Veechi Curtis
Bookkeeping Essentials For Dummies 2nd Australian Edition
Bookkeeping Essentials For Dummies ®
2nd Australian Edition published by
Wiley Publishing Australia Pty Ltd
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Copyright © 2015 Wiley Publishing Australia Pty Ltd
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National Library of Australia
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Foreword
While reviewing this edition of Bookkeeping Essentials For Dummies, I have once again been impressed with how well Veechi has captured today’s bookkeeping. While some say bookkeeping doesn’t change, what is very obvious (and what Veechi takes care to explain within these pages) is that the next generation of software development, led by cloud technology, is bringing significant change to a bookkeeper’s approach and techniques.
Bookkeeping Essentials For Dummies is a must-read, whether you’re considering doing the books for your own business or whether you’re considering bookkeeping as a career. The combination of step-by-step explanations, background information, tips and warnings will help you gain a rapid and accurate understanding of all requirements. Veechi not only explains the basics of bookkeeping, introducing essential bookkeeping concepts in an accessible and logical way, but she also offers an introduction to more advanced bookkeeping topics, including financial reporting, in case you’re interested in further developing your bookkeeping skills.
I first met Veechi Curtis more than ten years ago at an MYOB accounting software conference. I was the technical presenter and Veechi was there in her capacity as a bestselling author of numerous accounting software and small business titles. Since then — many years, many conferences and many chats later — it has become obvious to me that Veechi has a passion for sharing her knowledge about bookkeeping and small business in a creative and committed way that always sheds new light on the topics.
I helped found the Institute of Certified Bookkeepers (ICB) in Australia in 2006. ICB is the largest bookkeeping institute in the world and aims to promote and maintain the standards of bookkeeping as a profession. All kinds of people, with different backgrounds, experiences and qualifications, are involved in ‘keeping the books’. Although some people seek out bookkeeping as a profession, others end up working as bookkeepers almost by accident — which is fine, but without training, they often lack the skills to do the best job possible.
My vision for ICB is to help bookkeepers find information and resources, and access insurance and quality support. Given ICB’s aim to provide bookkeepers with information of the highest quality, I’m very proud to write this foreword for Veechi’s book.
Good luck — and happy bookkeeping!
Introduction
Bookkeeping has changed enormously since I first started as a bookkeeper in my late teens, writing up accounts by hand in leather-bound journals in my hometown of Edinburgh, Scotland. Accounting software has replaced handwritten books, emails have largely replaced the postal service, and the ability to add up in one’s head is now an anachronistic party trick. However, one thing has stayed the same. A bookkeeper remains a person upon whom most businesses depend.
Bookkeeping Essentials For Dummies aims to be a reference for any bookkeeper. Are you wondering about the difference between an asset and a liability, how GST works or how to calculate an employee’s take-home pay? Then I hope this book can be your go-to guide. I also talk about the major changes that have occurred in the bookkeeping industry in recent years, such as cloud accounting, browser-based software and bank feeds, and how these changes affect the way you do your day-to-day work.
In this book, I talk about bookkeeping for all sizes of business. I cover essential topics such as how to record expenses or raise customer sales, how to balance a bank account, processing an employee’s pay, and applying GST correctly. I also explain the basics of employee payroll, and how to generate financial reports.
Because of the smaller size of this book, I don’t delve into some of the more complex bookkeeping topics, such as calculating depreciation, working with inventory or making general journals, topics which fall into a grey area between the responsibilities of a bookkeeper and those of an accountant. If you want to know more about these topics, you may want to get a hold of my ‘big’ bookkeeping book, Bookkeeping For Dummies, Second Australian & New Zealand Edition.
Because I’m so blindingly sensible, I don’t make any foolish assumptions about you, dear reader. I don’t