QuickBooks Online
The accounting platform most bookkeepers know; Simple Start $38/month.
- $38/mo Simple Start
- Accountant-friendly
- Big app ecosystem
Business
The best accounting software for small business
Best accounting software for small business: QuickBooks Online. Why it wins: The accounting platform most bookkeepers know; Simple Start $38/month. Also see best free: Wave; best for teams: Xero.
For most small businesses QuickBooks Online is the safest choice: the platform most accountants know, with Simple Start at $38 a month. Wave is the best free option, with free invoicing and accounting on its Starter plan. Xero is the alternative for teams that want unlimited users without per-user fees, from $27 a month.
Based on IRS · QuickBooks pricing · Xero US pricing +1 more
Which one should you buy?
Wave
Free Starter plan for invoicing and accounting; Pro is $19/month or $190/year.
- Free Starter
- Pro $19/mo
- Invoicing
Xero
Unlimited users on every plan; Early $27, Growing $59, Established $97 per month.
- Unlimited users
- From $27/mo
- Clean UI
Prices are official list prices as of October 2026 and can change. We don’t use affiliate links on this site. How we choose.
The short answer: QuickBooks Online for most; Wave if you want free; Xero for unlimited users and a clean interface.
How do the top accounting software compare?
Swipe the table sideways to see all three →
| Spec | Best overallQuickBooks Online | Best freeWave | Best for teamsXero |
|---|---|---|---|
| Price | Simple Start $38/mo | Starter free; Pro $19/mo | Early $27, Growing $59, Established $97/mo |
| Free plan | QuickBooks Free (limited) in some regions | Yes | No (trial) |
| Users | 1 on Simple Start | Collaborators supported | Unlimited |
| Invoicing | Yes | Yes | Yes (Early: 20/mo) |
| Payroll | Payroll add-on | Payroll add-on (some states) | Gusto integration (US) |
| Best for | Most small businesses | Freelancers, very small businesses | Teams with many users |
| Plans | See plans | See plans | See plans |
Why pick QuickBooks Online?
QuickBooks Online is what most accountants and bookkeepers already use, which makes tax time and getting help easier. Its app ecosystem is the largest.
Prices rise with users and features; Simple Start lists at $38 a month (October 2026), and promotions vary.
Great if you
- Work with an accountant
- Want the most integrations
- Plan to add payroll
Skip it if you
- Want free
- Need many users cheaply
Key specs
- Simple Start
- $38/month (list, Oct 2026)
- Users
- 1 on Simple Start; more on higher tiers
- Integrations
- Large app marketplace
QuickBooks OnlinePrices are list prices on each official site as of October 2026; taxes, promotions and renewals vary. These are not affiliate links.
See plans on the official site Why pick Wave?
Wave’s free Starter plan covers invoicing, expense tracking and basic accounting, which is plenty for many freelancers and side businesses.
Pro ($19/month or $190/year) adds automation like bank-transaction import and receipt features. Payment processing has fees.
Great if you
- Freelance or run a side business
- Want free
Skip it if you
- Need inventory or advanced reports
- Have a growing team
Key specs
- Starter
- Free
- Pro
- $19/month or $190/year
- Payments
- Processing fees apply
WavePrices are list prices on each official site as of October 2026; taxes, promotions and renewals vary. These are not affiliate links.
See plans on the official site Why pick Xero?
Xero includes unlimited users on every plan, so bookkeepers, partners and managers can all log in without extra fees.
The Early plan limits you to 20 invoices and 5 bills a month; most growing businesses need Growing ($59).
Great if you
- Need many users
- Like a clean interface
Skip it if you
- Send many invoices on a tiny budget
Key specs
- Early
- $27/month (20 invoices, 5 bills)
- Growing
- $59/month
- Established
- $97/month
- Users
- Unlimited
XeroPrices are list prices on each official site as of October 2026; taxes, promotions and renewals vary. These are not affiliate links.
See plans on the official site What should you look for in accounting software?
Your accountant’s preference
Ask what they use; it saves time and fees.
Users and limits
Watch invoice limits and per-user pricing.
Bank feeds
Automatic bank import saves the most time.
Payroll path
Decide whether payroll will be built in or a separate service.
QuickBooks OnlinePrices are list prices on each official site as of October 2026; taxes, promotions and renewals vary. These are not affiliate links.
See plans on the official site Frequently asked questions about accounting software
Is free accounting software good enough?
For freelancers and very small businesses, often yes. Upgrade when you need automation, inventory or more users.
QuickBooks or Xero?
QuickBooks for accountant familiarity and integrations; Xero for unlimited users.
Can I switch later?
Yes; migration tools exist, but switching at a fiscal year start is cleanest.
Do I still need an accountant?
Software keeps records; an accountant helps with taxes and strategy.
What records should I keep?
The IRS explains what business records to keep and for how long.
How did we pick these accounting software?
We compared pricing, free plans, user limits, invoicing and payroll paths from each company’s official pricing pages, and IRS recordkeeping guidance.
We have not hands-on tested these products; we compare published specifications, independent measurements and manufacturer documentation, and we update this page when models change. Read the full methodology.
What sources did we use?
- IRS: recordkeeping for small businesses (accessed October 23, 2026)
- QuickBooks pricing (accessed October 23, 2026)
- Xero US pricing (accessed October 23, 2026)
- Wave pricing (accessed October 23, 2026)