It is essential that you always have everything under control when it comes to your finances. Debt is not something anybody wants to deal with, but by following a proper personal bookkeeping software, you can easily keep track of all of your expenses and make sure that nothing slips through the cracks.
Maybe you have a home-based business or have a growing household. Maybe you have a small business and would like to track your income and expenses. Whatever the case may be, keeping track of both small and big expenses can consume a lot of your time, but is necessary if you want to keep an eye on your budget. In this article, I have listed best free bookkeeping software that you can use for both your personal as well as professional needs.
Zoho Books
Zoho Books offers a free plan for small businesses that need help invoicing customers and managing payments with a single account.
Zoho Books pros
The free version of Zoho Books includes up to 1,000 customizable, branded invoices per year. The user-friendly software also features contact management, expense tracking, multiple bank and credit card accounts, and the ability to import bank and credit card statements.
A useful client portal allows you to share recent transactions and allow clients to make bulk payments. You can also set up recurring invoices and automatic payment reminders.
The client portal even allows you to capture customer satisfaction feedback to share on social media, leveraging that all-powerful social proof to build your brand.
Zoho Books cons
The biggest drawback to Zoho Books? It’s only for businesses with less than $50K in annual revenue. Only one user and one accountant can access the program, unless you pay monthly for one of their subscription packages.
Only email support is available in the free version, while the paid versions use voice and chat.
Brightbook
Brightbook certainly lives up to its name with its colorful website. Advertising as the “world’s most loved free accounting system,” Brightbook’s cloud-based software lets you access it anywhere with an internet connection.
Brightbook pros
Brightbook is a great alternative to the paid accounting programs with unlimited user access, expense tracking and recording, bank statement processing, and auto-generated profit and loss reporting. Tax reporting is also available to track what you paid in taxes and how much you will get back. Another plus is that Brightbook has no optional, expensive additions to consider. What you see is what you get without any hidden fees.
Brightbook also links to Paypal, allowing your clients to pay you online. You can invoice a client in any currency, and the program will automatically convert it back to your home country’s currency.
Since it is cloud-based, Brightbook lets you monitor and track your financials in real-time from anywhere. While there is no dedicated mobile app to access the program, you can use any mobile browser to view and update your data.
Brightbook’s invoice templates allow you to email invoices straight to clients without leaving the site. You can also view bills and expenses in a list or a more eye-pleasing gallery view. If you have other companies, Brightbook allows you to access them under one login.
Brightbook cons
Unlike some of their other free competitors, Brightbook can’t perform double-entry accounting. There are also no third-party integrations available. While the program can be accessed from a mobile device browser, it requires more steps without a dedicated mobile app. Support is available only through web-based email.
QuickBooks Online
QuickBooks Online is a widely recognizable package that most clients already use or are aware of. In small business bookkeeping, it has been a trusted name for many years. It offers many subscription tiers and has a low monthly cost which adds value to any small business.
It’s impactful reporting functions, endless settings, automatic bank transaction import, and personalization options make it an ultimate choice for small business bookkeeping. Using this software, you can also level-up to higher tiers as your business grows, for additional monthly subscription costs. Hence, you can easily scale this software in accordance with your business growth.
For additional costs, it also provides payment processing services and payroll services, which ultimately makes it a one-stop solution for all business requirements. Accountants can become a member of the QuickBooks ProAdvisor network through which small business owners can find a trusted and local advisor for free. At no additional cost, QuickBooks also makes it incredibly simple for business owners to share company access with their accountants.
| Pros | Cons |
| Has a powerful functionality in the cloud world. | None |
| Provides an ease of access and has new effective dashboard. | Through the life of the subscription, it can be expensive. |
| Can be accessed through any computer, multiple locations, and various platforms. | Could be better with the “Combined reporting” feature. |
| Has mobile application which provides ease of access. | Their payroll product is poor, and I do not recommend it to any of my clients. |
Xero
Where QuickBooks started its journey with the desktop version, Xero has always been cloud-first. Xero is the first choice for Mac users who cannot find what they are looking for in QuickBooks for Windows. At no extra cost, Xero includes 24/7 live chat support and provides more than 600 integrations, making it easier for the business owners to manage inventory, invoicing, and much more.
The standout feature of Xero is the ability to track money and time spent on specific projects, and it lets you manage the same effectively.
| Pros | Cons |
| Supports many integrations and ticks all boxes for SME accounting. | Their customer service has noticeably gone down, and the cost is high for some plans. |
| It is good and easy to use product with a simple user interface. | Within Xero, IOLTA account transactions require extra steps, and the process is clunky |
| I used QuickBooks pro, but switched to Xero, because of the price and the quality of the software. | have been using the software for over 5 years now, so I do not have such restrictions, but Xero can prove to be costly for new users as they have started some spin-offs from their product at a per-user license fee. |
| Runs smoothly and has numerous integrations with other essential business management apps. It has integrated billing and inventory through PayPal and Stripe. | Xero requires some training, knowledge and experience in the theory and process of accounting. Although, it can be said that it is the least difficult to comprehend among the better software available. |
Kashoo
This is a cleverly named Bookkeeping software that is great for keeping track of your records. Its cost starts at just under $13 per month, and if you take advantage of the global economy and marketing products, then, Kashoo is definitely an excellent option for your business.
| Pros | Cons |
| Has an iPad application. | Should provide step by step onboarding. |
| It’s flexibility, ease, and affordability. | Does not work on Android. |
| Very portable to use. | Should publish updates more frequently. |
FreeAgent
This software actually won the Free Vendor of the Year Award in the year 2011 in the software satisfaction category. It is effortless to use software with beautiful graphic designs and rich feature sets. Most people, however, consider the number of features to be a liability, and users who aren’t familiar with bookkeeping may find it quite overwhelming.
It offers an unusual pricing model of $12 per month for the first six months and $24 per month for each month after that. They do not have a premium pricing model.
| Pros | Cons |
| Supports Google apps integration. | Compared to its competitors, it is a little more expensive. |
| Has a good interface. | |
| Very efficient and easy to use. | |
| Provides excellent customer support. |
Yendo
If you are not only the business manager but also the sales rep for your own business, then Yendo is the software for you. It offers the best of both worlds, i.e., bookkeeping and customer relationship management (CRM). Its packages start at just $19 per month, with the usual addition of bells and whistles.
Yendo allows you to accept credit cards and send emails in bulk. Their premium solutions offer forecasting features and the ability to access a 2-factor authentication and an API model.
| Pros | Cons |
| Clean Interface | Not hot on the color |
| Easily understandable | Should include import from sage feature |
LessAccounting
This is an accounting program that has been designed specifically for entrepreneurs who do not know much about bookkeeping. If you want to be able to correctly count your money and still maintain your main focus on the business, then, this is the right software for you.
It is worth noting that this software enables you to outsource your accounting to professionals for just $70 per month. It is a sort of a LegalZoom for accountants.
| Pros | Cons |
| Provides automation in downloading statements, which works nearly flawlessly. | Its account synching and auto-categorizing seems off. |
| This software does all the math-heavy lifting for you, so you don’t really have to be a math person to accounting. | It provides simple tools, so you may find it limiting if you have more complex accounting needs. |
| This software provides value for money for non-complex organizations as it provides the financial reports that they desire. | The software provides very limited functionalities as compared to other software in this class. |
| If your business grows, this is not a scalable software. The Invoicing it provides makes you look for more control. |
Akaunting
Pros:
- Open-source software means you can customize however you want.
- Extensive library of integrations.
- Robust user support via online forums.
Cons:
- Design is not as intuitive as other platforms.
- Advanced features cost extra.
- Not as ready-to-use as other options.
Why we like it:
Akaunting is an open-source accounting platform that has the capability for customization, primarily through its library of add-ons. The primary features are available right out of the box: You can invoice, track receipts and take care of the everyday needs of your company’s finances. Plus, with a robust library of integrations, you can build your own Akaunting setup with a degree of customization other free platforms don’t provide. However, you or someone on your team will likely need some coding knowledge to use this software to its full potential.
NCH Software (Express Accounts)
Express Accounts, owned and operated by NCH software, has a pretty dated website. While multiple users can log on to your account, the software requires an initial desktop download, which makes it a little less flexible than the cloud-based providers on our list. But if you don’t mind the dated look, Express Accounts can simplify your basic bookkeeping in a big way.
For starters, it offers 20 financial reports (much better than ZipBooks’ two) that help you get a clear picture of your fiscal health. Express Accounts also easily tracks accounts payable and accounts receivable. You can even print checks using the software to streamline bill payments.
Express Accounts’ customer service is much less robust than our other top five picks. You can reach out to technical support over email if you have an issue with your download, but that’s the extent of your support. On the other hand, most customers use Express Accounts solely to track their business’s figures—so you shouldn’t need the kind of support you would with more complex accounting or payroll software.
Odoo
Best for businesses of any size that want a customizable, scalable accounting solution.
Odoo is different from the other software on the list because it isn’t accounting software. Instead, it’s enterprise resource planning (ERP) software. While we could get technical about ERP, we’ll keep it simple: Odoo offers over 40 business applications, including Odoo Accounting. You can stick with just Odoo Accounting, or you can combine several different small business apps. One of the best things about Odoo is that the software is completely customizable to fit your business’s needs now and scalable to meet your needs in the future, too.
For this review, though, we’re focusing solely on Odoo Accounting. Odoo comes with features you’d expect from your accounting software, such as a chart of accounts, invoicing, expense tracking, accounts payable, and basic inventory. In addition, the software is easy to use, and you can choose from web-hosted and on-premise installations, although this may affect your total monthly cost.
Pros
- Open-source software
- Customizable
- Scalable
- Easy to use
Cons
- Poor customer support
- It can be expensive to scale
Odoo Features & Pricing
The pricing structure for Odoo is a bit different than the other software on this list. If you only need Odoo Accounting for a single user, you can get the cloud-hosted version for free. Odoo Accounting includes the following features:
- Invoicing
- Expense tracking
- Accounts payable
- Bank reconciliation
- Journal entries
- Budgeting
- Fixed asset management
- Basic reporting
If you need to add more users or want on-premise hosting, additional fees apply. You’ll also pay an additional fee for each app that you add to your software.
One thing to note is that while you can select a single app for one user at no cost, these free plans lack customer support. Despite these flaws, Odoo Accounting may still be a great choice for users that need ERP software or want a customizable, scalable option that grows with their business.
Wave
Pros:
- Unlimited bank and credit card account connections, income and expense tracking and guest logins.
- Allows you to invoice from within the platform itself and supports receipt scanning.
Cons:
- May not be powerful and feature-rich enough for large or fast-growing businesses.
- Charges per-transaction fees for payment processing.
- Payroll product is separate and requires a subscription.
Why we like it:
Wave is by far one of the most robust and well-designed free accounting software tools for small businesses. Instead of charging users to generate revenue, Wave makes money through fees on payments made within the platform. That means you’ll likely save money in the long run depending on how you intend to use the platform to collect ACH, debit or credit card payments from clients. Visa, Mastercard and Discover come with a 2.9% fee, plus 30 cents, on each transaction. American Express is 3.4% plus 30 cents. ACH bank transfers only come with a 1% fee (or a $1 minimum fee, depending on the size of the transaction).
With Wave, you’ll get unlimited income and expense tracking, sales tax tracking and double-entry functionality, as well as reports on cash flow, profit and loss, and overdue invoices and bills. You can also use Wave’s invoicing tools for free. This includes unlimited invoices, automated invoice reminders, invoice and accounting synchronization and the acceptance of both credit card and bank payments.
ZipBooks
ZipBooks is relatively new to the accounting software world, but its unlimited invoicing, vendor tracking, and thorough expense recording have already made it a top competitor to industry stalwarts like Wave, Xero, QuickBooks, and FreshBooks. Even ZipBooks’ free Start plan comes without the limits of paid competitors like Xero, which ties you to just five invoices and bills for $9 a month.
On top of its unlimited invoicing, the Starter plan includes all of the following at no cost:
- Multi-currency payment acceptance
- Separate records for 1099 expenses and payments
- Receipt tracking
- Chart of accounts
Most notably, ZipBooks lets you toggle back and forth between cash accounting and accrual accounting—most accounting software providers let you choose only one or the other. Unfortunately, ZipBooks doesn’t have a mobile accounting app. It’s also noticeably lacking in reports: ZipBooks’ free plan generates only a profit and loss statement and balance sheet.
Sunrise
Best for small businesses that want simple bookkeeping software that’s easy to use.
Sunrise by Lendio (formerly Billy) is a great free option for businesses that want simple bookkeeping software without the bells and whistles (and high price tags!) of full accounting software. With Sunrise, you can be up and running in just minutes, performing tasks such as sending invoices to clients, managing expenses, and accepting online payments.
One unique feature of Sunrise is that you may qualify for additional funding opportunities through Lendio just by maintaining your books. And if your books become too time-consuming to manage? You can upgrade to Sunrise’s paid professional bookkeeping service, which offers extremely competitive pricing. Throw in support for unlimited users, good customer service, and positive online reviews, and it’s easy to see why Sunrise makes our cut.
Pros
- Supports unlimited users
- Good customer service
- Easy to use
Cons
- Limited integrations
- Lacks advanced features
Sunrise Features & Pricing
With Sunrise’s free self-service software, you’ll receive:
- Unlimited invoices
- Unlimited quotes and estimates
- Expense tracking
- Chart of accounts
- Cash flow tracking
- Journal entry
- Tax support
You can purchase bookkeeping services for an additional fee. While there’s no built-in payroll, Sunrise integrates with Gusto. Unfortunately, Gusto and Zapier are the only integrations you’ll find here, so this could be a problem if you want to integrate with other business apps and software.
Businesses that need full accounting software with advanced features (such as inventory management) will need to seek out other software. However, businesses that want basic bookkeeping software with no limitations, an easy-to-use UI that’s perfect for beginners, and great customer service may find a winner in Sunrise.
SlickPie
Best for: Small businesses with little experience bookkeeping
SlickPie is an easy-to-use software for those who lack bookkeeping experience. A huge perk of SlickPie is its automation features, which include auto-recurring invoices and a built-in app called MagicBot that allows you to automatically add bills and receipts. You can also manage accounts payable by manually entering bills and marking them paid.
GnuCash
GnuCash is an open-source accounting program that offers many features to help you manage your small business accounting. Volunteer developers update the software regularly, which means the program is always kept up-to-date.
GnuCash pros
GnuCash’s strength is that it contains advanced features such as customer and vendor tracking, job assignments, invoicing, bill pay, sales tax management, payroll management, and budget creation and management.
The checkbook-style register is an easy-to-use interface for entering all of your checking and credit card transactions. You can also enter income, stock, and currency transactions.
You can split transactions, mark transactions as canceled or reconciled, autofill entered transactions, and display multiple accounts in a single register window.
GnuCash cons
Since GnuCash is not cloud-based and only locally installed on a desktop computer, access to your financial data is limited to only one machine and one user. While GnuCash offers a mobile app, it is only for Android-based devices and requires you to manually import the data, which can be a pretty tedious process.
The interface of the program is also a bit dated and requires some time to get used to. Many users report problems with manually importing their transactions.
GnuCash’s customer support is through a public email-based discussion board, so it may take a while before you get a response to your question. Their chat support uses an obsolete IRC channel system, which can be tedious to set up.
Conclusion:
When it comes to personal finance, it’s essential that you always have everything under control. A lot of people tend to lose track of their finances and therefore miss important bills, such as rent or university fees. By following a proper personal bookkeeping software, you can easily keep track of all of your expenses and make sure that nothing slips through the cracks.