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Wave has helped over 2 million small business owners in the US and Canada take control of their finances. Accounting might not be the most exciting part of running an Etsy shop, but it’s one of the most critical aspects of business. Most tools, like Wave and FreshBooks, are designed to cater to beginners’ needs. This means that everything from shipping costs to Etsy fees is recorded without manual input, saving you time and reducing errors.
Should your business use Wave Accounting?
If Wave isn’t a good fit for you, read through our article on the year’s best free accounting software. The article kicks off with Wave, but it includes reviews for nine other free bookkeeping programs that you might prefer. Finally, Wave’s billing, payment acceptance, and invoicing features all work together to ensure you get paid on time.
It comes with no monthly fees and no minimum, and you can receive invoice payments instantly instead of waiting for a payment to process and hit your wave accounting bank account. A lot of manual data entry is required to set up a company file for existing businesses. When I set up my sample company for our case study, I had to manually input the chart of accounts, service items, and beginning account balances.
Once synced, the tool automatically imports your sales data, fees, and taxes. Tools like QuickBooks and Xero generate tax-friendly reports, calculate sales tax, and help track deductible expenses. Some even integrate with tax-specific tools like TaxJar, making filing accurate and timely. You need to look for certain features to find the perfect match for your business.
The platform offers audit trails, secure data storage, and tax compliance tools to ensure therapists meet industry and regulatory requirements. Customizable reports, such as profit and loss statements, balance sheets, and tax summaries, further simplify financial planning and tax preparation. Features include automated receipt scanning, allowing you to capture expenses on the go. The software also sorts receipts into categories, so you don’t have to spend time organizing them manually.
Unlike competitors, Wave doesn’t offer many advanced features to increase the software’s functionality. While Wave has a lot to offer when it comes to invoicing, know that it’s still slightly less automated than some competitors. This isn’t necessarily a deal-breaker, but it might require a bit more bookkeeping work. However, it lacks robust inventory tracking features in tools like Craftybase or Xero. Its simplicity and strong customer support make it an excellent choice for sellers with straightforward financial needs. This comprehensive practice management and accounting tool is specifically designed for healthcare professionals, including therapists.
For instance, I can’t issue a sales receipt for an immediate customer payment and track and add labor and expenses to my invoices. I also hope the provider considers adding a customer portal where customers can easily track their invoices and process their payments. Since Wave only has one accounting plan, though, it’s not perfect for business owners who want to add accounting features as they grow. And its email-only customer support means users are largely on their own if they encounter an immediate problem. Xero has an app store with dozens of apps built to extend the software’s functionality and streamline business processes. You have apps for time tracking, inventory management, practice management, clinic management, e-commerce, debtor tracking, specialized reporting, and more.
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Customizable Sales Taxes
For group practices, its multi-user functionality allows team members and external accountants to access the system securely, supporting seamless financial management and oversight. You can link your bank accounts to Xero to pull transactions, making reconciliation quick and easy. The software’s customizable invoices also let you tailor your branding, while automatic tax calculations help you stay compliant with local regulations. Xero is an online accounting software that helps businesses manage their finances. The software is designed to simplify accounting tasks and improve visibility into your business’s financial health. I’ve reviewed and evaluated the most popular auto dealership accounting software, shortlisting the best ones to improve financial accuracy and enhance inventory management.
- This ensures a smooth transition of your financial records from one system to the other.
- However, the only software Wave Accounting syncs with is Wave’s own payroll service.
- If having a good mobile app is important to you, I highly recommend Zoho Books—which aced our mobile app category.
- It also has a paid version that you’ll need if you want to connect your bank account, have multiple users, and scan receipts, plus a few other nice features.
The software design and intuitive interface make Wave simple to set up and easy to use, even for those with little previous accounting experience. The site’s onboarding process is a breeze; first provide a few basic details about your business, such as name, address and industry. Then answer questions from a drop-down menu about the direction you want to concentrate on—invoicing, accounting or payroll—and you are directed to link financial accounts. Wave is a free invoicing software that helps small businesses keep track of their bookkeeping needs from one location.
Inventory
The platform’s user-friendly design and cloud-based accessibility mean that therapists can manage their practice from anywhere, whether on a desktop or mobile device. HIPAA-compliant security measures ensure that sensitive client information is protected, providing peace of mind to both practitioners and their clients. ClinicSource integrates powerful accounting tools that streamline billing and financial management.
Although Wave’s paid plan offers additional features, it’s still missing some more advanced capabilities, like built-in inventory tracking and audit trails, that growing businesses might need. One of Kashoo’s standout features is its automatic transaction categorization. By linking bank accounts and credit cards, the platform uses machine learning to categorize transactions intelligently, saving time and effort in manual data entry. This feature ensures that financial records are always organized and up to date, making it easy to track income and expenses at a glance. QuickBooks has a user-friendly interface and comprehensive features that easily meet the needs of solo therapists and group practices. The platform provides tools for seamless financial management, such as income and expense tracking, invoicing, and reconciliation, all accessible from any device with an internet connection.
How much does Wave charge per transaction?
However, while the reports are accurate, I don’t find them very professional looking—especially the balance sheet that doesn’t provide a beginning and an ending balance. During the reconciliation process, Wave attempts to match manually inputted transactions to transactions imported from your bank and does a pretty good job. However, if it fails, it doesn’t allow you to manually match the imported transaction to the manually inputted transaction. You’ll need to watch for this carefully and then delete the imported transaction to avoid duplication. It’s not ideal, but Wave does clearly indicate imported transactions that have to be dealt with.
