The shift to cloud-based accounting has permanently changed how small businesses manage their finances — and how they work with their CPAs. A properly configured remote accounting system gives you real-time visibility into your financials from any device, automates routine data entry through bank feeds, and allows your CPA to access your books without waiting for file transfers or in-person meetings.
For Utah small businesses operating with lean teams, remote accounting is not a luxury — it is the most efficient way to maintain accurate books, prepare for tax season, and make informed decisions with current data.
This guide walks through selecting your platform, connecting your accounts, configuring your chart of accounts, setting up your document workflow, and establishing the remote collaboration model with your CPA.
Step 1: Choose Your Cloud Accounting Platform
QuickBooks Online (QBO)
Best for: Most Utah small businesses; businesses that want the widest ecosystem of integrations; businesses whose CPA uses QBO as their primary platform.
Strengths: Industry-standard; integrates with nearly every payroll provider, e-commerce platform, POS system, and industry app; robust reporting; strong mobile app; Accountant access feature is seamless.
Limitations: Higher cost than alternatives; can be over-featured for very simple businesses; some users find the interface cluttered.
Pricing (2024): Simple Start $30/mo; Essentials $60/mo; Plus $90/mo; Advanced $200/mo.
Xero
Best for: Businesses that prioritize clean UI and strong bank reconciliation; multi-currency businesses; businesses with international operations.
Strengths: Excellent bank feed reliability; clean dashboard; unlimited users at all plan levels; strong accounts payable management; Hubdoc included for document capture.
Limitations: Slightly fewer third-party integrations than QBO in the US market; payroll requires separate Gusto integration.
Pricing (2024): Starter $15/mo; Standard $42/mo; Premium $78/mo.
Wave
Best for: Freelancers and very early-stage businesses with simple needs and tight budgets.
Strengths: Free core accounting, invoicing, and receipt scanning; simple interface; no transaction limits.
Limitations: No inventory management; limited reporting; payroll is a paid add-on; less CPA-friendly than QBO or Xero; not suitable for businesses with employees or complex operations.
FreshBooks
Best for: Service businesses that invoice clients and need strong time tracking.
Strengths: Best-in-class invoicing and client management; strong time tracking; simple interface.
Limitations: Not a full double-entry accounting system; limited for businesses with significant expense management needs; not ideal for tax preparation.
Our recommendation for most Utah small businesses: QuickBooks Online Plus or Xero Standard. Both support double-entry accounting, multi-user access, and the reporting depth needed for tax preparation and management decision-making.
Step 2: Connect Your Financial Accounts
Bank Feed Setup
The most powerful feature of cloud accounting is automatic bank feed: your bank transactions import directly into your accounting software daily, eliminating manual data entry and providing a real-time transaction record.
For each bank and credit card account:
- Navigate to Banking/Transactions in your software
- Add account → search for your bank
- Authenticate using your online banking credentials
- Select the accounts to connect
- Choose a start date (typically January 1 of the current year)
Most major Utah banks connect directly: Zions Bank, KeyBank, US Bank, Chase, Wells Fargo, Mountain America Credit Union, and America First Credit Union all support direct bank feeds in QBO and Xero.
If direct feed is unavailable: Download transactions as CSV from your bank’s online portal and import manually. QBO and Xero both accept CSV imports.
Separate Business and Personal Accounts
Never connect personal accounts to your business accounting software. If you have been using a personal account for business, open a dedicated business checking account immediately and begin routing all business income and expenses through it. See our business launch checklist for bank account setup guidance.
Step 3: Configure Your Chart of Accounts
The Chart of Accounts (COA) is the master list of all account categories your business uses to record transactions. It drives every financial report and tax return.
Standard COA Structure
| Account Category | Typical Accounts |
|---|---|
| Assets | Bank accounts, accounts receivable, inventory, prepaid expenses, fixed assets (equipment, vehicles, computers), accumulated depreciation. |
| Liabilities | Accounts payable, credit cards, payroll liabilities, sales tax payable, loans payable. |
| Equity | Owner’s capital, retained earnings, owner draws/distributions. |
| Revenue | Sales by product or service line (customize to your business). |
| Cost of Goods Sold / Direct Costs | Direct materials, direct labor, subcontractor costs. |
| Operating Expenses | Payroll/wages, rent, utilities, insurance, professional fees, advertising, software subscriptions, vehicle expenses, meals (50%), office supplies, bank fees. |
Utah-Specific Accounts to Include
- Utah Sales Tax Payable: If you collect Utah sales tax, create a separate liability account to track amounts owed to the Utah State Tax Commission
- Utah SUI Payable: Track Utah State Unemployment Insurance contributions separately from federal FUTA
- Utah PTET Payable: If you make the Utah Pass-Through Entity Tax election, track the estimated payments in a dedicated account
Mapping to Tax Returns
Your CPA will map your QBO/Xero accounts to the appropriate lines on your tax return (Schedule C, Form 1065, Form 1120-S). Discuss your COA setup with your CPA before your first year-end to ensure the accounts align with tax reporting requirements.
Step 4: Set Up Document Management
A remote accounting system is only as good as the documentation behind it. Every transaction needs a supporting document — receipt, invoice, bill, or statement. Cloud accounting makes this simple.
Receipt Capture
QBO: Use the Receipt Capture feature in the mobile app — photograph a receipt and QBO extracts the vendor, date, and amount automatically, then matches it to the bank feed transaction.
Xero: Use Hubdoc (included with Xero) — photograph receipts, forward email invoices, and Hubdoc automatically uploads them to Xero and attaches them to transactions.
Third-party options: Dext (formerly Receipt Bank) integrates with both QBO and Xero and adds workflow features for multi-user environments.
Bill and Invoice Management
For accounts payable, use QBO’s Bill Pay or Xero’s Bill Management to track vendor invoices, schedule payments, and maintain a digital record of every bill paid. For businesses with high AP volume, standalone tools like Bill.com add approval workflows and payment automation.
Document Retention
The IRS requires retention of supporting documents for the period the statute of limitations remains open — generally 3 years from filing, extended to 6 years if significant income is understated. Store documents in the cloud (Google Drive, Dropbox, or the document storage built into QBO/Xero) with consistent naming conventions and folder structure.
Step 5: Set Up Payroll Integration
If you have employees, integrate your payroll system with your accounting software for automatic journal entry posting.
Recommended integrations:
- Gusto + QBO or Xero: Highly rated; clean integration; handles new hire reporting, direct deposit, W-2s, and Utah withholding
- QBO Payroll (built-in): Seamless if already using QBO; handles federal and Utah state payroll taxes
- ADP + QBO: Enterprise-grade; best for businesses with 20+ employees and complex payroll needs
After each payroll run, the integration posts a journal entry to your books recording wages, employer taxes, and net pay — keeping your financials current without manual entry.
See our payroll processing guide for full payroll setup guidance.
Step 6: Grant CPA Access
Cloud accounting is designed for shared access. Rather than emailing exports or scheduling in-person file reviews, your CPA connects directly to your live books.
In QuickBooks Online:
- Settings → Manage Users → Accountants → Enter your CPA’s email
- Your CPA receives an invitation and connects using their QuickBooks Accountant account
- Accountant access includes full view and edit capability without consuming a paid user seat
In Xero:
- Settings → Users → Invite a User → Adviser role
- Adviser access allows your CPA to lock periods, post journal entries, and run any report
With CPA access established, your quarterly review, year-end close, and tax preparation happen without file transfers, version conflicts, or delays. Your CPA sees what you see — in real time.
Step 7: Establish Your Monthly Close Routine
A remote accounting system only stays clean with a disciplined monthly routine:
Weekly (10–15 min):
- Review imported bank feed transactions; categorize any uncategorized items
- Photograph and attach receipts for any out-of-pocket expenses
Monthly (30–60 min):
- Reconcile all bank and credit card accounts to statements
- Review accounts receivable aging — follow up on overdue invoices
- Review accounts payable — confirm all bills are entered and scheduled
- Review income statement vs. prior month and budget
- Send monthly financials to your CPA for review
Quarterly:
- Review with your CPA; adjust estimated tax payments if needed
- Review payroll tax deposits and confirm quarterly Form 941 is filed
- Submit Utah withholding return
Annually:
- Year-end close with your CPA — adjusting entries, depreciation, accruals
- Provide access for tax return preparation
- Archive the year and set up the new year’s accounts
Security for Remote Accounting
- Use multi-factor authentication (MFA) on your accounting software login — required, not optional
- Use unique, strong passwords for each financial platform; use a password manager
- Limit user permissions — employees who enter bills should not have check-writing authority
- Review user access logs quarterly — remove access for departed employees immediately
- Never share login credentials — each user should have their own login
See our cybersecurity for small businesses article for a full security review framework.
Get Set Up Right the First Time
A remote accounting system configured correctly from the start saves hundreds of hours of cleanup work over the life of the business. Configured incorrectly, it produces unreliable financials that cannot be used for tax preparation, loan applications, or management decisions.
Call (801) 927-1337 or visit cpaone.net/bookkeeping to schedule a setup consultation. We configure QuickBooks Online and Xero for Utah small businesses, train owners and bookkeepers on the monthly routine, and connect your books to our CPA platform for ongoing advisory services. Questions? Email us at admin@cpaone.net.
Missy Dennis, CPA | Partner | FJ & Associates, PLLC | Kaysville, Utah
Missy holds a Master of Accounting degree from the University of Utah and is a licensed Certified Public Accountant. She is committed to providing clear, accurate, and actionable guidance so clients can navigate complex financial decisions with confidence. With more than twenty years of public accounting experience, Missy Dennis specializes in: Tax preparation and tax advisory; Bookkeeping strategy alignment; Estate and trust taxation; Audit and consulting services; Low-income housing tax credits; Non-profit accounting; Small- and mid-sized business advisory.
