We compared FreshBooks, Wave, QuickBooks Online, and Xero across time tracking, invoicing, tax prep, and cost to find the best accounting software for freelancers. Whether you're a solo creative, a scaling agency, or an hourly consultant, there's a fit here.
You're a freelancer. You got into this for the freedom — the work, the clients, the craft. Not for spreadsheets at 11 PM trying to remember if that coffee meeting was a business expense.
But here's the thing: good bookkeeping isn't just about avoiding an IRS headache. It's the difference between guessing your rates and knowing your margins. Between "I think I made money this month" and actually having the data.
Dedicated accounting software built for freelancers solves this. It handles invoicing, expense tracking, mileage, tax prep, and reporting in one place. No more duct-taping spreadsheets together.1
Here's the best accounting software for freelancers right now.
| Software | Best For | Time Tracking | Invoicing | Tax Prep | Starting Price |
|---|---|---|---|---|---|
| FreshBooks | Service-based freelancers | ✅ Built-in | ✅ Professional | ⚠️ Basic | $19/mo |
| Wave | Budget-conscious solopreneurs | ❌ None | ✅ Free | ✅ Paid add-on | Free |
| QuickBooks Online | Scaling / ProAdvisor access | ✅ Built-in | ✅ Advanced | ✅ Robust | $35/mo |
| Xero | Integration-heavy workflows | ✅ Built-in | ✅ Flexible | ⚠️ Limited | $15/mo |
Best for: Freelancers who bill by the hour or project and want the most intuitive time-to-invoice workflow.
FreshBooks nails the freelancer experience. You track time with a built-in timer, convert that time directly into an invoice line item, and send a polished, professional invoice in seconds. It's the smoothest time-to-cash flow in the category.1
Expense tracking is straightforward — snap a receipt photo, and it's categorized. The mobile app is strong, and the dashboard gives you a clean view of outstanding invoices and profit.
The trade-off: FreshBooks isn't built for complex inventory or deep reporting. If you're a solo consultant, designer, or photographer, it's perfect. If you're running a 20-person agency, you'll outgrow it.
Pricing: Starts at $19/month (Lite plan). The Plus plan at $33/month adds more billable clients and team members.
Best for: Freelancers on a tight budget who need professional invoicing and expense tracking without monthly fees.
Wave is genuinely free — no hidden tiers, no trial that expires. You get unlimited invoicing, receipt scanning, and expense tracking for $0. For a freelancer just starting out or keeping things lean, that's hard to beat.1
Invoices look clean and professional. Bank connections automatically import transactions. The mobile app lets you send invoices and snap receipts on the go.
The catch: Wave makes money on payment processing (2.9% + $0.60 per transaction) and payroll. Time tracking isn't built in. And if you ever need phone support, it's not available — you're on email or chat.
For the solo freelancer who doesn't need time tracking and wants to keep costs at zero, Wave is the obvious choice.
Best for: Freelancers who plan to grow, need robust reporting, or want access to a bookkeeper or CPA who uses QuickBooks.
QuickBooks Online is the industry standard for a reason. It has the deepest feature set of any option here: project profitability tracking, advanced reporting, mileage tracking via the mobile app, and full Schedule C tax support.1
The real advantage? The ProAdvisor network. If you ever want to hand your books to a professional, they almost certainly work in QuickBooks. That makes the transition from DIY to outsourced bookkeeping seamless.
The downside: it's the most complex software here. The interface can feel cluttered, and there's a real learning curve. You'll spend time setting it up and learning the workflow.
Pricing: Simple Start at $35/month. Most freelancers will want the Essentials plan at $65/month for bill management and time tracking.
Best for: Freelancers with complex workflows who need their accounting software to talk to everything else.
Xero's superpower is its integration ecosystem. It connects with hundreds of apps — payment processors, CRM tools, project management software, inventory systems. If your freelance business relies on a stack of specialized tools, Xero is the hub that ties them together.1
The core accounting is solid: invoicing, bank reconciliation, expense tracking, and reporting all work well. The interface is clean and modern.
The trade-off: Xero's payroll and time tracking features are more limited than QuickBooks. And while the $15/month entry price is attractive, you'll likely need the $42/month Growing plan for more invoices and bills.
FreshBooks and QuickBooks Online have the best built-in time tracking. FreshBooks makes it dead simple to turn tracked time into an invoice. QuickBooks has a solid timer with mobile support. Xero has time tracking but it's less intuitive. Wave doesn't include time tracking at all.
All four let you send professional invoices. FreshBooks and Wave have the best out-of-box invoice templates. QuickBooks Online offers the most customization and recurring invoice options. Xero is flexible but takes more setup.
QuickBooks Online is the clear winner here — full Schedule C support, estimated tax calculations, and robust reports. FreshBooks and Xero offer basic tax reports but you'll likely need a CPA for filing. Wave offers tax preparation as a paid add-on service.
Wave is free (transaction fees apply). Xero starts at $15/month but the useful plan is $42/month. FreshBooks starts at $19/month. QuickBooks Online starts at $35/month.
The hobbyist or side hustler: Wave. Keep costs at zero until your freelance income justifies a paid tool.
The service-based freelancer (designer, writer, photographer, consultant): FreshBooks. The time-to-invoice flow is unmatched, and you don't need complex accounting.
The scaling agency or the freelancer who wants a CPA later: QuickBooks Online. Bite the bullet on the learning curve now, and you'll thank yourself when you hand your books to a ProAdvisor.
The integration-heavy freelancer (e-commerce, multiple payment gateways, CRM): Xero. If your workflow depends on a dozen tools, Xero is the glue.
When evaluating accounting software as a freelancer, here's what actually matters:
Mileage tracking. If you drive for work — client meetings, supply runs, co-working spaces — automatic mileage tracking via mobile GPS saves hours. QuickBooks and FreshBooks both offer this.1
Schedule C support. For US freelancers, your tax return hinges on Schedule C. The software should categorize expenses properly and generate the right reports. QuickBooks is strongest here.1
Mobile app quality. You'll snap receipts, send invoices, and check balances on the go. A bad mobile app defeats the purpose. FreshBooks and QuickBooks have the best mobile experiences.
Bank reconciliation. Automatic bank feeds that match transactions to entries save enormous time. All four picks offer this, but the accuracy varies — Xero and QuickBooks are the most reliable.
You don't need to love bookkeeping. You just need a tool that makes it painless enough that you actually do it. Pick the one that fits your current stage — and your budget — and start tracking today.
Disclosure: As an affiliate, we may earn a commission if you purchase through the links above. This doesn't affect our recommendations — we only recommend tools we've researched and believe in.
This page was written by the engine and the engine is still on the line. The conversation below picks up where the article stops.
Yes — the picks above are the engine's current verdicts. Ask a sharper version of this question below and you'll get a custom answer with the latest pricing.