QuickBooks Self-Employed vs QuickBooks Small Business 2023

This makes QuickBooks a better choice for small businesses with multiple employees that need to access the accounting system. FreshBooks is accounting software that caters to small businesses and independent contractors. Apart from offering traditional double-entry accounting and reporting features, FreshBooks excels at generating invoices. Its unique ability to convert estimates and billable hours into invoices swiftly makes it an excellent choice for service-based businesses, especially those that need to get paid on the go. Finding the right accounting and invoicing software plays a critical role in tracking your business’s finances.

If you’re in the service industry where your customers treat you like a “1099” employee, then Quickbooks Self Employed is an option for you. QBSE also requires payment for any additional features and services beyond the basic package. Sole proprietors, on the other hand, should do well with either QuickBooks Online Simple Start or QuickBooks Self-Employed. QuickBooks Online still includes quarterly estimated taxes and tax deduction optimization—its plans just offer more accounting help alongside the basic QuickBooks Self-Employed features.

Which Version of QuickBooks Should You Use?

In this plan, payroll is full-service, meaning that all tax filings and payments are managed by Wave. QuickBooks Small Business (AKA QuickBooks Online) shines as one of the best overall bookkeeping solutions for small business owners. It has a ton of features, highly customizable invoices, and excellent app integration. Support can be slow at times (though it now has a chat bot), and some users found the application to be a bit slow or glitchy. The ease with which you are able to track your business taxes is one of the best features about Quicken Self-Employed.

It allows you to complete bookkeeping tasks, track expenses and revenue and send invoices to your customers. Two of the best small business accounting software programs are FreshBooks and QuickBooks. Additionally, many accounting software allows third-party application integrations.

QuickBooks Online

Skip the self-employed version and go straight to QuickBooks Online if you think you’ll outgrow QuickBook Self-Employed’s basic reports and features. QuickBooks Self-Employed is an accounting software product designed to help freelancers and sole proprietors keep tabs on income, expenses and tax obligations. Simply swipe left to mark a transaction as business versus personal, and categorize it to align with IRS filing categories. The Self-Employed Live Tax Bundle is the best option if you want live tax support.

• In addition, limited integration and lack of invoice customization are pain points for some.
• But unlike the Self-Employed option, QuickBooks Online lets you seamlessly upgrade from Simple Start to the Essentials plan at $50 per month (and beyond) as your business grows.
• Additionally, FreshBooks often offers discounts for your first months of membership.
• Keep your books in check, your clients happy, and deliver the work you love doing.
• QuickBooks Self-Employed is cheaper than QuickBooks Online—so shouldn’t it have the best value for the price?
• You (or your accountant) can setup templates for reports that you can run at any time.

Doing so can be complicated even if you stay within the QuickBooks universe. You may need to manually move your data by exporting, then importing data into your new QuickBooks account. Mileage data can’t be imported into a new QuickBooks account, so you would need to manually add each trip. This Quickbooks product looks enticing, but it’s designed for specific types of businesses.

For Businesses With Employees

QBO also allows third-party apps and integrations to enhance the capabilities of small businesses. Its quarterly tax estimation is helpful and accurate, as is its app-based mileage tracking. Its basic invoices and receipt-scanning features help you charge clients and keep your finances in order. All you have to do is sign up for a FreshBooks account, add your business details, and you’re ready to go.

You’ll find dozens of apps here that help you complete all kinds of tasks, such as making payments, sending invoices, and tracking inventory and expenses. This is the least expensive version of quickbooks self employed QuickBooks, starting at just $7.50 per month. It has essential features that make it perfectly suited for users with less time to spend on accounting and a simple and intuitive user interface.