This article is written for the small business owner who has a part or full time bookkeeper and has given some thought to terminating that employee. As a small business owner, tough decisions are made all the time and this one is very important. There comes a time for any small business owner, to make a change, either to replace or eliminate an employee's position. Terminating an employee, especially in this economic environment is emotionally draining, especially for long standing employees. We all know, that its important to always care about our employees, so this type of decision is very important, and often is hard to make. Sometimes your perception of the problem is blocked by your feelings for the employee, which frequently results in no action. This is article is written to help you understand that now, be the correct time to make a decision.
Most small business owners do not have anyone to consult with, so the decision to terminate an employee may be hard to make. Also, other business priorities may be preventing you from giving the requisite time to analyze this problem. Below are 10 reasons to assist you in making that decision, or to reinforce your decision to change your bookkeeper. If you are able identify with a couple of these reasons, or just one, and you are of the opinion that the problem cannot be corrected, then it may be time to terminate your bookkeeper or reduce their working hours.
1. Financial information is received late and always has mistakes.
2. You or someone in your family have the time to do the bookkeeping and are financial and computer savvy.
3. You need to replace the income of your wife, your parents, your in-law(s) or other family members.
4. You want to get more involved in the accounting because you are too dependent on the bookkeeper and your bookkeeping doesn't seem as complex as they make it out to be.
5. You have discussed this problem with your employee, have concluded that it can't be fixed and you have made every effort to be fair and equitable.
6. Your bookkeeper doesn't communicate well with you.
7. Your bookkeeper is always too busy to give you the answer to your questions.
8. Your bookkeeper comes in late and leaves early and doesn't get all the wok done.
9. Net profits are shrinking and you think you have too many people employed.
10. Self Realization - A little birdie or an inner voice tells you that it's time to terminate your bookkeeper or reduce their bookkeeping hours.
Remember,any one of above-mentioned indicators may provide the necessary impetus to internalize the bookkeeping within the family, assuming the replacement person is computer literate and/or is willing to become financially literate. Like any other accounting related decision, ask your CPA or accountant for their input.
Most small business owners do not have anyone to consult with, so the decision to terminate an employee may be hard to make. Also, other business priorities may be preventing you from giving the requisite time to analyze this problem. Below are 10 reasons to assist you in making that decision, or to reinforce your decision to change your bookkeeper. If you are able identify with a couple of these reasons, or just one, and you are of the opinion that the problem cannot be corrected, then it may be time to terminate your bookkeeper or reduce their working hours.
1. Financial information is received late and always has mistakes.
2. You or someone in your family have the time to do the bookkeeping and are financial and computer savvy.
3. You need to replace the income of your wife, your parents, your in-law(s) or other family members.
4. You want to get more involved in the accounting because you are too dependent on the bookkeeper and your bookkeeping doesn't seem as complex as they make it out to be.
5. You have discussed this problem with your employee, have concluded that it can't be fixed and you have made every effort to be fair and equitable.
6. Your bookkeeper doesn't communicate well with you.
7. Your bookkeeper is always too busy to give you the answer to your questions.
8. Your bookkeeper comes in late and leaves early and doesn't get all the wok done.
9. Net profits are shrinking and you think you have too many people employed.
10. Self Realization - A little birdie or an inner voice tells you that it's time to terminate your bookkeeper or reduce their bookkeeping hours.
Remember,any one of above-mentioned indicators may provide the necessary impetus to internalize the bookkeeping within the family, assuming the replacement person is computer literate and/or is willing to become financially literate. Like any other accounting related decision, ask your CPA or accountant for their input.
About the Author:
Learn how QuickBooks Online provides the essential online accounting tools to manage your business and the freedom to access your financial information from work, home, or when traveling. Sandor Lenner, C.P.A. has been providing accounting services for over 35 years. He is also a Certified QuickBooks ProAdvisor and provides QuickBooks online support for a Miami Accounting CPA firm.
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