Accounting software does not substitute the accountant
Seems to be self-evident. The theme was established due to the experience at the market of the accounting software and the users’ feedback. Namely, in the introductions of the computer-based accounting softwares one could notice the words like “simple” or “no accounting skills required” etc. From that aspect SimplBooks is not an exception either. But actually the things may not be as easy as they seem. I try to explain my viewpoint as follows.
What do the majority of not all accounting softwares do – they try to automate as many standard situations as possible and everybody is successful at it. But in reality it happens very rarely even in case of small enterprises that an enterprise’s entire activity can be squeeze into the framework of strict standard operations. Every now and then situations and transactions may occur that require creativity or some part of the accounting has to be done manually. It depends on the peculiarity of the transaction or the lack of software options and in how many special occasions it is possible or reasonable to automate.
Accounting knowledge is required in some cases
For example, the first bottleneck occurs already when founding the enterprise upon which the share capital has to be marked on accounts. In such a case the claim to the owners of the enterprise remains pending. If wanted, in case of several owners, a separate sub-account for claims may be made for each owner. There is no information available and to tell you the truth no specific investigation has been carried out to find out whether any software tries to automate that function or not. You enter the size of the share capital and voilà? Would that kind of automation be actually reasonable? Without no doubt. Accounting knowledge is required in some cases when adjusting the account card so that the reports would comply later and to distribute income and expenditure between different accounts and to improve the overview of the enterprise’s finances, etc.
Customer support help
By the above – said I do not want to state without reservations that accounting is so complicated that one cannot manage without a professional accountant at all. In some cases and to some certain point many people are able to become familiar with the accounting, especially when typical entries are mostly automated in the majority of softwares, to able to keep control over the accounting of micro and small enterprises on one’s own during the financial year – preparation of the annual report probably proves to be more challenging. Self-discipline and keeping the personal and the enterprise’s purses strictly apart definitely helps. In addition, most accounting softwares also have a customer support and fortunately the customer supports are able to solve the majority of situations based on supplementary materials prepared prior. It is up to you to decide how helpful/competent the customer support options actually are.
In conclusion – while accounting software is becoming smarter and smarter and routine activities, which were formerly done by the accountant manually, are automated, the moment has not arrived yet, when software can replace a human being. However, the using the accounting software makes accounting significantly simpler and more comprehensible also for a professional bookkeeper.