Are you considering a career in bookkeeping or already on the path to becoming an entry-level bookkeeper? Understanding the financial landscape of your chosen profession is essential. One of the crucial questions that might come to your mind is: “What salary can I expect as an entry-level bookkeeper?” In this article, we’ll delve into the average salaries for entry-level bookkeepers, factors that influence their pay, and how you can potentially increase your earnings in this field.
What Determines a Bookkeeper’s Salary?
The salary of an entry-level bookkeeper can be influenced by several factors, which include:
Education and Certification
While a bookkeeper doesn’t necessarily need a college degree, possessing relevant certifications or an associate’s degree in accounting or a related field may positively impact starting salaries.
Experience
Even at the entry-level, some prior experience, such as an internship or related coursework, can make a difference in starting pay.
Location
Geographic location plays a significant role in determining salary due to variations in the cost of living and demand for bookkeepers in different regions.
Industry
The industry in which a bookkeeper works can also influence salary. For instance, bookkeepers in finance or technology may earn more than those in retail or hospitality.
Company Size
Larger companies often have more resources and may offer higher salaries compared to smaller firms.
National Average Entry Level Bookkeeper Salary
According to data from the Bureau of Labor Statistics and various job sites, the average entry-level bookkeeper salary in the United States hovers around the $30,000 to $40,000 range annually. However, this figure can fluctuate based on the aforementioned factors.
It’s important to note that this is an average, which means that some entry-level bookkeepers may earn less, while others could earn more, especially in high-demand areas or industries.
Variations by State
Salaries for bookkeepers can vary greatly from state to state. For example, entry-level bookkeepers in New York or California typically earn higher salaries due to the higher cost of living. In contrast, those in southern or midwestern states may see lower average salaries.
Junior Accountant Salary Comparison
It’s also helpful to compare the salary of an entry-level bookkeeper with that of a junior accountant, as the roles are similar and often confused. Junior accountants generally have a higher education level, such as a bachelor’s degree in accounting, which leads to higher starting salaries compared to entry-level bookkeepers. The average salary for a junior accountant can start from $40,000 to $50,000 annually, which is a step up from the entry-level bookkeeper’s salary.
How to Increase Your Entry Level Bookkeeper Salary
Gain Experience
Hands-on experience is invaluable. Consider internships or part-time positions in accounting or bookkeeping to build your resume.
Further Your Education
Continuing education, such as earning a bachelor’s degree or additional certifications like Certified Bookkeeper (CB) from the American Institute of Professional Bookkeepers, can increase your earning potential.
The Professional Bookkeeper™ Certification (PB Certification)
The Professional Bookkeeper™ Certification (PB Certification) offered by Universal Accounting School emphasizes expertise in accounting for small to mid-sized businesses. It demonstrates a commitment to providing top-notch service and fulfills the industry’s need for proficient professionals in small business bookkeeping and accounting. Whether you’re specializing or advancing your career, get certified through this program to enriches your skills, and pave the way for success in your professional endeavors.
About The Course
Our outstanding course is meticulously crafted to guarantee our students’ success.
The Professional Bookkeeper Certification Program comprises 20-67 hours of thorough training spread across four modules. Three of these modules are covered during the program, and the fourth one is undertaken after successfully passing your exam. These modules will provide you with the essential principles of bookkeeping and aid you in achieving lucrative business outcomes. Our post-qualification module will assist you in starting your own bookkeeping business.
- Bookkeeping Essentials: Gain a solid foundation in the fundamental principles of bookkeeping, including financial statements, debits and credits, and general ledger management.
- Advanced Bookkeeping Techniques: Delve into more complex bookkeeping tasks such as payroll, inventory management, and tax preparation.
- Small Business Accounting: Focus on the unique accounting needs of small to mid-sized businesses, covering topics like budgeting, cash flow management, and financial analysis.
- Starting Your Own Bookkeeping Business: After passing your exam, this module will guide you through the process of setting up and running a successful bookkeeping business, including marketing strategies, client acquisition, and business management.
Your business is an asset. You should know its value and understand how to maximize it.
Key Benefits
- Industry Recognition: The PB Certification is a respected credential that showcases your expertise in small business bookkeeping and accounting.
- Career Advancement: Whether you are looking to specialize or advance your career, this certification opens doors to new opportunities and higher earning potential.
- Practical Skills: The course is designed to provide you with practical, real-world skills that you can immediately apply in your job or business.
- Comprehensive Support: Throughout the course, you will receive support from experienced instructors and an academic coach who will help you master the material and succeed in your career.
Specialize
Specializing in a high-demand industry or mastering specific accounting software can make you more valuable to employers.
To help you achieve this, the Universal Accounting Center provides a comprehensive video training program designed to turn you into a QuickBooks Online expert and earn certification as a Certified QuickBooks Specialist.
This training program thoroughly prepares you for Intuit’s QuickBooks ProAdvisor Certification. It covers everything from basic to advanced features of QuickBooks, ensuring you gain a deep understanding of the software. Additionally, upon successful completion of the program, you will not only be ready for the ProAdvisor Certification but also receive ongoing support from an assigned academic coach. This coach will help you further enhance your skills and apply them effectively in real-world scenarios.
The Universal Accounting Center’s training program is perfect for those seeking to expand their accounting knowledge and boost their career prospects with a recognized certification in QuickBooks. Whether you’re a small business owner, accountant, or bookkeeper, this program offers the tools and guidance needed to master QuickBooks and achieve certification, ultimately helping you provide better service to your clients and improve your career opportunities.
Negotiate Your Salary
Don’t be afraid to negotiate your starting salary, especially if you bring additional skills or certifications to the table.
Universal Accounting Center’s Job Placement Assistance Program
Universal Accounting Center offers comprehensive job placement assistance to ensure you can jumpstart your desired career right after certification and secure a higher salary.
FOLLOW THIS TURNKEY PROCESS TO GET THE NEW JOB YOU WANT AND DESERVE
Our services include:
- Resume Development: We’ll help you create a compelling resume that highlights your strengths and qualifications, making you an attractive candidate for higher-paying positions.
- Job Search Guidance: Our team will assist you in exploring job opportunities in your area, tailoring your search to match your career goals and aiming for positions with competitive salaries.
- Interview Preparation: When you have interviews scheduled, we’ll work with you to refine your interview skills, boosting your confidence and helping you make a great impression, which can lead to better job offers and higher compensation.
With Universal Accounting Center’s job placement assistance, you’ll be well-equipped to secure a higher-paying job and advance your career swiftly after certification.
Entry Level Bookkeeper Salary Progression
Entry-level bookkeepers can expect their salaries to increase as they gain experience and take on more responsibilities. After several years, bookkeepers can advance to higher positions such as senior bookkeeper, accounting manager, or even controller, with each step up the ladder bringing a significant salary boost.
The Role of a Bookkeeper
Understanding the role of a bookkeeper is also important when considering salary expectations. Bookkeepers are responsible for maintaining financial records, including transactions, updating statements, and ensuring accuracy in reports. They may also handle payroll, invoicing, and preparing financial statements.
Comparing Salaries Across Related Roles
In addition to junior accountants, it’s helpful to compare the entry-level bookkeeper salary to other related roles:
Accounting Clerk
Accounting clerks often have responsibilities similar to bookkeepers but may focus more on specific tasks like accounts payable or receivable. Their pay scale is often comparable to that of entry-level bookkeepers.
Financial Analyst
Financial analysts typically require a higher level of education and provide more in-depth analysis of financial data. Consequently, they command higher starting salaries, often in the range of $50,000 to $60,000 or more.
Payroll Clerk
Payroll clerks specialize in processing payroll and may earn slightly less than entry-level bookkeepers, with average salaries starting around $30,000.
News
An independent accounting firm has been charged with substantial fraud by the SEC. The Colorado-based firm, along with its owner, is accused of running a “sham audit mill” involving deliberate and systemic failures, including fabricating audit documents and falsely claiming compliance with accounting standards. This alleged fraud impacted over 1,500 SEC filings and 500 public companies between January 2021 and June 2022. The firm and its owner have agreed to pay penalties totaling $14 million and face permanent suspensions from appearing before the SEC. Companies previously audited by the firm must now seek new auditors.
Conclusion
The salary for an entry-level bookkeeper can provide a solid foundation for a career in finance and accounting. By understanding the factors that influence bookkeeper pay and the ways to increase your salary over time, you can set realistic expectations and goals for your career trajectory.
Whether you’re just starting out or looking to move up in the financial field, remember that education, experience, and specialization are key to boosting your earning potential. Keep these tips in mind, and you’ll be on your way to a rewarding career as a bookkeeper.
Remember, the figures mentioned are averages and can change over time. Stay informed about industry trends and salary benchmarks to ensure you’re always at the top of your financial game.
