Virtual bookkeepers make $53,269 to $61,700 on average. This translates to an average salary of $24.31 per hour. The rates vary depending on experience and skill. Virtual bookkeepers may also choose to work part-time or full-time.
Cloud-based accounting software and secure file-sharing platforms made it easier for bookkeepers to work remotely. Hiring virtual bookkeepers is more cost-effective for small and medium-sized businesses. Studies show that business owners save up to 50% on bookkeeping costs by hiring virtual bookkeepers instead of in-house staff.
This Reddit commenter in a high cost-of-living area claims to make $120K per year. He bills an outsourced accounting job by the hour for $75 to $150. The actual cost of his services depends on the scope of work.
According to this commenter, $60/hour is a usual rate in his area. Those who work in virtual bookkeeping agencies make around $25 to $30 hourly.
This article tells you everything you need to know about the typical virtual bookkeeper salary. It discusses how much virtual bookkeepers make per hour and monthly. I'll also share the highest paying cities for virtual bookkeepers and salary comparison by location.
Virtual Bookkeeping Salary Per Hour
Virtual bookkeepers earn between $12.98 and $35.58 per hour. Rates depend on experience, skill level, and the complexity of tasks. The average hourly rate for virtual bookkeepers in the United States is around $21.50. Entry-level virtual bookkeepers with less than 1 year of experience earn on the lower end of the scale, often between $13-$18 per hour. Those with 5+ years of experience can command rates of $30 or more per hour. Bookkeepers with QuickBooks ProAdvisor or Certified Public Bookkeeper (CPB) credentials earn 10-20% more than their non-certified counterparts.
Virtual Bookkeeping Salary Per Month
A virtual bookkeeper’s median salary is $3,424 per month. Full-time bookkeepers who work at least 40 hours per week make at least $2,000 monthly. Beginners make $2,079, while experienced bookkeepers make upward of $5K.
How Much Do Virtual Bookkeeping Businesses Make?
Virtual bookkeeping businesses in the U.S. make around $53,269 annually. New bookkeeping firms make $30K in their first year. Those with an established client base earn more. Virtual full-charge bookkeepers earn slightly more than the average. They make around $59,429 per year because they handle comprehensive bookkeeping jobs.
Highest Paying Cities for Virtual Bookkeepers in the United States
Work-From-Home Bookkeeper Salary Comparison By Location
Location | average virtual accountant salary |
|---|---|
Washington, D.C. | $60,000 |
San Francisco, CA | $70,000 |
New York, NY | $68,000 |
Anchorage, AK | $65,000 |
Los Angeles, CA | $63,000 |
Boston, MA | $62,000 |
Seattle, WA | $61,000 |
Chicago, IL | $60,000 |
Miami, FL | $58,000 |
Austin, TX | $57,000 |
San Francisco, CA, and New York, NY, top the list with average salaries of $70,000 and $68,000, respectively. These cities have high living costs. There’s a great demand for skilled bookkeepers in these areas because of the high business population. Anchorage, AK, Los Angeles, CA, and Boston, MA, also offer competitive salaries. The median salary ranges from $62,000 to $65,000. These areas balance a moderate cost of living with strong local economies. Austin, TX, and Miami, FL, are on the lower end of the spectrum, with average salaries of $57,000 and $58,000. Despite these being popular cities, lower demand and cost-of-living influence these figures.
How Much Should I Charge For Bookkeeping Services on Upwork?
You may charge $10 to $25 per hour on Upwork. The actual rate varies depending on experience, geographical location, and specific skills. Bookkeepers that do basic tasks typically charge $10 hourly. Senior bookkeepers who do advanced accounting tasks charge $25+ per hour. Those who offer comprehensive bookkeeping and accounting services can set their rates at $40+ per hour. Bookkeepers who specialize in certain niches may increase their rates.
What Factors Affect the Cost of Bookkeeping Services
Experience and Qualifications: New bookkeepers might earn between $12 and $24 per hour. Those who are more experienced make from $25 to $30. Top-tier bookkeepers with an established name in the industry make even more.
Geographic Location: Bookkeeping rates vary in different locations. The cost of living in a specific area affects it. California and New Jersey have hourly rates that are 28% above the national average. This means virtual bookkeepers who work for businesses in these states might also make more.
Type of Bookkeeping Services: The complexity of the service affects the cost. Simple data entry tasks have lower rates than financial reporting or tax preparation. Standard services are often priced lower than specialized tasks.
Billing Method: Bookkeeping rates also depend on your chosen billing method. Hourly billing is the most common. The total fee is based on the time spent on tasks. Clients may pay retainer fees for a pre-determined set of services. Some bookkeepers charge extra for services beyond the agreed scope.
Certifications and Specializations: Certified Public Accountants and certified bookkeepers may demand higher rates. They have specialized knowledge in specific industries that are valuable to businesses.
Technology and Tools: Bookkeepers who use advanced accounting software may charge more. These tools and software make the job more efficient for the client.
What Services Can Virtual Bookkeepers Offer?
What is a Virtual Bookkeeper?
A virtual bookkeeper is a professional who remotely manages an organization's accounting and financial records. They enter and categorize financial transactions and generate invoices. Bookkeepers process payments and manage payroll. They reconcile discrepancies in financial records and prepare month-end and year-end closing documents. Bookkeepers also prepare tax reports.
How To Become a Virtual Bookkeeper?
Why I Became a Digital Landlord Instead of a Virtual Bookkeeper
I became a digital landlord because this biz is more flexible. Virtual bookkeeping is not much different from a 9-to-5 job. You'll be tied to your responsibilities to the company. Without an accounting background, you'll need to learn bookkeeping from scratch. You're also prone to committing crucial mistakes that can have legal consequences. New bookkeepers have a lower rate compared to experienced professionals. It may not be worth exploring how to become a virtual bookkeeper despite the income potential.
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