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Like accounting solutions, legal accounting software gives businesses secure digital tools to manage and track client payments, expenses, revenue, and more. Additionally, many accounting solutions integrate with payment providers and include other features that help streamline financial processes. But unlike software used for retail or other types of businesses, accounting software for attorneys is designed from the ground up to address the financial challenges that are unique to legal professionals. Attorney accounting software has specific capabilities to handle things like maintaining client trust accounts, case management, time tracking, and ensuring IOLTA compliance – to name just a few. To maintain IOLTA compliance, law firms have to be extremely vigilant against commingling unearned and earned funds. Built-in payment management features ensure that any unearned client payments are automatically put in a client trust and that the fees to maintain that account are handled correctly.
This can cause serious issues and stunt your firm’s growth (more on that later). FirmTRAK was created by
attorneys to help build better
law firms. By reconciling this each month, we ensure accurate client balances for proper record keeping and billing.
The Legal Accountant
Staying on top of receivables is essential to the financial health of your business. Law firms can use double-entry bookkeeping as a way to better monitor the financial health of a company. Accountants also help you with strategic tax planning, analyzing your business financial position, forecasting, and tax filling. All the comprehensive adjusted owner’s information would help you make informed business decisions. Get accurate & real-time CFO-level reports by the 15th of each month to help you plan for the future. The key is to actively monitor things so you know when and what to adjust.
- They mustn’t deposit client funds in accounts that do not bear interests, or in their business accounts.
- We provide additional reporting and analysis so that you understand your numbers and how they impact your firm and your goals!
- To be successful, a firm has to have accurate reporting of timely record keeping client related funds, and the ability to focus on the legal work of the firm.
- But if your law firm bookkeeping isn’t up to date, it’s tough to stay on top of cash flow and ensure client funds are handled properly.
- With a team of highly skilled professionals, we provide meticulous financial management to ensure accuracy and efficiency for your law practice.
If you’re in search of a reliable law firm bookkeeping service near you, FinOP Group is the answer. Opting for a part-time or contracted high-level accounting solution proves to be more cost-effective and beneficial for the organization as a whole. At FinOp Group, we offer law firm bookkeeping precisely this solution, allowing companies to delegate critical operational accounting functions to our team of skilled professionals. Clear financial data reporting and analysis provides confidence in operational decision, management, transparency, and partner trust.
How We Work with Law Firms
Implement the right accounting software for your firm to save time, work, and money. As a solo practitioner or small law firm owner, you have more important things to do with your time then manage your books. My team and I take care of your books for you, so you can get back to doing what you really love, practicing law. As a solo practitioner or small law firm owner, you have more important things to do with your time than manage your books.
After all, if the IRS audits you (shudder), you’ll want these records to prove your expenses were for business purposes. While you could hire permanent accounting help as your firm grows, most firms find working with an independent contractor who provides these services is a great way to get started. Many lawyers assume their bookkeeper can or should help them with their financial analysis and get frustrated when they don’t.
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