B&J Bookkeeping helps all sorts of professionals and businesses with their bookkeeping. One of the many businesses we work with are real estate agents, realtors, and real estate agencies of all sizes. Like most businesses, it is essential for you to know your finances to the dollar in order to make sound financial decisions. Below we will tell you everything you need to know about bookkeeping for realtors.
1. Why Do Realtors Need Bookkeeping?
Real estate agents need bookkeeping just as any other professional does. The job is difficult and comes with lots of expenses, credits, and deductions. Many funds come from banks, buyers, sellers, leasing companies, mortgage companies, and many more. Many funds go to workers, contractors, clients, tax agencies, insurance, rent, web fees, signage, advertising, and tons of office supplies. Most realtors spend 60 hours per week on the job. They do not have the time or experience to do the books correctly.
Incorrect bookkeeping can lead to profit loss, theft from others, and can irritate the Internal Revenue Service.
2. How Bookkeeping for Realtors Works
Your bookkeeper should be an expert in logging all of your expenses and income from the standard commission to which mileage you can deduct. A bookkeeper can help you distinguish between a personal expense or business expense. For example, most realtors grab a quick coffee or meal on the go between showings, meetings, and the like. Your bookkeeper can tell you when and when not to deduct these. However, one of the most important tasks your bookkeeper can do is make sure your payroll is correct to the penny, as well as that all of your expenses are approved. But the reason you need a bookkeeper the most is to keep federal, state, and local taxing agencies from coming down on you. They will not understand that you didn’t know you were being stolen from or forgot to carry the one.
3. Should I Get a Bookkeeper for My Real Estate Business?
The short answer is yes. It doesn’t matter whether you are on your own buying and selling properties or are part of a business. A competent bookkeeper is worth the cost in the time they can save you alone. Larger real estate agencies may have their own bookkeepers and accountants that you may use. All others should not hesitate to research, interview, and select a bookkeeper who can work for them.
Bookkeeping for Realtors in Houston
Finally, those who live in Texas should feel free to contact us to learn more on how we can help your real estate business stay on top of its books. We proudly serve realtors of all types from residential to commercial to industrial who need payroll, reconciliation, and bookkeeping services.
