The Best Accounting Software for Self-Employed

As a freelancer, time is money. Stop stressing over invoices, expenses, and tax prep. Here’s the best accounting software for freelancers in 2025—ranked, compared, and reviewed.

Aug 28, 2025

Heidi DeCoux

Heidi DeCoux

Heidi DeCoux is the founder of Cashflowy, an AI-powered bookkeeping platform, and has worked with thousands of self-employed professionals to simplify finances and improve profitability.

Starting and running a small business is a monumental task. As an owner, you’re juggling sales, marketing, and operations... which leaves little time for the complexities of accounting. The right accounting software is essential for managing your finances, tracking cash flow, and ensuring you have everything you need for tax season.

This guide provides a detailed breakdown of the top accounting software solutions, helping you find the perfect fit for your business, whether you’re a one-person shop or managing a growing team.

TL;DR: The Top Contenders at a Glance

  • Cashflowy

  • QuickBooks Online

  • FreshBooks

  • Xero

  • Zoho Books

Cashflowy

Description: Cashflowy’s dashboard welcoming the user, showing profit and loss trends, a list of invoices, net revenue totals, and an expense breakdown chart, with a left-side menu for transactions, reports, invoices, and clients.”.

Built for Clarity, Not Accounting Complexity

You didn’t start your business to be a bookkeeper. You want clarity:

  • How much can I pay myself?

  • Will I have enough for taxes?

  • Am I actually making money?

That’s where Cashflowy comes in.

Cashflowy is an all-in-one financial toolkit built for self-employed. In under an hour a month, you can handle your entire business finances, send unlimited one-click pay invoices, and even get tailored tips to make more money and keep more of it. Cashflowy is the only platform that removes accounting language from the product experience, making collaboration between business owners and financial professionals easier and faster.

Key Features

  • Visual cash flow dashboard

  • Automated transaction categorization

  • AI-powered financial coach with tailored tips based on your results

  • One-click invoicing and payments

  • Clear financial reporting in plain English

  • Automatic tracking of unpaid invoices

  • Run all your finances in <1 hour per month

  • No accounting jargon

  • Free Annual 1:1 Meeting with an Accountant

  • Free Access to Human Bookkeepers

Why Cashflowy Is a Great Alternative

  • 10-minute setup

  • Flat pricing with no add-ons or hidden fees

  • Unlimited users included

  • Automatic bookkeeping with real-time data

  • Clean, tax-ready reports at all times

  • Know exactly what’s safe to pay yourself

  • Built for real-time clarity, not after-the-fact reports

  • See which offers are most profitable and which aren’t

  • Get paid faster with 1-click paying invoicing

  • Invoicing and financial reporting in one place

  • No human bookkeeper needed

  • AI financial coach answers your questions 24/7 in plain English

  • Designed for self-employed people, not accountants

  • Extremely easy to use

  • Saves hours every month so you can focus on earning, not admin

Limitations

  • Newer in the market compared to legacy tools.

Best For

Self-employed, freelancers, and service providers who want a great alternative to QuickBooks without accounting stress. Cashflowy is for those who want to get paid faster, stay on top of overdue payments, and have complete financial clarity in one place.

With Cashflowy, users don’t just get clean, tax-ready reports. They see the numbers that actually matter: what’s working, what’s not, and where to focus next... so decisions are drive

QuickBooks Online

QuickBooks Online is often considered the industry standard for small business accounting. It’s packed with features—covering everything from payroll to inventory to detailed reporting. That makes it powerful, but also overwhelming and costly for smaller businesses that don’t need such a complex system.

Key Features

  • Full accounting tools with robust reports.

  • Inventory management and payroll.

  • Integrations with thousands of third-party apps.

Falls Short On: Pricing is high compared to alternatives, setup takes time, and many solopreneurs will pay for features they’ll never use.

Best For
 Small businesses with employees, inventory, or complex accounting needs.

FreshBooks

FreshBooks shines when it comes to invoicing and time tracking. It’s popular among service-based businesses thanks to its ease of use. But beyond invoicing, its accounting features are limited, and client caps on cheaper plans make it restrictive for growth.

Key Features

  • Customizable invoicing and automated reminders.

  • Time tracking linked to invoices.

  • Expense tracking with receipt uploads.

Falls Short On: Client limits on lower plans, minimal accounting tools, and not built for inventory-heavy businesses.

Best For
Service-based businesses like consultants, designers, and agencies that primarily bill for time.

Xero

Xero is marketed as the modern alternative to QuickBooks, offering automation, strong reporting, and a clean interface. It works well for growing businesses. That said, invoice and bill restrictions on the entry plan and a learning curve make it less appealing to solopreneurs who just want simplicity.

Key Features

  • Automated bank feeds and reconciliation.

  • Hubdoc for receipt and bill automation.

  • Strong reporting and integrations.

Falls Short On: Restrictions on lower plans, rising costs as you scale, and less adoption in the U.S., which can make it harder to find support from local accountants.

Best For
 Micro and small businesses that want scalability and automation, and are prepared to invest in setup.

Zoho Books

Zoho Books delivers a lot of value, especially with its free plan for qualifying small businesses. It offers advanced features like automations and detailed reporting, and it integrates smoothly with other Zoho tools. The downside? Its complexity can be overwhelming, and support isn’t always as responsive as other providers.

Key Features

  • Full financial management, including invoicing and inventory.

  • 70+ financial reports.

  • Workflow automations.

  • Client and vendor portals.

Falls Short On: Steep learning curve, less brand recognition in the U.S., and slower customer support at times.

Best For
Small businesses already using Zoho products or those seeking an affordable, feature-rich system.

Comparison Table

Key Features

Cashflowy

FreshBooks

QuickBooks Online

Wave

Zoho Books

Designed for the Self-Employed

✅ Yes

✅ Yes

❌ No

✅ Yes

❌ No

Easy Setup (<10 mins)

✅ Yes

✅ Yes

❌ No

✅ Yes

❌ No

Intuitive, User-Friendly Interface

✅ Yes

✅ Yes

❌ No

✅ Yes

❌ No

Visual Cash Flow Dashboard

✅ Yes

❌ No

❌ No

❌ No

❌ No

Real-Time Profitability Snapshot

✅ Yes

❌ No

❌ No

❌ No

❌ No

Automated Expense Tracking

✅ Yes

✅ Yes

✅ Yes

✅ Yes

✅ Yes

Import & Categorize Expenses

✅ Automatic

❌ Manual

❌ Manual

❌ Manual

❌ Manual

Send Unlimited Invoices

✅ Yes

❌ Limited

❌ Extra Fees

✅ Yes

✅ Yes

Recurring Invoices

✅ Yes

✅ Yes

✅ Yes

✅ Yes

✅ Yes

Personalized Invoices

✅ Easy to Customize

✅ Yes

✅ Yes

✅ Yes

✅ Yes

Built-In Financial Coach

✅ Yes

❌ No

❌ No

❌ No

❌ No

AI-Generated Custom Reports

✅ Yes

❌ No

✅ Yes

❌ No

✅ Yes

Cash Flow Forecasting

✅ Real-Time

❌ No

❌ Add-on

❌ No

✅ Yes

Free Human Bookkeepers Available for Support

✅Yes

❌ No

❌ No

❌ No

❌ No

Free Annual Meeting with an Accountant

✅Yes

❌ No

❌ No

❌ No

❌ No

Automated Payment Reminders

✅ Yes

✅ Yes

✅ Yes

✅ Yes

✅ Yes

Tax-Ready Reporting

✅ Yes

✅ Yes

✅ Yes

✅ Yes

✅ Yes

Unlimited Users (No Extra Cost)

✅ Yes

❌ No

❌ No

✅ Yes

✅ Yes

Competitive Pricing

✅ Affordable, flat Pricing

❌ Scaling Fees

❌ High Tiers

✅ Free to start

✅ Affordable, but hidden fees

AI Insights & Recommendations

✅ Yes

❌ No

❌ No

❌ No

❌ No

Why Cashflowy Wins

The other tools are powerful, but they’re designed for teams and often come with extra features, complexity, and costs that solopreneurs don’t need.

Cashflowy is different. It’s built from the ground up for one-person businesses. With Cashflowy, you can:

  • Send invoices and get paid faster.

  • Track overdue payments in seconds.

  • Generate Profit & Loss and Balance Sheets automatically.

  • Get real-time visibility into your finances.

  • Receive personalized tips on how to earn more and keep more.

Instead of managing multiple apps or overpaying for unused features, Cashflowy keeps everything in one place... simple, affordable, and built for solopreneurs.

Try Cashflowy free today and experience accounting made easy.

Why Cashflowy Wins

Every tool here solves part of the problem. FreshBooks helps with invoicing. QuickBooks makes tax filing easier. Wave saves money. Zoho offers scalability.

But only Cashflowy combines all the essentials in one tool: bookkeeping, invoicing, tax prep, and financial insights; tailored for self-employed solopreneurs. With Cashflowy, you’ll spend less than an hour a month managing finances and get AI-powered guidance to actually make and keep more money.

That’s why Cashflowy is the best accounting software for self-employed professionals. Try it free today.

FAQs about Self-Employed Accounting Software

Q: Do self-employed people really need accounting software?
Yes. Without it, you risk lost deductions, late payments, and tax season headaches.

Q: What’s the best free accounting software for self-employed professionals?
Wave is the best free option, but Cashflowy offer better long-term value with more features.

Q: What’s the easiest accounting software for self-employed beginners?
Cashflowy is built for non-accountants, making it the simplest option.

Q: Can accounting software replace an accountant?
 For many self-employed professionals, yes. Tools like Cashflowy automate bookkeeping and create tax-ready reports, eliminating much of the need for an accountant.

Q: Which is better for taxes: QuickBooks Solopreneur or Cashflowy?
 QuickBooks Solopreneur is tax-only. Cashflowy covers taxes plus invoicing, reporting, and financial insights—all in one tool.

< Previous Blog

Next Blog >