Freshbooks or Quickbooks?
The rally cry for small business owners everywhere is ‘make it easy!’ At least when it comes to an accounting program.
Can you blame us? We small business owners are the office decorator, web designer, sales person, pricing specialist, cleaner, and accountant. And that’s before you do what it says on your business card.
The business card that you designed yourself, amirite?
It’s easy to see why expense tracking software has gained ground in a big way versus a traditional accounting program. They promise effortless transaction records and that’s appealing to a small business owner whose hair is figuratively on fire. And for $20 a month? Take my money.
But then, in a year or so when your business taxes are due, you’re going to feel the pain of using an expense tracker. Your bookkeeper or accountant will manually adjust your Freshbooks entries at a cost of dollars to you, or you’ll have to go back and do it yourself. Depending on your business it could be mucho dollars!
But why does a choice in accounting program matter?
Why do we bother with bookkeeping anyway?
I came up with three reasons:
To be aware of what’s happening in our businesses,
To reduce the tax we pay,
or, simply to satisfy the tax man.
What do we need to reach any of the three goals above?
And sadly an expense tracker isn’t accurate.
While it’s shiny and appealing, it’s not worth it.
Once upon a time not that long ago, accounting programs were hard to use. Now they’re easy. Perhaps inspired by the beautiful interfaces of expense programs.
So you don’t need an expense tracker. No matter what the ads say.
Now you can have the ease of use of an expense program, mobile operation for mileage tracking and receipt storage (gas receipts are the bane of my existence) and have the full power of an accounting system, for the same price (or less!) as an expense tracker.
It’s an easy choice.
(Pick the accounting program.)