Multicurrency accounting in Hong Kong
We explain to set up a multicurrency bank account, build a multicurrency accounting system, and integrate it with multicurrency accounting software
What is a multicurrency accounting system?
If you receive and send payments in other currencies than the Hong Kong dollar, you need a multicurrency bank account. You then need to report for these transactions just as you do for all the others. A multicurrency accounting system records transactions in foreign currencies, add them to financial statements and tax reports.
What are the multicurrency accounting standards?
The key part of multicurrency accounting is to show what the transaction was worth in base currency (that is, HKD) when it transpired. That’s why your invoices would usually show both: the foreign currency and its Hong Kong dollar equivalent.
What do I need for multicurrency accounting?
To set up multicurrency accounting, you’ll need:
- A multicurrency bank account. Make sure they process payments quickly and without high currency exchange fees.
- Bookkeeping platform to manage paperwork.
- An accountant who has experience managing multiple currencies to put together reports and statements. Alternatively, you can do it yourself if you have time and know what to do.
Trusted by entrepreneurs
worldwide
89%
of customers recommend us
9,500
clients worldwide
part of an ecosystem
part of an ecosystem