Outsourcing your bookkeeping can feel like a big leap—but it might be one of the smartest moves you make for your business. Whether you’re drowning in spreadsheets, losing sleep over payroll, or just tired of doing it all yourself, handing off your books to a professional can free up your time and reduce costly errors.
But before you take the plunge, it’s important to know what you can outsource, how to find the right fit, what it really costs, and which mistakes to avoid. Our quick guide has you covered.
What Bookkeeping Tasks Can You Outsource?
You don’t have to give up control of your entire financial life to benefit from outsourcing. In fact, most business owners start small and scale up. Here are common bookkeeping tasks that can be outsourced:
- Recording daily transactions
- Invoicing and managing accounts receivable
- Processing payroll
- Reconciling bank and credit card statements
- Generating monthly financial reports
- Preparing financial records for tax season
The key is flexibility—choose what makes sense for your business and build from there.
How to Find the Right Outsourced Bookkeeper
Not all bookkeeping services are created equal. Some operate more like data entry clerks, while others act as strategic partners. Here’s how to find the right fit:
- Start with your needs. What kind of help do you need—basic transaction recording or full-service support?
- Check their experience. Do they understand your industry? Are they familiar with the software you use (or want to use)? For example, many real estate brokers use specialized software like Lone Wolf, which not all bookkeepers or accountants are familiar with.
- Ask about communication. Will you have a dedicated point of contact? How often will you get updates?
- Review their onboarding process. A solid provider will have a clear and secure system to get started.
- Look for transparency. Pricing, timelines, and deliverables should be clearly defined from day one.
The True Cost (and Value) of Outsourcing
Outsourcing your bookkeeping can offer serious savings—especially when you compare it to hiring a full-time, in-house bookkeeper.
Here’s a quick comparison:
| In-House Bookkeeper | Outsourced Bookkeeping | |
|---|---|---|
| Cost | ~$57,000+/year1 (base salary only) | ~$6000+/year (starting at ~$500/month) |
| Additional Costs | Benefits, payroll taxes, training | Included in vendor’s fee |
| Scalability | Fixed salary | Flexible pricing by volume/services |
| Expertise | One person’s skill set | Access to a full team |
| Management | You manage directly | Vendor-managed |
| Tools & Tech | You purchase and manage software | Usually provided by vendor |
Hiring in-house means committing to a higher annual spend, plus overhead. Outsourcing plans start significantly lower than in-house, with more flexibility and less responsibility on your end.
Mistakes to Avoid
Even the best outsourcing plan can go sideways if you’re not careful. Here’s what to watch out for:
- Avoid choosing based on price alone – You get what you pay for.
- Avoid skipping clarification of expectations – Set clear deliverables and timelines.
- Avoid ignoring software compatibility – Ensure they can work with the tools you already use.
- Avoid neglecting internal controls – Set up approval steps and regular reviews.
- Avoid assuming they’ll offer financial advice – Some bookkeepers just handle the numbers, so be sure to ask what’s included.
Final Thoughts
Outsourcing your bookkeeping can save you hours each week, clean up your finances, and give you room to focus on growth. But it only works if you choose the right partner and stay engaged in the process.
Thinking about making the switch? Reach out to KP BOOKS CO to see if we are a fit!
Source
- The average bookkeeper in Toronto ON is C$57,313, as of April 23, 2025, with a range between C$50,696-C$64,034. Source: https://www.salary.com/research/salary/benchmark/bookkeeper-salary/toronto-on-canada#:~:text=How%20much%20does%20a%20Bookkeeper,experience%20and%20level%20of%20education. ↩︎
