Is my accounting data safe in the cloud?

This is such a popular question.

It’s all very well to be signing up for subscriptions for accounting software willy-nilly but when you think about it….you are trusting a provider with all your information including linking your bank accounts and personal tax information. And its all up there. Floating around in the ether. And possibly being plucked out and used without our consent.

Or is it?

Now I can’t answer that entire question about everything we put in the cloud as then, well, I’d probably be tapped into the whole meaning of life area. A little much for my blog to be jumping into.

But maybe I can help shed some light on Xero and MYOB. My preferred tools for keeping all of your and my own data.

Everything that is entered into Xero and MYOB cloud programs are held in an encrypted form. What this means is that your information is in the cloud written in a complicated code to protect you against hackers and such. And your password in the key that unlocks this code!

You know…that same password that you maybe use for every single thing??? Even for your ¬†coffee rewards membership???

Might be time to rethink the use of keeping one password for your whole life, hey?

Are you aware that there is a function called Two-Factor Authentication on both Xero and MYOB? This is an opt-in area in your settings so that you can link either a list of questions to be answered or alternatively a random number that is sent to an app on your phone. This gives an extra layer of security as well as using your password to gain entry into opening your program.

So, if you were to misplace your phone or your laptop, anyone trying to get into your accounting data will be have to do a whole lot more than guessing your dogs favourite food or your mum’s maiden name. And any outsider that attempts to hack into your data will have a jolly tough time of cracking the encryption code on your details.

For detailed instructions on how to set up this process, I’ve included some links to get your started.

For Xero

http://help.xero.com/au/MyXero_TwoStepAuthentication

For MYOB

http://help.myob.com/wiki/x/bwfq

Just to assure you, it is mandatory for all bookkeepers and accountants to have this Two Factor Authentication on all our client files by 30 June 2018.

But you would be crazy to wait till then. Get started today!!

 

 

 

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