The best accounting software for freelancers

The Best Accounting Software for Freelancers

Category: Freelancing Published May 24, 2023 Author: Andrew Martin

As a freelancer, managing your finances effectively is essential for the success of your business. One of the most important tools that can help you stay organized and streamline your accounting processes is accounting software. With a wide range of options available in the market, it can be overwhelming to choose the right accounting software for your freelance business. In this article, we will explore the various accounting software options that are specifically designed to meet the needs of freelancers.

Why Use Accounting Software?

Accounting software provides freelancers with a range of benefits, including time-saving automation, organization and efficiency, accurate financial records, improved client relationships, and financial insights. Let's delve deeper into each of these benefits:

  1. Time-saving automation: Accounting software automates repetitive tasks like invoicing, expense tracking, and financial reporting, allowing freelancers to focus more on their core work. By eliminating manual data entry and calculations, accounting software saves freelancers a significant amount of time and helps them stay productive.
  2. Organization and efficiency: By centralizing financial data and providing real-time updates, accounting software helps freelancers stay organized and make informed financial decisions. With all their financial information in one place, freelancers can easily track income, expenses, and tax obligations, making it easier to allocate resources and plan their budgets effectively.
  3. Accurate financial records: Accurate and up-to-date financial records are crucial for tax compliance and business growth. Accounting software helps freelancers maintain these records by automatically categorizing income and expenses, tracking receipts and invoices, and reconciling bank transactions. This not only saves time but also reduces the chances of errors and ensures that freelancers have clear and accurate financial information at their fingertips when they need it.
  4. Improved client relationships: Many accounting software options offer features like professional invoicing, payment reminders, and client management, helping freelancers maintain a positive relationship with their clients. With professional-looking invoices and automatic payment reminders, freelancers can ensure timely payments, which not only improves cash flow but also strengthens client trust and loyalty.
  5. Financial insights: Accounting software often includes robust reporting capabilities, allowing freelancers to gain valuable insights into their business performance and make data-driven decisions. By generating financial reports, such as profit and loss statements, balance sheets, and cash flow forecasts, accounting software provides freelancers with a clear picture of their business's financial health. These insights help freelancers identify areas for improvement, track progress towards financial goals, and make informed decisions to drive business growth.

Now that we understand the benefits, let's explore the top accounting software options available for freelancers:

QuickBooks Self-Employed

QuickBooks Self-Employed is a popular choice among freelancers due to its user-friendly interface and comprehensive feature set. It offers features such as automatic expense tracking, invoicing, mileage tracking, and tax estimation. QuickBooks Self-Employed also integrates seamlessly with popular payment platforms like PayPal, making it easy to track income from multiple sources. With its robust mobile app, freelancers can manage their finances on the go.

Source: QuickBooks Self-Employed


FreshBooks is another accounting software option designed specifically for freelancers and small businesses. It offers time tracking, invoicing, expense tracking, and payment processing features, making it a comprehensive solution for managing the financial aspects of your business. FreshBooks is known for its intuitive interface and excellent customer support. It also offers a mobile app for freelancers who need to stay on top of their finances while on the move.

Source: FreshBooks


Wave is a free accounting software option that provides a range of features suitable for freelancers. It includes invoicing, expense tracking, and financial reporting capabilities. Wave also offers additional features like payroll management and receipt scanning, making it a versatile choice for freelancers looking for a cost-effective solution. While it doesn't offer as many advanced features as some other options, Wave's simplicity and affordability make it an attractive choice for freelancers just starting out.

Source: Wave

Zoho Books

Zoho Books is a comprehensive accounting software solution that offers freelancers a wide range of features. It includes invoicing, expense tracking, time tracking, and project management capabilities. Zoho Books also integrates with other Zoho apps, such as CRM and inventory management, making it a powerful tool for freelancers who need more than just accounting features. With its mobile app, freelancers can manage their finances anytime, anywhere.

Source: Zoho Books


Xero is a cloud-based accounting software option that offers freelancers an intuitive and easy-to-use platform. It provides features like invoicing, expense tracking, bank reconciliation, and reporting. Xero also integrates with a wide range of third-party apps, allowing freelancers to customize their accounting software to meet their specific needs. With Xero's mobile app, freelancers can access their financial data on the go and collaborate with clients and accountants in real-time.

Source: Xero


Accounting software plays a crucial role in helping freelancers manage their finances efficiently. By automating tasks, organizing financial data, and providing valuable insights, accounting software can save freelancers time and improve their business performance. Consider your specific needs and budget when choosing the right accounting software for your freelance business, and take advantage of the features and integrations available to make your accounting processes seamless.

Remember, it's always a good idea to try out a free trial or demo of the accounting software options you're considering to see if they meet your specific needs. By leveraging the power of accounting software, you'll have more time to focus on what you do best – delivering exceptional work to your clients.

Note: The information provided in this article is based on publicly available information and may be subject to change. It is always recommended to visit the official websites of the accounting software options mentioned for the most up-to-date and accurate information.



Q: Is accounting software necessary for freelancers?
A: Yes, accounting software is highly recommended for freelancers as it helps streamline financial processes, maintain accurate records, and save time on administrative tasks. Using accounting software ensures that you have a clear overview of your business finances and enables you to make informed decisions.

Q: How much does accounting software for freelancers typically cost?
A: The cost of accounting software for freelancers varies depending on the features and functionality offered. Some software options, like Wave, offer free plans, while others, like QuickBooks Self-Employed or FreshBooks, have monthly subscription fees starting from $15 to $25. It's important to consider your budget and the specific features you need when choosing the right accounting software for your freelance business.

Q: Can I file my taxes using accounting software?
A: Yes, many accounting software options provide tax-related features and integrations that can help freelancers with tax filing. For example, QuickBooks Self-Employed offers a built-in tax estimator and can generate tax reports that simplify the process of filing taxes. It's still important to consult with a tax professional to ensure compliance with tax regulations and to get personalized advice based on your specific situation.

Q: Is it possible to use accounting software on mobile devices?
A: Yes, most accounting software options have mobile apps available for iOS and Android devices. These mobile apps allow freelancers to manage their finances on the go, including sending invoices, tracking expenses, and accessing financial reports. This added flexibility is particularly beneficial for freelancers who travel frequently or work remotely.

Q: What integration options are available with accounting software?
A: Accounting software often integrates with other business tools, such as payment gateways, project management software, and customer relationship management (CRM) platforms. This integration allows freelancers to streamline their workflows and consolidate their data across different systems. For example, integrating accounting software with a payment gateway enables automatic syncing of income data, reducing manual data entry and the risk of errors.

About the Author

Andrew Martin is the CEO of Alkalyne Solutions, a digital creative agency that specializes in web design and development and graphic design for smallo to medium-sized businesses. Andrew recently created a branch of Alkalyne, Alkalyne Solutions for Small Businesses, which designs and develops highly-optimized websites for local small businesses. He also does consultant and web development work for RSO Consulting, a San Francisco-based digital marketing agency. In his spare time, he writes articles for byteJockeyz, a blog he created to serve as a resource hub for freelancers working in the digital space.

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