There are times when you want to record a transaction or event in your business, but you simply don’t have access to the internet. Whether you’re at a conference, traveling abroad, destroyed by a hurricane, or experiencing a wide-spread power outage, there may arise a time when your computer’s not around. When that happens, you need a piece of accounting software that can work offline without the use of the internet.
This review was specially prepared for this purpose. So here are the best tools.
Best Easy Accounting Software For Beginners: ZipBooks
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ZipBooks is an up-and-coming accounting software program that launched in 2015. The software may be fairly new, but it has already mastered simplicity. ZipBooks is one of the easiest accounting programs out there. With a free plan, unlimited users, and ample automations, it’s not hard to see why this software gets a good rating.
ZipBooks is best for small businesses in need of affordable, strong accounting. The software is ideal for business owners with little previous accounting experience.
Pros
- Free plan available
- Easy to use
- Good customer support
- Attractive UI
Cons
- Limited invoice customizations
- No inventory feature
- Limited mobile apps
ZipBooks Pricing
ZipBooks offers three pricing plans ranging from $0/month to $35/month. Each plan comes with unlimited invoicing. Each pricing level adds more features and users, with the most expensive plan supporting unlimited users.
ZipBooks Features
ZipBooks offers a good number of features that are easy to use and has one of the most attractive interfaces out there. The software’s design is simple and intuitive, using automations to save you time. The UI is even color-coded to make navigation a breeze. ZipBooks offers the basics you’d expect from accounting software, including invoicing, contact management, and expense tracking.
One unique aspect of ZipBooks is that the software takes the data you input and uses it to provide helpful business insights, including a business health score and business recommendations specific to your financial situation.
Additionally, ZipBooks offers:
- Time tracking
- Project management
- Reports
- Category tracking
ZipBooks only comes with six integrations, so if you’re looking for ample add-ons, this may not be the software for you.
If you’re looking for good customer support, ZipBooks has you covered. Representatives are quick to respond to questions. Phone support is available for the paid plans. Other support options include email, in-software chat, a knowledgebase, and a blog.
Before purchasing ZipBooks, there are a few potential drawbacks to consider. Compared to the other choices on this list, ZipBooks has very limited invoicing and only a small number of accounting reports. There also is no item or inventory feature. Despite these shortcomings, ZipBooks receives many positive customer reviews.
When To Use ZipBooks
If you’re looking for easy accounting software, ZipBooks is hard to beat. With a great design and good learning resources, ZipBooks does everything it can to make accounting simple. If ZipBooks sounds like a good fit for your business, use the free plan to take the software for a spin. Read our complete ZipBooks review to learn more.
BEST OVERALLQuickBooks Online
QuickBooks Online is the best overall accounting software for small businesses of those reviewed. Not only do the majority of small business accounting professionals use QuickBooks Online, but there are also endless online training resources and forums to get support when needed. All accounting features can be conveniently accessed on one main dashboard, making bookkeeping more fluid and efficient.Pros
- Scalable
- Commonly used by accounting professionals
- Integration with third-party applications
- Cloud-based
- Mobile app
Cons
- Upgrade required for more users
- Occasional syncing problems with banks and credit cards
Intuit’s QuickBooks Online has been the most common accounting software used by small businesses and their bookkeeping and tax professionals. The software is cloud-based and can be accessed through a web browser or through the mobile app.
After the 30-day free trial, the four options for subscription plans include: Simple Start at $25 per month, Essentials at $40 per month, Plus at $70 per month, and Advanced at $150 per month. Typically there is a significant discount offered for the first few months, and some accountants are able to offer wholesale pricing to small businesses, as well.
The monthly subscription for this software can be upgraded as a business grows, and there are many customization options with the mobile app that can be used to receive payments, review reports, capture an image of a receipt, and track business mileage. For businesses looking for a payroll solution, QuickBooks Payroll fully integrates with QuickBooks Online.
Each plan offers more advanced features like inventory management, time tracking, additional users, and budgeting. Most service-based small businesses will find that Simple Start meets all of their needs. For product-based small businesses, Essentials or Plus will have more options for inventory and customizations. The Advanced subscription is a new offering and provides robust financial reporting that is powered by Fathom. Fathom is an elite online financial report analysis tool used by many large companies all over the world.
All plans allow integration with third-party apps such as Stripe or PayPal. QuickBooks Online’s app store breaks down all of their apps by function and provides helpful examples of the benefits of each app.
BEST FOR MICRO-BUSINESS OWNERSXero
Xero is the best in our review for micro-businesses that are looking for very simple accounting software. This software has a clean interface and also fully integrates with a third-party payroll service. Businesses can collect payment online from customers through Xero’s integration with Stripe and GoCardless.Pros
- Cloud-based
- Mobile app
- Payroll integration with Gusto
- Third-party app marketplace
- Simple inventory management
Cons
- Limited reporting
- Fees charged for ACH payments
- Limited customer service
Xero was founded in 2006 in New Zealand and now has over 2.7 million users worldwide. This accounting software is popular in New Zealand, Australia, and the United Kingdom. Xero has over 3,500 employees and is growing rapidly in the U.S., as well.1
Xero offers three monthly subscription options and a full-service payroll add-on: Early at $11 per month, Growing at $32 per month, and Established at $62 per month. The full-service payroll option is offered through Gusto and is an additional $39 per month, plus $6 per employee. The company offers a 30-day free trial and a promotion for 50% off for two months.
The Early plan limits usage and only allows entry for five invoices or quotes, five bills, and reconciliation of 20 bank transactions per month. This limited plan may be suitable for a micro-business with high-ticket transactions, but only a few per month, such as a consulting or small service provider. Both the Growing and Established plans offer unlimited invoices, bills, and transactions. The only difference between the two is that the Established plan has additional features like multi-currency, expense management, and project costing. All three plans offer Hubdoc, a bill and receipt capture solution.
Best Customer Support: FreshBooks
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FreshBooks used to be an invoicing software with a few bookkeeping tools tossed in. With the recent addition of double-entry accounting, FreshBooks is now a complete accounting solution for small businesses. The software is incredibly easy to use and free of accounting jargon.
FreshBooks is best for small businesses that are looking for simplicity, strong invoicing, proposals, and good customer support.
Pros
- Easy to use
- Good mobile apps
- Great customer support
- Numerous integrations
- Strong invoicing
Cons
- Expensive
- Limited users
- Limited features
FreshBooks Pricing
FreshBooks offers three pricing plans ranging from $15/month to $50/month. Most features are included in all plans, so each larger level mainly adds more billable customers.
FreshBooks only supports a single user (additional users cost an extra $10/month each).
FreshBooks Features
FreshBooks has always been easy to use, but a recent redesign has made the user experience even more straightforward and the UI more attractive. Setup is simple, and the software takes very little time to learn. In terms of features, you’ll find invoicing, expense tracking, contact management, and more.
FreshBooks offers two customizable invoice templates and a client portal where customers can pay their invoices directly online. One of FreshBooks’ coolest features is the ability to chat with your customers directly on their invoices.
Other features include:
- Project management
- Time tracking
- Reports
FreshBooks offers over 80 integrations, which is significantly more than most invoicing programs. There are also mobile apps available.
FreshBooks has great customer support. Representatives are friendly, helpful, and quick to respond. There is phone support, email support, a help center, and several other resources to help you learn the software.
For the most part, FreshBooks receives positive customer reviews; however, there are some recurring complaints.
The main drawback of FreshBooks is the cost. The software is expensive compared to other accounting programs, and the value of the software simply doesn’t match the price. FreshBooks also only supports a single user. Instead of purchasing additional users, you’d get more bang for your buck by choosing a less expensive program.
When To Use FreshBooks
This easy bookkeeping software is ideal for small businesses that need to save time on sending invoices, tracking expenses, and creating proposals. If the simplicity of FreshBooks sounds appealing to you, take the software for a spin with a free trial or read our comprehensive FreshBooks review to learn more.
BEST FOR PART-TIME FREELANCERSQuickBooks Self-Employed
QuickBooks Self-Employed accounting software is our top choice for part-time freelancers and independent contractors who primarily want to track their income and expenses for their tax return. This software is designed for business owners who file a Schedule C on their individual tax return.
Without keeping up with business activity using a software like this, freelancers would need to dig through all of their bank and credit card statements to add up their income and expenses at the end of each year, which can be quite daunting. QuickBooks Self-Employed will total up all business transactions automatically.Pros
- Cloud-based
- Mobile app
- Track mileage
- Differentiate between business and personal expenses
- Syncs with TurboTax
Cons
- Data cannot be easily transferred to other accounting software
- Limited reporting
- Limited invoicing functionality and customization
QuickBooks Self-Employed is an Intuit product with a cloud-based online interface and a mobile app. This software was created to help freelancers stay organized each year for tax season. Features of QuickBooks Self-Employed include tracking mileage, sorting expenses, organizing receipts, sending invoices, and estimating and filing taxes seamlessly through TurboTax.
Users can choose between three plan options: Self-Employed at $15 per month, Self-Employed Tax Bundle at $25 per month, and Self-Employed Live Tax Bundle at $35 per month. There is a 50% discount for the first three months. The two tax bundles include a TurboTax subscription for income tax filing. The Self-Employed Live Tax Bundle also gives you access to a CPA to answer questions throughout the year and during tax season. The CPA will also perform a final review of your tax return in TurboTax prior to filing.
The mobile app makes it easy to track mileage while driving and capture photos of receipts for business expenses. Most accounting software is not designed to separate business transactions from personal transactions, but a special feature of QuickBooks Self-Employed provides an option to mark each transaction as business or personal. This is helpful for freelancers who don’t have a separate bank account for their business activity.
BEST FREE SOFTWARE
Wave
Wave is an ideal accounting software platform for a service-based small business that sends simple invoices and doesn’t need to track inventory or run payroll. For many freelancers or service-based businesses, Wave’s free features will cover all of their accounting needs and is the best free software in our review. At year-end, accountants can pull the necessary reports from Wave to prepare a business’ tax return.Pros
- Free accounting, invoicing, and receipt scanning
- No transaction or billing limits
- Run multiple businesses in one account
- Unlimited number of users
- Mobile app
Cons
- Limited third-party app integrations
- Higher fees for credit cards and ACH payments
- Full-service payroll is limited to only 14 states
- No inventory management
Wave was founded in 2010 and is based in Toronto. The company has over 250 employees and was purchased by H&R Block in 2019.34 The foundational accounting features that most small businesses need, such as income and expense tracking, financial reporting, invoicing, and scanning receipts, are all included with this free software. These features can be accessed online or on the mobile app. Customer payment processing and payroll are considered premium services that cost extra, but all of the bookkeeping, invoicing, and reporting features are completely free.
Wave makes its money on its payment gateway. To process payment from a customer, Wave charges 2.9% plus 30¢ per transaction for Visa, Mastercard, and Discover, and 3.4% plus 30¢ per transaction for American Express. These fees are slightly higher than other accounting software. Additionally, to process an ACH payment, rather than a credit card, Wave charges 1% per transaction with a $1 minimum fee. This is unique to Wave, as the majority of accounting software does not charge a fee for ACH payment processing.
Wave offers two payroll plans as an add-on service. The first plan is $20 per month plus $6 per employee or contractor. In this plan, Wave will process payroll and prepare payroll tax calculations, but the user is responsible for manually completing payroll tax forms and submitting tax payments. The second plan is $35 per month plus $6 per employee or contractor. In this plan, payroll is full-service, which means that all tax filings and payments are completely managed by Wave. This full-service payroll option is only available in 14 states.
Conclusion
A business leaves it’s trail in so many ways, but one of those ways is accounting records. Keeping tabs on those invoices and other payments is imperative as your business grows or even as it exists. You might think this is not important, but it really is. Try out these tools today!