
Bookkeeping in Georgia has seen major growth and upgrades over the years. From having a traditional model of bookkeeping, organizations have switched to a more advanced model of cloud and application type of bookkeeping. With this upgrade, the chances of data theft and security attacks have also risen.
However, with the help of proper cyber security practices, these problems can be solved, and a quick response to any cyber security incident can be made. All Bookkeeping services in Atlanta, GA, have also started adopting security practices to make sure that the client data is safe and encrypted.
How Do The Worlds of Cybersecurity Meet Bookkeeping?
- Bookkeeping involves accurately and in a timely manner recording financial transactions that include income, expenses, assets, liabilities, and equity. This requires access to financial data such as client information, financial statements, and tax returns. This procedure is mainly done through accounting software, cloud-based applications, or any other digital tool.
- Cyber security is responsible for protecting sensitive data, including financial information and also prevents unauthorized access or damage to that data. This involves the implementation of security measures to prevent any possible cyber attacks, data breaches, or any other security incidents. This is a critical part of the accounting area, where financial data is the prime target of cybercriminals.
Establishing The Connection Between Cybersecurity And Accounting
Data protection Security.
- Data protection is the primary concern when it comes to both bookkeeping and cyber security. Bookkeeping involves handling sensitive financial data that needs to be protected from cybercriminals. Cyber security consists of putting measures such as encryption in access control within the data storage area ( cloud, application).
Accounting software Protection.
- Accounting software is often the backbone of bookkeeping, where all the accounting and bookkeeping procedures are done. However, this software can be vulnerable to cyber-attacks. Cyber security measures such as software updates and patching help save the systems from exploitation.
Client Data Security.
- Client data is one of the most critical aspects of bookkeeping, and it needs to be protected at all costs. Data is the prime target of cybercriminals, and it can be protected by implementing several security measures such as encryption, data backup, and recovery.
Compliance With Government Regulations.
- Bookkeepers and accountants cannot function on their own with free will. They have to comply with regulations such as the Gramm-Leach-Bliley Act and the Health Insurance Portability and Accountability Act. These acts have made cyber security measures compulsory to protect sensitive data.
What Are The Possible Threats To The Bookkeeping and Accounting Firms?
- Phishing attacks happen when scammers start posing as clients or windows to trick you into revealing sensitive information that is not supposed to be known by them.
- There is a possibility of a ransomware attack happening where a certain piece of malware will encrypt all the necessary data and demand payment in exchange for decryption.
- Unauthorized access to client data is known as a data breach, where a cybercriminal will forcefully get his hands on the data, which can include financial information and personally identifiable information.
- Malicious software that can compromise the systems and data are known as viruses and malware. If the interview application or cloud-based setup, you can lose all your data within a few minutes, and your system might come crashing down.
What Are Cybersecurity Best Practices for Safer Bookkeeping?
- Cyber security can be achieved easily if you use complex passwords and multi-factor authentication to secure access to the data itself. Most of the problems will be solved if a hacker cannot get to your data in the first place.
- Using technology’s Lake encryption can protect your data in transit and address from getting breached or modified. SSL and AES are good examples of encryption.
- You have to limit access to the sensitive areas inside your software by using firewalls to block unauthorized access. Network segmentation should be done correctly to make sure that only authorized users can have access.