Why accounting automation softwares do not require expertise?
Accounting plays a vital role in running a business as it enables you to track and manage various facets of financial information. It is notable that the manual processes involved in accounting take up a lot of time and are monotonous.
In addition to this, there are no backups available in case of data loss, and it might require special knowledge and skills. To reduce these problems, Accounting Automation Software gives you a leg up and eases these tedious processes.
What is accounting automation software?
With the development of AI and advancement in technology, new software programs are being developed to reduce human error and enable efficient handling of financial data.
Accounting Automation Software eases the manual task of accounting and provides a quick and efficient way to collect, store, and process financial data that business professionals can use to make major decisions.
It can be said that it automates the process of accounting, which in person consumes hours, is tiring, and is repetitive. It is a powerful tool for businesses to eliminate all the inefficiencies and errors caused by manual accounting.
These systems are an integral part of the accounting team’s processes.
How does accounting automation software work?
Manual accounting involves many steps, but with the help of Accounting Automation Software, these steps are reduced greatly in number. It is as simple as using any other software you are acquainted with.
Rather than working long hours, arranging, saving, and entering the data into the system, this provides a swift and easy way of handling the financial data.
All the transactions you make with a direct integration accounting automation software are instantly captured, and then all the data is automatically entered into the system, and a detailed record of the data and entries is managed easily through technology.
You can easily automate a number of accounting tasks. A few tasks which involve accounting automation are payroll, purchase management, finance management, expense management, accounts payable (AP) and accounts receivable (AR), and cash visibility and forecasting.
Payroll is one of the major and crucial functions of finance teams. With the automation of payrolls, it is easy to track the time, generate details of taxes, and deposit the funds into an employee's account.
You can also ease up the process of purchase management as the manual way of doing it is time taking and burdensome, and there are high chances of misplacing important documents.
With automation systems, the details are all organized in a centric database, and data management becomes more convenient.
The tax season, particularly the financial close month, is filled with intense financial work that needs to be done within time and under a lot of pressure. Automation helps you to ease up the pressure and manage the financial work with less labor.
It is evident that a herculean task for the finance team is to receive and collect expense receipts from a co-worker. Automation helps you to add corporate credit cards to the systems and thus making it easier to track the expenses.
AP automation software is a method by which accounts payable processes are digitally handled rather than manually. It digitizes the invoicing process and creates faster, better, and more cost-effective AP workflows.
Similarly, AR automation helps you increase the probability of immediately approved invoices that will be paid more quickly by your customers.
Automated software enables you to prepare a perfect report by compiling the data and thus helping you with cash visibility and forecasting.
Why does accounting automation software not require trained personnel?
These are the times when any job which requires a high level of manual labor and a huge amount of time can be managed very easily with advanced technology.
In the traditional way of accounting, people with high knowledge and analytical skills were required.
But gone are those days when an intense amount of hours had to be spent on professional training so that the candidate could achieve the highest level of excellence in his job.
With recent technology and particularly with the development of the Accounting Automation Software, the need for skilled and trained professionals has reduced.
The major work of the accountants will be focused on analyzing the data and providing trustworthy advice in the near future. The major reason behind this is that everything will potentially be self-operated.
Everything from capturing invoices to transactions and expenses is done through the system. All your data would be accurately filled into the right columns, and all the calculations would be automatic.
Almost nothing is manually done. The aim really would be to understand the customer and his relationship with the firm.
Benefits of accounting automation for businesses
The traditional method of Accounting did not help the accounting professionals in any way as the professionals manually had to enter the data into spreadsheets and manage them with great care.
But with the development of financial technology, Accounting has been made easier and much easier. Now the purchasing details, invoice generation, tracking and recording of data, and many other processes involved are automated and computer-based.
To help you with a better view of this developing technology, here are some benefits that make your work much easier.
1. Easy extraction of data
Once all your data is automated, it is easy to extract any detail of any task within a few minutes, which helps the accountant to expand the business more and to reach out to more people, and also detect faults and errors easily.
2. Reduction in cost
If the accounting tasks are handled manually, then it requires a large number of skilled people to be involved in it. The more the number of people involved higher the cost.
Thus, it helps to cut off the cost of the people required for clerical and other work which are automated.
3. Better security
If traditionally done, ledger books, journals, and a huge amount of papers are required to carry out the financial tasks. As there are no back-ups or duplications of the data and information, there is a high chance of loss of data.
But with Automated Accounting, the data is safe within the system, and an authorized person can access it easily.
4. Precision in work
Humans are not perfect beings, and thus it is very common for them to make mistakes while writing information manually.
We are well aware of the fact that computers are accurate; this helps you to make sure that there is not even the tiniest mistake while entering the data.
5. Saves time
Many processes in accounting are laborious and repetitive and thus monotonous. But with the help of this system, you can easily get away with the tasks and processes which need to repeat over and over again. This saves you time and energy to a large extent.
6. Fast data retrieval
With automation of accounting, data retrieval is instantaneous. You can retrieve data about cash flow, expenses, and any other financial task within a short period of time, which helps you to make important decisions for the business.
Accounting Automation makes your work and professional life easier and more efficient as it has many pros with it. To ease out and conduct the financial tasks smoothly, Automation of Accounting is the need of the time.
It gives you an edge over the professionals who are still working the traditional way. One way or the other, it helps you to grow your business and spread it to a larger web of customers.
Related read: Eliminate manual data entry with accounting automation
Automate your accounting seamlessly with Volopay
The necessity to stay as one of the top businesses in the market requires the most efficient and smart use of resources available such as accounting automation software.
One such all-in-resource to handle all your business finances is Volopay. It is an expense management platform instilled with all the features and tools a business requires for smooth and quick functioning.
With Volopay you get easier access to company funds, real-time tracking of all expenses, hassle-free direct accounting, easy invoice processing automation, lowest FX charge international transfers, reimbursements system, mapping, and autoclassification tools for better data organization and so much more.
FAQ's
As all the transactions and expenses are tracked in real-time with Volopay, suspicious activity can be immediately flagged and you can instantly block or freeze your card or deny the approval for that particular transaction.
Along with this, Volopay uses a 3D secure way to add more protection. It is an extra authentication step, which means that before any purchase is made, in order to complete the order, a unique verification code would be required.
Yes. Volopay provides digital wallets and FX cards that can be used to make international transactions.
Volopay serves businesses with direct accounting automation, which means that any transaction made through the platform would be instantly recorded and filled in into the accounting books.
According to your previous accounting sheets enter into the system, it creates some classifications which reduce all the manual labor of specifically entering data into the correct accounting fields.
Along with this, you get the feature to customize and create mapping rules for the accounting books, so that all the data entered or captured can be organized according to your needs.
Plus any changes made either in the accounting software or on the Volopay platform are set to auto-sync. Any changes made in any one are updated in the other.
Yes, Volopay provides features like OCR for invoice scanning, automatic bill generation, multiple-approval process, virtual cards, and vendor accounts for the entire automation of the invoice-to-pay cycle.