Xero certainly doesn’t skimp when it comes to features and even more seem to come out of nowhere as you delve deeper into its hidden depths. Everything revolves around the Xero dashboard area, but we also love the easy way Xero lets you create a new part of your cloud-based experience with a simple ‘+’ button to the right of the screen. Here, you can produce invoices, bills, purchase orders and more besides, with one-click ease. The number of users is also technically unlimited, but FreshBooks does charge an extra fee per user. This means that FreshBooks is a good choice for small businesses that need to send more invoices than the Xero basic plan allows and need more users than the QuickBooks basic plan allows. Xero only allows one organization per subscription, so if you need to do accounting for more than one business, you’ll need to purchase an account for each one.
Find out more about Xero’s commitments to data protection and data security. Use Gusto payroll to calculate pay and deductions, pay employees, simplify compliance, and update the Xero accounts. Reports also are customizable, with adjustable formatting and the option to add your own formulas and groupings. For instance, you can drag and drop certain expense categories into a single subgroup — an “office expenses” subgroup could include office equipment, supplies and utilities. And if you don’t like how the dashboard looks, you can reorganize panels and hide the ones that aren’t useful. Includes tools that help automate the reconciliation process, along with a global search function; has a simple layout and a customizable dashboard.
FreshBooks is another fantastic alternative for freelancers keeping track of their business finances, and has time-tracking included as well to help you maximize productivity in your work. They have two separate offerings for self-employed and freelance professionals that you can take advantage of. Of course, thoroughly check through both features first, so you can ensure you have the best one for your side hustle’s needs. The business accountancy specialists at James Todd & Co provide advice about hiring a bookkeeping service, when this may be an exercise in cost-efficiency, and what to look for. If you are switching from another accounting software, then you can import your chart of accounts into Xero, or modify the default chart of accounts. Xero, on the other hand, lets you customize your invoices with your own logo and text.
It also integrates with over a thousand apps, meaning if you can’t find a native feature you need, you can likely add it on. The included mobile app is great for checking accounting reports or invoices on the go. And with time tracking as an option on higher plans, you can easily keep records of time spent on tasks. We like Xero for businesses with lots of employees, as they can take advantage of the unlimited number of collaborators. Next up, the Growing package costs $32 per month and lets you send invoices and quotes, enter bills and reconcile bank transactions. Zoho Books offers a forever free plan of its accounting and invoicing software, which sets it apart from competitors, in addition to five paid plans that start at $15 per month.
Is Xero easier to use than Sage?
Zoho Books’ paid plans all come with free live chat and phone support. As the industry standard, QuickBooks Online is ideal if you have a growing business with specific accounting needs — as long as you don’t mind taking the time to learn the program’s ins and outs. You can also scroll through Xero’s default chart of accounts and customize it as needed, or import an already existing chart of accounts. If you have a list of customers and suppliers, you can import that, too. Many or all of the products featured here are from our partners who compensate us.
You will receive an email message with instructions on how to reset your password. To review this software, we signed up for a free trial of the Xero Established plan. We also reviewed official product documentation, watched https://accountingcoaching.online/ demo videos and consulted user reviews on third-party websites. Instead, customers can visit the Xero Central support site or raise a case online. A representative typically responds to a case within a few hours.
- While the obvious lack of live support might not always be the best part of the overall package there is much to like with this service.
- As Xero is connected to your bank, transactions are pulled through automatically.
- It’s a full-service option with unlimited, automated payroll runs and direct deposit.
- The payroll overview is a comprehensive guide to take you through each step of the setup.
- But if you’re a bigger company that requires more functionality, Xero lets you manage your inventory and provide access to everyone in the company without extra fees.
To its credit Xero does have quite a lot of help and support options at your disposal. There are handy built-in options that can get you around any minor issues you might encounter during setup. This is most notably handy thanks to the question mark up in the right-hand corner of the interface, which delivers and express-lane dialog box for solving many common queries. does inventory adjustment effect equity I think Xero has a lot of power and flexibility, which gives it a bigger learning curve to get used to the features available. I recommend finding a bookkeeper who is experienced who can show you the ropes. We’re committed to the security of your data and provide multiple layers of protection for the personal and financial information you trust to Xero.
AI Accounting Tools For Freelancers Running A Side Hustle In 2024
Xero offers a built-in integration with Hubdoc, a tool that extracts the data from bank statements and financial documents and uploads it into the system based on rules that you specify. Xero also has a mobile app, Xero Expenses, that allows you to snap pictures of receipts and create an expense instead of having to manually enter all the information. FreshBooks offers unlimited time-tracking in its lowest-tier Lite plan, whereas Xero users would have to opt into the highest-tier Established plan for that feature. In the Early plan, the least expensive subscription, you can send up to 20 invoices and schedule up to five bill payments only. That can be limiting, even for freelancers and sole proprietors. For unlimited invoicing and bill-paying capacity, you’ll need to upgrade to the Growing plan.
QuickBooks has a special feature for those who are not large business entities but may be self-employed as contractors or freelancers, called QuickBooks Self-Employed. This handy tool helps you through integrating with your bank account and categorizing expenses, and can do the math for you to estimate your taxes each quarter, amongst other handy features. This tool helps you automate your accounting process, and if you run an Etsy store or sell items on eBay, Dext has a special feature for freelancers who conduct e-commerce as well. It helps drive efficiency and saves you valuable time when tracking expenses and receipts, and extracting valuable data. Xero offers apps with a wide range of functionalities from cash flow forecasting, to document management, and many more.
Free software and more
This influences which products we write about and where and how the product appears on a page. As a Xero partner, you’ll have access to all the tools you need to grow your practice. Small businesses, accountants and bookkeepers locally and across the world trust Xero with their numbers.
Finding the right freelance accounting software solution is essential, as it can drastically reduce the time you expend on admin-related work—enabling you to refocus your energies into actually doing what you love. Through automating your processes using some of the tools listed above, you can set your side hustle up for success and have peace of mind knowing that the finances are adequately taken care of. Xero is an online accounting software designed for small businesses.
In addition, Xero accounting and bookkeeping partners can offer bare-bones plans for businesses that need only the basics. We’re upfront about pricing, and provide full details of our pricing plans and optional extras. In regions where a feature is listed as an add-on (for example, Xero Payroll, Xero Projects, Xero Expenses and Analytics Plus), pricing is based on the number of users who use the add-on each month. For Payroll with Gusto (US), pricing is based on the number of users who are paid each month. Bookkeepers may hold formal qualifications, such as AAT, or have experience managing bookkeeping services on behalf of clients.
This is more integrations than all its main competitors, including QuickBooks and FreshBooks. If you are looking for accounting software that will seamlessly connect with the rest of your software stack, then the odds are high that Xero will integrate with whatever tools you are already using. These ratings are meant to provide clarity in the decision-making process, but what’s best for your business will depend on its size, growth trajectory and which features you need most. We encourage you to research and compare multiple accounting software products before choosing one.
Is Sage similar to Xero?
To achieve certification, bookkeepers must enrol in professional learning programmes to achieve recognition, including live webinars and digital courses that look at in-depth ways to add value to clients. Setting up payment reminders and organising your credit control systems can help you to get paid faster. If you are transferring payroll from another system in the middle of the financial year – don’t forget to add the opening balances. Kristy Snyder is a professional writer and editor living in Pittsburgh with over 10 years of content creation experience. In addition to being a Content Editor for Clever Real Estate, she has contributed to numerous leading financial and tech websites, including Bankrate, The Simple Dollar, NextAdvisor, and more. Both are also reasonably priced on the base plans, costing less than other powerhouse software such as QuickBooks.
