If you and your team struggle to keep track of multiple promised delivery dates, it’s time to implement a workflow management tool. Please note that the template is provided for illustrative purposes and should not be construed as legal advice. By clicking Continue to join or sign in, you agree to LinkedIn’s User Agreement, Privacy Policy, and Cookie Policy.
Accounting Contract
Having a clear process in place helps minimize disruptions and allows for a more amicable resolution of any conflicts. The Accountant agrees to hold all Client data and information as proprietary, sensitive, and confidential in nature. As such, the Accountant shall not share such information with any party without express written consent from the Client, unless otherwise required to do so by law. The Client agrees to provide the Accountant with full access to all financial accounts and records.
- The Accountant shall be solely responsible for withholding any applicable taxes from payments made by the Client for services rendered under the terms of this bookkeeping contract.
- A Bookkeeping Services Agreement is a formal contract that outlines the terms and conditions governing the relationship between a bookkeeping service provider and a client.
- An independent contractor might seem like just another employee, but they are a completely different entity from the company for which they perform the work.
- To keep the relationship strong, you and your client must be on the same page regarding your responsibilities.
- Integrate clauses on confidentiality and data security to safeguard sensitive financial information.
Grab a copy of our Bookkeeping Contract Template
- If you’re considering hiring a freelance bookkeeper, it’s important to establish a clear agreement on services and fees.
- An independent contractor agreement for accountant and bookkeeper is an important document to determine, for tax purposes, that the worker is not an employee of the company.
- For example, a freelance consultant may opt for an hourly rate agreement if they require occasional assistance with tracking expenses and invoicing.
- Identify the state or jurisdiction whose laws will govern the interpretation and enforcement of the contract.
- A formal contract aims to hold all parties accountable to maintain accurate and up to date financial records.
- In-house bookkeepers can charge anywhere from $18-23 per hour, with variations depending on experience.
However, in general, you want the bank statement and your books to be accurate. You will want to open a bank account specifically for your business; this will help you separate your financials from your company. In the event of an audit, it is helpful to have everything separate because it’s easier to prove that the pack of pencils you bought was for your business and not for accountant for independent contractor your child’s third-grade class. If you did more than $600 of work for a particular client, they’re required to file Form 1099-MISC and send you a copy of it. 1099-MISC is an “information filing form” used to report non-salary income to the IRS. You don’t need to do anything to your copy of 1099-MISC, but if you don’t receive one, you should follow up with your customer.
Be specific with your offerings
For example, a business undergoing a merger may hire a bookkeeper for a project-based agreement to consolidate financial records and ensure compliance with accounting standards during the transition. This type of agreement provides a clear structure for both parties and is suitable for https://www.bookstime.com/ discrete, well-defined tasks. The Fixed Fee Agreement involves charging the client a predetermined amount for a specific set of bookkeeping services. This type of agreement is ideal for clients who prefer predictability in their financial commitments and want to budget accordingly.
- Sections listing services provided, fee schedule, deliverables, and more.
- If the service rendered is to be completed by a certain time, as opposed to an indefinite time period, a finding of an independent contractor status is more likely.
- A bookkeeping contract is a formal agreement between bookkeepers and clients laying out the terms and conditions of the nature of the work to be completed.
- The agreement also serves as a reference point for both of you for any questions or concerns that may arise during the engagement.
- If this sounds intimidating, don’t worry; by following the tips in this guide, you can avoid an audit (or be ready for one).
Challenges in Creating and Implementing Bookkeeping Services Agreements
Bookkeeper’s liability to Client for any claim arising out of or relating to this Agreement will be limited to the amount of fees paid by Client to Bookkeeper under this Agreement in the preceding [Time period, e.g., month, year]. If you feel there’s any need for change, update the agreement and sign the revised version with your client. First impressions matter, and a professional-looking contract makes a positive statement.
Fees and Payment Terms
The Client and the Bookkeeper (“Parties”) agree to the following terms and conditions for the Bookkeeper’s services. The Bookkeeper will remain an independent contractor and will not be considered an employee of the Client. However, in some cases, it may be more beneficial to create an LLC, S corp, etc.
The terms in your document will update based on the information you provide
