Accounting for Attorneys

Most attorneys know they need a bookkeeper. Far fewer know what great legal bookkeeping actually looks like in practice, or why the difference between a generalist bookkeeper and a true legal accounting professional can have real consequences for their firm's compliance, cash flow, and long-term health.

If you are evaluating your current bookkeeping setup or looking to hire a legal accounting firm for the first time, here is what you should expect from someone who genuinely knows this space.

The Three Areas That Matter Most

There are three areas of law firm finances that separate competent legal bookkeepers from everyone else. If the person handling your books does not have a deep working knowledge of all three, your firm is carrying more risk than it needs to.

Trust Accounting

Trust accounting is the most fundamental and most consequential area of law firm bookkeeping. The core concept is straightforward: money paid by a client as a retainer or advance does not belong to your fir...