Welcome to Accounting Department Accounting Services!

Accounting Department Online

28 Victoria Street, Bacolod City, Philippines

Whatsapp +639776036002

US Mobile #13213576503

rose@accountingdepartment.online, support@accountingdepartment.online

[Date]

[Client's Name]

[Client's Address]

[City, State, ZIP]

Subject: Engagement Letter for Bookkeeping Services

Dear [Client's Name],

We are pleased to provide bookkeeping services to [Client's Legal Name] (the “Company”).

This letter sets forth the terms and conditions of our engagement, including the scope of work,

responsibilities, fees, and other relevant terms. Please review carefully and confirm your

acceptance by signing below

This agreement is between Accounting Department Online (the “Bookkeeper”), located at 28 Victoria Street, Bacolod City, Philippiens, and [Client’s Legal Name] (the “Company”), a [LLC / S-Corp / Sole Proprietor], located at [Client Address].

Our services will be limited to the following bookkeeping and record-keeping services as defined below. We will not perform an audit, review, or compilation of your financial statements.

Our services will include, but are not limited to, the following tasks (select and customize as applicable):

• General Ledger Maintenance: Recording transactions, posting journal entries, and reconciling accounts monthly.
• Bank and Credit Card Reconciliation: Reconciling [Number] bank accounts and [Number] credit card accounts monthly.
• Accounts Payable Management: Recording vendor invoices and processing payments (subject to Client approval).
• Accounts Receivable Management: Recording customer invoices and processing cash receipts.
• Payroll Support: Providing [list specific payroll tasks, e.g., posting payroll transactions from a third-party service provider]. We will not process payroll, file payroll tax returns, or manage employee benefits.
• Sales Tax Support: Providing [list specific sales tax tasks, e.g., recording and reconciling]. We will not file sales tax returns.
• Monthly/Quarterly Reporting: Preparation of standard financial statements, including the Balance Sheet, Income Statement (Profit & Loss), and Statement of Cash Flows.

Unless expressly listed above, the following are NOT included in this engagement:

• Tax return preparation or tax advice
• Audit, review, or compilation engagements
• Legal or financial advisory services
• Fraud detection or forensic accounting
• Any service not explicitly listed under Included Services above

As your bookkeeper, we are responsible for:

• Maintaining accurate and up-to-date financial records based on information provided by the Company.
• Applying generally accepted bookkeeping practices.
• Keeping management informed of any significant findings or issues.
• Providing deliverables according to the agreed timeline outlined in Section 9.
• Keeping all client financial information strictly confidential.

The Client agrees to provide the following information and access to enable the Service Provider to perform the agreed services. Work will commence only after all required items below are received.

Required Before Work Begins:

• Business EIN and legal entity documentation
• List of all bank and credit card accounts with account numbers
• Access to accounting software (see Section 4)
• Prior-period financial statements or existing chart of accounts
• Payroll records (if payroll is in scope)
• Outstanding tax filings or notices
• Other: [SPECIFY]

Ongoing Client Obligations

• Provide timely access to all financial records, bank statements, and documents.
• Required documents are due by the [Day] of each month.
• Designate a competent employee to oversee the services and make all management
• decisions.
• Notify the Bookkeeper promptly of any changes to accounts, entities, or business
• structure.
• Ensure that all financial decisions are approved by the Client’s management.
• Maintain adequate records to support all transactions and report any known or
• suspected fraud immediately.
• Review and approve monthly deliverables within [Number] business days of receipt.

If the Client fails to meet these obligations, the Bookkeeper reserves the right to delay deliverables and/or charge additional fees for expedited processing.

Services will be performed using [QuickBooks Online / Xero / Other]. The Client agrees to grant [Admin / Standard User] access prior to the engagement start date. Software subscription costs will be borne by [Client / Firm]. Required integrations include: [Bank feeds, Payroll platform, POS — list all]. 

The Bookkeeper will not be held liable for delays resulting from late or incomplete access.

Bookkeeping services will be prepared in accordance with [Applicable Financial Reporting Framework, e.g., U.S. GAAP, IFRS, or other agreed basis of accounting].

Fees: Our fee for the services described above will be based on:

Service Fees

Service

Fee

Frequency

Monthly Bookkeeping

[$AMOUNT]

[Monthly / One-time]

Payroll Processing

[$AMOUNT]

[Monthly / One-time]

Sales Tax Filing

[$AMOUNT]

[Monthly / One-time]

Catch-Up Bookkeeping

[$AMOUNT]

[Monthly / One-time]

Other Services

[$AMOUNT]

[Monthly / One-time]

• Billing: Invoices will be issued [Monthly / Bi-Weekly] and are due within [Number] days of the invoice date.
• Late Payments: A late fee of [X]% per month will apply to overdue balances.
• Out-of-Scope Work: Any services outside Section 2 will be billed at $[Hourly Rate]/hr and require a prior written change order.
• Payment Methods: [ACH / Credit Card / Check / Other]

Financial reports will be delivered [monthly within [Number] business days of month-end]. Deliverables include: [Profit & Loss, Balance Sheet, Statement of Cash Flows]. Reports will be delivered via [client portal / email]. Review calls [are / are not] included. Any additional reporting timelines will be mutually agreed upon in writing.

We will maintain the confidentiality of all Company information obtained during our engagement.

Specifically:

• All client data will be stored securely and accessed only by authorized personnel.
• Client information will not be shared with third parties without prior written consent, except as required by law.
• Third-party tools used in this engagement: [List tools, e.g., QuickBooks, financialcents.com]
• Client data will be retained for [Number] years following the end of the engagement, then securely destroyed.

All original financial records provided by the Client remain the property of the Client. Upon request or at the conclusion of this engagement, all original documents will be returned. The Bookkeeper retains the right to keep copies of work papers and correspondence for [Number]

years for professional and legal compliance purposes.

The Bookkeeper’s liability is limited as follows:

• Bookkeeping services do not constitute tax, legal, or financial advice.
• The Bookkeeper is not responsible for errors resulting from inaccurate or incomplete information provided by the Client.
• The Bookkeeper is not responsible for detecting fraud, theft, or illegal activity unless specifically engaged to do so.
• Total liability for any claim arising from this engagement shall not exceed the total fees paid by the Client in the [Number] months preceding the claim.

Any request for services beyond those defined in Section 2 must be agreed upon in writing

before work begins. This includes new entities, additional accounts, payroll additions, or catchup work for prior periods. The Bookkeeper will issue a written change order specifying additional

services and fees, and work will not commence until both parties have signed.

Either party may terminate this engagement with [Number] days’ written notice. Upon termination, the Client agrees to compensate the Bookkeeper for all services rendered up to the termination date. In cases of non-payment, lack of cooperation, or material breach, the Bookkeeper reserves the right to terminate immediately. This agreement [does / does not] renew automatically at the end of each term.

This agreement shall be governed by the laws of [State / Jurisdiction]. In the event of a dispute, both parties agree to first attempt resolution through good-faith discussion within 15 days of written notice, followed by mediation in [City, State] if unresolved.

Please sign and return the enclosed copy of this letter to confirm your understanding of, and agreement with, the terms of our engagement. We look forward to working with you.

Sincerely,

[signed]______________

[Your Signature]      [Client’s Signature]

Rose Sabordo/Bookkeeper      ______________________

[Printed Name / Title]      [Printed Name / Title]

______________________     ______________________

[Date]        [Date]