If you own a company of any scale, you already understand how critical accounting is to long-term success. Thankfully, resources exist to help you control cash flow, monitor spending, plan for tax obligations, manage to invoice, and much more. You need software that is tailored to your specific needs. Using a product that isn’t flexible to your company’s size or configuration can cause many problems, such as paying for features you won’t need or not doing anything to help your company develop.
QuickBooks is a software programme that caters to all forms of companies and provides two distinct solutions to meet individual needs:
- QuickBooks Online
- QuickBooks Self-Employed
QuickBooks Online is another standard version of QuickBooks for small businesses. This is a small-business accounting software kit that has more advanced features than QBSE. It’s a powerful but easy tool that lets you do basic accounting tasks like sending invoices and keeping track of inventory.
QuickBooks Online is software that allows you to keep track of the transactions of your business accounts. It has more advanced features, such as monitoring sales tax, inventory, and so on. It’s a step up from QuickBooks Self-Employed, and it can help you with things like:
- Purchases and sales of goods
- Accounts receivable Employee files
- 1099 contractors are people who work for you on a project-by-project basis.
QuickBooks Online is intended for small businesses that file the following types of taxes:
If you have an e-Commerce store through Shopify, this accounting solution is a great fit.
Advantages of QuickBooks Online
QuickBooks Online has many features that small business owners appreciate:
- Sends invoices, statements, and reports automatically.
- Data is kept up to date with nightly downloads of bank transactions.
- Allows you to open several windows at the same time.
- For companies with staff, the payroll subscription option adds flexibility.
- The ability to access data from any computer and from any location (all devices are synced, even your mobile phone)
- Time monitoring makes it easier to keep track of tasks and reliably bill clients.
What distinguishes QuickBooks online is its emphasis on small businesses. It isn’t crammed with frills that drive up the price, but it does have virtually all you’ll need to keep track of your company’s expenditures and financial results. Furthermore: It supports multiple users.
- Data from other QuickBooks systems can be imported.
- Inventory can be tracked.
- It has a lot of optional add-on features that can be used to extend the functionality.
QuickBooks Self Employed
QuickBooks Self-Employed is an accounting programme that provides all of the necessary features for a solopreneur, including:
- Taking care of both personal and company accounting.
- calculating and paying taxes (both with your state and the IRS)
QuickBooks Self-Employed was created with a particular target audience in mind. This is your accounting solution if you need to file a Schedule C document with your Form 1040 during tax season. It is designed for entrepreneurs with essential business frameworks.
This indicates no staff and vendors, as well as a small number of invoiced clients. This is a fantastic choice to consider if you only have one income source and pay most of your expenses with cash or a card (no checks). Users frequently fall into one of the following categories:
- Drivers for Uber and Lyft, as well as other gigs
- economy jobs Consultants and independent contractors
- Those who live for themselves
- Those who work as independent contractors
- Realtors are people who specialise in selling houses.
People who use QuickBooks Self-Employed don’t often need to spend a lot of money on accounting software. They do, however, need something more straightforward, cost-effective, and manageable than manually inserting data into spreadsheets.
Please note that if you know your company will expand in the future and you’ll be recruiting staff, adding new revenue sources, and needing more sophisticated reporting, you’ll probably outgrow this software and should consider QuickBooks Online instead.
Advantages of QuickBooks Self Employed
- It is very economical.
- It has features that are easy to use.
- It is effortless to set up.
- Basic invoicing features are included.
- On a single platform, it’s simple to handle personal and business transactions.
- Is available at all times and from any venue, including on your mobile device (Android/iOS).
- Has built-in mileage monitoring software that can be used to simplify the process.
- For those who do their tax filing, it can be integrated with Turbotax (and pricing for the tax bundle is a good bargain)
And, even though it’s an elementary programme, you can always invite one accountant to assist you during tax season. That means you can do your bookkeeping during the year and easily send your data to a CPA when tax season rolls around.
QuickBooks has many versions. Here are the advantages and benefits detailed in this blog, so please go through the blog and decide it for yourself according to your business and organisation requirement. I hope that this blog helps you understand both the versions and select from one of them.