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Best tools · Finance & Accounting

Best accounting and bookkeeping software

Track income, expenses and prepare for tax. 4 tools in this list, 1 with a free plan.

How this list is ranked. Tools are ordered by how strongly they are built for this job (as tagged in VERILO’s catalogue), then by editorial score and editor rating. Affiliate relationships and featured status are never inputs.

  1. 01

    QuickBooks Online

    Built for it

    Cloud accounting for small businesses with invoicing, bank feeds, tax and reporting, plus payroll add-ons.

    4.4From $38/moFree trial
    • This is a core use case of the product.
    • Includes API access, Reporting & dashboards, Mobile app
  2. 02

    Xero

    Built for it

    Cloud accounting with bank reconciliation, invoicing and reporting; every plan includes unlimited users.

    4.3From $25/moFree trial
    • This is a core use case of the product.
    • Includes Roles & permissions, API access, Reporting & dashboards
  3. 03

    FreshBooks

    Good at it

    Invoicing-first accounting for freelancers and service businesses, with time tracking and a client portal.

    4.1From $21/moFree trial
    • Well supported, though not the product's main focus.
    • Includes API access, Reporting & dashboards, Mobile app
  4. 04

    Wave

    Good at it

    Free invoicing and bookkeeping for US and Canadian small businesses, funded by payment processing fees.

    3.9From $16/moFree plan
    • Well supported, though not the product's main focus.
    • Includes API access, Reporting & dashboards, Mobile app

Who this list is for

For a small business or freelancer who needs the books in order — bank transactions categorised, invoices reconciled, and accounts an accountant can work from — rather than only invoices sent and paid.

How to choose

Start with who else touches the file. Xero includes unlimited users on every plan, so owners, staff and an accountant can share one file without per-seat fees, while QuickBooks Online reserves multi-user access for its higher tiers. If you and your accountant are the only people involved, this matters less than it sounds.

Then check the country and the bank feeds. Wave serves businesses in the United States and Canada only; Xero is strongest in the UK, Australia and New Zealand; QuickBooks Online is the system most US bookkeepers and accountants already work in. Accounting software is only as useful as its connection to your bank.

Finally, separate bookkeeping from invoicing. FreshBooks is invoicing-first and suits hourly and project work, with a lighter general ledger than QuickBooks or Xero. If most of your admin is issuing invoices and chasing them, that is a reasonable trade to make deliberately.

What to compare

Where your business is
Support for your country's tax rules, bank feeds and filing formats is not optional, and it rules tools in or out before any feature comparison starts.
Who needs access
Count the owner, anyone entering transactions and your accountant. Some tools include unlimited users on every plan; others gate multi-user access behind a tier.
Bank feeds and receipts
The daily work is matching transactions. Check that your banks connect, how often the feed refreshes, and how receipts get in — mobile capture saves more time than any report.
Inventory, projects and payroll
These sit on higher tiers or as paid add-ons across this list. Decide which you genuinely need before comparing entry plans, because that is where the real cost appears.
Your accountant's preference
Ask which systems they work in daily. A tool they already know shortens every year-end conversation and reduces what you pay them to reconstruct.

Common questions

Which bookkeeping tools have a free plan?
None of the bookkeeping tools with checked pricing has a free plan. QuickBooks Online (30 days) and Xero offer a free trial instead. Pricing for FreshBooks and Wave has not been checked against the vendor in the last 90 days, so they are not included.
How much does bookkeeping software cost?
The entry paid plans as each vendor lists them, checked against its pricing page: Xero Early at $25 a month and QuickBooks Online Simple Start at $38 a month. Some vendors quote the annual-billing rate, and seat minimums, higher tiers and add-ons all change the real cost, so price the plan you actually need. Pricing for FreshBooks and Wave has not been checked against the vendor in the last 90 days, so they are not included.
Do I need accounting software if I already send invoices?
Invoicing records what you billed; bookkeeping records what you earned, owe and can spend. Once you have bank transactions to categorise, expenses to claim or a return to file, a ledger saves the reconstruction later.
Can I switch accounting tools mid-year?
You can, and the usual advice is to switch at the start of a financial period so opening balances are clean. Every tool here exports data, but historical reconciliation rarely moves across perfectly, so agree a cutover date with whoever files your accounts.

Read next

Choosing between the top two?

See QuickBooks Online and Xero side by side on pricing, free plans, ease of use and features.

Compare QuickBooks Online vs Xero

4 tools compared. Each listing shows when its information was last reviewed; prices can change, so check the vendor’s pricing page before you decide.

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