As a self-employed professional, keeping your books in order is a critical but often overwhelming task. With the rise in remote work and side hustles, more people find themselves managing their own finances without the infrastructure of a company behind them.
And that’s why finding the best accounting software for self-employed needs is paramount.
That said, not all business accounting software applications are created equal; some may align with your needs and preferences better than others.
Lucky for you, we’ve done the research and documented our findings. In this post, we discuss 15 of the best accounting software for self-employed individuals and microbusinesses in the US.
Here, we have reviewed and compared the top accounting software, breaking down their offerings and use cases into bite-size chunks. We also discuss the benefits of using accounting software and answer other pressing questions related to the topic.
But first, some quick background information.
How We Chose the Best Accounting Software for Self-Employed Professionals
We created this list of the best accounting software for self-employed individuals using the following criteria as our measuring yardstick:
- Ease of Use: We prioritized software that had a decent intuitive user interface and seamless navigation, ensuring that even those without extensive accounting expertise could find their way around effortlessly.
- Self-Employed Focus: We gave preference to platforms built specifically for the needs of solopreneurs, freelancers, contractors, and consultants vs. generic small business software.
- Automation: With no dedicated bookkeepers, automation of reconciliations, transaction categorization, reminders, reporting, and other workflows is important for self-employed users. As such, we scanned for the automation capabilities of the tools listed here.
- Cost-Effectiveness: For many self-employed professionals, cost-effectiveness is a must-have. And that is why we considered the pricing plans and value propositions offered by each software.
- Integration Capabilities: As a business owner or solopreneur, the chances that you’re juggling multiple business tools and platforms are high. As such, we looked for tools that seamlessly integrate with popular apps and services used by self-employed professionals.
- Accounting Features and Functionality: From invoicing and expense tracking to payroll preparation and financial reporting, we covered it all. We conducted a thorough examination of the features offered by each software to establish that they could address essential accounting tasks for the self-employed.
- Tax Handling: As a self-employed professional, you are most likely handling your own taxes. So, we looked for tools with seamless support for quarterly tax payments, contractor 1099s, mileage deductions, and integrated tax filing.
15 Best Accounting Software for Self-Employed Individuals
Here is a list of the best accounting software for self-employed professionals with features, pricing, and other details to help you make an informed choice in 2024.
1. QuickBooks Self-Employed
Image via QuickBooks
QuickBooks Self-Employed is an easy-to-use accounting solution designed specifically for freelancers and solopreneurs. This tool is part of the broader QuickBooks software ecosystem and seamlessly integrates with their full suite of accounting products.
The platform helps self-employed professionals track income and expenses, maximize tax deductions, manage invoices, capture receipts, log mileage, run financial reports, and calculate estimated quarterly taxes owed.
Here’s a look at some of QuickBooks Self-Employed’s offerings, pricing, USPs, and setbacks.
Key Features
- Financial reports
- Mileage tracking for deductions
- Auto-transaction categorization
- Real-time reporting and insights
- Syncing of credit and bank accounts
- Easy invoicing and payment collection
- Automatic tax calculations and optimizations
- Perfectly optimized for self-employed professionals
- Captures business expenses from linked bank or credit card accounts
Pros
- Offers support from CPAs.
- It is very easy to use, even for beginners.
- Fully integrated with the QuickBooks ecosystem.
- Real-time reporting that provides insights into your finances.
Cons
- Limited project and inventory management features.
- QuickBooks Self-Employed is tuned for single-user access and is not suitable for growing teams.
Pricing
You should know that QuickBooks offers a 50% discount on all its plans for the first three months.
- Self-Employed: $10 per month ($20 post-discount)
- Self-Employed Tax Bundle: $15 per month ($30 post-discount)
- Self-Employed Live Tax Bundle: $20 per month ($40 post-discount)
Image via QuickBooks
Tool Level
- Intermediate
Usability
- Easy to use; designed with the end-user in mind
2. Zoho Books
Image via Zoho Books
Zoho Books is one of the best accounting software for self-employed professionals, with a focus on automation and integration. Zoho Books is part of the Zoho suite of products, which offers a range of solutions for business management, productivity, and collaboration.
And you know what that means?
Zoho Books gets access to all the apps, features, and integrations of Zoho, giving solopreneurs a wider basket of features and functionalities.
This full-featured online accounting software goes beyond basic small business bookkeeping and provides a comprehensive set of accounting and compliance features for solopreneurs.
Take a look at how Zoho Books can serve you.
Key Features
- Financial reporting
- Payroll integrations
- Workflow automation
- Multi-currency support
- Expense and time tracking
- Basic analytics and reports
- Order and inventory management
- Professional invoicing and recurring invoices
- Automated workflows for approvals and collaboration
- Financial statements, ledgers, and payment reconciliations
Pros
- Offers multilingual and multi-currency support.
- Zoho Books has a user-friendly and intuitive interface.
- Smooth integration with other Zoho apps and services.
- Its forever-free plan is perfect for businesses with less than $50,000 in revenue per year.
Cons
- Zoho Books is less suitable for simple personal finances.
- It has a steep learning curve compared to other beginner accounting tools.
Pricing
Zoho Books offers five paid plans:
- Standard: $20 per month
- Professional: $50 per month
- Premium: $70
- Elite: $150
- Ultimate: $275 per month
Image via Zoho Books
Tool Level
- Intermediate
Usability
- Steep learning curve for beginners
3. FreshBooks
Image via FreshBooks
FreshBooks is another excellent choice for accounting software for self-employed professionals. Founded in 2003 in Toronto, Canada, FreshBooks is an early pioneer of cloud accounting software.
One of its primary aims is to provide an easy-to-use solution for independent professionals to track finances, manage expenses, and gain financial insights.
And FreshBooks backs its status as a veteran in the field with a slew of features and offerings.
Key Features
- Time tracking
- Payment reminders
- Inventory management
- Mobile mileage tracking
- Financial reporting and insights
- Project and client management
- Expense tracking and management
- Customizable invoicing and payments
Pros
- It offers automated workflows to save time on invoicing and follow-ups.
- FreshBooks has an intuitive design for beginners and non-accountants.
- This accounting software has excellent customer support and resources.
- FreshBooks also has mobile apps that are available for iOS and Android users.
Cons
- There is no free plan, only a free trial.
- FreshBooks is not suitable for the complex needs of larger businesses.
Pricing
FreshBooks offers a 60% discount on all plans for the first six months.
- Lite: $7.60 per month ($19 after discount)
- Plus: $13.20 per month ($33 after discount)
- Premium: $24 per month ($60 after discount)
Image via FreshBooks
Tool Level
- Beginner
Usability
- It is very easy to use across all plans
4. Xero
Image via Xero
Xero is one of the best accounting software programs for self-employed professionals and provides online accounting software for small businesses worldwide.
This New Zealand-based cloud-based accounting software connects with banks and financial institutions to automatically import and categorize transactions.
Apart from that, Xero has seamless integrations with popular ecommerce platforms such as Shopify and WooCommerce to streamline order and inventory management.
What’s more?
One of Xero’s USPs is its ability to connect freelancers and self-employed professionals like yourself with a nearby certified CPA or accounting firm at the click of a button.
Let’s look under the hood to see what you get with Xero.
Key Features
- Payroll integration
- Inventory monitoring
- Automated bank reconciliation
- Automatic sales tax calculation
- Seamless invoicing and quotes
- Expenses and receipts tracking
- Real-time reporting and analytics
- Convenient multi-currency handling
- Data imports from over 21,000 financial institutions
Pros
- It scales from freelancers to larger businesses.
- Xero has a strong set of core accounting features.
- Xero allows for seamless integration with third-party platforms.
- You can easily locate CPAs and accounting firms in your area (for US residents) for a more personal consultation.
Cons
- Xero has limited features beyond accounting.
- Xero has a steep learning curve for beginners and new users.
Pricing
Xero offers a three-month, 75% discount window. This could come in handy for solopreneurs on a tight starting budget.
- Early: $3.75 (usually $15)
- Growing: $10.50 (usually $42)
- Established: $19.50 (usually $78)
Image via Xero
Tool Level
- Intermediate
Usability
- Easy to use; clean interface and straightforward navigation
5. FreeAgent
Image via FreeAgent
Of course, FreeAgent makes the list of the best accounting software for self-employed individuals. This tool focuses on delivering the core accounting essentials that self-employed freelancers and independent contractors need without complexity. These include estimates, invoicing, time tracking, expense management, and financial insights.
As one of the best accounting software platforms for self-employed professionals, FreeAgent provides an easy-to-use solution optimized for managing the finances of client work. The client dashboards allow for smooth collaboration workflows between self-employed professionals and their customers.
But it doesn’t end there.
FreeAgent’s direct integration with tax systems in various regions, including the UK’s HMRC, makes it exceptionally useful for managing your taxes efficiently.
FreeAgent also stands out for its user-centric design, which prioritizes ease of use and accessibility. This attribute makes it so that even those with little to no accounting experience can navigate their finances effortlessly.
Key Features
- Time tracking
- Expense management
- Insightful financial reporting
- Interactive client dashboard
- Seamless and customizable invoicing
- Multiple payment channel integrations
- A specialized accounting tool for landlords
- Available in mobile apps, including for iOS and Android
- Tax calculation, filing, and compliance (for UK-based self-employed professionals)
Pros
- It provides client dashboards for smoother invoice workflows.
- FreeAgent offers comprehensive tax support for UK-based freelancers.
- It is very quick and easy to get started for most self-employed professionals.
Cons
- FreeAgent is limited to UK taxes only (no US tax support).
- FreeAgent is not very suitable for the complex needs of larger businesses.
Pricing
The “free” in FreeAgent is there for a good reason, as this tool goes all out when it comes to pricing for solopreneurs.
FreeAgent offers a single-paid plan with a 50% discount for the first six months.
- Monthly: $13.50 (then $27 after the first 6 months)
Image via FreeAgent
Tool Level
- Beginner
Usability
- Easy to use for beginners
6. Wave
Image via Wave
Undeniably one of the best accounting software for self-employed individuals and solopreneurs, Wave provides a massive basket of features, including invoicing and payroll management, at a low cost.
Wave takes cost-effectiveness to a whole new level by offering one of the most feature-rich free plans for small business owners and solopreneurs.
Wave’s commitment to cost-effective financial management and bookkeeping democratizes access to high-quality accounting resources. And this makes it one of the top choices for those just starting out or operating on a tight budget.
Take a look at how Wave matches up against the competition.
Key Features
- Receipt scanning
- Multi-user access
- Multi-currency support
- Integration with bank accounts
- Generate accounting reports
- Payment and expense tracking
- Seamless invoicing capabilities
- Hands-on support and advisory
- Payroll and credit card management
Pros
- Wave has an incredible docket for free users on a budget.
- It also offers direct bank and credit card connections for automated transaction import.
- Wave provides a user-friendly interface that is accessible to non-accountants and beginners.
Cons
- Wave has limited customization options for invoicing and reporting.
- It also has limited features compared to heavyweights such as QuickBooks.
Pricing
Wave has one of the best offerings for its free package users and only offers one paid plan.
- Starter: $0 (completely free)
- Pro: $16 per month
Image via Wave
Tool Level
Beginner
Usability
Very easy to use with beginners in mind
7. Fiverr Workspace
Image via Fiverr Workspace
Without a doubt, Fiverr is one of the best self-employed professionals and freelancers to get accounting and bookkeeping solutions.
For self-employed professionals who want an all-in-one solution for financial management and running their solo business, Fiverr Workspace has the answers. Fiverr Workspace offers a robust platform combining invoicing, time tracking, and client collaboration.
But to make it even better, Fiverr Workspace integrates all these features with its online freelancing marketplace.
This creates an avenue for independent contractors across various specializations and niches to connect with clients and showcase their services. And to also seamlessly manage workflows, invoices, payments, and accounting in one place.
As one of the best accounting software for self-employed users, Fiverr Workspace simplifies managing the business and finances of freelancing.
The gist of it is that Fiverr Workspace is a one-stop shop for everything freelancing and is a great tool for self-employed professionals.
Take a look at what Fiverr Workspace is offering.
Key Features
- Gig listings and services
- Expense and time tracking
- Client communication tools
- Exceptional task management
- Invoicing and payment integration
- Profile and reputation management
- Tailor-made for freelancers and solopreneurs
- A forever-free plan with industry-standard features
- Real-time visibility of financial metrics and performance
Pros
- No complicated setup or accounting is needed.
- Payment collection and processing are handled in-house.
- Fiverr Workspace allows you to directly find and acquire clients online.
- It offers a fully integrated freelancing platform and financial workspace.
Cons
- This tool is more suited for selling services than product inventory.
- Fiverr Workspace has some limitations in terms of custom branding and financial reporting.
Pricing
Like Wave, Fiverr Workspace allows freelancers a lot of room with its free plan and offers only one paid plan.
- Free: $0 (completely free)
- Unlimited: $24 per month
Image via Fiverr Workspace
Tool Level
- Intermediate
Usability
- Easy to use for beginners
8. Kashoo
Image via Kashoo
Kashoo is one of the best accounting software for self-employed users looking for financial features that grow with their businesses.
Kashoo positions itself as an accounting solution that grows with your business. It starts with straightforward tools for basic bookkeeping, invoicing, payment management, and reporting. However, it can scale up to handle multi-location inventory tracking, enhanced analytics, and revenue recognition needs.
What’s more?
It aims to deliver robust accounting capabilities for small and medium businesses (SMBs) in an intuitive interface that business owners can easily use themselves. It couples this with fair pricing that smooths the transition as solo businesses grow without overwhelming non-accountant owners.
To sum up, Kashoo suits the end-to-end accounting needs of SMBs from starting out to maturing with seamless transitions and training resources.
Key Features
- Real-time reporting
- Multi-currency support
- Reliable customer support
- Inventory and time tracking
- Expense and receipt tracking
- Bank sync and reconciliations
- Custom invoicing and payments
- Multiple custom report templates to choose from
Pros
- Kashoo has robust inventory management capabilities.
- Kashoo has seamless integration with over 5,000 banks.
- Kashoo’s interface is easy to learn and adapt for business owners.
- Kashoo provides a comprehensive accounting solution for SMEs across all tiers.
Cons
- Kashoo has a rigid pricing plan.
- It also has a steeper-than-normal learning curve.
Pricing
Kashoo offers just one pricing plan, and it is an annual plan. Kashoo also displays pricing for a sister accounting tool for small business owners: TrulySmall Accounting.
- Kashoo: $324 per year
- TrulySmall: $216 per year
Image via Kashoo
Tool Level
- Intermediate
Usability
- Slightly steep learning curve
9. OneUp
Image via OneUp
OneUp provides self-employed entrepreneurs and solopreneurs with an integrated accounting platform tailored to ecommerce businesses selling online.
Beyond just managing finances, OneUp offers freelancers and independent store owners tools to handle taxes, legal paperwork, shipping, CRM, analytics, and inventory under one umbrella.
What’s more?
OneUp aims to provide online merchants, consultants, and digital freelancers with a unified platform to streamline their solopreneur business operations with automation. This way, they get a unified view of the business and make data-driven decisions.
Take a look at the pros, cons, and pricing of OneUp and decide if it’s what you need.
Key Features
- 700,000+ installed users
- Integrated CRM functionality
- Real-time sync with sales channels
- Invoicing and cash flow management
- Inventory tracking across multiple warehouses
- Onboard employees and manage payroll in one place
- KPI dashboards for business metrics and performance
- Manage corporate records and contracts in a secure online vault
- Sales tax calculations, filings, and compliance for US businesses
Pros
- OneUp is known for secure online document storage and sharing.
- OneUp offers a unified platform for complete business management.
- It also handles everything from core accounting to advanced business analytics needs.
Cons
- OneUp is largely focused on US-based businesses.
- OneUp is less suited for simple personal finance needs.
Pricing
OneUp offers a complete 30-day free trial window that comes with unlimited user slots and features for new entrants. After this honeymoon period, the payment plans include:
- Self: $9 per month
- Pro: $19 per month
- Plus: $29 per month
- Team: $69 per month
- Unlimited: $169 per month
Image via OneUp
Tool Level
- Intermediate
Usability
- Steep learning curve for beginners
10. ZipBooks
Image via ZipBooks
ZipBooks is regarded as one of the most user-friendly accounting platforms tailored for the needs of self-employed solopreneurs and freelancers. It provides an intuitive invoicing, payments, expense tracking, reporting, and contact management solution without overwhelming non-accountants with complex general ledger functions.
With a user-friendly interface and a flexible pricing model that includes a free starter option, ZipBooks makes professional accounting tools accessible to a wider range of self-employed individuals.
As one of the best accounting software for self-employed individuals in terms of simplicity, ZipBooks aims to help streamline the core financial operations of solopreneurs.
Key Features
- Smart invoicing
- Available in mobile apps
- Expense and time tracking
- Intelligent financial reporting
- Contact and client management
- Multi-user access for collaboration
- Income and profit tracking and reports
- Integration and sync are available for ecommerce and payment platforms such as PayPal, Stripe, and Gusto
Pros
- ZipBooks has multi-user collaboration support.
- ZipBooks is particularly designed to be beginner-friendly.
- ZipBooks has over 800 integrations with other business tools.
Cons
- It is not suitable for advanced accounting needs.
- ZipBooks has relatively limited features compared to bigger players such as Zoho Books or Zoho Books alternatives for small businesses.
Pricing
- Starter: Free
- Smarter: $15
- Sophisticated: $35
- Accountant: Custom Pricing
Image via ZipBooks
Tool Level
- Beginner
Usability
- Easy to use
11. TrulySmall Accounting
Image via TrulySmall Accounting
TrulySmall Accounting is designed to cater specifically to the needs of freelancers, microbusinesses, and self-employed individuals who require simple and efficient accounting solutions.
TrulySmall Accounting offers a simplified suite focused on seamless invoice creation for clients, estimates management, payments tracking, expense reporting, and financial insights.
This focus on simplicity and user-friendliness positions TrulySmall as a top player among the best accounting software for self-employed individuals. It also appeals to those who value ease and efficiency over comprehensive, complex features.
TrulySmall Accounting embodies the principle that effective financial management should be accessible to all, regardless of business size or accounting expertise.
Interestingly, TrulySmall Accounting is a product of the folks at Kashoo.
So, take a look at what you get with TrulySmall Accounting.
Key Features
- Time tracking
- Multi-user allowance
- Financial reporting and insights
- Centralized client management
- Payments, expenses, and tax tracking
- Comprehensive invoicing and estimation tools
Pros
- It offers easy tax expense tracking and financial reporting.
- This tool is streamlined for freelancers; no complex accounting is needed.
- TrulySmall Accounting provides specialized tools for creating professional invoices and estimates.
Cons
- It has no integrated payment processing (except Stripe support for professional invoices).
- It has limited features compared to advanced platforms like Xero or top Xero alternatives for small businesses.
Pricing
TrulySmall Accounting has three pricing plans with limited features. They include:
- TrulySmall Invoices: $8.99 per month
- TrulySmall Expenses: $8.99 per month (14-day free trial)
- TrulySmall Accounting: $20 per month (14-day free trial)
Image via TrulySmall Accounting
Tool Level
- Beginner
Usability
- Easy to use
12. Patriot Software
Image via Patriot Software
Patriot Software offers a range of accounting, payroll, and tax solutions tailored for the needs of small businesses and their accountants. However, the accounting and payroll solutions come in separate packages, so you might have to purchase them individually if you want the full-range service.
By delivering robust features and guidance without the complexity of enterprise platforms, Patriot Software allows independent contractors and freelancers to manage their finances in a DIY fashion.
Patriot Software aims to deliver comprehensive yet accessible accounting and tax tools for small businesses and the accountants that support them. It caters to users without an accounting background while still providing robust financial features.
Interested? Take a look at what you get with Patriot Software.
Key Features
- Inventory management
- Simple accounting solutions
- Automotive bank feed importing
- Payroll processing (different package)
- iOS and Android-compatible mobile apps
- Tax forms and filing (1096, 1099, and W-2)
- Check printing for vendor payments right from the software
- Auditing assistance to simplify and reduce stress for DIY audits and IRS interactions
Pros
- Patriot Software has a 30-day free trial window.
- This tool has dedicated customer support channels.
- Patriot Software grows with SMBs by scaling from basic to advanced tools.
- Patriot Software is designed for small business owners without accounting expertise.
Cons
- Patriot Software has no free plan.
- It has basic customizability compared to enterprise platforms.
Pricing
As mentioned, Patriot Software has different packages for its accounting and payroll solutions. The accounting packages include:
- Accounting Basic: $20 per month
- Accounting Premium: $30 per month
Image via Patriot Software
Tool Level
- Beginner
Usability
- Easy to use
13. Neat
Image via Neat
Optimized for independent users, Neat offers self-employed solopreneurs one of the most innovative automated accounting solutions. As its name suggests, Neat is primarily interested in helping you declutter your financial workspace and enhance spotless bookkeeping.
What’s more?
As a specialist in receipt tracking and expense management, Neat helps transform physical documents into digital data through its sophisticated scanning technology. This feature can dramatically simplify bookkeeping and tax preparation for non-accounting-savvy professionals.
Apart from that, Neat allows for seamless integration with a deluge of business tools, making it one of the best accounting software for self-employed individuals.
Let’s take a look at some critical information on Neat.
Key Features
- Tax filing and tracking
- Active customer support
- Instant expense reporting
- Automated insights and reporting
- Robust integrations with business tools
- Automated data capture and categorization
- Creation and tracking of professional invoices
- Invoice, income statement, and balance sheet templates
- Bi-directional data sharing and matching with 10,000+ financial institutions
Pros
- Neat offers a 14-day free trial window.
- Neat’s focus on automation makes accounting easy for anyone.
- It offers sync for bank accounts and integration for up-to-date financial data.
Cons
- Neat has limited customization options.
- Neat is too ‘neat’ for complex multi-user business accounting.
Pricing
Like Kashoo, Neat offers only one pricing plan, and it is a yearly plan. This plan comes with a 14-day free trial period to allow you to test-run the service and decide if it’s what you want.
Neat’s single-plan pricing is:
- Neat: $200 per year
Image via Neat
Tool Level
- Beginner
Usability
- Automation makes things a lot easier
14. ZarMoney
Image via ZarMoney
In ZarMoney, we found one of the best accounting software for self-employed professionals tailored for invoicing, expense tracking, impressive financial insights, and much more. It consolidates core financial workflows for clients into an integrated platform for solopreneurs.
This tool allows you to sync feeds from over 9,500 US and Canadian banks and collaborate with employees and contractors, all from an easy-to-use interface for non-accountants.
Best of all?
We found that ZarMoney is one of those tools carefully designed for freelancing and small business operations but imbued with enterprise-grade functionality and features.
Let’s take a look at some of these features and how they match up.
Key Features
- Robust integrations
- US-based customer service
- Financial statements and reporting
- Expense tracking with receipt capture
- Bank data syncing with 9,500+ banks
- Customizable estimates and invoices
- Contractor time tracking and invoicing
- Simple collaboration and data sharing
- Automated notifications and reminders
- 15-day free trial window on paid services
Pros
- ZarMoney is easy to use for non-accountants.
- ZarMoney scales its capabilities as your business grows.
- This tool is designed specifically for self-employed and solo professionals.
- ZarMoney has many useful integrations with business and payment tools, such as Stripe, Mailchimp, and Shopify.
Cons
- There is no free plan.
- There is no payroll support.
Pricing
ZarMoney has no free plan but comes with a 15-day free trial period.
- Entrepreneur: $15 per month
- Small Business: $20 per month
- Enterprise: $350 per month (custom pricing)
Image via ZarMoney
Tool Level
- Intermediate
Usability
- Easy to use
15. AccountEdge Pro
Image via AccountEdge Pro
AccountEdge Pro is a desktop-based accounting solution that savvy self-employed professionals like yourself would find very useful. With advanced accounting capabilities built for scalability, AccountEdge Pro is regarded as one of the best accounting software for professional solopreneurs and business owners.
AccountEdge Pro delivers powerful financial controls that are well-suited for self-employed users ready to scale beyond their basic bookkeeping needs. It seamlessly combines advanced accounting tools with inventory, order, and customer management in a complete solution.
Because it features enterprise-grade functionality, AccountEdge Pro is perfect for advanced self-employed professionals running mostly high-transaction product-based businesses.
These are some of the features you will gain access to by using this tool.
Key Features
- Scalable multi-user access
- A/R, A/P, and project costing
- Automated billing and invoicing
- Budgeting and cash flow controls
- Inventory and order management
- Hundreds of customizable reports
- Seamless ecommerce integrations
- Complete general ledger accounting
- Rules-based automation for workflows
Pros
- This tool handles multi-location operations well.
- AccountEdge Pro seamlessly links with ecommerce.
- It effectively manages staff permissions and access.
- AccountEdge Pro has advanced accounting and inventory management.
Cons
- AccountEdge Pro is only available on desktops.
- This tool is designed for the accounting-savvy.
Pricing
It was not surprising to find that AccountEdge Pro offers no free plan, given its intermediate-expert-focused nature. Also, its monthly subscription plans only offer basic features; extra add-ons, such as payroll processing and bank feeds, have to be purchased.
- AccountEdge Pro: $20 per month
- AccountEdge Network Edition: $30 per month
- AccountEdge Hosted: $40 per month
Image via AccountEdge Pro
Tool Level
- Intermediate-Expert
Usability
- Requires accounting knowledge
FAQ
Q1. What are some of the best accounting software for self-employed professionals?
Here are our top 13 picks for the best accounting software for self-employed professionals:
- QuickBooks Self-Employed: Best for overall functionality
- Zoho Books: Best for automation and Integration
- FreshBooks: Best for invoicing and client management
- Xero: Best for scalability and comprehensive features
- FreeAgent: Best for UK-based self-employed professionals
- Wave: Best for free accounting solution
- Fiverr Workspace: Best for freelancers
- Kashoo: Best for straightforward, no-frills accounting
- OneUp: Best for automation in inventory management
- ZipBooks: Best for intelligent reporting and insights
- TrulySmall Accounting: Best for simplicity and ease of use
- Patriot Software: Best for tax prep and compliance in the US
- Neat: Best for document organization and expense tracking
- ZarMoney: Best for US customer service
- AccountEdge Pro: Best for professional and expert business needs
Keep these in mind when you go looking for the best accounting software for self-employed professionals.
Q2. Why do I need accounting software and what key things should I look for when choosing one?
As a self-employed professional or freelancer, having the right accounting software for your business needs is critical. These tools allow you to seamlessly handle financial workflows such as invoicing clients, managing expenses, processing payments, and estimating taxes.
DIY accounting software optimized for the self-employed allows you to manage your entire freelance or solo business finances in one place and remain compliant. The automated features save time on bookkeeping while giving you insights into key financial metrics.
On how to choose the best accounting software for self-employed professionals like yourself, some key features to look for include:
- Integration with other tools you use
- Expense and mileage tracking for deductibles
- Collaboration features to work with contractors
- Bank feeds and income/payments reconciliation
- Scalability to grow as your solo operation expands
- Intuitive interface for beginners and non-accountants
- Invoicing capabilities to bill clients and get paid faster
- Automated tax features if you are a US-based solo business
- Finance reporting, such as profit and loss and balance sheet
Choosing a platform that aligns with your independent business needs and user experience comfort will ensure you choose an ideal accounting solution.
Q3. Should I use free or paid accounting software?
One major consideration when choosing a software accounting tool suited for solopreneurs and freelancers is whether to use free or paid accounting software.
Free plans on tools such as Wave or FreeAgent work well for basic solopreneur accounting needs. However, paid plans provide a more robust docket tailored for the self-employed, such as:
- Mileage logging for deductibles
- Expense receipts and tracking features
- Quarterly self-employment tax estimations
- Robust invoicing and management of clients
- Time tracking and online payments processing
The productivity benefits and specialized tools make paid accounting software worth the monthly fees for most full-time, self-employed users. However, if you have very limited accounting needs for your small business, then choosing a free platform should be fine.
Q4. How much does self-employed, optimized accounting software cost?
Pricing for paid accounting software optimized for the self-employed can range from as little as $3.75 (discount included) to as much as $350 per month, depending on the features and platform.
Entry-level plans on platforms such as Xero, FreshBooks, and TrulySmall start around $3.75 to $9 monthly. Mid-tier plans with extra capabilities on platforms such as QuickBooks Self-Employed and OneUp can range from $20 to $35 monthly. And enterprise plans on feature-rich platforms like Zoho Books or ZarMoney can get as high as $350 per month.
That said, the monthly cost of your accounting software plan may be fully deductible as a business expense for self-employed users.
Q5. What tax features should I look for in accounting software?
Since self-employed users have to handle their own income taxes when it’s tax season, some important tax-related capabilities to look for include:
- Easy importing of 1099s from clients
- Deductible home office use calculations
- Integrations with TurboTax or equivalent
- Quarterly estimated income tax planning
- Support for quarterly profit/loss reporting
- Automatic mileage tracking for deductions
- Automated quarterly and annual tax payments
- Generating all required tax statements and forms
Having the right tax handling features ensures maximizing write-offs and smooth, compliant filing for self-employed professionals.
Now You Know: 15 Best Accounting Software for Self-Employed Individuals
Choosing the best accounting software for self-employed freelancers, solopreneurs, or independent consultants is critical to effectively managing your finances.
When in doubt, the right accounting software provides easy invoicing, payment collection, expense tracking, tax planning, collaboration, and financial insights, all on an intuitive platform.
With the advancement of easy-to-use yet powerful accounting technology, self-employed users like yourself have more choices than ever before.
Taking advantage of these DIY solutions can save time, effort, and money over brick-and-mortar bookkeeping and accounting. This way, you get more room to focus on growing your solo or freelancing business. Good luck!
