12 Best Accounting Software in 2026
Updated October 15, 2026
The short answer
For most small businesses and freelancers, Xero is the strongest all-around pick with bank feeds, invoicing, and payroll in one place. FreshBooks suits freelancers and service businesses that want simple invoicing and payments. For UK-based freelancers and contractors, FreeAgent is the best choice because it handles HMRC tax filing and payroll directly.
The shortlist, at a glance
Read the comparisons ↓
XeroFrom $27/moSmall businesses and self-employed operators who want bank feeds, invoicing, and payroll in one place, with room to grow.
FreshBooksFrom $4.60/mo (annual)Freelancers and small service businesses that need simple invoicing, expense tracking, and online payments without complex accounting.Zoho BooksNot publishedSmall businesses and freelancers that need a full accounting suite with invoicing, inventory, and project tracking at a low cost.
KashooNot publishedSole proprietors and small businesses that want straightforward accounting with bank feeds and invoicing.
FreeAgentFrom $27/mo (50% off 6Freelancers, contractors, and landlords in the UK who need HMRC-compliant tax filing and payroll without extra cost.
Sage IntacctNot publishedMidsize businesses in industries like nonprofits, construction, and SaaS that need multi-entity, multi-currency financials and advanced reporting.
MYOBFrom $3/employee/moAustralian and New Zealand small to medium businesses that want integrated GST/BAS, payroll, and inventory in one package.
TallyPrimeNot publishedIndian SMBs and chartered accountants that need GST compliance, inventory tracking, and remote access in one package.
VyaparFrom $99.99/yrIndian small businesses that need GST-compliant billing, inventory tracking, and offline reliability.
KarbonNot publishedAccounting firms that want to automate repetitive work and keep remote teams connected with built-in project and email management.
OkCreditFree, ₹30/30 daysIndian shopkeepers and small business owners who track udhar (credit) sales and need automatic payment reminders.
FinlensCustom quoteAccounting firms managing multiple QuickBooks Online clients who want to cut manual month-end work without switching software.
About Accounting Software
Accounting software tracks income, expenses, invoices, and taxes in one place. It replaces spreadsheets and manual bookkeeping with bank feeds, automated reconciliation, and reports that show your cash position.
The products on this list differ in who they serve and how they charge. Xero, FreshBooks, and Zoho Books target small businesses and freelancers with tiered monthly plans. FreeAgent and MYOB focus on specific regions with built-in tax compliance. Sage Intacct and Karbon serve larger firms and accounting practices with custom pricing. Vyapar and OkCredit are built for Indian small businesses with GST and credit tracking.
The 12 best Accounting Software, compared
- From $27/mo
1.Xero
Best for: Small businesses and self-employed operators who want bank feeds, invoicing, and payroll in one place, with room to grow.
- Pricing
- From $27/mo
- Category
- Finance & Accounting
Xero is cloud accounting software for small businesses that connects to your bank, accountant, and other apps. It includes automated invoicing, bank reconciliation, payroll, and JAX, an AI assistant that answers business questions and automates routine tasks. With 5 million customers and 1,000+ app integrations, it's a credible pick for teams that want a flexible, connected financial stack.
Where it is strong
- Bank feeds and auto-reconciliation save time on daily bookkeeping
- JAX AI gives instant answers to business questions
- 1,000+ app integrations connect your whole stack
Where it falls short
- Payroll is an optional add-on, not included in base plans
- Early plan limits you to 20 invoices and 5 bills per month
- Pricing:
- Plans start at $27 per month for Early, $59 for Growing, and $97 for Established, with 80% off for the first 3 months.
- From $4.60/mo (annual)
2.FreshBooks
Best for: Freelancers and small service businesses that need simple invoicing, expense tracking, and online payments without complex accounting.
- Pricing
- From $4.60/mo (annual)
- Category
- Finance & Accounting
FreshBooks is a cloud-based accounting tool that combines invoicing, expense tracking, time tracking, and payments in one place. It is built for small businesses and freelancers, with features like automated reminders and mobile mileage tracking. Its credibility comes from being used by over 30 million people and having a support team rated 4.8/5 across 120,000+ reviews.
Where it is strong
- Invoicing with automatic time and expense capture
- Built-in online payments and automated reminders
- Mobile app with mileage tracking and receipt scanning
Where it falls short
- Lite plan limits to 5 billable clients
- Payroll is an add-on at $40/mo plus $6/mo per user
- Pricing:
- Lite starts at $4.60/mo (billed annually) or $23/mo monthly, Plus at $8.60/mo annual or $43/mo monthly, Premium at $14/mo annual or $70/mo monthly, and Select is custom quote.
- Not published
3.Zoho Books
Best for: Small businesses and freelancers that need a full accounting suite with invoicing, inventory, and project tracking at a low cost.
- Pricing
- Not published
- Category
- Finance & Accounting
Zoho Books is a cloud accounting platform that covers invoicing, expenses, inventory, projects, and reporting. It includes AI features like plain-English queries and anomaly detection, plus multi-currency support for global sales. The free plan and tiered pricing make it a credible option for small businesses and accountants.
Where it is strong
- Free plan for micro businesses
- AI-powered anomaly detection and plain-English queries
- Multi-currency support with automatic exchange rates
Where it falls short
- Pricing not published on the site
- May be complex for very simple bookkeeping needs
- Pricing:
- Pricing is not published on the site.
- Not published
4.Kashoo
Best for: Sole proprietors and small businesses that want straightforward accounting with bank feeds and invoicing.
- Pricing
- Not published
- Category
- Finance & Accounting
Kashoo is simple online accounting software for sole proprietors and small businesses. It auto-imports bank transactions from 5000+ institutions, lets you invoice and accept payments via Stripe or Square, and offers unlimited users at no extra cost. A 14-day free trial is available with 256-bit SSL encryption and daily backups.
Where it is strong
- Unlimited users included at no extra cost
- Connects to 5000+ banks for automatic transaction imports
- Invoicing with online payments via Stripe or Square
Where it falls short
- Pricing is not listed on the website
- No payroll features beyond PaymentEvolution integration
- Pricing:
- Pricing is not published on the site.
- From $27/mo (50% off 6
5.FreeAgent
Best for: Freelancers, contractors, and landlords in the UK who need HMRC-compliant tax filing and payroll without extra cost.
- Pricing
- From $27/mo (50% off 6
- Category
- Finance & Accounting
FreeAgent is accounting software for small businesses, freelancers, contractors, and landlords. It handles invoicing, taxes, payroll, and expenses, and it is HMRC-recognized for Making Tax Digital, so you can submit VAT and Self Assessment directly to HMRC. The 90-day cashflow forecast and UK-based support are practical touches.
Where it is strong
- HMRC-recognized for Making Tax Digital, with direct VAT and Self Assessment filing
- Payroll included at no extra cost, with RTI submission and pension calculations
- 90-day cashflow forecast and real-time dashboard for financial visibility
Where it falls short
- Pricing is per business, not per user, which may be costly for larger teams
- Smart Capture receipt scanning is limited to 10 files per month unless you pay $6/mo for unlimited
- Pricing:
- Monthly billing is $27 per month, with 50% off for the first six months ($81 total). Annual billing is $270 per year, with 50% off for the first year ($135).
- Not published
6.Sage Intacct
Best for: Midsize businesses in industries like nonprofits, construction, and SaaS that need multi-entity, multi-currency financials and advanced reporting.
- Pricing
- Not published
- Category
- Finance & Accounting
Sage Intacct is cloud accounting and financial management software for midsize businesses, with AI-powered accounting and real-time visibility. It is the first and only preferred provider of the AICPA, and it promises to close the books up to 90% faster. With 350+ integrations and multi-entity support, it is built to scale with complex operations.
Where it is strong
- Close financials up to 90% faster
- 350+ integrations for connecting tools
- Multi-entity and multi-currency support
Where it falls short
- Pricing is not transparent, likely custom quote
- May be overkill for very small teams or simple bookkeeping
- Pricing:
- Pricing is not published on the site.
- From $3/employee/mo
7.MYOB
Best for: Australian and New Zealand small to medium businesses that want integrated GST/BAS, payroll, and inventory in one package.
- Pricing
- From $3/employee/mo
- Category
- Finance & Accounting
MYOB is an accounting suite for Australian and New Zealand businesses, from sole traders to larger operations. It covers invoicing, payroll with Single Touch Payroll, inventory, and GST/BAS filing, and includes an AI BAS feature that prepares BAS as you go for Lite and Pro plans. With over a million users, it is a credible choice for businesses that need local tax compliance and payroll built in.
Where it is strong
- Built-in GST/BAS pre-fill and direct ATO lodgement
- Payroll includes Single Touch Payroll, super, and PAYG
- Inventory management with purchase orders and supplier sync
Where it falls short
- Payroll is an extra cost on Lite and Pro plans
- Solo plan is mobile-only and limited to one user
- Pricing:
- Plans start with Solo (mobile only) and Lite, with payroll add-ons at $3 per employee per month. Pro and AccountRight Plus are higher tiers. Pricing details are not fully published on the site.
- Not published
8.TallyPrime
Best for: Indian SMBs and chartered accountants that need GST compliance, inventory tracking, and remote access in one package.
- Pricing
- Not published
- Category
- Finance & Accounting
TallyPrime is a long-standing accounting and business management tool for Indian SMBs, with about 40 years in the market. It handles invoicing, inventory, and GST compliance, including direct GSTR-1 uploads, which can cut filing time from half a day to an hour. It also offers secure remote access through TallyPrime Cloud.
Where it is strong
- Direct GSTR-1 upload to the GST portal saves hours each month
- Customizable reports for cash flow, inventory, and stock movement
- Secure remote access via TallyPrime Cloud
Where it falls short
- Pricing is not transparent on the website
- Best suited for Indian tax and compliance needs, less for global teams
- Pricing:
- Pricing is not published on the site.
- From $99.99/yr
9.Vyapar
Best for: Indian small businesses that need GST-compliant billing, inventory tracking, and offline reliability.
- Pricing
- From $99.99/yr
- Category
- Finance & Accounting
Vyapar is a GST billing and inventory tool built for Indian small businesses, with offline-first billing and automatic cloud backups. It handles e-invoices, e-way bills, and GSTR reports, and supports 1.5 crore+ users. The app includes barcode scanning, WhatsApp billing, and Tally data transfer.
Where it is strong
- Offline billing with automatic cloud sync
- GST e-invoice and e-way bill generation
- Barcode scanning and WhatsApp billing
Where it falls short
- Pricing is annual only, no monthly option
- Best for Indian GST compliance, less suited for other regions
- Pricing:
- Gold plan is $99.99 per year (about $8.33 per month), Platinum is $139.99 per year (about $11.67 per month).
- Not published
10.Karbon
Best for: Accounting firms that want to automate repetitive work and keep remote teams connected with built-in project and email management.
- Pricing
- Not published
- Category
- Productivity & Project Management
Karbon is practice management software built for accounting firms, combining workflow automation, project management, email management, client collaboration, time tracking, billing, document management, and AI agents in one platform. It is ranked #1 in accounting practice management for 18 consecutive quarters on G2, which signals strong user satisfaction.
Where it is strong
- Workflow automation and AI agents reduce manual tasks
- Built-in email management and client collaboration tools
- Time tracking and budgets help monitor project profitability
Where it falls short
- Pricing is not public, so you need to contact sales for a quote
- May be overkill for small firms that only need basic bookkeeping
- Pricing:
- Pricing is not published on the site.
- Free, ₹30/30 days
11.OkCredit
Best for: Indian shopkeepers and small business owners who track udhar (credit) sales and need automatic payment reminders.
- Pricing
- Free, ₹30/30 days
- Category
- Finance & Accounting
OkCredit replaces the paper bahi khata with a mobile ledger for Indian shopkeepers. It records credit and payment entries, sends automatic reminders via SMS and WhatsApp, and lets customers pay through UPI QR codes. With over 1 crore users across 2,800+ cities and support for 11 languages, it's built specifically for small businesses that sell on credit.
Where it is strong
- Free plan includes unlimited customers, entries, reminders, and backup
- Automatic SMS and WhatsApp payment reminders help collect dues faster
- UPI QR codes let customers pay instantly via GPay, PhonePe, BHIM, or Paytm
Where it falls short
- Paid plans are required for ad-free experience, bill creation, and desktop access
- Not designed for complex accounting needs like inventory or tax filing
- Pricing:
- Free plan with unlimited entries. Paid plans start at ₹30 for 30 days (Unlimited Transactions), ₹75 for 30 days (Ads Free++), and ₹99 for 30 days (Premium).
- Custom quote
12.Finlens
Best for: Accounting firms managing multiple QuickBooks Online clients who want to cut manual month-end work without switching software.
- Pricing
- Custom quote
- Category
- Finance & Accounting
Finlens automates the repetitive parts of month-end close for accounting firms that use QuickBooks Online. It categorizes transactions, drafts journal entries, and reconciles accounts with AI, then syncs everything back to QBO. Your team only reviews the exceptions, so you can close more clients in less time.
Where it is strong
- AI categorizes 3,000+ transactions in seconds with confidence scores
- Automates accruals, journal entries, and reconciliation before you open QBO
- Extracts bills and receipts from email, no separate tool needed
Where it falls short
- Requires QuickBooks Online, so it won't help firms on other platforms
- Pricing is not published, so you must book a demo to get a quote
- Pricing:
- Pricing is based on the number of clients you manage, with a custom quote provided after a demo.
How to choose Accounting Software
Pricing structure matters. Some tools publish flat monthly rates, like Xero at $27 to $97 per month or FreshBooks at $4.60 to $14 per month billed annually. Others, like Zoho Books, Sage Intacct, and Karbon, do not publish pricing and require a sales call. Annual billing often discounts the monthly cost, as with FreeAgent's 50% off for the first year.
Consider who the software is built for. Xero and FreshBooks serve small businesses and freelancers with simple invoicing and bank feeds. Sage Intacct handles multi-entity, multi-currency financials for midsize companies. Karbon and Finlens are made for accounting firms, not end businesses. OkCredit and Vyapar target Indian shopkeepers with GST compliance and offline billing.
Check integrations with your existing tools. Xero connects to over 1,000 apps, and Sage Intacct has 350+ integrations. Finlens only works with QuickBooks Online, so it is not a fit if you use another platform. FreshBooks includes time tracking and payments, reducing the need for extra apps.
Data and compliance requirements vary by region. FreeAgent is HMRC-recognized for Making Tax Digital and files VAT and Self Assessment directly. MYOB handles Australian GST/BAS and Single Touch Payroll. TallyPrime and Vyapar support Indian GST with direct GSTR-1 uploads. If you sell globally, Zoho Books offers multi-currency support with automatic exchange rates.
Support and contract terms affect long-term cost. FreshBooks has a support team rated 4.8/5 across 120,000+ reviews. FreeAgent offers UK-based support. OkCredit has a free plan with unlimited entries, but paid plans are required for ad-free use and desktop access. Kashoo includes unlimited users at no extra cost, which can save money for small teams.
FAQ
Questions about Accounting Software
What is the best accounting software for a freelancer?
FreshBooks is built for freelancers with simple invoicing, expense tracking, and online payments. Its Lite plan starts at $4.60 per month billed annually, but it limits you to 5 billable clients. Xero is also a good option if you need bank feeds and room to grow, starting at $27 per month.
Which accounting software handles taxes automatically?
FreeAgent is HMRC-recognized for Making Tax Digital and files VAT and Self Assessment directly to HMRC. MYOB handles Australian GST/BAS and Single Touch Payroll. TallyPrime and Vyapar support Indian GST with direct GSTR-1 uploads. These tools reduce manual tax filing work.
Is there free accounting software for small businesses?
Zoho Books has a free plan for micro businesses, though pricing for paid tiers is not published. OkCredit offers a free plan with unlimited entries, reminders, and backup, but it lacks inventory and tax filing features. Most other tools on this list require a paid subscription.
What is the difference between accounting software for businesses and for accounting firms?
Business software like Xero or FreshBooks tracks your own income, expenses, and invoices. Firm software like Karbon or Finlens manages multiple clients' books, automates workflows, and handles month-end close. If you run a business, choose business software. If you run a firm, choose practice management tools.
How much does accounting software cost per month?
Published prices range from $4.60 per month for FreshBooks Lite to $97 per month for Xero's Established plan. FreeAgent costs $27 per month with 50% off for the first six months. Vyapar charges $8.33 to $11.67 per month billed annually. Many tools like Sage Intacct and Karbon do not publish pricing and require a custom quote.
Last updated October 15, 2026.