Now it is time to reinvent accounting and get rid of some repetitive manual accounting processes. Many accounting and financial operations tasks can be readily automated resulting in smoother time savings, smoother operation and increased profitability.
Several accounting tasks have already transformed by enabling them to be automated from manual.
Different tools are in use to automate different accounting tasks though all are designed to improve efficiency by reducing repetitive manual work. As manual work is lessened, the accountants can free themselves from manual data entry and bookkeeping and devote their time to providing value-added advice on corporate taxation and tax incentives.
Here are six accounting tasks that you can immediately consider automating for time-saving with some basic understanding of automating accounting processes.
The most time consuming and repetitive task in accounting is undoubtedly data entry and perhaps the scariest amongst accountants during monthly and yearly closing time. Calculating returns and taxes are all about huge amounts of data and take hours and days for accountants to make manual entries and calculations with the associated risk of incorrect data entry inadvertently.
Data analytics software available in the market can save hours wasted on data entry with mostly 100% accuracy. Choose a software that can easily integrate into existing systems and tools including spreadsheets and CSV files enabling you to carry out calculations from multiple sources and secure it at a single location.
The process of sending and receiving invoices can also be easily automated with many benefits derived.
If you go for software designed for cloud accounting for small businesses that integrate invoicing software, you can create and edit invoices easily for emailing. Besides, the software will monitor if invoices have been paid or not and send automatic reminders making the process of invoicing faster, easier and more accurate. As data recognition and data upload are automatic, there is no need for manual data entry.
For tax filing, accountants usually send clients a tax form for filling out tax details. Clients then take a printout of the tax form, fill and scan and then mail the filled-in form in a PDF format involving many embarrassing manual steps. Once the information reaches, the info is manually checked by the accountant for storing in a shared file.
We can easily avoid this manual and time-consuming task by replacing it with web forms and collecting information electronically. Templates from web forms can help you customize client information and allow clients to attach digital files that can be securely stored on an online platform. Easy integration with your emailing system is also possible with a web form software that can keep you posted on client’s tax information submission.
For many companies, much has changed over the last decade and a half about expense reporting for accountants. Previously these reports used to be handwritten or printed-out spreadsheets with receipts attached and submitted manually.
However, it is now possible for employees to automatically fill out and route expense reports without attaching supporting receipts as software is generally integrated with the payment platforms able to capture and store data.
Not only the accounting department but a great deal of administrative work is also taken away from the busy schedule of HRD.
Many accountants still demand tax paying clients to print the form, put signatures, scan and email it back to the accountants causing a huge discomfort and time wastage for the clients as they don’t have ready access to a printer or scanner most of the time.
Making use of eSignature technology in place of physical signatures with a pen and paper can be a much convenient and easy way to obtain customer signatures only needing the software provider to be compliant with the regulatory authority for eSignature.
Payroll can be time-consuming and a real nightmare for accounting professionals. Automated payroll software can take the burden off their shoulders by automatically calculating wages and applicable deductions such as TDS, PF, Gratuity, Bonus etc.
Even individual employees can securely access their payslips online, submit their attendance online and receive salary through electronic payments.
Automating accounting tasks will provide several advantages to the accounting and finance professionals however it also demands a careful selection with some advanced planning and research. Once the platform and software integrations are perfect, it would pave the way for a smooth accounting journey.
It is advised that you speak to somebody who is a qualified professional and has hands-on experience in accounting practice and automation. The best is to outsource accounting and finance services that can help you with necessary training besides an on-site demonstration.