Your Computerised Accounting System

Quality rating

Please find where you are on our systems lists below.  Please note that the Quality Rating only looks at the Financial aspects of your systems to comply with current legislation including Companies Acts, where applicable. 

You post all your entries in the system, but all to just one or two accounts.  There is no analysis done.  Sorry, but we treat this as the same as a manual system ('No proper accounting records')

None

You post all your entries in the system, analysed to expense and income headings. 

Very poor

You post all your entries in the system, using the sales and purchase ledgers.  Everything is analysed to expense and income headings. 

Poor

You post all your entries in the system, using the sales and purchase ledgers.  Everything is analysed to expense and income headings.  You check and reconcile all bank accounts, and keep the reconciliation for us (at least the one for the year end).

Average

You post all your entries in the system, using the sales and purchase ledgers.  Everything is analysed to expense and income headings.  You check and reconcile all bank accounts, and keep the reconciliation for us (at least the one for the year end).  You check and reconcile the Sales and Purchase ledgers, and produce and keep agreed aged reports.

Above average

This is what we expect from a good bookkeeper.  This is the level we rate you if we were to carry out our bookkeeping service for you.  You post all your entries in the system, using the sales and purchase ledgers.  Everything is analysed to expense and income headings.  You check and reconcile all bank accounts, and keep the reconciliation for us (at least the one for the year end).  You check and reconcile the Sales and Purchase ledgers, and produce and keep agreed aged reports.  You reconcile Petty Cash, and your VAT control accounts.  If you don't have petty cash or VAT, you have to stay as above average - or move to Very Good!

Good

This is starting to produce figures for management purposes.  This is the standard most businesses should aim for as it gives information and accuracy to the Directors.  We will prepare accounts from your records, and make any adjustments found necessary.

As for Good rating -

You post all your entries in the system, using the sales and purchase ledgers.  Everything is analysed to expense and income headings.  You check and reconcile all bank accounts monthly, and keep the reconciliations for us (at least the one for the year end).  You check and reconcile the Sales and Purchase ledgers, and produce and keep agreed aged reports.  You reconcile Petty Cash, and your VAT control accounts. 

You also -

Post gross wages and NI to the profit & loss account, and reconcile the Wages and PAYE/NIC control accounts.  All your Fixed assets are properly recorded.  If you have Loans and HP agreements, they have been correctly accounted for in the ledgers.  Any Inter-company accounts are reconciled.  Provisions are made (e.g. depreciation, bad debts).  Accruals, prepayments are entered.

Very good

Some large companies have an accounting team who produce accounts for the company fully compliant with the Companies Acts.  If you instruct us to carry out an Audit only of the Company's accounts, we must be supplied with a complete set of working papers in support of the financial statements being audited.  Please note that should we recommend any changes to the financial statements, these are not compulsory.  If, however, you do not accept them, then we may make modifications or qualifications to our audit report.  If you do accept the suggestions, you will need to process them within your accounting systems, and update both the financial statements and any relevant working papers.  We will review the amended documents, and report thereon.  Please note that should further changes then be made by you, we will make an additional charge for the additional audit review and, if required, amendment to our Report.

Audit Only

Your Manual Accounting System

Quality rating

Please find where you are on our systems lists below.  Please note that the Quality Rating only looks at the Financial aspects of your systems to comply with current legislation including Companies Acts, where applicable. 

You put all your paperwork in a box or bag for us.  Or perhaps you enter items in a book in just one or two columns.  There is no analysis done. 

No proper accounting system

You enter your bank receipts and payments in a cash book, analysed to expense and income headings, but not added up or checked to the bank.

Very poor

You enter your bank receipts and payments in a cash book, analysed to expense and income headings.  You add up the book - down and cross totals, but don't check it to the bank.

Poor

You enter your bank receipts and payments in a cash book, analysed to expense and income headings.  You add up the book - down and cross totals.  You check and reconcile all bank accounts, and keep the reconciliation for us (at least the one for the year end). 

Average

You keep sales and purchases day books.  Everything is analysed to expense and income headings.  Your cash book has a column for sales receipts and purchase payments (reflecting the invoices in the day books).   You check and reconcile all bank accounts, and keep the reconciliation for us (at least the one for the year end).

Above average

This is what we expect from a good bookkeeper, using a manual system.  You keep sales and purchases day books.  Everything is analysed to expense and income headings.  Your cash book has a column for sales receipts and purchase payments (reflecting the invoices in the day books).   You check and reconcile all bank accounts, and keep the reconciliation for us (at least the one for the year end).  You check and reconcile the Sales and Purchase ledgers, and produce and keep agreed aged lists.  You reconcile Petty Cash, and your VAT control accounts.  If you don't have petty cash or VAT, you have to stay as above average - or move to Very Good!

Good

This is starting to produce figures for management purposes.  This is a very good standard but, you should really be looking at computerising your records by this stage.  However, if you still want to use manual records, then, for this rating:

As for Good rating -

You keep sales and purchases day books.  Everything is analysed to expense and income headings.  Your cash book has a column for sales receipts and purchase payments (reflecting the invoices in the day books).   You check and reconcile all bank accounts monthly, and keep the reconciliation for us (at least the one for the year end).  You check and reconcile the Sales and Purchase ledgers, and produce and keep agreed aged lists.  You reconcile Petty Cash, and your VAT control accounts.  

You also -

Keep reports on spreadsheets, reflecting the transactions in your day books and cash book.  The spreadsheet will show your income and expenditure for the year in detail.  You will enter gross wages and NI to the profit & loss account, and prepare a reconciliation of net Wages and PAYE/NIC liabilities.  All your Fixed assets are properly recorded.  If you have Loans and HP agreements, they have been correctly accounted for in the spreadsheets.  Any Inter-company transactions are reconciled.  Provisions are made (e.g. depreciation, bad debts).  Accruals, prepayments are entered.

Very good

Some large companies have an accounting team who produce accounts for the company fully compliant with the Companies Acts.  If you instruct us to carry out an Audit only of the Company's accounts, we must be supplied with a complete set of working papers in support of the financial statements being audited.  Please note that should we recommend any changes to the financial statements, these are not compulsory.  If, however, you do not accept them, then we may make modifications or qualifications to our audit report.  If you do accept the suggestions, you will need to process them within your accounting systems, and update both the financial statements and any relevant working papers.  We will review the amended documents, and report thereon.  Please note that should further changes then be made by you, we will make an additional charge for the additional audit review and, if required, amendment to our Report.

Audit Only