The platform will calculate your quarterly tax liability, and the QuickBooks Self-Employed Tax Bundle allows you to pay the quarterly tax online. It may help avoid a federal underpayment penalty but excludes state-estimated tax payments, which might be due, depending upon where you live. Remember that to pay your federal quarterly taxes through QuickBooks Self-Employed Tax Bundle, you need to sign up for the Electronic Federal Tax Payment System (EFTPS). It’s important to note that QuickBooks Self-Employed only offers federal quarterly tax estimates. So, if your state collects income tax and requires estimated quarterly payments, then you’ll need to calculate that on your own. Based on the tax profile that you complete during setup, QuickBooks Self-Employed will project your annual profit, calculate your estimated tax payment, and alert you of tax due dates.
Best Accounting Software for Freelancers
QuickBooks Self-Employed enables you to create custom tags for expenses so you can better track how much you are spending in each category. You’ll be able to run reports that will highlight where you are spending and earning money. Yes; once you get the hang of setting rules to automate expense tracking. Digital tools like QuickBooks exist to help small business owners like you save time — so you can turn more of your minutes into dollars. The foundation of financial health for every business owner is separating the finances of the business from their personal finances. Each of our subscription plans include access to online help articles and customer support, when needed.
Bank Feeds
However, because it is designed for a specific user base, it may lack some of the more advanced features that larger businesses might need, such Accounting Periods and Methods as payroll and inventory management. The reporting capabilities are also more basic compared to other QuickBooks products. QuickBooks Online Plus offers inventory management, project tracking, and advanced reporting features. QuickBooks Solopreneur introduces sales tax tracking, allowing solopreneurs to calculate, collect, and report sales tax on transactions. While we like both QuickBooks Online and QuickBooks Self-Employed, for most businesses, QuickBooks Online is the better option.
- Currently, QuickBooks doesn’t have an easy way to switch from QuickBooks Online to QuickBooks Self-Employed.
- It comes with in-depth reports, including a company snapshot, sales reports and profit and loss reports.
- For years, QuickBooks Self-Employed was the go-to solution for freelancers and solopreneurs who needed simple bookkeeping software.
- Yes; once you get the hang of setting rules to automate expense tracking.
- QuickBooks Online does a lot of things, but calculating quarterly estimate taxes is not one of them.
- If you’re going to have double-entry bookkeeping, you need a balance sheet to get the full picture of your finances.
Estimates and Invoicing
For more information on the best accounting software options, visit my accounting page. There, you can compare software platforms quickbooks self employed login and find the best solution for your business. Before making your decision, be sure to compare all your accounting software options at jamietrull.com/accounting.
QuickBooks Solopreneur: A Comprehensive Guide for Small Business Owners and Freelancers in 2025
One of the selling points of QuickBooks Self-Employed is its ability to calculate your quarterly estimated taxes for you. However, if you want to pay these taxes directly through QuickBooks, you’ll need to upgrade to a special tax prep plan. QuickBooks Self-Employed is good for freelancers who don’t have a lot of volume—perhaps if freelancing is just your side gig. Both QuickBooks Online and QuickBooks Self-Employed are monthly subscription packages from Intuit that let you track your expenses and send invoices to clients—but the similarities end there. Generally, QuickBooks Online is designed for small businesses with numerous employees, clients and vendors, while QuickBooks Self-Employed is tailored to freelancers and solopreneurs.
- We also employ a comprehensive editorial process that involves expert writers.
- When you track all of your expenses and income in QuickBooks, you can also use the quarterly estimated taxes feature so you know what you owe Uncle Sam four times a year.
- The dashboard includes a left navigation bar where you can access its features, including income and expense entry, tax tracking, invoicing, and reporting.
- Just be sure to stay up to date on categorizing your transactions and inputting your business income.
- While you can upload your logo and change the font color, there are no templates to choose from.
- You can upgrade to QuickBooks Online but may need to manually move your data.
- This process ensures that articles are well-researched and organized, offering in-depth insights and recommendations.
If QuickBooks Solopreneur seems expensive or limiting, you might consider my Profit & Loss Template. It’s a one-time purchase that offers greater flexibility and customization without the ongoing monthly costs. For more powerful tools or alternative options, compare platforms at jamietrull.com/accounting. The platform pre-selects your chart of accounts Insurance Accounting based on your business type, but you won’t have the flexibility to add or adjust accounts as needed.
This is a major drawback, especially for those who have assets or debts that they need to track. So, I dug deeper to find a full feature comparison between the two, which also included Simple Start, the lowest version of QuickBooks Online. I highly recommend QuickBooks Online, and I have some special discount codes on my accounting page if you want to jump into QuickBooks Online. If you’re new to this channel, hi, I’m Jamie Trull, CPA and profit strategist. In QuickBooks Self-Employed, users could easily snap photos of receipts and upload them into the platform. Unfortunately, this feature is absent in QuickBooks Solopreneur, making it harder to stay organized.