Best Accounting Software

Accounting software helps small businesses manage their accounting more quickly and accurately, with tools such as invoicing, reconciliation, automated entries, bill payment, expense reports, financial reports, bank account, POS syncing, and more.

FreshBooks Lite vs. QuickBooks Simple Start vs. Sage 50 Accounting Pro:

The entry-level tiers for these three companies are all best suited to a single user. They all include basic features, such as tracking income and expenses, invoicing, and basic reporting.

FreshBooks Lite is the more affordable option and also gives users the choice of adding additional team members at $10.00 per person. It features unlimited time-tracking, estimates, customized invoices, and expense entries as well as accepting online payments and automatically reconciling your financials with your bank. QuickBooks Simple Start shares a lot of these features but does not offer time-tracking or reconcile financials with the bank.

However, QuickBooks has another plan called the Essentials plan, giving users another pricing option that is not available with FreshBooks or Sage. QuickBooks Essentials is $27.50 per month for 3 users (compared to the Simple Start plan at $15.00 per month for one user) and it does feature time-tracking as well as bill management. QuickBooks Simple Start still offers tax organization and GPS tracking. In contrast, FreshBooks Lite does feature tax reports but does not offer GPS tracking.

Sage 50 Accounting Pro, on the other hand, does not offer time-tracking but, like FreshBooks Lite, they do offer estimates, customized invoices, and automatic bank reconciliation. However, unlike FreshBooks Lite, Sage 50 Accounting Pro also features inventory tracking and management. This feature is also lacking in QuickBooks' Simple Start plan and is only available with their Plus plan.

FreshBooks Plus vs. QuickBooks Plus vs. Sage 50 Accounting Premium:

FreshBooks Plus and QuickBooks Plus are both recommended as the respective companies' most popular plans. These plans offer similar features, such as estimates and proposals, invoices, payment acceptance, and accounting management. They do, however, differ in their tax functions. FreshBooks Plus offers insightful tax-time reports whereas QuickBooks Plus tracks sales taxes and organizes tax categories.

FreshBooks Plus is the most affordable option for a single user but adding additional team members is charged at $10.00 per person. This gives clients some space to add multiple users without having to upgrade their plan. QuickBooks Plus, on the other hand, is $42.50 for a maximum of 5 users. In order to add more users, you will need to upgrade your plan.

FreshBooks Plus features automated recurring invoices for scheduled billing, a feature lacking in both QuickBooks Plus and Sage 50 Accounting Premium. However, both those plans offer inventory tracking and management which FreshBooks Plus does not.

Sage 50 Accounting Premium prices are based on the number of users but this plan also allows for a maximum of 5 users. After that, you will need to upgrade to the Quantum Accounting Plan. Like FreshBooks Plus, Sage 50 Accounting Premium tracks expenses and payments, does estimates and invoicing, and also automatically reconciles your financials with your bank. Unlike FreshBooks Plus, Sage 50 Accounting Premium does not track taxes or provide tax reports.

FreshBooks Premium vs. QuickBooks Advanced vs. Sage 50 Accounting Quantum:

FreshBooks Premium offers the same features as FreshBooks Plus, the only difference being that FreshBooks Plus is limited to up to 50 billable clients while FreshBooks Premium offers unlimited billable clients.

QuickBooks Advanced offers a lot more features than in QuickBooks Plus, including business analytics, automated workflow, automatic backups, dedicated account managers, and online training. FreshBooks, however, offers custom workflows and business reports in all of their plans. However, personalized account managers and customized training are only available on FreshBooks Select, a custom package.

Sage 50 Accounting Quantum can be used for managing multiple companies but you will need to contact the company for a quote for more than 10 users. They also offer industry-specific functionality on the Quantum Accounting plan with role-based security. QuickBooks Advanced also features role-based security with their customizable access, a feature that is not offered by FreshBooks in any of their plans.

In the end, FreshBooks is our top pick as it is an affordable option with a wide array of features, most of which are available right from their entry-level plan.

How to Choose the Right Accounting Software for Your Business:

There are a lot of great options when it comes to accounting software, but not all of them will suit your particular business, depending on whether you are a sole trader, freelancer, or a small business owner. Having the right accounting software is also crucial because legislation, tax, self-assessments, and your business fortunes are always undergoing changes.

Some of the factors you should consider when choosing an accounting program include: - The type and size of business you run. - If you employ any workers. - If your business has a physical location. - Your particular tax needs. - If you employ an accountant.

Your accounting needs will also determine the software you should invest in. If you have basic accounting needs, you can look for a free or cheaper package with the tools you need.

We recommend: - QuickBooks. - ZipBooks. - Zoho Books.

However, if you have complex accounting needs, you will want a full accounting package that will save you money in the long run.

We recommend: - FreshBooks. - QuickBooks. - Sage 50 Accounting. - Botkeeper. - ZipBooks.

FreshBooks, QuickBooks, and Sage are our top recommendations as they also come with invoicing, billing, and payroll software. Depending on your business's requirements, these additions can be very useful, and having an all-in-one accounting package is more cost-effective.

Benefits for remote workers:

Cloud-based accounting software is a great option as you can access it anywhere, from home, your office, or your phone. Your data will be secure in the platform's cloud storage and you will have the added benefit of backing up all your data.