Whether you run a small business or you’re self-employed, bookkeeping is an essential task. Like it or not, it needs to be done.
One of the things that many people overlook when handling their own bookkeeping data is security. You’ll be handling personal and financial data that could be very valuable to hackers if it ever got into their hands.
However, it’s not just your data that you need to think about protecting. If you have the professional and personal data of your clients on file, this too could be at risk of being stolen.
You need to have a plan for taking good care of your bookkeeping data. Here, we’ll talk about how you can keep your financial records secure.
Carry Out Regular Software Updates
How often do you get a notification telling you to update your software? When you get these notifications, how often do you click remind me later?
Software updates are essential in ensuring your computer is secure and should not be ignored. Hackers look for systems that are not kept up-to-date with the latest security updates.
Set your computer up so that it automatically updates.
Keep Your Bookkeeping Data Secure by Creating Strong Passwords
If you’re using weak passwords, it won’t take much effort to break into your confidential data. You could be looking at a data breach which could cost you your reputation and your business.
Use the strongest possible passwords and change them on a monthly basis.
Implement Multi-Factor Authentication
In addition to strong passwords, use multifactor authentication. The strongest examples would be to use a biometric form of authentication such as a fingerprint or facial recognition.
At the very least, you should include secondary passwords or security questions to prevent unwanted access to your private data.
Only Collect Relevant Data
If you’re only collecting what you need for your financial records and tax returns, then you’ll cut down on the amount of data that’s available to hackers.
Review all the data that you’re storing and ask yourself whether you need to keep this information on file. If it’s not necessary, you’re better off not having it.
Use Data Encryption
One way that you can protect your sensitive information is by creating safe areas for data. The best way of protecting your data is by encrypting it.
Once your data is encrypted, it is scrambled. Unless someone has the key, they will be unable to access the data. Think about encrypting your entire drive to protect all of your data.
Hire a Bookkeeping Company
One of the best ways of ensuring your bookkeeping data is as secure as possible is to hire the services of a professional bookkeeping company.
A professional bookkeeping service will be confidential and secure. At Books by Schmidt, we go above and beyond to make sure that your professional and personal data is safe.
Get in touch today to find out how we can take the stress out of your bookkeeping.