Wave Accounting Review 2023 Features, Pros & Cons

Most importantly, it doesn’t sync with any third-party payroll providers. To determine whether you should choose Zoho Books or an alternative, consider how the above products would fit into your current business processes. For example, an invoice-centric solution like Freshbooks can be an excellent resource for freelancers and small businesses that provide services. Xero is another solution that gears its offerings toward freelancers and solopreneurs, making it worthy of consideration for managing the finances of single-person companies. They have a highly dedicated team that can handle the accounting with this excellent software providing a nice efficiency for the businesses.

When it comes to Wave payroll, the monthly fee starts at $20 plus $6 for each employee or contractor for states where payroll taxes must be paid and filed manually. Before you commit to accounting software, it’s in your best interest to shop around and compare all your options. Unlike QuickBooks and FreshBooks, Wave Accounting is completely free to use. It can allow you to manage all your accounting processes without paying a dime. It’s also intuitive so you don’t need to be an accountant to use it successfully. Wave is the cheapest accountancy software you’ll be able to get your hands on, but it’s not the only worthy contender out there.

Wave’s stand-out features

You can add new customers, items, and taxes on the fly if they haven’t already been defined, and you can now add a discount, either as a percentage or dollar amount. You create estimates using a similar process, though they require you to enter an expiration date. Connecting to your financial accounts is an especially important task since Wave is built on this exchange of data. The site does allow manual entry of transactions, but it’s nearly impossible to run your business this way because you can’t see when transactions have cleared until you get your monthly statement. Wave uses Plaid to set up connections to financial institutions, and it works like it does on other sites.

wave accounting pros and cons

If you want more in-depth support, accountants and payroll coaches are available starting at $379 per month. You can use Wave Accounting without paying more than an industry-standard transaction fee for any payments. Again, every online payment processing system requires its users to pay a transaction fee. The key pricing difference between Wave and competitors is you don’t need to pay a base fee to access Wave’s payment processing services. Wave Accounting is free, but you will have to pay processing fees if you choose to accept invoice payments online.

Wave Accounting advantages

We’ll also calculate whether an accounting degree is worth it based on the effort, money and time required for the return on investment. This is a technical review using compiled literature researched from relevant databases. The information provided within this article is gathered from vendor websites or based on an aggregate of user feedback to ensure a high-quality review. Plans include a specific number of users within the base price, but additional users can be purchased at $3 per user billed monthly or $8 per user per month billed annually. Enterprises can even expand the Oracle Netsuite ERP’s capabilities with add-on options for marketing, CRM and other purposes. When used alongside NetSuite’s other products, businesses can increase their software functionality by seamlessly integrating each tool.

  • All plans allow the addition of unlimited users at no additional fee.
  • This is particularly true if you don’t have much accounting experience and would like an easy-to-use, fully functional tool.
  • By browsing Wave’s settings before you begin, however, you can learn more about the site’s capabilities, especially if you didn’t go through the whole setup process.
  • However, we do suggest checking out Wave accounting alternatives, as they may provide the same features but for a slightly more affordable price.
  • ZipBooks also lets you customize your invoices (Figure C) and provide suggestions for improving them.
  • Wave is a top pick for the accounting and information technology industries, and it’s one of the lower-priced options for its capabilities.

Whether you opt for Kashoo’s free or paid plan, you’ll get the same direct line to customer support with top-notch level of customer service and tech support. Unlike Wave Accounting and Xero, Kashoo’s customer service is available both over the phone and via email. Like Wave, Xero’s plans include unlimited users at no additional cost. Both providers also offer easy-to-customize invoices, wave accounting pros and cons though Xero’s cheapest plan limits users to sending just 20 invoices or quotes per month. While FreshBooks offers unlimited invoices, each plan limits the number of clients you can bill each month. (With the cheapest plan, the number is just five.) Additionally, Wave Accounting uses double-entry accounting, which is the best way to catch and fix accounting mistakes early on.

QuickBooks Online: Best overall Zoho Books alternative

Plus, thanks to its integration with the budget-friendly Wave Payroll solution, Wave Accounting can also work well for small businesses with employees. Since the software allows for multiple users, it may also appeal to midsize and growing businesses where more than one person keeps an eye on company finances. If you have a question or issue, you can browse the help center or reach out to Mave, the automated chatbot. If you do want live support, you’ll need to invest in an Advisor or paid service. Wave is a streamlined accountancy platform that likes to keep things simple.

wave accounting pros and cons

While FreshBooks may not be free like Wave Accounting, it offers frequent sales and discounts for first-time users. For example, at the time of writing, shoppers can get 50% off a Lite, Plus or Premium Plan for five months. FreshBooks is the only accounting software product on this list to offer both annual and month-to-month payment options. Customers who choose to pay annually lock in at least a 10% discount, though FreshBooks’ frequent discounts for both annual and monthly plans can run as deep as 70% off for six months. Creating an invoice is as easy as opening a form and pulling down lists of customers, products, services, taxes, and the like from the available fields (column labels are customizable).

Boasting a perfect score of 10/10 for accounts receivable features and a custom bill-scanning app, our research shows that Wave’s toolkit isn’t too far behind the costly alternatives either. However, if you’re after advanced features, like budgeting, projection, and stock management, you’d be better off with FreshBooks or Xero, as these are not offered with Wave. Can manage multiple businesses for free under one account; lacks project tracking tools, industry-specific reports and transaction tracking tags. Of course, if you freelance, you don’t need to worry about running payroll either now or in the future.

  • Moreover, you can integrate QuickBooks with hundreds of third-party tools available in the app marketplace.
  • In contrast, ZipBooks offers a few limited integrations with Gusto, Stripe, Square and PayPal.
  • Today’s Wave Accounting offers robust invoicing, accounting, and receipt tracking functionality.
  • You can also reconcile your accounts, up automatic payments, and track your invoices.

Wave allows you to search transactions, design accounting reports and reconcile data across other Wave products. Plus, you can calculate sales tax automatically, customize payment terms and enjoy access to easy-to-understand cash flow insights. It also features a well-laid-out, clutter-free dashboard with individual tabs for sales, purchases, accounting, banking, payroll and reports. Strong invoicing feature competes with that of paid products; app lets users send invoices on the go; offers significantly fewer reports than competitors; no inventory tracking. The online solution and mobile apps sport a user-friendly design, so users can spend less time trying to understand their software and more time on business.