IAB Qualifications · Manual bookkeeping

IAB Bookkeeping Qualifications

Three regulated qualifications that take learners from their first double entry to preparing financial statements. Assessed online, graded pass or fail, with no formal entry requirements.

Compare the three levels Which level is right for me?

Operational End Date: 1st March 2027. This applies to all three qualifications.

Trial balanceThe Level 1 finish line. Illustrative figures.

Account	Dr £	Cr £
Bank	4,250
Equipment	6,500
Purchases	3,600
Rent	1,200
Sales		9,800
Capital		5,000
Trade payables		750
Total	15,550	15,550

✓ Balanced

3Levels, from introduction to final accounts

32 to 80Guided learning hours per qualification

12Mandatory units across the suite

NoneFormal entry requirements

Find your starting point

Which level is right for you?

Each qualification is written for a different starting point. Pick the one that sounds most like you.

Starting from scratch

Level 1 Award in Bookkeeping

For learners with no prior knowledge, junior staff, career changers, and small business owners who keep their own books.

See Level 1

Some practical experience

Level 2 Certificate in Bookkeeping

For learners who want an accredited qualification, people with hands-on experience, and those planning to go self-employed.

See Level 2

Already an experienced bookkeeper

Level 3 Certificate in Bookkeeping and Accounting

For experienced bookkeepers formalising their knowledge, holders of earlier qualifications, and practitioners moving towards accounts preparation.

See Level 3

The qualifications

Three levels, one clear route

Every unit is mandatory and every assessment is taken online. Download the qualification specification for the full learning outcomes and assessment criteria.

Level 1The introduction to double entry

Level 1

IAB Level 1 Award in Bookkeeping

Ideal for complete beginners and small business owners

Suitable for learners wanting an introduction to the process of keeping double entry records, preparing reconciliations and a trial balance.

Unit 1 Introduction to bookkeeping6 GLH
Unit 2 Keep double entry records and prepare a trial balance20 GLH
Unit 3 Prepare reconciliations6 GLH

Qualification number 601/9065/6

Qualification specification (PDF)

At a glance

Guided learning: 32 hours
Total qualification time: 50 hours
Assessment: One online knowledge test (1 hour) and two online assignments (2 hours and 1 hour)
To pass: At least 60% in each assessment
Entry: No formal requirements. Basic numeracy and literacy recommended.

Level 2Day-to-day bookkeeping, done properly

Level 2

IAB Level 2 Certificate in Bookkeeping

Ideal for learners with some experience and aspiring self-employed bookkeepers

Provides the underpinning knowledge and skills needed to carry out a range of day-to-day bookkeeping routines using a sub-divided double entry system, up to trial balance stage.

Unit 1 Principles of bookkeeping and VAT8 GLH · knowledge test, 1 hr
Unit 2 Financial services and payment methods4 GLH · knowledge test, 1 hr
Unit 3 Prepare and check business documents8 GLH · assignment, 1.5 hrs
Unit 4 Record transactions in a sub-divided bookkeeping system20 GLH · examination, 2 hrs
Unit 5 Prepare a trial balance and reconciliations10 GLH · assignment, 1.5 hrs

Qualification number 601/9061/9

Qualification specification (PDF)

At a glance

Guided learning: 50 hours
Total qualification time: 120 hours
Assessment: Two knowledge tests, two assignments and one examination, all online
To pass: 70% in knowledge tests and assignments, 60% in the examination
Entry: No formal requirements. Basic numeracy, literacy and some bookkeeping knowledge are desirable.

Level 3From the books to the final accounts

Level 3

IAB Level 3 Certificate in Bookkeeping and Accounting

Ideal for experienced bookkeepers and self-employed practitioners

Introduces accounting adjustments and the preparation of financial statements from double entry and incomplete records, for sole traders, partnerships and not-for-profit clubs and societies.

Unit 1 Principles of accounting10 GLH · knowledge test, 1 hr
Unit 2 Make accounting adjustments25 GLH · assignment, 1 hr
Unit 3 Prepare financial statements from double-entry records for sole traders and partnerships25 GLH · examination, 3 hrs
Unit 4 Prepare financial statements from incomplete records for sole traders and not-for-profit organisations20 GLH · assignment, 1 hr

Qualification number 601/9058/9

Qualification specification (PDF)

At a glance

Guided learning: 80 hours
Total qualification time: 220 hours
Assessment: One knowledge test, two assignments and one 3-hour examination, all online
To pass: 70% in the knowledge test, 60% in the assignments and the examination
Entry: No formal requirements, but centres check for sound bookkeeping knowledge to trial balance, relevant work experience or the Level 2 Certificate.

Side by side

Compare the bookkeeping qualifications

The key numbers from each specification in one table.

	Level 1 Award	Level 2 Certificate	Level 3 Certificate
Guided learning hours	32	50	80
Total qualification time	50 hours	120 hours	220 hours
Mandatory units	3	5	4
Longest single assessment	2-hour assignment	2-hour examination	3-hour examination
Grading	Pass or fail	Pass or fail	Pass or fail
You finish able to	Keep double entry records, reconcile and prepare a trial balance	Run a sub-divided bookkeeping system to trial balance, including VAT	Make year-end adjustments and prepare financial statements
Operational End Date	1st March 2027	1st March 2027	1st March 2027

Progression

Where each level leads

Learners can start at the level that matches their experience, then move up a level or across into another qualification at the same level.

1Level 1 AwardDouble entry, reconciliations and a trial balanceSee Level 1
2Level 2 CertificateDay-to-day bookkeeping with VAT and business documentsSee Level 2
3Level 3 CertificateAccounting adjustments and financial statementsSee Level 3
4Level 4 studyContinue with IAB accounting qualificationsExplore Level 4

Also at every levelPrefer to learn on software? Computerised Bookkeeping qualifications run at Levels 1, 2 and 3.

The wider portfolio

Explore other IAB qualifications

Computerised BookkeepingLevels 1 to 3Explore Payroll for BusinessLevels 1 and 2Explore Computerised PayrollLevels 1 to 3Explore AccountingLevel 4Explore LCCI QualificationsLevels 1 to 3Explore

FAQs

Bookkeeping qualification questions

Do I need any qualifications to start?

No. None of the three qualifications has formal entry requirements. Basic numeracy and literacy are recommended for Level 1, and some bookkeeping knowledge is desirable for Level 2. For Level 3, centres check that learners have sound bookkeeping knowledge up to trial balance, relevant work experience, or the IAB Level 2 Certificate in Bookkeeping or equivalent.

How are the qualifications assessed?

Every unit is assessed online, through a knowledge test, an assignment or an examination. Level 1 uses one knowledge test and two assignments. Level 2 uses two knowledge tests, two assignments and a 2-hour examination. Level 3 uses one knowledge test, two assignments and a 3-hour examination.

What mark do I need to pass?

At Level 1 you need at least 60% in each assessment. At Level 2 you need 70% in knowledge tests and assignments and 60% in the examination. At Level 3 you need 70% in the knowledge test and 60% in the assignments and examination. Results are pass or fail, with no grades.

How long does each qualification take?

Total qualification time, which covers guided learning plus independent study and assessment, is 50 hours for Level 1, 120 hours for Level 2 and 220 hours for Level 3. Guided learning hours are 32, 50 and 80 respectively.

What is the difference between Level 2 and Level 3?

Level 2 covers day-to-day bookkeeping up to trial balance, including VAT, payment methods and business documents. Level 3 moves into accounting: making adjustments and preparing financial statements for sole traders, partnerships and not-for-profit organisations.

What is the operational end date?

The operational end date for all three qualifications is 1st March 2027.