CPA vs. Enrolled Agent vs. Bookkeeper: Who Does What in Georgia?

As a business owner in Georgia, finding the right financial professional can feel overwhelming. You’ve heard of CPAs, Enrolled Agents, and bookkeepers—but what exactly does each one do, and which role fits your needs? Here’s a clear breakdown to help you decide who to hire for accounting, tax, and bookkeeping tasks in Atlanta and beyond.

What Is a Bookkeeper? The Foundation of Your Financial Records

Role and Responsibilities
A bookkeeper handles day-to-day financial data entry and maintenance. Their typical tasks include:

• Recording transactions (income, expenses, transfers)
• Reconciling bank and credit card statements
• Managing accounts receivable and payable
• Generating basic financial statements (profit & loss, balance sheet)

Qualifications and Licensing
Bookkeeping doesn’t require a state license in Georgia. Professionals often hold certifications—such as Certified Bookkeeper (CB) or QuickBooks ProAdvisor—but it’s not mandatory. Many small businesses in Atlanta start with a bookkeeper to keep their records organized.

When to Hire One

• You need accurate, up-to-date transaction records
• You want consistent financial reports to track cash flow
• You’re not ready to invest in higher-level advisory services

A reliable bookkeeper ensures your numbers are clean and ready for higher-level review.

What Is a CPA? The Strategic Advisor for Complex Needs

Role and Responsibilities
Certified Public Accountants (CPAs) are licensed by the Georgia State Board of Accountancy and meet stringent education, exam, and experience requirements. Their services include:

• Tax planning and preparation for individuals and businesses
• Financial statement audits and reviews
• Strategic business advising (budgeting, forecasting)
• Mergers, acquisitions, and valuation services

Qualifications and Licensing
To become a CPA in Georgia, professionals must:

1. Earn a bachelor’s degree with 150 semester hours of accounting-related coursework
2. Pass the Uniform CPA Exam
3. Complete at least one year of supervised accounting work
4. Maintain continuing education for license renewal

CPAs carry professional liability insurance and adhere to ethical standards enforced by the state board.

When to Hire One

• Your business needs complex tax planning or compliance
• You’re seeking formal financial statement audits or reviews
• You want strategic advice on growth, financing, or restructuring

A CPA brings high-level expertise and can navigate both IRS and Georgia DOR requirements with precision.

What Is an Enrolled Agent? Tax Specialists Backed by the IRS

Role and Responsibilities
Enrolled Agents (EAs) are federally authorized tax practitioners licensed by the IRS. They specialize in:

• Preparing and filing individual and business tax returns
• Representing taxpayers before the IRS during audits, collections, or appeals
• Advising on tax compliance and planning at the federal level

EAs receive unlimited practice rights—unlike CPAs, whose representation rights extend only to their state’s tax agencies.

Qualifications and Licensing
Becoming an EA requires one of two paths:

1. Passing a comprehensive three-part Special Enrollment Examination (covering individual, business, and representation topics)
2. Having at least five years of IRS experience in a relevant role

EAs must complete continuing education in taxation to maintain their status.

When to Hire One

• You need expert IRS representation during an audit or collection
• You want accurate, up-to-date federal tax advice
• You’re a small business or individual looking for specialized tax preparation

An EA ensures you’re fully compliant with IRS rules and can stand by you if questions arise.

Comparing Roles: Who Does What?

How to Choose the Right Professional in Georgia

1. Assess Your Immediate Needs
   • For organized records and simple reports, start with a bookkeeper.
   • For federal tax expertise and IRS representation, enlist an Enrolled Agent.
   • For comprehensive financial, tax and advisory services, engage a CPA.
2. Consider Your Budget
   Bookkeepers typically charge hourly rates ranging from $25 to $50. EAs and CPAs may charge $100 to $300 per hour, depending on complexity.
3. Check Credentials
   Always verify an EA’s IRS enrollment and a CPA’s Georgia license through state and federal directories. Ask bookkeepers about software certifications and client references.
4. Seek Local Experience
   Georgia’s tax rules, sales tax nuances and local incentives matter. Professionals familiar with the Atlanta business environment, Fulton and DeKalb county regulations, and state-specific credits bring extra value.

Working Together for Best Results

Many businesses benefit from a three-tiered approach:

1. Bookkeeper for daily record keeping
2. Enrolled Agent for federal tax preparation and IRS representation
3. CPA for strategic planning, state tax compliance and financial audits

This team ensures your records are solid, your taxes are compliant, and your financial decisions are informed by data.