Wednesday, June 10, 2009

Bookkeeping - A Bit of a Rant

Part of being a limited liability corporation, is keeping records, particularly financial records, which means bookkeeping. My attorney recommended that I hire a bookkeeper to keep the books for the business. I'm thinking it's a small simple business. It's not that complicated. I'm an engineer, I used to be able to perform complex equations giving the position and velocity of a satellite in space. I'm *only* adding and subtracting numbers. I *should* be able to figure it out. I don't need to hire a bookkeeper. So, I bought "Bookkeeping for Dummies" (I love the For Dummies books. They're written in simple, easy to understand English.)

My brain is about to explode trying to understand the convoluted logic that is used in double-entry bookkeeping. Sometimes a credit increases, sometimes it decreases. Sometimes a debit increases, sometimes it decreases. In order to keep it straight and not get confused the book advises copying a specific chart and taping it up on the desk where it can be easily seen. And don't get me started on the chart of accounts and the ledger of ledgers.

NOBODY since this system was invented in the Renaissance has figured out a way to make it less confusing.

I wonder how much freelance bookkeepers charge ...

1 comment:

  1. Eep, I don't envy you, Diana. ;-)

    I wish you luck in figuring it all out!