What is Accounting Software?

Accounting software is an integral part of an organisation's financial management process. It provides a complete system for recording and tracking daily financial transactions, from asset management to expense reporting and revenue tracking. These transactions, recorded in real-time and updated to the general ledger, give CFOs, treasurers, controllers, and other P&L owners immediate access to accurate financial information.

Organisations that want greater control over their finances turn to ERP solutions that integrate accounting software with other essential business functions such as FP&A (Financial Planning & Analysis), procurement, inventory management, and supply chain operations. With this centralised system, companies can get a more comprehensive view of their performance through integrated data analysis capabilities that generate better insights into organisational results. These insights help companies make sound decisions that maximise productivity and profitability while minimising waste or inefficiency. Accounting software provides much-needed insight into an organisation's operations.

Accounting software originated as client-based computer programs for on-premises use but has extended more recently into the cloud with web-based applications designed to streamline and automate financial management. Cloud accounting solutions record and process accounting transactions of all types, including purchases, sales, receipts, payments, payrolls, and other economic activities. Accounting software also provides detailed reports on income statements, balance sheets, financial statements, and cash flow statements and in-depth tracking of accounts receivable, accounts payable, and payroll.

Accounting software helps businesses optimise their finances, automate financial processes and reduce manual data entry, saving time and money. It can also help streamline accounting operations, increase accuracy in financial reporting, and provide insights into complex business data to make more informed decisions. Additionally, certain types of accounting software integrate with other systems, such as customer relationship management (CRM) and enterprise resource planning (ERP) software, which can further streamline your business processes.

An additional benefit of accounting software is that it reduces manual labor, allowing business owners and employees more time to focus on other tasks. By streamlining complex and detailed accounting elements such as invoicing, receiving payments online, and tracking expenses, businesses no longer spend hours doing paperwork or struggling with cumbersome spreadsheet calculations.

Accounting software enables users to store all their financial data in one secure place, accessible from any device with internet access - minimising the chance for errors caused by miscommunication between departments or incorrect manual inputs. This feature will also enable regular financial reporting, helping users to monitor their organisation's overall health without dedicating too much time or resources.

With accounting software, users can track accounts receivable and payable, learn critical ratios, and compare trends. The ability to quickly retrieve accurate financial data allows for better decision-making, enabling organisations to budget more efficiently and forecast future needs more accurately.

Accounting software allows businesses to maintain accurate financial records and ensure accuracy. When selecting a suitable accounting software system for your business needs, it is vital to consider the essential features of your operation.

Payment Processing

Payment processing is an essential feature of accounting software, allowing businesses to securely process payments and manage accounts receivable on a large scale. Payment processing offers increased accuracy and improved security for companies as it eliminates the need for manual entry. It also reduces time spent dealing with customer inquiries, ensuring customers receive their payments quickly and accurately. Payment processing within accounting software helps businesses save time, money, and resources while providing customers with a better experience.

Expense Tracking

Another important feature of accounting software is expense tracking. Allowing businesses to keep track of their expenses in real-time, expense tracking helps monitor spending and identify areas where companies can save money. Expense tracking within accounting software also reduces the risk of fraudulent transactions by providing detailed information on each transaction, such as the type of expense, its origin, and its purpose. Additionally, accounting software can generate reports that provide a better understanding of cash flow and help businesses make more informed decisions.

Invoicing Processing

Invoicing is another essential feature of accounting software, as it helps businesses streamline their billing processes. Invoices are automatically generated in the system and sent to customers on time. This real-time coordination enables companies to reduce time spent on manual invoicing and increase efficiency in their billing processes. In addition, invoices sent through accounting software are more secure and accurate than those sent through traditional methods.

Accounts Payable

Accounts payable (AP) is an essential feature of accounting software. Accounts payable allows businesses to track and pay invoices and other expenses promptly and accurately. Additionally, AP solutions manage accounts payable quickly and securely without manual human input, which saves time and resources. With accounts payable, businesses can easily track the status of payments, reconcile outstanding invoices, and generate reports for better decision-making.

Accounts Receivable

Accounts receivable (AR) is an integral part of any business, as it tracks the money owed by customers and clients. Accounting software can streamline the accounts receivable process by providing a centralised, secure system for tracking customer payments and balances. With such software, businesses can quickly and efficiently track customers' receivables daily.

Payroll

Payroll is an essential part of any accounting system, and having the right payroll software can make managing employee payments a much simpler task. Payroll software makes tracking employee wages, salaries, bonuses, and deductions easier while helping to ensure compliance with local tax regulations and federal compliance laws. An effective payroll system should incorporate functionalities like processing direct deposits and providing real-time reporting capabilities.

Banking

Connecting your accounting software to your bank account is one of the essential features any modern system should offer. Linking to your bank allows you to easily make payments, import up-to-date financial information and save time when managing your finances. Automating this process by setting up an automatic bank feed means you don't have to log each transaction manually and ensure that your data is accurate. Moreover, transaction matching speeds up the reconciliation process by showing where money has gone at a glance. Combined with banking reconciliation, you can get a comprehensive overview of your financial transactions.

Account Reconciliation

Account Reconciliation Software solutions are designed to make the financial close process simpler and more streamlined for businesses of all sizes. It streamlines a time-consuming manual process by pulling data from the general ledger and comparing it to bank statements and invoices. This insight will quickly identify discrepancies in accounts, allowing reconciliation. The software also allows for the electronic signing of documents and uploading supporting documents if required.

Online Payments

Collecting payments online is an essential aspect of successful business operations. The right accounting software can make completing the payment process easier for you and your customer. Industry-leading accounting software should provide a secure gateway integration that allows customers to pay securely with a credit or debit card. This solution eliminates the need for manual transactions with paper checks and cash, providing a smoother experience. Whether starting a new business or changing your current payment methods, good accounting software allows you to streamline the process and keep all your customer information secure.

The best accounting software for CPAs depends on the firm's and their clients' needs. Various solutions are available, ranging from on-premises solutions to cloud-based accounting solutions. The most important factor to consider when choosing an accounting solution is scalability and flexibility, as CPAs manage a wide range of clients with varying financial needs.

In addition to traditional accounting software solutions, there are also a variety of specialised applications for CPAs that offer additional industry-specific features such as time tracking and billing, document management, invoicing, and client portals.

Accounting software solutions help CPAs, bookkeepers, and accounting firms streamline their processes and increase efficiency. A comprehensive suite of accounting tools includes features such as:

• Automated data entry: Quickly enter financial data into the system with minimal effort.
• Real-time reporting: Generate accurate reports in real-time for better decision-making.
• Customisable dashboards: Create custom dashboards to get a better view of your client's financials.
• Secure data storage: Keep client data secure with our cloud-based storage solutions.
• Automated compliance checks: Ensure compliance with industry regulations with automated checks.
• Integration with other systems: Easily integrate our software with other accounting and financial management systems.

Accounting software solutions are becoming integral to the modern CPA's toolkit. From automated workflows to secure data storage, CPAs can rely on these specialised applications to help save time and money while providing better visibility into their clients' financials. Advanced features such as integrated analytics, real-time reporting, and customisable dashboards allow CPAs to make more informed decisions quickly and confidently.

At Deltek, we provide CPAs with a comprehensive suite of industry solutions to help businesses stay ahead of the competition. From automated data entry to secure storage solutions, our industry-specific accounting software helps CPAs save time and remain compliant while providing better visibility into their clients' financials.