The best bookkeeping software in 2019
It can be hard to keep up with business finances, especially if accounting isn’t your forte. 60% of small business owners say they aren’t knowledgeable in accounting or finance, so you’re certainly not in the minority.
If you’re a small business or a sole trader, you might not want to fork out to hire an accountant. You’d rather put food on the table of your employees and we can’t fault you for that. You have enough to juggle without worrying about taking a wrong step with your accounts. All you want to make sure you pay your employees, pay your way in tax, and take home some money for yourself at the end. So you want the process to be as simple and pain-free as possible.
Luckily, you’re spoilt for choice when it comes to accounting and bookkeeping software. And don’t worry if you’re not an expert; there are plenty of options out there for the less experienced.
As of April this year, the government introduced Making Tax Digital as a way to make filing tax more efficient. It calls for businesses to keep their financial records online and file their tax returns digitally. It’s currently only in place for businesses with a taxable turnover above £85,000, but in the foreseeable future this will roll out to include businesses of all sizes.
So let’s run through our top software picks to help you keep up with your business’s finances.
FreeAgent is a cloud-based software developed with freelancers and small businesses in mind.
Some notable features include the sending and tracking of invoices and estimates, uploading and storing expense receipts, and tracking your time with smart timesheets. It can also connect to your bank account to import transactions.
FreeAgent is compatible with Making Tax Digital and can help you through the transition smoothly.
Quickbooks is another cloud-based software but offers different plans based on the size of your business.
Quickbooks will have something to suit you if you’re a freelancer who needs a basic package to track income, expenses, and sort receipts. But it can also help if you’re a bigger business that needs software to run payroll, track employee time, and project profitability.
Xero can help you keep on top of inventory, expenses, payroll, and invoices. It’s also compliant with Making Tax Digital and has an easy-to-use app which means you can get things done on the move.
Although there are some restrictions to its features, Xero provides a basic plan at an extremely competitive rate. But if you’re looking for some more functionality, you can spend more on their advanced software.
There are so many different options out there that it can be difficult to decide which suits you best for you. And what affects you affects your staff. It’s important when making your choice that you consider all your options. Factor in your business’s individual needs, budget, and long-term goals. This way, you can find a software that meets them now and can grow with you in the future.