Bookkeeper Job Description

A Bookkeeper keeps the financial records of a business accurate and up to date. They record sales, purchases, receipts and payments, reconcile the bank, keep the sales and purchase ledgers in order, prepare VAT returns and often support payroll. In a small business the Bookkeeper may be the only finance person, working alongside an external accountant who prepares the year-end accounts and tax returns. Either way, everything the business reports about its finances starts with the bookkeeping.

This page gives you a complete Bookkeeper job description you can copy and edit for a job advert, an internal role profile or a brief to an agency. Below it you will find the VAT and payroll basics a Bookkeeper should know, a pay guide, how the role compares with ledger and accounts assistant roles, and when a growing business needs more than bookkeeping. The companion Sales Ledger Clerk and Purchase Ledger Clerk job descriptions follow the same format.

Bookkeeper Job Description Template

Job Title: Bookkeeper | Location: [Insert location and hybrid pattern] | Job Type: [Full-Time / Part-Time, Permanent / Temporary] | Department: Finance | Reports To: [Finance Manager / Business Owner / Managing Director] | Salary: [Insert — see the pay guide below]

Edit the bracketed fields, delete duties that do not apply and add what matters in your business: transaction volumes, number of entities, systems and whether payroll is run in-house or outsourced.

Job Summary

The Bookkeeper is responsible for maintaining accurate financial records and making sure day-to-day financial activities run smoothly. The role involves recording transactions, processing invoices, reconciling bank accounts, preparing VAT returns, supporting payroll and producing basic financial reports. The ideal candidate will have strong attention to detail, confidence with cloud accounting software and the ability to manage several tasks to deadline. The role works closely with [the business owner / Finance Manager] and our external accountants.

Key Responsibilities

• Recording transactions. Maintain accurate, up-to-date records of all financial transactions, including sales, purchases, receipts and payments, with supporting documents attached in the accounting system.
• Invoicing and receivables. Raise sales invoices and credit notes, allocate customer receipts, send statements and chase overdue accounts in line with agreed terms.
• Purchases and payables. Process supplier invoices, check them against orders and approvals, reconcile supplier statements and prepare payment runs for authorisation.
• Bank reconciliations. Reconcile every bank, card and loan account at least monthly (daily or weekly where volumes require), using bank feeds, and investigate unmatched items promptly.
• VAT returns. Prepare quarterly VAT returns from the accounting records and file them through Making Tax Digital compatible software once reviewed, keeping the digital records HMRC requires.
• Payroll support. Collate starters, leavers, hours, overtime and expenses; process payroll or pass information to the payroll provider; check payslips and post the payroll journal; support pension auto-enrolment.
• Expenses and petty cash. Process staff expense claims against policy and maintain and reconcile petty cash.
• General ledger. Post journals for accruals, prepayments and recurring entries as directed, and keep the nominal ledger tidy and correctly coded.
• Reporting. Produce a trial balance, aged debtors and creditors reports and a basic profit and loss and balance sheet for management review.
• Year end and compliance. Prepare records and schedules for the external accountant or auditor, answer their queries, and make sure records comply with legal requirements and company policies.
• Ad hoc tasks. Support the business with ad hoc reports, projects and finance queries as needed.

Key Requirements

• One to two years’ experience in a bookkeeping or accounts role is preferred.
• A bookkeeping qualification such as AAT or ICB is preferred but not essential.
• Proficiency in accounting software such as Xero, QuickBooks or Sage, and in Microsoft Excel.
• A sound grasp of double entry, VAT and basic payroll processes.
• Strong attention to detail and a high level of accuracy.
• Good organisation and time management, with the ability to work independently.
• Clear communication with colleagues, customers, suppliers and the external accountant.
• Integrity and discretion in handling confidential financial and payroll information.

What We Offer

• Salary of [insert] and benefits including [pension, holiday entitlement].
• Study support for professional qualifications such as AAT or ICB.
• Opportunities to grow as the finance function develops.
• Flexible working options (subject to role requirements).
• [Office location, wellbeing programmes and other benefits].

To apply, please submit your CV and a covering letter to [insert application email] or apply through [insert company website]. We welcome applicants from all backgrounds.

What Good Looks Like in a Bookkeeper

The template covers the duties; a strong Bookkeeper shows up in habits. They reconcile the bank little and often rather than in a rush at quarter end, code transactions consistently so the reports mean something, and chase missing receipts before they become a VAT problem. They know when something needs a judgement call and flag it to the accountant rather than guessing. And they understand how their work feeds the month-end close and the year end.

Good Bookkeepers also protect the business against payment fraud. They follow the controls in a sensible financial controls framework: separate preparation and approval of payments, and verify any change of supplier bank details through a known contact, never through the email that requested it.

Software skills

Most small and medium businesses now run cloud software such as Xero, QuickBooks Online or Sage, often with bank feeds, receipt capture apps and an add-on payroll module. List your systems in the advert: a Bookkeeper who already knows your software will be productive in days rather than weeks. Our guide to choosing accounting software covers the main options.

VAT Returns and Making Tax Digital

Under Making Tax Digital for VAT, VAT-registered businesses must keep their VAT records digitally and submit returns to HMRC through compatible software. For most Bookkeepers that means preparing the return in Xero, QuickBooks or Sage, checking it against the ledgers and filing it once reviewed. A good Bookkeeper understands standard, reduced, zero-rated and exempt supplies and the reverse charge, and knows when to ask the external accountant.

Payroll support

Many Bookkeepers run or support payroll. Employers must report pay to HMRC in real time each time employees are paid and meet their pension auto-enrolment duties; GOV.UK’s guide to running payroll sets out the basics. Where payroll is a significant part of the job, the Payroll Clerk job description may be a better starting point.

Bookkeeper Pay Guide

Pay depends on location, experience, the scope of the role and whether it includes payroll and VAT. As a cautious guide, entry-level full-time roles generally start around the mid £20,000s, close to the National Living Wage, while experienced Bookkeepers who run the full books, VAT and payroll typically earn in the high £20,000s to low or mid £30,000s, with London and the South East at the upper end. Part-time and self-employed Bookkeepers are often paid by the hour or on a monthly fee. Check current local adverts before setting a salary, and see our accountancy salary guides for the qualified roles the career leads to.

Bookkeeper, Accounts Assistant and Ledger Clerks

The titles overlap. A Bookkeeper usually owns the whole set of books for a small business, from transactions through to the trial balance. An Accounts Assistant does similar work inside a larger team, under the direction of an accountant. Sales and purchase ledger clerks specialise in one side of the ledger in businesses with higher volumes. Be clear in the job description which model you are recruiting for; a sole-charge Bookkeeper and a ledger specialist are different hires.

Qualifications and Career Path

No formal qualification is required to start, but two routes are common. The AAT qualifications cover bookkeeping and broader accounting and lead on to chartered study. The Institute of Certified Bookkeepers (ICB) offers specialist bookkeeping and payroll qualifications. Self-employed Bookkeepers who offer services to clients must also be supervised for anti-money laundering purposes, either by a professional body such as AAT or ICB or by HMRC. Many employers offer study support; our page on study support packages explains what is typical.

Some Bookkeepers stay specialists or build their own practice; others move on through AAT to ACCA or CIMA and into qualified roles; our guide to accountancy career paths maps the options, and Finance Manager and Financial Controller roles can follow.

For Employers: When to Upgrade to a Financial Controller

A Bookkeeper and an external accountant are often all a small business needs. The signs that it has outgrown that model are familiar: management accounts that arrive late or not at all, a Bookkeeper being asked questions they are not trained to answer, more than one entity, stock or project accounting, bank covenants, or investors who want monthly reporting and forecasts. That is the point at which a business needs judgement and review, not just processing. Our guide on when to upgrade from bookkeeper to Financial Controller covers the signs, the cost and what happens to your existing Bookkeeper.

The step need not be a full-time hire. A fractional Financial Controller working a day or two a week can review the Bookkeeper’s work, produce the management accounts and own the controls. In most cases the Bookkeeper stays and focuses on processing done well; the Financial Controller job description and our guide to building a finance team around a Financial Controller show how the roles fit together.

Frequently Asked Questions

Do you need a qualification to be a Bookkeeper?

No. Experience and software skills are usually enough to start. AAT or ICB qualifications are desirable and help with progression.

Can a Bookkeeper file VAT returns?

Yes. Many Bookkeepers prepare and submit VAT returns through Making Tax Digital compatible software, usually with the business owner or external accountant reviewing the return first.

Does Accountancy Capital recruit Bookkeepers?

No. We focus on qualified finance roles from around £50,000. Browse our job descriptions library for other roles, or call 0204 553 8893 to discuss a qualified hire.