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FreshBooks is our top pick due to its ease of use
By
Eric Rosenberg
Eric Rosenberg
Eric Rosenberg is a financial writer with more than a decade of experience working in banking and corporate accounting. He specializes in writing about cryptocurrencies, investing and banking among other personal finance topics. Eric has an MBA in finance from the University of Denver.
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Updated on June 16, 2023
Fact checked byMatthew Klammer
We independently evaluate all recommended products and services. If you click on links we provide, we may receive compensation. Learn more. Accounting software is used by individuals and business owners to enter income and expenses and track their finances. It’s more efficient and makes fewer mistakes than manual processing. It can also save time with features like automation and it gives the owner a place to store important documents and receipts to access at any time.If accounting isn’t your strength or even if it is and you want to save time, read on to see which accounting software is right for your business. To determine the best accounting software, we researched more than 20 programs and applications before deciding on the top eight. We chose these based on the features and functions specifically designed for small business owners, ease of use, cost, and more.Here are our top picks. Best Accounting Software of 2024 Best Accounting Software of 2024 Final Verdict Compare Providers FAQ Methodology Why We Chose It FreshBooks claims our top spot for best accounting software because it's easy to use, even for accounting novices, has reasonable price points, and has a mobile app for easy access. Pros & Cons Pros Easy to use Four subscription tiers available Mobile friendly Cons Users complain about being double charged Some users' personal information has been compromised in data breaches Overview FreshBooks uses cloud-based accounting and invoice software that can be accessed via iPhone, Android, and iPad apps. It claims our top spot for best accounting software because it's easy to use. Even business owners with little or no accounting experience can take advantage of its robust features and helpful functions. It's also reasonably priced and can be used on the go. FreshBooks' features include: FreshBooks' pricing is tiered as follows: FreshBooks may also offer discounts or bundled pricing if you pre-pay, so make sure you check the website for any offers before you sign up. Although customer reviews on third-party sites are mostly positive for FreshBooks, with some users lauding the ease of use in invoicing customers, others note ongoing problems with being double charged. Other users have expressed that their personal information was compromised in data breaches. Why We Chose It Our runner-up for the best overall option is QuickBooks. It's another program that is easy for business owners with no accounting experience to use and is quick to set up, reasonably priced, and offers tools and features that are helpful for small business accounting. However, issues with customer service kept it from taking the top spot. Pros & Cons Pros Easy to use, even for business owners with no accounting experience Integrates with financial institutions as well as PayPal, Square, and more User guides and tax data exporting to help file quarterly and annual tax returns Cons Users report problems with customer service Overview QuickBooks is another cloud-based accounting software program that also offers separate desktop options you can purchase and download. Its products are typically geared toward small- and medium-sized businesses, and more than 24% market share.It keeps everything organized in one place and keeps your business tax-ready all year long. Features of QuickBooks include: QuickBooks offers tiered pricing so you can pick the best plan for your needs: Contact QuickBooks directly to see which specific features are included in each tier. Although some customers are impressed with the ease of use, not all users are fans. Third-party customer reviews point to some problems with customer service with users noting that it takes a long time to get help. Why We Chose It Sage is our pick as the best accounting software for multiple users because that's what the program is designed for. If your business has an accountant, they can use the software and access your books for no additional fees. Pros & Cons Pros Excellent for multiple users Accountants can use the software for free Cashflow forecast capabilities Cons Customer service is not available 24/7 Perpetual licenses unavailable on desktop software as of 2023 Overview Sage Business Cloud Accounting, formerly known as Sage One, is cloud-based accounting software that allows you to choose your industry, company size, and needs. It will match you with specific accounting solutions and is used by more than 6 million businesses. Sage Business Cloud Accounting's features include: Pricing is tiered for Sage Business Cloud Accounting as follows: Contact the company directly for specific features your business may need. Although some users praise customer service, others note that customer service is not available 24/7, which makes it difficult for companies to get help outside normal business hours. Additionally, some users report that they purchased a perpetual license from Sage, but were informed that they would no longer be provided desktop software access as of 2023. Why We Chose It We chose AccountEdge Pro as our best accounting software for experienced accountants because of its robust features, reporting capability, and customization options. Pros & Cons Pros Excellent for experienced accountants Offers customer and vendor management Syncs data with company files Cons Not beginner-friendly Expensive compared to other accounting software programs Overview AccountEdge Pro is desktop accounting software for small businesses. It offers robust features and reporting capability, but this is not beginner-friendly software, so if you're not familiar with accounting terminology, you might want to skip this one. It’s geared toward small- to medium-sized businesses, has a basic version and a Enterprise version, and offers comprehensive accounting solutions full of customizations. Although AccountEdge Pro is a desktop program, it does offer a cloud-based app you can access from your smartphone. AccountEdge Pro's features include: Pricing for AccountEdge Pro is as follows: To find out more about what features are included and how much add-ons cost or to add custom features, it’s best to contact the company directly. Why We Chose It Wave Accounting is our pick as the best accounting software for value because it's based in the cloud, simple to use, and most of its features also happen to be free. Pros Accounting, receipt scanning, and invoicing are free Financials are easy to read on the dashboard Unlimited expense and income tracking Cons Credit card processing, bank payments, and payroll services are not free Overview Wave Accounting is an invoicing and accounting software program that also has credit card processing and payroll services. Most of its features also happen to be free, making it a great budget option. Keep in mind that payroll services and credit card processing have charges associated with them, so not all of the features are free, and the free features aren’t as robust as some of the other software options. However, it’s great for new businesses, especially those working with an accountant or another software program. It’s cloud-based, easy to use, and can be utilized by business owners with no accounting or bookkeeping experience. All of your data is backed up for extra security, and you can connect your bank accounts to sync your expenses at any time from anywhere. Wave Accounting's features include: Pricing for Wave Accounting is as follows: Why We Chose It We chose Xero as our accounting software with the best extra features because it offers a document hub where you can capture bills and receipts, as well as track projects and costs. Pros & Cons Pros Comes with a 30-day free trial Extra features include a Hubdoc where you can capture bills and receipts and track projects and costs Two-step authentication to protect data Cons Customers complain that subscription prices frequently increase Overview Xero is a web-based accounting system designed for small and growing businesses. No accounting knowledge is necessary, but what really sets it apart are its extra features. It has a Hubdoc with two-step authentication to keep your data secure, as well as different subscription plans for different business needs. The software itself is generally considered easy to set up and use. It’s cloud-based and also has Android and iPhone apps. Not to mention its dashboard is intuitive and easy to read, and it can be used to collaborate with multiple users including team members, employees, and your accountant. Xero's features include: Pricing for Xero is as follows: Xero comes with a free 30-day trial and although most customers rave about Xero's customer service, some complain that prices are frequently raised. Why We Chose It We chose Zoho Books as our best accounting software for automation because it offers robust accounting features and automation for bank feeds, categorizing, invoices, and more. Pros & Cons Pros Automation for bank feeds, categorization, invoices, and more More than 40 app integrations Cons Only offers payroll to companies in the United States and India Overview Zoho's online accounting software lets you track your finances, create invoices, collaborate with your accountant in real-time, and more. It includes multiple products including accounting software, customer relationship management (CRM), inventory control, and human resource management software. It also has more than 40 app integrations so it can be used with the software you’re already using. Zoho Books requires no accounting knowledge and can be easily set up. However, it only offers payroll features to companies in the United States and India, so if you need payroll solutions, you will have to choose another accounting software. Zoho Books' features include: Pricing for Zoho Books is tiered as follows: Businesses of all sizes rely on accounting software to keep track of their finances. Choosing the right accounting software can make or break your business. FreshBooks is our pick as the best overall accounting software because we believe it offers the most features to the most types of businesses at reasonable, accessible price points. But every business is different. If you need to operate within a strict budget, Wave Accounting is a great option. For users with accounting experience, AccountEdge Pro gives you a lot of customization tools to make its software fit your needs. The three types of accounting arecost, managerial, and financial accounting. They each have different meanings and accomplish separate goals, and ideally, the accounting software you use will be able to tackle all three. You can do bookkeeping for your business in Excel. However, you will be responsible for all aspects of your accounting, which can be overwhelming for a business owner who's starting out or someone who struggles with math. Accounting software is more efficient and makes fewer mistakes than manual processing like Excel. The two primary methods of accounting arethe cash method and the accrual method. With the cash method, income is recorded when it's received and expenses are recorded then they're paid. With the accrual method, income is recorded when it is earned and expenses are recorded when they're incurred. They are different—QuickBooks focuses on the accounting processes of small businesses, and Quicken focuses on the finances of individuals and families. We selected the best accounting software by thoroughly researching and reviewing 20 different options. We then chose the top eight based on factors including their accounting features, functions, how easy they are to use for a non-accountant, and price. All of our top picks require minimal accounting experience, provide affordable, customizable accounting features that integrate with other software and apps, and offer cloud-based backup options. Article Sources Seeking Alpha. "Intuit: Higher Upside On Robust Double-Digit Growth." Sage. "About Sage." Newsletter Sign Up Newsletter Sign Up We and our 100 partners store and/or access information on a device, such as unique IDs in cookies to process personal data. You may accept or manage your choices by clicking below, including your right to object where legitimate interest is used, or at any time in the privacy policy page. These choices will be signaled to our partners and will not affect browsing data. Store and/or access information on a device. Use limited data to select advertising. Create profiles for personalised advertising. Use profiles to select personalised advertising. Create profiles to personalise content. Use profiles to select personalised content. Measure advertising performance. Measure content performance. Understand audiences through statistics or combinations of data from different sources. Develop and improve services. Use limited data to select content. Best Accounting Software of 2024
Best Overall : FreshBooks
Plan Cost Best For Lite $17/month Self-employed business owner with 5 billable clients Plus $30/month Businesses with 50 billable clients Premium $55/month Growing businesses supporting unlimited billable clients Select Custom Unlimited billable clients Runner-Up, Best Overall : Intuit QuickBooks
Plan Cost Best For Simple Start $30/month Businesses just getting started Essentials $55/month Growing businesses with up to three users Plus $85/month Businesses that need help with organization, project management, inventory, and contractors with up to five users Advanced $200/month Businesses that need help with analytics, deeper insights, exclusive apps, automated workflows, and a dedicated support team with up to 25 users Best for Multiple Users : Sage Business Cloud Accounting
Plan Cost Best For Accounting Start $10/month Entry-level accounting help to manage cash flow Accounting $25/month Cloud accounting for cash flow tools, invoice management, and quote/estimate capabilities for unlimited users Best for Experienced Accountants : AccountEdge Pro
Plan Cost AccountEdge Pro (Windows or Mac) $699 one-time fee or $15/month for a license; $299 one-time fee or $25/month for payroll tax plus support Best Value : Wave Accounting
Pros & Cons
Features Cost Accounting, Invoicing Free Credit card processing 2.9% plus $0.30 for Visa Mastercard, and Discover, and 3.4% plus $0.30 for American Express Bank payments (ACH) 1% per transaction with $1 minimum fee Payroll $40 monthly ($20 for self service states) plus $6 per active employee and $6 per independent contractor Best Extra Features : Xero
Plan Cost Features Early $13/month Send 20 invoices, enter five bills, reconcile bank statements, capture bills and receipts Growing $37/month Send invoices and quotes, enter bills, reconcile bank statements, capture bills and receipts Established $70/month Includes all Growing tier features plus multiple currencies, expenses, and projects Best for Automation : Zoho Books
Plan Cost/Billed Annually Features Basic Free For businesses with up to $50,000 in annual revenue; includes up to two users, up to 1,000 invoices per year, payment gateways, and expenses and mileage tracking with email support only Standard $15/month Up to three users, up to 5,000 invoices per year, recurring expenses with email, voice, and chat support Professional $40/month Up to five users, up to 10 automated workflows, timesheet tools, project profitability, and retainer invoices with email, voice, and chat support Premium $60/month Up to 10 users, up to 200 automated workflows, vendor portal, budgeting tools, premium integrations with email, voice, and chat support Elite $120/month Unlimited reporting, Advanced Multi-currency Handling, Inventory Control Ultimate $240/month Up to 15 users, 25 custom modules, Advanced Analytics Final Verdict
Compare the Best Accounting Software
Company Cost Features Mobile App FreshBooks
Best Overall$17 to $55+ per month Time tracking, bank integration, tax help Yes Intuit QuickBooks
Runner-Up, Best Overall$30 to $200 per month Financial integration, tax exporting, mile tracking Yes Sage Business Cloud Accounting
Best for Multiple Users$10 to $25 per month Manage payroll, forecasting, human resources add-ons Yes AccountEdge Pro
Best for Experienced Accountants$199 to $699 one-time fee or $15 per month Inventory management, bank integration, vendor management Yes Wave Accounting
Best ValueFree, plus fees for special features Double-entry accounting, multiple users, sales tax tracking Yes Xero
Best Extra Features$13 to $70 per month Financial integration, add-on apps, real-time cash position Yes Zoho Books
Best for AutomationFree to $275 per month Invoicing, more than 40 app integrations, client portal Yes Frequently Asked Questions
What are the three types of accounting software?
Can I do my bookkeeping in Excel?
What are the two basic accounting systems?
Are Quicken and QuickBooks the same?
Methodology
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