Businesses with limited needs should pick Wave, while those that can benefit from an expanded set of features should opt for FreshBooks Premium. But FreshBooks remains a better pick for retailers than Wave, because it offers inventory management tools in all its plans, while Wave doesn’t allow inventory management at all. FreshBooks also has a better selection of advanced features including integrations and mobile functions when compared to Wave. Tech.co’s research team gives Wave a total score of 4/5, compared to FreshBooks’ score of 3.8/5. FreshBooks can connect with more than 200 apps like Gusto for payroll, Stripe for online payment processing, Avalara for tax management, and Basecamp for time tracking. Wave Accounting is an entirely free option for small business owners.
FreshBooks vs. Wave ( : Accounting Software Comparison
- Can support freelancers, contractors and small businesses with a handful of employees; highest-tier plan includes two users (additional users can be added for a fee).
- Our research finds that FreshBooks does well for features and support as well, and it is great for retailers because it offers inventory management on all plans (Wave doesn’t offer it at all).
- Our first-hand experience, guided by our internal case study, helps us understand how the different products compare with each other and how they work in real-world scenarios.
- Both customer and vendor information can be managed in the software, though only limited information can be entered.
Both receive the same star rating, but that doesn’t mean they have the same strong points. Wave Payroll is a native full-service payroll solution offered in 14 states and Canada. Paid plans start at $40 per month, with an additional $6 for each active employee or independent contractor.
For small businesses that may experience some growth, FreshBooks may be the better solution. However, for sole proprietors, freelancers, and micro-business owners, Wave offers all of the features and functionality you need to manage your business. Mobile apps are available for both iOS and Android devices, and offer invoice creation, receipt management, and the ability to receive important notifications.
As a QuickBooks ProAdvisor, Mark has extensive knowledge of QuickBooks products, allowing him to create valuable content that educates businesses on maximizing the benefits of the software. This includes the availability of integrations for payroll, time tracking, and receiving e-payments. We also evaluated whether an electronic bill pay integration was available.
We have an extensive history of reviewing small business accounting software, and we stay up-to-date with the latest features and enhancements. Our first-hand experience, guided by our internal case study, helps us understand how the different products compare with each other and how they work in real-world scenarios. Because the majority of your expenses will be added via your bank account, there is little need to enter expenses, though you do have the option to enter a vendor bill, including how the bill was paid. Payroll by Wave is also available, but complete payroll tax services are only available in CA, FL, IL, NY, NC, TX, VA, and WA. One of the key expenses a business owner must keep track of is employee hours worked on a project. FreshBooks has specialized Time Tracking Software that integrates into FreshBooks so that your invoicing is quick and easy.
Wave Pricing
We consider this a tie since the two programs have their unique strengths and weaknesses. All FreshBooks plans let you connect your bank accounts, while with Wave, you need to upgrade to the paid plan to do so. Meanwhile, Wave gives you the option to manually upload your files of transactions, while FreshBooks requires you to establish a live connection with your bank account. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market.
Manage your inventory and bookkeeping easier
Both platforms have good invoicing capabilities, but FreshBooks offers more optimization options. Not only does it have more templates to choose from, but it also offers advanced functions like customizing payment reminders and late fees by clients. While both software programs offer all the bells and whistles you need to manage your business’s finances, Xero limits the number of quotes and invoices you can send each month. The maximum is 20, which can be quite limiting to a busy professional. Overall, FreshBooks is easier to use but limits the number of billable clients to five.
The Ascent is a social security benefits Motley Fool service that rates and reviews essential products for your everyday money matters. With FreshBooks 14 reports and Wave’s 12 reports, there’s no clear winner in the reporting category, particularly since both applications offer report exporting and limited customization capability. Wave includes 12 standard reports, also with limited customization capability.
FreshBooks vs. Wave: Features
Many, or all, of the sales revenue products featured on this page are from our advertising partners who compensate us when you take certain actions on our website or click to take an action on their website.
Additionally, the main page includes shortcut functions like the +New button to help you execute certain tasks easily, such as creating a new invoice and adding a new customer or bill. When setting up a project estimate in FreshBooks, you have the option to add sales taxes, inventories, and labor. You can also compare cost estimates to actual costs, which is useful for contractors. Unfortunately, Wave has no project accounting system, although it does allow you burn rate to create an estimate.