One of the most common stressors I see in small and mid-sized businesses isn’t a cash flow issue or a tax problem—it’s role confusion. And at the center of that confusion is often the bookkeeper. Somewhere along the way, they became the catch-all: handling payroll, coding transactions, making financial decisions, and answering tax questions. Sometimes they even act as de facto CFOs.
I want to be clear: this isn’t the bookkeeper’s fault. In fact, most are doing everything they can to keep things afloat. But when leadership fails to define and protect the scope of this role, the result is burnout, mistakes, and stalled growth. When that happens, it doesn’t just impact the bookkeeper—it affects the entire business. Financial reports lose accuracy. Compliance risks creep in. And decision-making becomes harder for everyone involved.
Let’s unpack what’s really happening and how to fix it.
Bookkeepers Aren’t Swiss Army Knives (But Many Have To Pretend They Are)
Many business owners start by hiring a bookkeeper as their first or only finance person. That makes sense early on. It’s a lean, cost-effective way to keep the books in order. But as the company grows, the complexity of its finances grows too. Suddenly there are more transactions, more accounts, more compliance requirements, more systems to integrate—and still just one person juggling it all.
Here’s what I often see:
- The bookkeeper is asked to reconcile accounts and run payroll without training in payroll tax compliance.
- The business owner expects the bookkeeper to answer strategic tax questions meant for a CPA.
- Financial reports being prepared by someone who was never trained in management reporting.
- No clear separation between data entry, analysis, and decision-making roles.
To be clear, I understand that staff can cross-train and often fill multiple roles. But there should always be training and certification, as needed, that accompanies any new responsibilities to ensure accuracy in the work done.
Haphazardly delegating tasks like I’ve described above is risky and unsustainable because bookkeeping errors multiply, stress builds, and sooner or later, something big gets missed and the alarms go off. Unfortunately, businesses often don’t recognize the issue until they’re facing a tax notice, a missed payment, or confusing financials that stall decision-making.
Clarifying The Roles Of Bookkeeper, Accountant, Controller, & CFO
The first step is defining roles clearly. Think of your finance function like a ladder. Each rung represents a specific area of responsibility and skillset. When business owners expect one person to cover the entire ladder, they unintentionally set them up for failure—or at least for massive overload.
| Job Title | Job Responsibilities |
| Bookkeeper | Enters and categorizes transactions, reconciles accounts, and manages the day-to-day bookkeeping tasks. They’re focused on accuracy and data entry—not analysis or planning. |
| Accountant | Reviews and adjusts financials, prepares formal statements, and ensures GAAP compliance. Accountants bring a higher level of review and context to the numbers. |
| Controller | Oversees accounting operations, manages financial processes, and ensures accuracy and timeliness. The controller is the internal financial manager who brings oversight, structure, and accountability. |
| CFO | Provides strategic insight, builds forecasts, aligns financial plans with business goals, and advises leadership. This is the executive-level thinker who uses financial data to drive decision-making. |
When one person is responsible for more than one rung on this ladder, the business is at risk. It’s tempting to keep layering responsibilities onto the same person—but in the long run, that undercuts your ability to grow. And if you lose that person, your entire finance operation can collapse because you’re over-reliant on them.
What Business Owners Can Do Now
If you suspect your bookkeeper is wearing too many hats, you’re not alone—and you’re probably right to be concerned. Many bookkeepers start with a clear and narrow role, but over time, tasks accumulate. Suddenly, they’re not just handling transactions and reconciliations—they’re navigating payroll compliance, preparing reports, answering tax questions, and advising on strategic decisions. It’s a recipe for burnout and error, and it often leaves the business owner feeling unsupported and overwhelmed. If this sounds familiar, here’s what I recommend doing sooner rather than later to restore clarity and structure to your financial operations:
- Audit the Role: List every responsibility your bookkeeper currently handles. Then categorize each task based on where it falls within the finance ladder—bookkeeper, accountant, controller, or CFO. This exercise often reveals that the bookkeeper is responsible for high-level tasks they were never meant to manage, which can lead to mistakes or decision-making bottlenecks.
- Reassign Strategically: Once roles are categorized, look for opportunities to reassign specific functions. Compliance-related tasks can go to your CPA. Complex reporting or financial analysis might be better handled by a fractional controller. Payroll can often be outsourced. Realignment lightens the bookkeeper’s load and boosts accuracy across the board.
- Invest in Support: Don’t wait until your bookkeeper is drowning to bring in help. Fractional or outsourced solutions—like part-time controllers or remote accounting teams—can provide expertise without the cost of a full-time hire. These flexible models are ideal for growing companies who need more support but aren’t ready to build a full finance department.
- Give Your Bookkeeper a Voice: Take the time to have an honest conversation. Ask your bookkeeper where they feel confident, and where they feel overwhelmed. Are they being asked to do things outside their skill set? Are there responsibilities they’ve taken on by default, not by design? This input is critical to reshaping the role in a way that benefits both your team and your business.
Need Help Untangling the Overlap?
At MBS Accountancy, we help business owners create structure around their financial functions. Whether your bookkeeper needs external support, or your business has outgrown a one-person finance team, we can step in with reporting, controller services, or advisory support tailored to your needs as a business.Your bookkeeper deserves clarity, you deserve reliable reporting, and your business deserves a financial team that can grow and scale so reach out to us today and let’s talk about how we can help you succeed.