In contrast, QuickBooks Online files are automatically backed up on a nightly basis to ensure that there is no loss of data. However, a major pitfall is that previous QBO files cannot be restored like with QBDT files. One workaround for this is to purchase a subscription to your own backup and restore software. Because QBDT is a local install on your computer, you can access your file at any time.
Over 2.3 million Desktop customers have made the switch to QuickBooks Online.1
The cloud accessibility plus the user-friendly interface makes QuickBooks Online easier to use than QuickBooks Desktop. In the past, customers could choose between annually renewing plans and single-purchase software with a license that stayed valid for three years. If you purchased a Desktop Pro plan in 2021, your software will still work until 2024—but new customers who bought the 2022 software version can only choose annual subscriptions. Plus includes inventory accounting that allows you to monitor stock items and quantity—a necessity if you’re selling products. It also lets you update inventory costs and quantities, separate taxable from nontaxable items, and set up alerts if you’re running out of stock.
Why You Can Trust Forbes Advisor Small Business
All you need is your account information, and you can access your QuickBooks details on any device with an internet connection. Ultimately, your specific business’s size, type, and needs are the real deciding factors in determining which of the QuickBooks versions is best for your business. Just remember, you will need to make a decision quickly if you want QuickBooks Desktop Pro or Premier, as sales of these products will be discontinued this year. One big drawback of QuickBooks Pro in the past was that it didn’t have mobile apps.
Best Accounting Software for Small Businesses
Fortunately, a mobile app is now available with the introduction of QuickBooks Desktop 2022. However, the QuickBooks Desktop app is a very https://www.wave-accounting.net/ pared-down version of the desktop and is poorly rated. If your business needs sales orders, QuickBooks Desktop is your only option.
Shopping for an Accounting System
Both QuickBooks Desktop and QuickBooks Online have the ability to set up bank rules, which are ‘if this, then that’ rules that apply to transactions imported from the bank. Your business is unique, but your routine bookkeeping tasks are going to be similar to many other businesses such as consultants/coaches, dog walkers, and photographers. The transition from QBO to QBDT is rarely smooth and will very likely take multiple attempts to get the data to load. Once loaded, there is extensive post-migration work that will vary from company to company. Receipt management in QuickBooks Desktop requires more manual attention, requiring you to upload, sort, match, and edit receipts on your own.
Learn how else the two products differ in our QuickBooks Desktop Payroll Enhanced vs Assisted Payroll comparison. You can download a 30-day trial version of QuickBooks Desktop Enterprise only—both the Premier Plus and Pro Plus plans come with a 60-day money-back guarantee, but no free trial. Alternatively, you can sign up for a free 30-day trial with QuickBooks Online. Just know that doing so waives your option to get 50% off your QuickBooks Online subscription for your first three months. The right QuickBooks Online plan depends on the size of your business and the features you need. For example, QuickBooks Solopreneur is best for freelancers or solopreneurs, while Simple Start is ideal for small businesses wanting to track assets and liabilities.
Yes, you can, but the process is a bit tedious, as you need to manually export your files from QuickBooks Online to Desktop. If you are currently using QuickBooks Online and want to switch https://www.kelleysbookkeeping.com/what-is-the-purpose-of-subsidiary-ledgers/ to an interface similar to QuickBooks Desktop, we recommend using the QuickBooks Online Desktop app. Read our article on what the QuickBooks Online Desktop app is to learn more.
- Try to establish whether some of these processes can be changed, or if they are truly requirements.
- However, it’s also a good option for freelancers who need feature-rich accounting software to send invoices and manage expenses.
- Christine Aebischer is an assistant assigning editor on the small-business team at NerdWallet who has covered business and personal finance for nearly a decade.
- The four remaining editions of QBO include Simple Start, Essentials, Plus, and Advanced.
- But its nonprofit solution includes tools for managing records and scheduling events and even includes a donation portal.
When creating POs in Plus, you can input specific items you want to purchase. Retailers and wholesalers should choose Plus so that they can track the quantity on hand and the cost of inventory. Contractors accounting software for startups should also select Plus to track the profitability of individual projects. Other businesses should consider whether tracking P&L by class and location is worth the extra $30 per month.
QuickBooks Online wins this one, offering easy system navigation from the user dashboard. Ease of use is one of the most important things to consider when shopping for software. Neither QuickBooks Online or QuickBooks Desktop are difficult to use, although they offer very different user experiences.
While we’re on the topic of invoicing, QuickBooks Online has the superior product, offering six invoice templates and multilingual invoicing in six languages. QuickBooks Online offers many advantages over QuickBooks Desktop, such as cloud accessibility, more convenient file sharing and collaboration, scalable plans with varying features, and a functional mobile app. In both QuickBooks Online and Desktop, you can assign costs to your inventory items and track the quantities sold to calculate the cost of goods sold (COGS).
All plans include 24/7 live chat support; phone support is available 5 a.m. Includes audit trails and easy accountant access; has millions of users so your accountant will likely be familiar with it. Intuit and QuickBooks Online also offer a mileage and expense tracking app called QuickBooks Self-Employed. QuickBooks Desktop versions are available through digital download or as products shipped from QuickBooks or other retail merchants. Also budget for integrated add-on third-party apps, including AP automation software. Every QuickBooks Enterprise user will have a dedicated Customer Service Manager who will be your point-person at Intuit for support concerns.
QuickBooks Desktop Premier and Quickbooks Desktop Enterprise have even more reports (especially if you opt for the industry-specific versions of these programs). Four pricing plans for QuickBooks Online are available, ranging from $30 to $200/month (with an additional $45+/month for payroll). While QuickBooks Online boasts many of the features you’ll find with Desktop, some of its features, such as inventory management, aren’t quite as advanced. Additionally, you won’t find the industry-specific features and reports that you’ll get if you sign up for Desktop. In contrast, QuickBooks Desktop tends to have a steeper learning curve, offers fewer integrations, and has had its previous versions discontinued by QuickBooks.