Tools and Equipment in Accounting – The purpose of this list is to provide a starting point when looking for useful, affordable tools and equipment in the area of accounting. While I am not endorsing any specific company or product, the list will attempt to identify quality products with good customer support and satisfaction ratings.
In the field of accounting there are a number of tools and equipment that have been used for quite some time now. In fact, these tools and equipment were first introduced long before the invention of computers as we know it today. In as much as computers have made our jobs easier, there are still times when we have to go back to the basics and use what worked centuries ago. It is this article’s aim to outline the various tools and equipment used in the profession of accounting.
Sage Accounting
If you own a one-person business, then Sage Accounting Start should definitely be at the top of your accounting tools list. For starters, you can record income and expenses and perform bank reconciliation for only $10 per month. And if you need more functionality, then you can upgrade to Sage Accounting—at the still quite low price of $25 a month—to get an overview of your business’s financials, cash flow forecasting, and bill vendors.
Sage Accounting is especially helpful if you’re working with freelancers or contractors for your small business, since their project management capabilities are an added bonus.
FreshBooks
FreshBooks is one of the big names around town when it comes to accounting tools for small business owners….
And for good reason. Although it started out just as an invoice and expense tracking software solution, FreshBooks today can integrate with your bank accounts, generate financial reports, process your payroll and business payments, and keep track of timesheets. Not to mention, FreshBooks also offers integrations with a pretty long list of popular CRM and customer service apps, so you can expand its functionality whenever you need.
If you’re interested in simple, intuitive accounting tools, then FreshBooks could be for you. And if you ever get confused, FreshBooks emphasizes its person-to-person customer service—for free—in case you ever need a helping hand.
Sample its free 30-day trial, and if it fits your needs, you can purchase FreshBooks for as low as $15 per month, and even less if you opt for yearly pricing. What’s more, for a limited time, FreshBooks is offering 60% off for six months on Lite, Plus, and Premium plans when new users skip the 30-day free trial period and opt to buy now.
QuickBooks Online
If you’re talking about the world’s best accounting tools, it’s simply impossible not to mention the one and only QuickBooks Online.
The magic of QuickBooks Online is its versatility. If you’re a small business owner who despises financial mumbo-jumbo and would much rather just get on with the fun part of being an entrepreneur, QuickBooks Online can help you do just that.
On the other hand, if you’re a professional accountant who lives and breathes balance sheets, invoice records, common size analysis, and profit and loss statements, then QuickBooks Online can still give you everything you need.
QuickBooks Online offers the classic suite of accounting tools for anyone and everyone: dashboards for your business’s financial data and records, financial reports that you can customize according to your own needs, an invoice generator, online payment receipts, payroll processing, and the ability to turn pictures of receipts into catalogued business expenses.
Plus, QuickBooks Online syncs with your bank account and business credit cards so that your business’s financial data is always up to date. And if that weren’t useful enough, you can also share your QuickBooks Online with your accountant to simplify financials during tax time.
The pricing depends on which features you want and need, but it can range from $25 a month for the Simple Start plan to $180 per month for the Advanced plan.
Xero
If you’re interested in QuickBooks Online and FreshBooks as potential accounting tools for your small business, then don’t miss out on considering Xero as well.
Xero, QuickBooks, and FreshBooks have a lot of overlap in terms of which accounting features they’ll offer you (they’re also all great options for self-employed accounting software). You can expect the usual suspects: financial overviews on intuitive dashboards, standard and custom-built reports, invoice creation, payroll and business expense processing, and bank account syncing.
But Xero really shines with its user flexibility: Unlike with its competitors, with Xero you can add as many users as you want, for free. If you own a small business with one or two employees, this perk might not seem too useful, but if your company is on the bigger side of “small business,” then this can definitely seem like a major advantage.
And don’t forget—you’re also promised a free and easy transition from QuickBooks to Xero if you choose to switch down the road.
Once you’ve finished Xero’s 30-day free trial, you can pay $9 a month for the basic package. (And remember to integrate the app with your other accounting tools in order to lump your time tracking, mobile payments, and more in one place!)
AccountEdge Pro
AccountEdge Pro offers both on-premise and cloud access and is a great fit for small and growing businesses. AccountEdge Pro is probably one of the best applications on this list if you’re selling products since it offers a comprehensive inventory management module.
AccountEdge Pro offers solid inventory management capability. Source: AccountEdge Pro software.
The inventory module lets you track detailed information about each product, offers multiple pricing levels, and will alert you when stock drops below a certain level. It also includes builds and kitting capability for those that build their own inventory items from scratch.
AccountEdge Pro also offers a Shopify connector, syncing your inventory with online sales.
Along with inventory accounting, AccountEdge Pro offers solid accounting capability, sales and invoicing, time tracking, and a payroll module. A customer portal was recently added, making it easy for your customers to pay you online.
Reporting options are good in AccountEdge Pro, with reports available in a variety of categories and all reports fully customizable. AccountEdge Pro offers free email support, with telephone support available at an additional cost.
One of the best benefits of using AccountEdge Pro is its scalability, with four plans available to choose from, and if you need to pay employees, the application includes a payroll module.
Another benefit is the option to choose between the desktop application or online access, with a third option providing on-premise installation with cloud accessibility.
AccountEdge’s Basic plan has a one-time fee of $149, while AccountEdge Pro has a one-time fee of $399. For those interested in online access, Priority Zoom starts at $50/month, with ERP pricing available upon request.
FreshBooks
If you’re just starting a business, there is no better application than FreshBooks, an online bookkeeping and accounting program particularly well-suited for sole proprietors, contractors, and consultants. FreshBooks also has a Teams version if you do add employees or contractors down the road.
FreshBooks includes a projects option, making it ideal for sole proprietors and contractors. Source: FreshBooks software.
Designed with the non-accountant in mind, FreshBooks guides you step by step through each accounting process on the first go-round. And with its Retainers option, it is particularly well suited to solo attorneys, accountants, or other self-employed professionals.
FreshBooks offers excellent invoicing capability, with the ability to create customized, professional invoices in less than a minute. You can snap a photo of a receipt and upload it to FreshBooks for better expense reporting.
The application also includes client project management, time tracking, and the ability to connect the application with any or all of your bank accounts.
You can create both job estimates and formal proposals in FreshBooks, and FreshBooks Payments lets you accept customer payments online. Reporting options are fairly limited in FreshBooks, though you do have access to necessary financial statements.
There are a lot of advantages to using FreshBooks, including telephone support. It’s also extremely easy to set up and start using, which is great for business owners without an accounting background.
FreshBooks currently offers four plans: Lite, which is $15/month; Plus, which is $25/month; Premium, which is $50/month; and Select, with pricing available from FreshBooks upon request.
Conclusion
Did you know that many companies and business use tools and equipment to do their accounting and bookkeeping? The ones who don’t probably should be. Many individual services of accountants can be replaced by machines and devices, just like the article you’re reading now.