What qualifications are needed in Bookkeeping?

If you’re considering a career in bookkeeping, you will need to first undertake some qualifications, to gain the knowledge and skills to function well within the role.

Two of the main bookkeeping qualification Awarding Bodies are The Association of Accounting Technicians AAT and The Institute of Certified Bookkeepers (ICB).

In this article, we explore what bookkeeping is, and show you which training courses are best for your carer in bookkeeping.

What is bookkeeping?

Bookkeeping refers to the process of recording financial transactions. It is part of the business accounting process and involves preparing source documents for all operations, transactions, operations, and events of a business.

How to do bookkeeping?

Bookkeeping is based on a couple of simple principles. First, every debit must have an equal credit, and all accounts must balance.

The Process of bookkeeping has four main steps:

First, analysing financial transactions and assigning them to specific accounts.
Second, write entries that credit and debit their appropriate accounts
Third, post entries to ledger accounts.
Four, adjust entries at the end of the accounting period.

Why do I need bookkeeping?

Bookkeeping is a great way to budget for a business, prepare tax returns, and keep the business generally more organised. For this reason, Bookkeepers are required to carry out these tasks, making them an essential part of an Accounting team.

Bookkeepers help businesses in the following ways:

Help to budget accurately – Someone to keep an eye on income and expenses, costs etc.
Prepared records to ease the tax process – Financial information is organised and ready to use during the tax filing process at the end of the financial year.
Maintain and organise financial records – Finances are much more organised and up to date.
Facilitates the growth of the business – Having accurate financial records can help a business track growth goals and work towards future goals.

What qualifications are needed in Bookkeeping?

Fancy a career in bookkeeping? Your first step is to take some bookkeeping qualifications and learn the skills needed to work in a bookkeeping role.

Below, we have outlined a few excellent bookkeeping training courses to consider:

AAT Bookkeeping Qualifications

AAT Access Award in Bookkeeping (Level 1) – Aimed at those new to the industry and looking for a way into bookkeeping. Study topics include benefits and risks of accounting software, setting up accounts, recording bank and cash transactions, and producing reports using accounting software.

AAT Foundation Certificate in Bookkeeping (Level 2) – Aimed at those who need to gain the skills and knowledge to manage books effectively. Study topics include double entry bookkeeping, associated documents and processes, up to trial balances.

AAT Advanced Certificate in Bookkeeping (Level 3) – Aimed at experienced Bookkeepers looking for progression. Study topics include double-entry bookkeeping, financial statements, intermediate spreadsheets, and software use.

AAT Level 2 Foundation Certificate & Level 3 Advanced Certificate in Bookkeeping – The ideal package for those serious about a career in bookkeeping and looking to achieve it with AAT qualifications.

ICB Bookkeeping Qualifications

ICB Affiliate Certificate in Bookkeeping (Level 2) – Aimed at those new to the industry and looking to start their professional bookkeeping journey. Study topics include double-entry bookkeeping, business documents, ledger accounts, books of prime entry, and accounting for VAT.

ICB Associate Certificate in Bookkeeping & Accounts (Level 3) – Aimed at those who have already completed Level 2 and looking to further their study and improve their career prospects. Study topics include preparation of ledger balances, control accounts, reconciliations, and more fundamental principles in the accounting process.

ICB Affiliate & Associate Certificate in Bookkeeping & Accounts (Level 2 & 3) - The ideal package for those serious about a career in bookkeeping and looking to achieve it with ICB qualifications.

Is a bookkeeping certificate worth it?

Absolutely! Some businesses will not let you work in this sector without first having earned qualifications from an industry recognised awarding body, like AAT and ICB.

More importantly, you want to protect yourself and the business you represent by having the skills set to perform the job functions required of you at this level.

Ready to get started? Our Bookkeeping Course Consultants are available to discuss your career goals on +44 (0)20 3198 7700. Alternatively, fill out our contact form, and we will be in touch shortly.