we use certain app integrations to bring in the data that we need into quickbooks the shopify bookkeeper should handle your book securely using the latest cloud-based technologies they should use zoom for client meetings coaching and consulting sessions that's what we do again at my company vmwasec they should collaborate using a secure document portal they really shouldn't be emailing you documents back and forth or asking you to email documents and you share accountants access with your bookkeeper that means that you're working on your quickbooks and you're sharing that quickbooks with your bookkeeper you own the data your bookkeeper doesn't a good shopify bookkeeper should also understand the financial data flow between all of all of the moving pieces as i was talking about and the and how that data flows into quickbooks online for example from shopify we're going to bring in transactions into quickbooks online using a2x because we can bring in summarized transactions for banking transactions we're going to connect quickbooks online to the business bank and credit card accounts and for inventory then we may look at using shopify inventory or other inventory apps and again it's all about putting together that puzzle and understanding how all of the pieces fit together in order to get the financial data into quickbooks what does the shopify bookkeeper do to actually do your books let's talk about that a lot of people think that bookkeepers are just doing data entry which is really old school and old-fashioned and as a modern accountant and bookkeeper that really could be the furthest from the truth because there's so much more that we're doing nowadays so let's talk about what a shopify bookkeeper does first they record all components of income so all of your gross sales refunds returns deductions fees you'll be able to see all of that on your profit and loss report next they update your inventory and cost of goods sold so again another layer of complexity that goes into doing the box and then actually giving you clarity into your profits third they categorize and record all of your business expenses fourth reconcile the your business bank and credit card statement so this is a key step in doing the books it's actually ensuring that all of the transactions that are recorded on the books are actually then reconciled with the transactions that are reflected on the business bank and credit card statements and five they reconcile income to sales channels and amounts received to payment processor payouts and this is key in doing e-commerce accounting is making sure that we're picking up all of the income from all of the different sales channels even though we are using a bookkeeper may be using an app to bring in the income from sales channels into quickbooks that income still needs to be reconciled because sometimes the apps have problems and another key step is then reconciling all of the amounts received so everything that's received that we see as deposited in the bank statements from the various payment processors have to be reconciled to what was processed by all of the different payment processor payouts when i talk to e-commerce sellers i'm asked this question a lot do i need to give my bookkeeper my receipts and in fact i know why that would be a concern because if you have to sit there and give your bookkeeper all of your receipts i mean that's very time consuming and the goal is to free you up as the business owner here in the u.s you don't need to send your bookkeeper any documents or receipts that bookkeeper perhaps may request them but technically you don't have to send them at least we don't request them at my company via wasek we don't request those from our clients but the next question is probably then how will my bookkeeper know how to categorize my transactions if i don't send my receipts well one of the things that we do when we onboard a new client at my firm is that we will sit down with them and go over all the different types of expenses they will have and the vendors that they expect to use and then based on that then we will categorize transactions over time we notice that probably 80 of business transactions are repetitive from month to month because generally speaking you're probably buying from the same suppliers and vendors on a regular basis but for that 20 of transactions for which we don't know what they are once a month we send our clients a list of questions when we need more information about those transactions and then our clients respond to us and then we categorize everything ingly and if we have any additional questions then we will get back to them and get more information and finally you may still be wondering if you should be doing your own bookkeeping perhaps you want to understand the transactions and want to do your books on your own my answer to you is if you're going to drive a race car and be a race car driver then your focus should be on going fast and winning races and that race car driver lets the experts work on the engine so they have a whole team backing them up working on the engine taking care of things in the background so that's the role of the shopify bookkeeper at least at vmwassec my company and how we work with clients we are experts working on the engine and letting you go fast and win races i'm veronica wasser with five minute bookkeeping are you ready to work with an experienced and reliable shopify accounting pro then check the description below to learn more about my services and how we might work together if this content is helping you then subscribe to my channel ring the bell and give me a thumbs up and check the description below for all of my resources including my free shopify bookkeeping blueprint and the link to join my facebook community and let me know in the comments if there are any other topics you'd like me to cover in the future i'm here to help you i'll see you next time you