With the Pro Plan, automatically import, merge, and categorize your bank transactions. To learn more about how we rate and review our software, including how we calculate star ratings for each brand we review, read our software review methodology overview. Businesses in the 36 other U.S. states can only sign up for Wave’s self-service payroll plan. Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity. The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities.

Unlimited users

Wave’s stored bank data relies on 256-bit encryption, and Wave states that its servers are both physically and virtually secured. Wave Accounting imposes fewer limits than most of its competitors on everything from users to vendors. For instance, Xero’s cheapest plan limits users to sending 20 invoices a month, while FreshBooks’ cheapest plan limits users to invoicing only five clients a month. With Wave, you can send an unlimited number of invoices to an unlimited number of clients each month. Before you commit to accounting software, it’s in your best interest to shop around and compare all your options.

Related reading

You don’t have to enter a credit card number when you sign up. Wave has recently updated its pricing model to now include a paid plan. Now, many standard features (such as automatic importing of bank transactions) are only available if you purchase a monthly or annual plan. Additionally, your cost may rise with add-ons like payroll, payment processing, or professional bookkeeping services. Wave Accounting’s Starter plan is free and its Pro plan, which includes more features, is $16 per month.

Learn more about how we rate small-business accounting software. Can manage multiple businesses for free under one account; lacks project tracking tools, industry-specific reports and transaction tracking tags. Yes, Wave Accounting is safe and secure to use for bookkeeping. The software is PCI Level-1 certified for processing bank account and credit card information.

Wave Pricing

1. Unlike other providers, Xero’s plans also come with customizable purchase order software.
2. Have an eye on the big picture so you can make better business decisions.
3. For instance, Xero only includes expense tracking with its priciest plan, which starts at $65 a month.
4. With plans starting at $15 a month, FreshBooks is well-suited for freelancers, solopreneurs, and small-business owners alike.
5. However, the only software Wave Accounting syncs with is Wave’s own payroll service.

In contrast, FreshBooks’ cheapest plan starts at $19 and limits you to billing just five clients a month. Xero’s cheapest plan starts at $15 a month and limits you to sending just five invoices a month. When rating accounting and invoicing software, we use a 47-point rubric that looks at pricing, ease of use, features, customer service, and user reviews. We weigh each section differently to calculate the total star rating. Xero also doesn’t support multiple businesses, so pricing can add up quickly for some users. And it’s worth noting that while Xero has more features, the software also has a steeper learning curve than Wave.

Payments

While only Wave Pro users can access automated bank transactions and bookkeeping to run your business expense categorization, free users can manually categorize expenses by tax category to ensure their data is ready to go by tax time. Until then, the software is still a good solution for small business owners looking for simple, easy-to-use accounting software that won’t break the bank. Wave’s customer support resources and new Wave Advisor services make it easy for people with limited accounting experience to learn the software. It’s also great for Etsy shop owners and other eCommerce businesses using Wix, Squarespace, or WordPress. If you operate a larger business and need advanced features, give Xero a look before signing up for Wave. Xero has more advanced features, hundreds of integrations, and also supports unlimited users.

While it doesn’t have as many features as paid competitors like QuickBooks Online, Wave’s unlimited expense tracking, free invoicing, and basic reporting make it an ideal solution for many freelancers. Wave also offers a free app to help you manage your invoices on the go. With Wave Invoicing, you’ll be able to track, edit, send and pay invoices from any mobile device. In addition, Wave allows you to manage how to create a location multiple businesses on one free account and uses double-entry accounting, which is ideal for accountants and tax time.

Compared with free software like Wave, QuickBooks plans are expensive. The most basic plan, Simple Start, costs $30 per month, and the top-tier Advanced plan costs $200 per month, which is a sizable investment if you’re running a business on a tight budget. Includes tools that help automate the reconciliation process and auto-categorizes transactions for you in the Pro plan, but you can’t set up your own bank rules; no global search function. We believe everyone should be able to make financial decisions with confidence.

It lacks some of the useful features you may find in other accounting software, such as project management, time gasb addresses accounting changes and error corrections tracking and inventory management. However, like most products with free plans, Wave has its limitations, especially compared to more scalable small-business accounting software. 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. However, there are a few features the software is still lacking.