Professional bookkeeper: America’s #1 Bookkeeper Certifications

Professional bookkeeper

Most people think the bookkeeping industry neither has, nor offers, any form of professional standards. Since most small businesses are not aware of professional bookkeeping standards or certification they don’t seek out a bookkeeper who is certified. Since that time, he has trained tens of thousands of accountants, bookkeepers, and tax preparers in practice and client management techniques and strategies.

The first is the American Institute of Professional Bookkeepers (AIPB), and the second is the National Association of Public Bookkeepers (NACPB). Both offer similar benefits regarding membership, resources and renewable credentials. While other bookkeeping credentials do exist, those offered by AIPB and NACPB are the most renowned and respected.

In this program, accountants learn about portfolio management, ethical financial practices, investment analysis and global markets. To complete the program, accountants must have four years of relevant work experience. CPB licensure lasts one year, after which you must demonstrate that you completed all necessary continuing education credits and pay an annual membership fee. CPB credentials require 24 hours of continuing education per year of licensure. A bookkeeping certification not only adds value to your skill set but also helps you stay on top of the latest trends and technological advances in the industry.

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Intuit has partnered with ICBUSA in terms of the ProAdvisor program. The partnership is part of ICB’s aim to raise the standards of bookkeeping across America, thereby providing small businesses with the most trusted advisors. To earn the certified public bookkeeper license, bookkeepers must have 2,000 hours of work experience, pass an exam, and sign a code of conduct. They must take 24 hours of continuing education each year to maintain their license.

  • As your business grows to include more customers, vendors, and employees, keeping track of your finances on your own becomes more challenging.
  • In terms of hiring potential, there is little difference between the two designations.
  • When interviewing for a CPA, look for an accountant who understands tax law and accounting software and has good communication skills.
  • To register for AIPB’s CB exam, candidates must fill out and mail an application, allowing four weeks for processing.
  • We get asked this question, and my best response would be to say this.ICB started 20 years ago.

Adam works with students regarding questions about curriculum and real-world accounting situations. Adam is a graduate of Universal Accounting’s PB program himself, and also holds a bachelor’s degree in accounting from the University of Wisconsin-Milwaukee. In addition, Adam also uses his skills as a profit and growth expert to run his own accounting practice. He is also QuickBooks Certified and is working towards his Enrolled Agent (EA) designation. When your small business’s bookkeeping and accounting tasks are too much to handle by yourself, it’s time to hire help. The terms are sometimes used interchangeably, and there can be some overlap in what they do, but there are distinct differences.

In terms of hiring potential, there is little difference between the two designations. Both are nationally recognized and well-regarded by accounting professionals. When you do, find an organization that wants to support you and grow your community. Choosing to be a professional in a community before the technology storm hits will help to increase the likelihood you will continue to grow your professional practice. While you still can gain ground among the early adopters, you must decide to differentiate yourself as a bookkeeper with professional certification. The essence of a true professional is not only defined by the above criteria, but by being able to hold herself to a set of standards.

Both the AIPB and the NACPB support the bookkeeping profession, offer membership benefits, and provide professional development opportunities. Both CPB and CB credentials are widely recognized and respected in the U.S. Are you detail-oriented and have excellent organizational skills?

How To Become A Certified Bookkeeper: Certification And Requirements

There is a difference between an accountant and a certified public accountant (CPA). Although both can prepare your tax returns, a CPA is more knowledgeable about tax codes and can represent you if you get audited by the IRS. Bookkeepers record financial transactions, post debits and credits, create invoices, manage payroll, and maintain and balance the books. Bookkeeping, in the traditional sense, has been around as long as there has been commerce – since around 2600 B.C.

Each question on the exam counts equally toward the final score for that section. NACPB and AIPB passing scores range from 70%-75%, depending on the exam and section being taken. Bookkeepers can take exam sections in any order, though AIPB recommends sitting for part one of the CB exam before scheduling part two.

Professionals must complete 24 hours of approved continuing professional education each year. Follow these five best practice tips to improve your bookkeeper certification exam performance. Bookkeepers can retake CPB and CB certification exam sections as needed.

The first two parts of AIPB’s four-part test cost $100 each. The final two parts of the exam are free and included in the workbooks. Another difference to note between the CBP and CB credentials is cost. You must pay for each part of the required exam, along with any preparation courses you may take. As noted above, NACPB and AIPB both require annual fees as well to keep members’ credentials current.

Whether you hire an accountant, a bookkeeper, or both, ensure they’re qualified by asking for client references, checking for certifications, or performing screening tests. A CPA is an accountant who has met their state’s requirements and passed the Uniform CPA Exam. They must also meet ongoing education requirements to maintain their accreditation. Bookkeepers aren’t required to be licensed or have certifications, but accreditation and licensing are available from the AIPB and NACPB. Staying on top of your finances is a key part of being a successful small business owner. Your financial data must be current and accurate so you have the tools you need to make sound business decisions and implement healthy cash flow strategies.

Hasn’t Technology Replaced Bookkeepers?

Bookkeepers rarely are thought of as professionals within the accounting industry. But per Google’s definition, even an office worker is an example of a professional. Certification candidates can retake exams as many times as needed. Professionals retaking the CB exam must complete a 30-day waiting period. Certified bookkeeper exams are appropriately rigorous and thorough. The exams use multiple-choice questions to test knowledge of key topics, including adjustments and error correction, payroll, inventory, and fraud prevention.

Professional bookkeeper

Unfortunately, bookkeepers have not been held to any of these standards related to  a “professional” stature. The following table provides insights into the criteria by which a professional is measured, and the areas where bookkeepers must transition to become representative professionals. Professionals looking to brush up on bookkeeping fundamentals can enroll in this introductory course from edX. Free, self-paced, and designed for part-time completion in six weeks, edX’s course covers topics including banking processes, payroll, ledger accounts, and reconciliations.

After you’ve decided to pursue one of these professional designations, you must complete the following steps. The first step to becoming a CB or CPB is making the decision to do so. Earning your credential is going to take time, effort and patience, but the career advantages you’ll gain are well worth the effort. To maintain the CB credential, you must fulfill 60 continuing education credits every three years.

In either case, consider handling the accounting yourself or delegating this responsibility to one or a few of your current employees. Accountants generally must have a degree in accounting or finance to earn the title. They may then pursue additional certifications, like the CPA. CPAs have passed the Uniform CPA Exam – a challenging exam that tests knowledge of tax laws and standard accounting practices.

Bookkeepers can also obtain additional certification showing their mastery of Intuit QuickBooks, the most popular accounting software for small businesses. Consider taking the QuickBooks certified user exam or pursuing the Intuit certified bookkeeping professional credential. Exams are available at Certiport authorized testing centers across the U.S. Our Professional Bookkeeping certificate gives you the essential skills you need in today’s business environment. By completing this certificate, you’ll be ready to pursue a position as a professional bookkeeper. Coursework focuses on essential general business and accounting skills needed in today’s bookkeeping environment and places you on the fast-track to a rewarding career.

However, employers in other countries may not recognize AIPB or NACPB credentials. Bookkeepers working internationally should research other globally recognized credentialing options. Start and Grow an accounting practice following a proven program tested and perfected since 1979. This course is designed for experienced bookkeepers with at least two years of work experience in bookkeeping or accounting. Other programs charge annual or monthly fees and offer advanced features such as recurring invoices or purchase orders.

To qualify for the CPB license, you need to accumulate 2,000 hours or one year of experience in the field. Let us know what type of degree you’re looking into, and we’ll find a list of the best programs to get you there. Featured or trusted partner programs and all school search, finder, or match results are for schools that compensate us. This compensation does not influence our school rankings, resource guides, or other editorially-independent information published on this site. You can also look at the American Institute of Certified Public Accountants to find CPAs with skills in certain areas, such as employee benefits or personal finance.

Bookkeeping forms the backbone of every organization’s need to carefully account for its financial activities. It accounts for sales, purchases, and payments that flow through an entity. Bookkeepers are crucial to every organization and certified bookkeepers are the elite of their profession.