Bookkeeping vs. Accounting for the Private Practitioner
What is the difference between bookkeeping and accounting? Bookkeeping is a function of accounting. It is transactional. It is the recording of your practice’s daily transactions. Daily transactions include producing invoices, paying bills, running payroll and reconciling accounts. These tasks allow you to create different financial statements. Accounting is transforming the daily business transactions into financial statements that are easily understood by the practitioners/clinician.