How much do bookkeepers charge? A state-by-state breakdown

How much does bookkeeping cost per month? It depends on who does the work. An in-house bookkeeper costs a salary plus benefits, a traditional firm usually bills by the hour, and an online bookkeeping service charges a fixed monthly fee. Pilot's Essentials plan, for example, costs $99 per month for cash-basis bookkeeping.

Your quote also depends on the work itself: how many transactions you have, whether you need cash- or accrual-basis books, whether past months need cleanup, and add-ons like bill payment or payroll. See Pilot's current pricing for plan limits and inclusions.

There are three main ways to go about getting your books done professionally: hiring someone in-house, engaging a traditional brick-and-mortar bookkeeping firm, or hiring an online bookkeeping service provider. Let’s break down the considerations and costs of hiring a bookkeeper for each.

In-house bookkeeper costs: salary, benefits, and hidden expenses

Hiring an in-house bookkeeper means hiring a full-time employee to manage your financial records. The most visible cost is salary, which can vary significantly depending on your location.

To help set expectations, we've included a chart below showing the average hourly rate for bookkeepers by state. The figures are Bureau of Labor Statistics (BLS) wage averages for bookkeeping, accounting, and auditing clerks, so they show what an employee earns, not what an outsourced service charges each month. These figures represent state-level averages, so keep in mind that local rates may vary. For example, salaries in cities like San Francisco or New York typically outpace smaller towns within the same state.

Rural doesn’t always mean cheaper. In areas with fewer qualified professionals, bookkeepers may charge more due to limited local supply. You’ll also pay more for industry-specific experience or advanced expertise, whether you're in a big city or a small town.

Average bookkeeping rates by state (annual & hourly)

Employee wage data, not outsourced service pricing. Source: BLS Occupational Employment and Wage Statistics, [release year].

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So you now have an idea of what to expect to pay for an in-house bookkeeper’s salary, with some caveats. Hourly wages/salary costs, however are not the full story for an in-house hire. 

When considering hiring an employee, remember to also take into account the cost of benefits such as health insurance or other perks, increased admin costs that come with higher payroll, and the recruiting costs of sourcing, interviewing and onboarding. A common rule of thumb is that the real cost of an employee is 1.25 – 1.4x their salary – and possibly higher, depending on your local market conditions.

Is hiring an in-house bookkeeper right for you? If you want a high degree of control and direct oversight over how your books are done, hiring an in-house bookkeeper might be the way to go. With a direct employee, you’ll have control over their day-to-day and can dictate how things are done.

Traditional bookkeeping firm rates: hourly pricing and variability

Traditional bookkeeping firms are located all over the US. Most often they’re a small group of accountants or bookkeepers that serve a local geography, often with an additional team overseas. 

A traditional bookkeeper will usually charge you an hourly rate to do your books each month. The total cost will depend on how long it takes them to do the work. For this reason your costs with a traditional firm can vary a lot, even between months. 

When you hire one of these firms, the usual process is that they’ll give you a quote estimating how many hours it will take them to do your books, and what the cost for that will be. Keep in mind that this is often not binding – meaning it might take a lot longer than they think it will, which means your costs would be a lot higher than the quote.

If your books are more complex than initially estimated, or if unexpected issues arise in your books that need extra attention, your monthly bookkeeping cost might spike considerably.

It’s a good idea to keep some extra cash on hand, so you aren’t caught flat-footed if a bookkeeping bill comes back higher than expected.

The level of review and interaction with your bookkeeping team can also vary by provider. Make sure to ask about anything important to you, so that both you and your provider can know what to expect.

Is a traditional bookkeeping firm right for you? If you want your books to be taken care of without direct management by you, outsourcing is the way to go.  If you have simple books with few transactions, and don’t need specialized industry expertise, it may be most cost-effective to contract with a traditional bookkeeping firm who can give you a few hours each month at an affordable price. 

How much does it cost to work with an online bookkeeping service provider?

Like traditional bookkeepers, online bookkeeping services (like Pilot) employ a number of professional bookkeepers to provide their clients with books service. Unlike many traditional firms, online providers aren’t usually restricted by geography, so their services are available anywhere in the US.

Most online bookkeeping providers charge a certain rate per month, usually based on your expenses, with some additional costs for special services like bill payment and invoice collection. Pilot's Essentials plan costs $99 per month for cash-basis bookkeeping for businesses with up to $100,000 in monthly expenses. Core adds a dedicated US-based bookkeeper, cash- or accrual-basis books, bill management for up to 10 vendor bills a month, and reports by the 10th business day. See current pricing for Core's starting price and billing terms. Quoted rates at online providers offer the advantage of predictable costs, avoiding unexpectedly high hourly fees. That's what fixed monthly pricing means: a set fee for a defined scope of work.

Is an online bookkeeping service right for you? Like a traditional firm, an online provider puts your books in expert hands, without requiring you to spend time on direct oversight. If you want to have your books handled by a professional with regular, predictable costs, consider working with an online provider. For businesses with more complex structures or more than a handful of monthly transactions, this can end up being  more cost-effective than the hourly-cost variance of a traditional firm.

Another potential advantage is specific industry experience. Because of their scale, online bookkeeping providers are able to build expertise in certain industries or verticals by preparing the books for a large number of similar companies (for example, at Pilot we’ve done books for hundreds of startups and small businesses). If you need or want specific experience with a wide range of companies similar to yours, an online provider might be the right place to start looking.

Engaging with a bookkeeper is an important milestone for young companies. Regardless of the solution you choose, you’ll be taking a big step towards getting your time back, and building a financial foundation to help your business continue to grow.

What changes a monthly bookkeeping quote?

Two monthly prices only compare if they cover the same work. Ask each provider these questions before you compare quotes.

A lower fee that leaves out cleanup or bill payment can cost more by year end. Compare what a bookkeeping service includes, who does the work, and when you get reports. Not sure whether you need a person or just software? See our guide to bookkeeping software.

‍Pilot offers expert bookkeeping to startups and small businesses. Learn more about how we work with our clients.

FAQs about bookkeeping costs

Q: How much does a bookkeeper charge per month?
A: It depends on who does the work and what's included, so no single monthly figure fits every business. An hourly freelancer, an in-house employee, and a fixed-fee online service price different work. To compare, ask each provider to quote the same transaction volume, reports, accounting method, and cleanup needs. For a published example, Pilot's Essentials plan costs $99 per month for cash-basis bookkeeping. See current plans.

Q: What is the average hourly rate for bookkeeping services?
A: Bookkeeping employees in the US average about $20 to $29 an hour depending on the state, according to the BLS data in the table above. Freelancers and firms often charge more, since their rate covers overhead and profit.Rates can vary by state, experience level, and whether you hire a freelancer or work with a firm.

Q: Is it cheaper to outsource bookkeeping?
A: Yes, outsourcing bookkeeping is often more cost-effective than hiring in-house. With online bookkeeping providers, you avoid expenses like salaries, benefits, and overhead while gaining access to expert financial support at a predictable monthly rate.

Q: How much should a small business budget for bookkeeping?
A: Base your budget on the work, not a percentage of revenue. Count your monthly transactions and accounts, decide whether you need cash- or accrual-basis books, and list any add-ons like payroll or bill payment. Then get quotes for that scope from two or three providers.

Q: What factors influence bookkeeping costs?
A: Bookkeeping costs depend on factors like business size, monthly transactions, industry complexity, level of financial reporting, and whether services are billed hourly or as a flat monthly fee.

Q: What is the difference between a bookkeeper and an accountant in terms of cost?
A: Bookkeepers typically charge less than accountants. While bookkeepers handle transaction categorization and reconciliations, accountants often provide strategic advice and tax prep at a higher rate. Pilot's tax consulting, for example, starts at $250 an hour for single-member LLCs and $400 an hour for partnerships, S corporations, and C corporations.

Q: Which bookkeeping services offer fixed monthly pricing?

A: Most online bookkeeping services charge a fixed monthly fee based on your expenses or transaction volume, while traditional firms more often bill by the hour. Pilot publishes its plan prices, starting at $99 per month for Essentials. Ask any provider what the fee covers and what triggers an extra charge.

Q: Does fixed monthly pricing include everything?

A: No. A monthly fee covers the work named in your agreement. Cleanup of past months, extra vendor bills, unusual transactions, tax filing, and custom reports may cost extra. Ask for the exclusions and change rules in writing.

Q: Can I use a bookkeeping service with my existing QuickBooks account?

A: Often, but check the plan. Ask whether the provider works in your current account, who controls access and the chart of accounts, and what happens to your historical data. At Pilot, keeping your existing QuickBooks account and historical data is an option on the Custom plan.

Q: How much does bookkeeping cost for a startup with fewer than 10 employees?

A: Headcount matters less than transaction volume and complexity. A startup with simple, cash-basis books can start with a plan like Pilot's Essentials at $99 per month. A startup with investors or subscription revenue often needs accrual-basis books and a dedicated bookkeeper, which moves it to a plan like Pilot's Core. For more, see our startup bookkeeping Q&A.

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