Stay up to date with the latest COVID-19 news. Learn More

Insights

Choosing the Best Business Accounting Software for You

Written by Michael Vento . February 28, 2022
5 min read

Online accounting software (or cloud-based accounting software) is now practically a necessity for businesses of any size. The first reason is the use of single-touch payroll for reporting payroll information to the ATO via an electronic pathway, which all businesses with employees have been required to do since July 2021. The second reason is the affordability, efficiency and automation offered by online accounting software should mean the time-consuming manual methods of entering transaction details into spreadsheets is no longer required.

The difficulty comes with attempting to choose which one is best with so many options out there. So what business accounting software is right for you? Here I provide details of the accounting software we most often recommend to our clients because of their flexibility and ease-of-use, which may also provide a solution for you.

Contents

  • Benefits of online accounting software
  • Accounting software we recommend to clients
    - Xero
    - QuickBooks Online
    - MYOB Business

Benefits of online accounting software

Online accounting software solutions provide a wide range of services to their users, including:

  • Secure access with the comfort of online backups
  • Integrated bank transaction feeds to reduce mundane data entry
  • Ability to send invoices directly to customers and track if you have been paid
  • Easy-to-read financial statements and reporting
  • Integrations with other cloud software and add-ons
  • Direct connection to the ATO with the ability to lodge Business Activity Statements as well as compliance with Single Touch Payroll
  • Powerful payroll systems including timesheet integration and the ability to pay superannuation directly from the software

Accounting & Tax Services

Accounting software we recommend to clients

There are so many types of bookkeeping and accounting software available and most of the paid options will do the bare minimum you need. It really does depend on your requirements, and if you don’t have employees or need a lot of assistance then any will likely do. However, when it comes to flexibility in services to suit small to medium businesses, as well as affordability, here is a brief summary of three of the most popular online accounting solutions that we recommend to our clients (in no particular order).

Xero

If you have heard about any accounting software in recent years it would probably be Xero! It has proven to be a disruptive influence in the accounting software market, with all other solutions having to play catch up. Xero provides one of the best all-round solutions for a truly web-based experience and is both powerful and easy to use for the experienced and newcomers alike. Xero provides a tiered structure to its subscription model depending on your needs and budget. Xero has also opened up its software to a wide range of third-party developers which means there are thousands of add-ons available that are tailored to a wide variety of industries.

Starting price: $27 AUD/mth

Feature summary for this price (T&C apply)*:

  • Send quotes and 20 invoices
  • Enter 5 bills
  • Reconcile bank transactions
  • Payroll for 1 person
  • Capture bills and receipts with Hubdoc
  • Track GST and electronically lodge BAS
  • Short-term cash flow and business snapshot reports
    - Optional add-ons include expenses claims, projecting tracking (free for 2 mths) and analytics ($10/mth)

QuickBooks Online

If you are just starting out and need a simple to use and affordable accounting software it would be hard to say no to QuickBooks Online. Its cheapest plan at $22 a month ($11/mth for first 3 months) will allow you to send out invoices to customers and track expenses which is a bargain! In stepping up in the tiers you will gain access to the payroll and automatic bank feeds functions found in other online accounting software plus many more features.

Starting price: $22 AUD/mth (half-price for first 3 mths)

Feature summary for this price (T&C apply)*:

  • Track income & expenses
  • Send unlimited invoices & quotes
  • Snap & store receipts
  • Track kilometres
  • Connect your bank
  • Track GST and electronically lodge BAS
  • Insights & reports
  • Cash flow planner

MYOB Business

MYOB has come a long way over its three decades of developing accounting software. Growing from its roots as an offline desktop accounting software to an online-based solution. If you have used MYOB’s software in the past then you will be right at home with MYOB Business. It provides a powerful solution that ticks all of the boxes for your business that helps streamline your accounting needs.

Starting price: $24 AUD/mth (Try free for 30 days then half-price for 3 mths)

Feature summary for this price (T&Cs apply)*:

  • Track income and expenses
  • Create and send unlimited professional invoices and quotes
  • Accept payments
  • Scan and store receipts
  • Track GST and electronically lodge BAS
  • Connect your bank accounts (Up to 2 accounts)
  • Insights and reporting (Tax and basic management reports)
    - Optional payroll available for $1.50 per person/mth (Up to 2 employees)

Choosing the right accounting software for your business can be crucial in ensuring you have the relevant information available to manage your business, finances and compliance obligations. It is worthwhile to discuss this decision with your accountant to ensure you choose the right software for you and your business needs.

Our team at BLG Business Advisers are also available, so talk with us to not only help you pick the right accounting software but to receive the best business advice for your situation.

Whatever you decide we wish you every success!

*Pricing and features listed have been taken from accounting software’s website and are correct at time of publishing.
This information is correct at the time of publishing and is subject to change.
Written by Michael Vento . February 28, 2022
Covid-19 Resource Centre

Keep up to date with the Coronavirus.

Covid-Resource-Centre
Access Resource Centre

Are you ready to speak to a business adviser?

Let us show you how we can help.

If you’re more of a talker we’d love to chat, call us on 02 4229 2211

Talk with us

mail (1)

Get business advice that helps you, no matter what stage of business you’re in.

Yes, an email that matters!