QuickBooks Self-Employed Review: Features & Pricing in 2022

Mark has researched and reviewed account software at Fit Small Business since 2019 and has developed an extensive cognition of account software features and how singular business needs determine the best account software. Tim is a Certified QuickBooks Time ( once TSheets ) Pro, QuickBooks ProAdvisor, and CPA with 25 years of experience. He brings his expertness to Fit Small Business ’ s accountancy content .QuickBooks logo that links to the QuickBooks homepage in a new tab.
QuickBooks Self-Employed is a cloud-based account application specially designed for freelance individuals such as freelancers, real estate agents, Uber drivers, and autonomous consultants. It lets you admonisher income and expenses, track mileage to and from clients, and file your taxes with its QuickBooks freelance Tax Bundle. It offers three price plans that range from $ 15 to $ 35 per calendar month. An low-cost and user-friendly program, QuickBooks Self-Employed is a scaled-down adaptation of QuickBooks Online that can help you automate and streamline your accountancy processes. It ’ mho offered at a 50 % discount for the first three months .
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What We Recommend QuickBooks Self-Employed For

QuickBooks Self-Employed is a democratic account plan for managing business income and expenses, creating invoices on the fly, and tracking mileage. We recommend it for freelancers and other freelance individuals who need basic bookkeeping and want to prepare their own tax returns .

QuickBooks Self-Employed Is Good For

  • Freelancers that need to track profit and expenses and file federal tax returns: With QuickBooks Self-Employed, you can categorize expenses and bill customers if needed. It also offers assisted tax filing features to help you file your federal and state tax returns easily. For other popular accounting options, read our guide to the best accounting software for freelancers.
  • Freelancers that need a mobile bookkeeping app: QuickBooks Self-Employed has its own mobile app that lets you create and send invoices, track business mileage, scan receipts, and categorize transactions imported from bank feeds. QuickBooks Self-Employed is our top pick for freelancers in our list of the best mobile accounting apps.
  • Businesses looking for easy-to-use software: QuickBooks Self-Employed’s uncluttered dashboard and intuitive navigation allow you to set up and use your account quickly.
  • Businesses that need to track mileage: If driving is part of your work or business, you can use QuickBooks Self-Employed to track business mileage automatically as well as potential tax deductions.

QuickBooks Self-Employed Is Not a Good Fit For

  • Growing businesses: QuickBooks Self-Employed is built primarily for freelancers and independent contractors. Since it’s a single-entry accounting system, it cannot be rolled over to a double-entry accounting system, such as QuickBooks Online. If you envision your business growing in the near future, you could start with the QuickBooks Online Essentials plan, which offers a more scalable option and the ability to add users. To determine the best option for you, check out our QuickBooks Online comparison.
  • Frequent invoicing: QuickBooks Self-Employed doesn’t store customer, product, or service information, so you have to add the recipient and sales information every time you create an invoice. If you need a powerful invoicing solution, check out our review of the best invoicing software. We ranked QuickBooks Online best overall because of its unique ability to calculate the sales tax rate automatically to apply to your invoice based on the location of your customer.
  • Entrepreneurs with more than one company: QuickBooks Self-Employed doesn’t allow for multiple companies, so a better option would be Wave, which we ranked as one of the best multicompany accounting software programs. Wave has the added benefit of being free forever.
  • Companies with many employees: QuickBooks Self-Employed has no built-in or integrated payroll processing system. If you need to pay employees, consider Sunrise, which seamlessly integrates with Gusto.

Are you looking for something different ? Read our guide to the best little business account software and check out our top picks .

QuickBooks Self-Employed Overview

PROS victimize
Intuitive user interface and navigation Doesn’t accommodate multiple businesses
Track mileage and expenses on the go Lacks a balance sheet
Separate business and personal expenses paid from the same bank account Can’t track unpaid bills
Calculate quarterly estimated tax payments Limited invoicing functionality
Transfer Schedule C tax information to TurboTax (available in Self-Employed Live Tax Bundle) No integrated payroll

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QuickBooks Self-Employed Pricing

QuickBooks Self-Employed has three pricing plans that range from $ 15 to $ 35 per month, depending on whether you want tax returns included and live tax aid from an enroll agent ( EA ), certified public accountant ( CPA ), or lawyer. All of the plans include income and expense traverse, occupation mileage tracking using the fluid app, and invoicing customers .

Pricing & Features freelance freelance Tax Bundle freelance Live Tax Bundle
Pricing ($/Month) $ 15 $ 25 $ 35
Create & Issue Customer Invoices
Connect Bank & Credit Card Accounts to Import Transactions
Track Mileage
Separate Personal Expenses From Business Expenses
Calculate Quarterly Taxes Automatically
Pay Quarterly Estimated Taxes Online Directly From QuickBooks N/A
File One State & One Federal Tax Return N/A

Unlimited Live Help From TurboTax Tax Experts N/A N/A
Talk to a Real CPA When Needed N/A N/A
TurboTax Tax Experts Can Review Your Final Return N/A N/A

QuickBooks Self-Employed Features

QuickBooks Self-Employed includes many features that help you organize your income and expenses. These features include the ability to track your mileage, connect your bank and credit circuit board accounts, separate personal from clientele expenses, upload receipts, and mark profit and passing ( P & L ) reports. however, while QuickBooks Self-Employed has profit and loss accounts, it doesn ’ t have a libra plane or track assets and liabilities. Read our comparison of QuickBooks Online five Desktop for other great QuickBooks options that include complete fiscal statements .
The QuickBooks Self-Employed dashboard provides an overview of your crucial numbers, including P & L, expenses, accounts, invoices, mileage, and estimated tax .
Example image of QuickBooks Self-Employed’s dashboard. The QuickBooks Self-Employed dashboard has the comply information :

  1. Left menu bar: Navigate to each area of the program using the left menu bar.
  2. Profit and loss: View total income and expenses for any timeframe you specify, such as this month, last month, this year, or last year.
  3. Expenses: View your total expenses for a specified timeframe.
  4. Accounts: View the current balance of all bank and credit card accounts.
  5. Invoices: View customer invoices owed to you.
  6. Mileage: View the total mileage recorded using the QuickBooks Self-Employed mileage tracker app.
  7. Estimated taxes: Review the estimated taxes you owe, based on an automatic calculation performed by QuickBooks Self-Employed based on the income and expenses you have recorded.

here ’ s a quick overview of QuickBooks Self-Employed ’ south features .

Mileage Tracking

If you drive for business reasons, you can deduct a standard rate per mile or actual vehicle expenses. QuickBooks Self-Employed has a mileage tracker app that you can download on your Android or iOS call. It ’ ll log all of your car travel mechanically and keep a running run of your business miles, calculating the correspond tax write-off at the stream IRS mileage rate .
here ’ s a screenshot of the QuickBooks Self-Employed mileage tracker app :
Sample image of mileage tracking mobile app from QuickBooks Self-Employed.

Bank Feeds

You can download your bank and recognition tease transactions directly into your QuickBooks Self-Employed history. From there, you can categorize each transaction to the appropriate expense class or designate it as a personal expense :
Example image of connecting QuickBooks Self-Employed to your Bank Account.

Invoicing

QuickBooks Self-Employed ’ s invoicing incision allows you to generate and track invoices vitamin a well as sign up to make the invoices collectible on-line. If you choose that option, be aware that while bank remove transactions are free, credit menu payment rates are 2.9 % plus 25 cents per transaction. once your bill is completed, you can email it to your customer as a PDF attachment. You can besides send invoices through the mobile app :
Example image of QuickBooks Self-Employed in sending invoice as a PDF Attachment.

Expense Categories

It ’ second easy to separate your occupation and personal expenses by setting up a class for personal expenses during the bank account frame-up. any payments from your trust bill not related to your business should be categorized as personal expenses so that they aren ’ thyroxine deducted from your tax fall. alternatively, you can set rules to assign and categorize transactions mechanically .

Tip: QuickBooks Self-Employed lets you categorize your expenses with a swipe easily. Swipe left to categorize it as business and swipe correctly for personal .
For exercise, if you pay your personal mortgage or lease from your business checking history, those transactions will be downloaded automatically into QuickBooks Self-Employed with your trust activity. It ’ mho significant that you classify the mortgage or rent payment as a personal expense so that it ’ s not deducted for tax purposes .
There ’ s no police preventing a Schedule C business from paying personal expenses out of their business checking report, but an IRS audited account will go much more smoothly if you keep personal natural process out of your business. It ’ south better to keep business and personal activeness in separate check accounts with a periodic remove from your business checking account to your personal report as needed for personal expenses. For other helpful tips, see our top 10 bookkeeping and account tips for small businesses :
Mobile app transactions example of QuickBooks Self-Employed.

Receipt Capture

The QuickBooks Self-Employed mobile app for iPhone and Android allows you to take a photograph of a receipt and attach it to a transaction directly from your mobile call. not only will this save you time, but it ’ ll provide the necessity documentation required by the IRS to deduct an expense .

Labs

QuickBooks Self-Employed Labs is a place where intuit experiments with modern features. It can be accessed by clicking the gear icon on the desktop site and then selecting “ Labs ” under “ About You. ” You ’ ll be able to view the latest consolidation and innovations available for you to opt into, such as its consolidation with Amazon. When you link your Amazon report to QuickBooks Self-Employed, it ’ ll allow you to label individual items in your regulate as clientele or personal without having to calculate the rip yourself. other items featured in the lab include custom color-coded yellow journalism and the ability to import mileage trips from Google .

Income and Expense Summary Printing

QuickBooks freelance allows you to classify income and expenses using categories that align with the IRS Schedule C, such as utilities, legal fees, and commissions. once this information is entered, you can view and print a summary of your taxable income and expenses, which can take some of the guess out of filing your taxes. If your plan doesn ’ thyroxine include the Tax Bundle, you can use this drumhead to input your Schedule C information into a tax program of your choice manually .

Schedule C Import to TurboTax

The QuickBooks freelance Tax Bundle includes a subscription to TurboTax. You can transfer all of your Schedule C information mechanically into TurboTax to complete your tax return. You should choose this plan if you prepare your own taxes :
QuickBooks Self-Employed dashboard example that integrates with TurboTax.

Federal & State Tax Filing

QuickBooks freelance Tax Bundle includes both a federal and state tax return for $ 120 per year ( $ 10 per month extra ). Purchased individually, TurboTax Self-Employed is $ 120 and doesn ’ triiodothyronine include the state return .

Quarterly Federal Tax Payment Calculation

Based on the tax profile that you complete during setup, QuickBooks Self-Employed will project your annual net income, calculate your calculate tax payment, and alert you of tax due dates. This valuable tool helps protect you from an underpayment penalty as a result of not making the want quarterly estimated tax payments. equitable be surely to stay up to date on categorizing your transactions and inputting your occupation income .
It ’ mho authoritative to note that QuickBooks Self-Employed only offers federal quarterly tax estimates, so if your state of matter collects income tax and besides requires estimated quarterly payments, you ’ ll indigence to calculate that on your own :
Quarterly tax calculator of QuickBooks Self-Employed.

Quarterly Federal Tax Online Payment

While QuickBooks Self-Employed will calculate your quarterly tax liability, the Tax Bundle allows you to pay the quarterly tax on-line. QuickBooks freelance Tax Bundle may help avoid a union underpayment punishment but doesn ’ deoxythymidine monophosphate include country estimated tax payments, which might be ascribable, depending upon where you live. Remember that to pay your union quarterly taxes through QuickBooks Self-Employed, you need to sign up for the Electronic Federal Tax Payment System ( EFTPS ) .

Customer Service and Ease of Use

QuickBooks Self-Employed has an intuitive dashboard that ’ sulfur easy to navigate. It displays six charts that give you an blink of an eye opinion of your fiscal data. The tab key on the left side of the splashboard make it slowly to explore the other features. overall, it ’ sulfur intuitive and not cluttered with unnecessary information, making it approachable for accounting novices .
meanwhile, QuickBooks offers multiple customer documentation options, including a built-in alive new world chat, television tutorials, a help oneself center called Learn & Support, an in-software automatize assistant, QuickBooks blogs, and a community forum .

Integrations

QuickBooks Self-Employed has limited integrations. The software connects with third-party software programs like PayPal and Etsy. It besides integrates with the other Intuit products such as QuickBooks Online, QuickBooks Payments, and TurboTax .

Assisted Bookkeeping

As a freelance, you might not have enough meter or expertness to execute all your bookkeeping tasks. While QuickBooks Self-Employed users may not deal with intensive bookkeeping, you might still need aid with minor tasks like connecting bank accounts and categorizing income and expenses. If needed, you can enlist a QuickBooks ProAdvisor to help you with your bookkeeping duties. If you need help from a professional bookkeeper, read our article on how to find a QuickBooks ProAdvisor.

QuickBooks Self-Employed Alternatives

Bottom Line

QuickBooks Self-Employed international relations and security network ’ t a true double-entry accounting program like QuickBooks Online, but most freelancers will do well with its bookkeeping features. It has an excellent mobile app that can serve mod freelancers in terms of invoicing their clients, tracking business mileage, and monitor clientele expenses .
The ability to keep path of your deductions and use that information to complete your tax return is besides a huge benefit. alternatively of searching for receipts or brainstorming other potential tax write-offs, it provides all of your tax write-off data and removes the guess. The tax bundle plans allow you to file your state of matter and local tax returns and besides your quarterly estimated taxes .
If you ’ re a freelance needing a hearty solution for tracking income and expenses, sign up and receive 50 % off the first three months. however, if you anticipate outgrowing QuickBooks Self-Employed, we suggest that you go straight to QuickBooks Online .

source : https://www.peterswar.net
Category : Finance

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