Assisted migration results may vary based on business complexity and file size. Terms and conditions, features, support, pricing, and service options are subject to change without notice. Terms and conditions, features, support, pricing, and service options subject to change without notice. QuickBooks Desktop is more traditional accounting software that you download and install on your computer, while QuickBooks Online is cloud-based accounting software you access through the internet. For the Desktop version, you pay an annual fee starting at $1,922 per year, and the cloud-based option starts at $15 per month. Both versions have mobile apps, but the app for the Desktop version primarily functions as a way to upload receipts, and the Online mobile app is robust in comparison.
We meticulously and objectively assess each software based on a fixed set of criteria—including pricing, features, ease of use, and customer support—in our internal case study. QuickBooks Online is cloud-based contra asset accounting software that covers all the accounting needs you may have. It’s a subscription-based service that is good for various industries and beneficial to those who regularly work with a bookkeeper or accountant because you can give them access to your files.
We developed an internal case study to evaluate the accounting software we review subjectively. Using the data we gathered from this case study, we are able to cash vs accrual profit and loss compare QuickBooks Online and Desktop across several key categories, such as pricing, ease of use, general features, A/P, A/R, and banking. When signing up for QuickBooks Online, it only gives options for paying monthly.
Is QuickBooks Online easier to use than QuickBooks Desktop?
QuickBooks Online is easier to set up because it’s a cloud-based platform that doesn’t require installation. Also, the guided setup helps new users easily and effectively set up their company information, connect their bank accounts, create customers and vendors, etc. Although QuickBooks Online earned a perfect score and Enterprise took a slight hit in this criterion, we consider this a tie. Both allow you to create essential reports, including profit and loss (P&L), cash flow statements, and balance sheets. While Enterprise missed a few points because it doesn’t provide income/loss by location reports, it offers many other advanced reporting options and features that provide additional value for many businesses.
- This may signal future abandonment of its Desktop version as more people move to the cloud.
- Move from any version of QuickBooks Desktop, and only migrate the data that matters most to you.
- This can be useful if you have many customers who need to be invoiced for the same products or services.
Mobile Accounting: QuickBooks Online Wins
This tool allows you to create consolidated financial reports across multiple company files—making it ideal for businesses that operate multiple entities and subsidiaries. Meanwhile, QuickBooks Online provides some customization options for businesses, but they’re not as extensive as those in Enterprise. For instance, you can set up QuickBooks Online for nonprofits by adjusting the settings, customizing sales forms, and creating a chart of accounts based on Form 990. While QuickBooks Online offers project management features, it doesn’t have the same level of customization options as QuickBooks Desktop.
QuickBooks Desktop has limited integration options compared to QuickBooks Online
Probably not, unless your business absolutely needs advanced inventory management features, barcode scanning, or assembly builds. Not only is it the newer tool, but it also seems to be the focus in terms of update frequency, development, and marketing. If your accounting software doesn’t register changes in real time, it could lead to costly delays. QuickBooks Desktop, on the other hand, is installed locally, meaning you download and install the software on your computer or multiple computers in your office, for example. Once installed, your accounting data will only be accessible on one of these devices, accountant help making it difficult to work on the go. But local installation means more control over your data, who has access, and overall general security of your business information.
Service or project-based businesses should choose accounting software that can track project costs, revenues, and profits. The software must have tools to track time, record billable hours or expenses, send invoices for progress billings, or monitor project progress and performance. QuickBooks Simple Start lets you process payroll for your employees when you sign up for QuickBooks Payroll, which requires a separate subscription. This allows you to automate your payroll so that it will calculate your payroll taxes, deductions, and net pay.