Which is Right for Your Small Business?
If you are a freelancer or owner of a small business than you have almost certainly run into the problem of tracking all of your invoices, expenses, inventory, or income. Thankfully accounting software has made it extremely easy for you to track and maintain all the issues you need to make sure that your finances are all kept in track and you small business runs smoothly.
Two of the best accounting programs currently available are WorkingPoint and QuickBooks Self-Employed. In order to help you find which program best fits your needs, we have chosen to highlight some of the key aspects of each one.
Most independent workers don’t have money to throw around, so it’s important to find an accounting program that can fit within your budget. With that being said, both WorkingPoint and QuickBooks are very affordable and the features they offer are more than worth the cost.
To start, WorkingPoint offers a free 30 day trial, plus two free months if you choose to pay annually. After that, it costs just $9 per month or $99 per year for the Lightning plan. Unfortunately with this plan you are limited to one user per account and a maximum of 10 invoices per month. If needed you can upgrade to the Thunderstorm plan, which costs $19 per month and $190 per year. This plan allows unlimited user accounts and invoices.
QuickBooks Self-Employed also offers a 30 day free trial, and after that you get a discounted rate for the first 12 months. $4.99 per month for the Self-Employed Version, and $11.99 per month upgraded TurboTax version. After that is done, the price increases to $9.99 and $16.99 respectively.
WorkingPoint has almost everything you could ask for in an accounting program. For example it includes:
- income and expense tracking
- bill payments
- inventory tracking
Specifically for freelancers, it has a built in time tracker app to record how you spend your time; it even lets you put in your hourly rate, so you can see exactly how much you are earning. There is also Dropbox integration, which allows you to scan receipts and store them in a folder, saving you the cost of paying for receipt management. Finally, WorkingPoint is able to sync with over 19,000 financial institutions, including PayPal. Since so many freelancers rely on PayPal in order to be paid, this feature is very beneficial.
QuickBooks has many features that help out freelancers and small business owners as well. One unique feature is the option to separate personal and business finances. This is especially beneficial if you use the same bank account for business and personal reasons. Although it costs extra, the TurboTax plan is especially useful because it will create a Schedule C and allow you to file and pay your taxes completely online. QuickBooks is one of the only accounting programs to offer this.
While it is clear that both programs are very beneficial, they do have some weaknesses. For example, the user interface of WorkingPoint is not very appealing, and this can make it a hassle to work with on occasion. As well, it does not account for the transaction fees charged by PayPal. This means that you have to manually input the fees on the invoice. If you do not catch this it could cause your numbers to be unbalanced.
QuickBooks does not have a time tracking app, or project management and inventory tracking. This makes it less than ideal for a freelancer who needs to keep track of all of their projects and hours worked. As well, the program itself can not accept payments from PayPal or credit cards directly. You must individually forward clients to a separate processor. This makes receiving payment that much more difficult- something all freelancers are concerned about.
We scored WorkingPoint an 8.9/10 and QuickBooks Self-Employed an 8.1/10, two very good scores. QuickBooks has the edge when it comes to user friendliness and helping with taxes, but the business features of WorkingPoint, like invoicing and management, help pull it ahead. To see how we scored each program in greater detail read or reviews for WorkingPoint and QuickBooks Self-Employed. You can also compare them side-by-side and detail to detail via our Comparison table.
Overall, both of these accounting programs will make your life significantly easier during tax time and while managing your business. Hopefully this has helped to show you how useful these programs are to small business owners, contractors, and freelancers just like you.