The financial management of hotels and other accommodation facilities is the responsibility of hotel accountants. To ensure that all financial transactions are accurately recorded and accounted for in accordance with generally accepted accounting rules, they collaborate closely with hotel managers. The duties of hotel accountants may also include managing payroll, making sure taxes are paid on time and lending assistance to other hotel departments as required. Read through to learn about the hotel accountant job descriptions and hotel accounting software.
What Is Hotel Accounting?
The definition of hotel accounting is the recording of cash flow, retrieval of cash flow, and recording of financial data specific to the hotel industry and the entire hospitality sector.
What Is the Main Purpose of Accounting?
Recording and reporting a company’s financial transactions, financial performance, and cash flows is accounting’s primary goal. Financial statements are more reliable thanks to accounting standards.
Job Descriptions of a Hotel Accountant
A hotel accountant has a wide range of job descriptions, which can include:
- Composing diary entries and modifying account balances to reflect firm financial records as precisely as possible.
- Preparing bank reconciliations by checking account balances against bank statements and confirming their accuracy.
- Preparing financial reports in line with government rules governing accounting standards, including monthly statements and annual audits.
- Reviewing budgets and creating projections of future costs based on data from the past or other information available.
- Making suggestions for modifications to accounting rules and practices to increase the accuracy of financial records.
- Assisting in the selection of accounts that should be entered first to facilitate proper recordkeeping.
- Determining the tax obligations of individuals and businesses in accordance with the legislation that the federal government and state authorities have enacted.
- Another one of the job descriptions of a hotel accountant is payroll processing for all employees using automated software or manual processes.
- Monitoring cash flow and spotting possible issues beforehand to take corrective action before a problem emerges.
Hotel Accountant Salary
Depending on their degree of education and experience, the size of the hotel firm, and the location of the position, hotel accountants earn a range of wages.
$62,500 on average per year ($30.05 per hour)
Annual Salary for the Top 10%: $114,500 ($55.05 per hour)
Over the following ten years, there will be an average growth in the number of hotel accountants employed.
Hotel Accounting Software
The input and exit of hotel funds must be monitored. Also, with the use of specialist software, this is possible. Similarly, accounting professionals can complete these activities more quickly and effectively by utilizing information technology (IT). Here is a list of the best hotel accounting software.
#1. FreshBooks
The best accounting software currently in use in the hotel business is this. Also, you can use it to manage hotel accounting. You can streamline Billing and other typical accounting tasks and made effortless with the help of FreshBooks. The software also offers you a number of capabilities through a tidy, user-friendly interface. It can be tailored to display accounting features in accordance with your preferences. You can create professional invoices and financial reports with this hotel accounting program. It can also keep track of your hotel bills, send out invoices, monitor accounting periods, and follow up with clients. Since the software is cloud-based, you may view your financial information online. This software is available for a one-month trial period during which you can use it without charge.
#2. Sage Intacct
This accounting program was created specifically for hotels. Sage Intacct is powerful and adaptable, able to manage the financial data and duties for different hospitality institutions like restaurants, clubs, and resorts. The Cloud is the foundation of this program. As a result, by just logging on, you can check your financial information whenever you like.
Additionally, this bookkeeping program automatically handles accounting tasks. You can request the financial data for particular hotel locations and properties using this hotel accounting software. Additionally, it enables you to make adaptable financial information charts that you may download for free. Additionally, the software may support a variety of hotel ownership configurations, including franchises, global units, and other corporate arrangements. The tool complies with approved accounting rules in full.
#4. M3
Utilizing computational power to improve performance is the main goal of this accounting software. Scalability is possible using the hotel accounting program M3. Therefore, it offer technological support for each stage of your hotel portfolio. Additionally, this digital tool is of the capacity to simultaneously provide accounting and analytics. Additionally, you can utilize it to establish some service guidelines for a sizable network of lodging establishments. Due to its adaptability, it can aid both large and small businesses with accounting. You can test out a demo prior to purchasing the paid product.
#4. Inn-Flow
With the help of this software solution, you can easily handle the accounting for your hotels. You can quickly access the financial data for your hotel thanks to Inn-Cloud-based Flow’s platform. It helps with hotel management in addition to processing accounting data. The software makes it simple to run reporting for many brands. Accountants can also control its various capabilities thanks to an easy-to-use interface. Moreover, the capability of this hotel accounting software to schedule accounting report output is an intriguing feature. After a trial period, it can be accessed through a demo account before using the paid product.
#5. Hotelogix
This program has the ability to offer hotel bookkeeping services. Hotelogix is a complete system that maximizes automation. It makes accounting tasks easier to do. The program also improves revenue collection and helps with hotel property management. This digital tool’s ability to be coupled with an online booking engine is an intriguing feature. You can get bookings this way without needing to pay commissions. And last but not least, you can operate it via a special smartphone app. The software has a 15-day restricted trial period during which you can use it without charge.
#6. Nimble Property
This is a specifically designed solution for the hospitality sector that was cleverly created to aid hotel owners and hoteliers in all areas of accounting and operations. In addition, this accounting and analytical solution, which has a large 1,000+ client base, makes use of automation and integration. It also stands out for its important features and usefulness that aid in managing a collection of hotels, making it distinctive and amazing. You can track daily sales, check occupancy%, and RevPar, evaluate GSS information, import STR, compare budgets, revenue & expenses, reconcile bank accounts, and do much more with the help of the user-friendly interface.
#7. Omniboost
Data Automation for Restaurants and Hotels Automate your procedures with a breakthrough level of speed and simplicity by seamlessly integrating data from your Point of Sale (POS), Property Management System (PMS), and Accounting systems. Also, it’s never been simpler or more precise to manage the data for your hotel or restaurant! Use any available data source Connect your data sources to get the comprehensive understanding you need to support your company initiatives and boost compliance. With the help of Omniboost, you can effortlessly combine your data, and you can instantly access all of your complete, accurate, and up-to-date information from one location.
#8. IdeaS
With the help of IDeaS RevPlan, your hotel organization can forecast and budget total income for rooms, food & beverage, and other business lines, resulting in increased profitability. Moreover, it merely takes a few minutes to construct a new prediction or modify an old one, and both serve as the sole source of accuracy for the financial forecasting process. RevPlan provides hotel owners and management organizations with an unprecedented level of business data and decision support, resulting in more accurate operational projections, improved efficiency, and higher profitability.
What Is Hotel Balance Sheet?
Balance sheet for hotels
A balance sheet also called a statement of financial position, summarizes all of your hotel’s business assets (what you own) and liabilities (what you owe).
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FAQs About Hotel Accounting
What are the types of hotel accounts?
Types of Accounts
- Guest Account.
- Non-guest or City Account.
- Management Account.
What is the importance of hotel accounting?
Hotel accounting is important because by recording and monitoring cash flows both in and out, you can better forecast for the future, and have a more realistic idea of your hotel’s projected costs.
How do you maintain hotel accounts?
- Make a chart of accounts. This will help you keep track of all your hotel expenses and income.
- Use good accounting software.
- Reconcile your accounts regularly.
- Keep all financial records in a safe place.