Bookkeeping Services – Our Favorite Bookkeeping Services For Your Business

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As your business grows online, bookkeeping becomes a task that you might want to outsource. Bookkeeping services assist you in managing payroll, bookkeeping, expenses, and much more. It’s possible to select a service which integrates with your cloud accounting software or completely outsource your bookkeeping. In this post, we’ve chosen the best bookkeeping services for your business online.

Bookkeeping services online assist small business owners in managing their taxes, payroll, and bookkeeping needs. Whether you need to outsource everything or maintain some responsibility, we have performed all the legwork for you as well as discovered a combination of the best services that have a proven track record. Read below for reviews of bookkeeping services online.

Why Do You Need Online Bookkeeping Services for Your Business?

bookkeeping servicesThe Internal Revenue Service requires all companies to maintain books that contain all their financial records. Those books show your business expenses and sources of income. Also, they help in differentiating your non-taxable and taxable income.

Aside from legal requirements and taxes, the right bookkeeping additionally assists you in measuring your business’ growth and progress. It’s possible to see where your money is coming from, all major expenses, and ways to improve your company.

But maintaining correct books requires effort and time. Most small businesses can’t immediately afford to employ a full-time CFO or accountant.

That’s where online bookkeeping services come in. They permit you to effectively manage your company by spending less time on paperwork. As a startup business, it’s also possible to save money that you’d otherwise spend on employing full-time employees

The following are some things you should bear in mind as you choose an online bookkeeping service for your company.

  • Cost – The price of your bookkeeping service, which services you receive, and the budget.
  • Features – What services do you need? Examples are invoices, bill payments, expense and income reports, managing credit card and bank statements, payroll, and much more.
  • Integrations – If you’re utilizing a cloud accounting software such as Freshbooks or QuickBooks, your bookkeeping service ought to work with these apps.
  • Ease of Use – How convenient it is to use and how much resources and time will you be saving?
  • Accrual and Cash Accounting – Bookkeeping services ought to be available to businesses which utilize the accrual and cash accounting method.
  • Tax Return Services – Such services ought to be available so a business owner doesn’t need to employ a CPA to take care of their tax return.
  • Customer Service – A dedicated and experienced bookkeeper easily should be accessible to answer all questions.

Let’s take a look at the leading bookkeeping services online for startup businesses and how they compare on the above requirements.

Top Related: What Is Bookkeeping?

Bench

bookkeeping servicesThey provide bookkeeping services online by expert bookkeepers. Bench is perfect for small businesses that have a tax professional or CPA to file their taxes but need someone to care for their books. What sets it apart from the competition is they’ll work right with your CPA to offer the details necessary to file a tax return without having to bother you; pricing plans begin at $125 a month.

Top Related: Bench Bookkeeping Review

Bench Features and Pricing

Bench has five pricing plans which run from $125 to $345+ a month. The only difference between the five plans is the quantity of monthly costs which may be processed. Their Starter Plan that runs $125 a month includes overall expenses under $1,000, and their top-tier plan includes overall expenses as much as $1 million.

Listed here are Bench’s pricing plans and the kind of business each is proper for:

Starter Plan

Bench’s Starter Plan is perfect for cash-based businesses which have under $1,000 in month-to-month expenses. The plan is the most affordable at $125 a month and includes all the same bookkeeping services as the additional four plans.

Micro Plan

Bench’s Micro Plan is perfect for cash-based businesses which have from $1,000 to $7,500 in month-to-month expenses. The plan is $20 a month higher than the Starter Plan and includes all the same bookkeeping services that the additional plans have.

Boutique Plan

Bench’s Boutique Plan is perfect for cash-based businesses that have from $7,500 to $20,000 in month-to-month expenses. The plan is $195 a month and includes all the same bookkeeping services as the additional four Bench plans.

Ventura Plan

Bench’s Ventura Plan is perfect for cash-based businesses that have from $20,000 to $60,000 in month-to-month expenses. The plan is $255 a month ($3,060 a year) and includes precisely the same bookkeeping services as the additional Bench plans.

Corporate Plan

Bench’s Corporate Plan is perfect for cash-based businesses that have no more than $1 million in month-to-month expenses. The plan is their top-tier plan which starts at $295 a month and includes precisely the same bookkeeping services as the additional plans.

Based on minimum criteria, here’s how Bench stacks up against their competition:

Cash and Accrual Accounting

Like Bookly and Merritt Bookkeeping, Bench only offers bookkeeping services to small businesses which run on a cash basis. That means if you have to invoice customers and pay bills through check, you’ll have to manage those tasks by yourself using an additional software.

But it’s possible to offer Bench reports at the end of a month for you to adjust the financial statements to reflect any open accounts payable and receivable balances.

Monthly Reconciliations

Like its competition, you’ll offer Bench all your credit card and bank account details. They’ll use those details to connect the accounts to their software in order for your transactions to automatically download. At the end of the month, they’ll reconcile all your credit card and bank accounts as well as offer bank reconciliation reports.

Monthly Statements

Bench is going to offer you an Income Statement and Balance Sheet report every month. At the end of the year, they’ll offer you a comprehensive income tax report which you may send to your tax professional or CPA who prepares the tax return; none of the additional competitors provide this kind of report.

Accounting Software Setup

Unlike Bookkeeper360 and Bookkeeper.com which use Xero and QuickBooks, Bench has a proprietary software they use to track your books. It’s possible to access the books to review your information and run reports around the clock, every day, using a secure identification and password they’ll offer you.

Expense Management

Similar to its competition, Bench categorizes all your expenses to the suitable accounts. If there’s an odd expense which comes through, the bookkeeper is going to reach out to you for extra information to make sure it’s coded to the proper expense account.

Payroll Services

Like Pilot and Merritt Bookkeeping, Bench doesn’t provide payroll services. Therefore, you’ll have to use a payroll software such as Gusto to deal with the payroll. Like accounts receivable and accounts payable, it’s possible to offer Bench your payroll reports, and they’ll make changes to the statements to reflect your payroll figures.

Tax Return Services

Similar to Pilot and Merritt Bookkeeping, Bench doesn’t provide tax return services. However, they have an accounting network which includes enrolled agents (EAs) and experienced CPAs that they may refer you to professionals able to prepare your tax return on your behalf.

Customer Service

Similar to the competition on this list, Bench has a staff of in-house bookkeepers you’ll get access to. These staff members are highly skilled and have undergone an extensive internal bookkeeping training plan which all Bench bookkeepers must complete.

What is Bench Missing?

As aforementioned, Bench is restricted to offering services only to cash-based companies. Therefore, if you have accounts receivable, accounts payable, or inventory which must be tracked, you’ll need to manage those tasks by yourself. But Bench is willing to make a few adjustments to your statements in order to reflect those figures so that it’s possible to have a full set of statements.


Bookkeeper.com

bookkeeping servicesThey provide an all-in-one bookkeeping services solution for startups. Bookkeeper.com is perfect for startups that utilize accrual accounting and want an all-in-one option for payroll, bookkeeping, and tax return preparation. At a beginning price point of $285 a month, it’s the most economical service for startups with accounts payable and accounts receivable versus its competition which averages $349 – $1,000 a month.

Bookkeeper.com Features and Pricing

Bookkeeper.com has two main pricing plans which begin at $285 a month. These plans differ when it comes to the quantity of transactions included as well as the capability of tracking expenses and income by class and location. Their top-tier plan includes three custom reports which aren’t included within the starter plan.

Listed here are their pricing plans and the kind of business each is proper for:

Small Business Plan

Bookkeeper.com’s Small Business Plan is perfect for small businesses that have no more than 125 transactions to process every month. That includes, yet isn’t limited to, paying bills, invoicing customers, and reconciling all credit card and bank transactions. If you have over 125 month-to-month transactions, you ought to get the Small Business Plus Plan.

Small Business Plus Plan

Bookkeeper.com’s Small Business Plus Plan is perfect for startups that have from 126 to 250 transactions to process every month. Besides the features that are included in their Small Business Plan, this plan includes location and class tracking and three custom reports on top of their standard Profit and Loss as well as Balance Sheet reports.

Based on minimum criteria, here’s how they stack up against their competition:

Cost

While they have a greater starting price ($285 a month) compared to Pilot, Bookly, Bench, and Merritt, Bookkeeper.com offers bookkeeping services for cash and accrual-based companies whereas these four competitors just provide cash basis bookkeeping.

Quantity of Transactions

With Bookkeeper.com’s Small Business Plus plan, you’ll receive up to 125 transactions for a beginning price point of $285 a month versus $525 for just 100 transactions with inDinero. All the other competition does not restrict you in the amount of transactions, yet structure their plans based upon total month-to-month expenses.

Bookkeeper.com’s Small Business Plan involves these transactions:

  • Reconciling transactions downloaded for all your credit card accounts.
  • Reconciling transactions downloaded for all your bank accounts.
  • Paying bills through ACH, credit card, or check.
  • Invoicing customers.

Cash and Accrual Accounting

Bookly, inDinero, Bookkeeper360, and Bookkeeper.com take care of your books whether you utilize the accrual basis or cash basis of accounting. That means they’ll manage all your open customer invoices as well as unpaid vendor bills whereas Bench, Merritt Bookkeeping, Pilot, and Bookly only will offer services for cash-based companies.

Monthly Reconciliations

Like the other competition on the list, Bookkeeper.com goes through the process of comparing your credit card and bank statements to your accounts within QuickBooks to make sure they match. They’ll identify all discrepancies as well as make sure that they’re reconciled to the penny every month.

Monthly Statements

They’re the only company which utilizes QuickBooks Online or QuickBooks Desktop to manage the books; Merritt only utilizes QuickBooks Online. That means you’ll have accessibility to any report which may be generated in QuickBooks, including these reports:

  • Cash Flow Statement
  • Balance Sheet Statement
  • Profit and Loss Report

Document Storage

Similar to its competition, Bookkeeper.com offers you a place to store and upload all documents. Utilizing your secure password and login ID, it’s possible to log into their portal then upload important documents like:

  • Incorporation documents
  • Business license
  • Contracts
  • Credit card statements
  • Bank statements

Accounting Software Setup

Merritt Bookkeeping and Bookkeeper.com utilize the number one accounting software used by the majority of small businesses, QuickBooks. Bookkeeper.com performs the following activities to makes sure your books are properly set up:

  • Setup all vendors and customers.
  • Convert data from old accounting system to QuickBooks.
  • Make a customized items list.
  • Make a customized chart of accounts.
  • Buy QuickBooks Online or QuickBooks Desktop.

Expense Management

Bookkeeper.com ensures that all payments made for company expenses are classified to the suitable account upon the chart of accounts list. In order to ensure that you do not miss out on any tax deductions, it is possible to scan all business receipts and upload them to a client portal to be entered into QuickBooks. A similar process is utilized by Pilot, inDinero, and Bookkeeper360.

Class and Location Tracking

If you need in-depth reporting by product line, department, or locations, Bookkeeper.com will craft custom-made reports to offer you this kind of reporting. Depending upon the level of detail, extra fees might apply.

Payroll Services

Like Bookly, inDinero, and Bookkeeper360, it is possible to add payroll services for an extra charge. Bookkeeper.com utilizes QuickBooks payroll in order for your data to integrate smoothly with the QuickBooks file.

Here’s a list of the payroll services provided by Bookkeeper.com:

  • W-2s and 1099s
  • Tax deposit services
  • Customized payroll reports
  • Year-end payroll tax forms
  • Quarterly payroll tax forms
  • Payroll tax payments (state and federal)
  • Payroll checks or direct deposit for employees

Tax Return Services

Similar to Bookly, inDinero, and Bookkeeper360, it is possible to add tax return services for an extra charge. Their tax preparation services involve:

  • Business startups
  • Out-of-state returns
  • Partnership and corporation tax return
  • Gift and estate tax return
  • Business tax return
  • Individual tax return

Customer Service

Like its competition, you’ll require accessibility to a staff of bookkeepers who are able to answer all your questions. Every month, a dedicated bookkeeper is going to meet with you to assess your financial reports as well as answer all questions you might have. Within the month, it is possible to reach the bookkeeper by email or phone in order to get all of your questions answered.

What is Bookkeeper.com Missing?

They have everything a small business might need to track all expenses, income, taxes, and payroll. Currently, we don’t believe they’re missing any important features you’d expect to find with a bookkeeping services company.


FreeAgent

bookkeeping servicesIt’s a web-based accounting software which makes your bookkeeping simplified. FreeAgent connects with the company’s bank accounts and permits you to keep track of expenses, send estimates and invoices, monitor cash flow, and get a bird’s eye view of your profits, expenses, and income.

FreeAgent does not handle your bookkeeping for you, you’ll be in charge of doing it by yourself or by adding an accountant to the account. Also, it permits you to add several projects, unlimited users and clients, multi-currency invoices, and conveniently set-up sales tax.

It’s highly appropriate for small businesses which require a low-cost accounting software to perform their own bookkeeping.

Price: $10 per month for six months, then $20 per month.


Bookkeeper360

bookkeeping servicesIt’s a bookkeeping service online for small businesses. They utilize Xero accounting software rather than QuickBooks and assist in setting up your books in order for you not to lose any data as they transfer your information to Xero.

They provide small businesses financial statements, a dedicated account manager, accrual and cash basis reporting, payroll, invoicing, and bills.

With Bookkeeper360’s virtual CFO plan, they additionally provide HR services, technology advisory, custom and KPI reporting, daily bookkeeping, and a dedicated CFO/CPA that manages your account.

Price: Starting at $349 per month.


inDinero

bookkeeping servicesinDinero is a tax services, bookkeeping, and accounting software provider online. They provide an all-in-one option including tax filing, payroll, bills, and bookkeeping.

They utilize an intuitive, convenient-to-use software that rapidly provides you an overview of your profits, expenses, and income. Behind the scenes, inDinero has a dedicated team of bookkeeping and accounting professionals who’ll manage and work on your account.

The onboarding team at inDinero will assist you in setting up your bank, account, and credit statements in order for you to never be behind on bookkeeping.

Their price plans are based on the amount of connected transactions and accounts. Their staff will assist you in creating a customized plan that fits your company needs. By default, every plan is paid annually, yet you also can ask for a monthly payment solution.

Price: $310 a month paid on a yearly basis.


Merritt Bookkeeping

bookkeeping servicesThey offer cost-effective bookkeeping services to businesses online. They utilize QuickBooks to keep the books and integrate your credit cards and bank accounts for updated statements.

Merritt Bookkeeping has a flat fee of $150 per month without any setup fees, and they additionally provide free bookkeeping for charities and nonprofits. The flat fee solution means your cost won’t rise if you have more transactions.

But it’s just a bookkeeping service and can’t do invoices, taxes, or payroll. It’s possible to use third-party apps with the QuickBooks account to automatically pay bills.

Price: $150 per month.


Bookly

It is perfect for small businesses which utilize the cash basis accounting technique and have no more than $250,000 in month-to-month costs. With a Starter Plan of $195 a month which includes up to five bank accounts as well as $10,000 in month-to-month costs, it actually beats Bookkeeper.com, which is $295 a month for as much as 125 transactions.

Bookly Pricing and Features

Bookly provides a total of six pricing plans: three for cash basis and three for accrual basis bookkeeping. Their Starter Plan for cash basis bookkeeping begins at $195 a month whereas their Starter Plan for accrual basis bookkeeping begins at $695 a month.

Every plan is limited within these areas:

  • Tax return preparation (only Enterprise and Essential Plans)
  • Payroll services (only Enterprise Plan)
  • Maximum monthly costs ($10,000 – $250,000)
  • Number of projects or bank accounts included (two and up)

Listed here are the pricing plans and the kind of business each is proper for:

Starter Plan

Their Starter Plan for cash-based companies is perfect for startups on a tight budget with no more than five bank accounts to reconcile as well as a maximum of $10,000 in month-to-month costs. If your company utilizes accrual accounting, you’ll pay $695 a month, and you’re limited to two bank accounts which must be reconciled. It’s the most affordable plan of the three.

Essentials Plan

Their Essentials Plan is perfect for companies which require tax prep services. If you sign up for their cash basis plan, they’ll prepare your personal and business tax returns for an extra $100 a month more than their Starter Plan. Additionally, you receive 10 bank accounts, double the quantity included in their Starter Plan. If you require accrual accounting, your price is $895 a month, and like their cash basis plan, it involves business and personal tax return prep. Additionally, you receive five bank accounts versus two in their Starter accrual basis plan.

Enterprise Plan

Their Enterprise Plan is perfect for companies which have to pay staff. Unlike the Bookly Essentials and Starter Plans, their Enterprise Plan includes accessibility to SurePayroll.

It’s possible to process payroll checks, pay staff members through direct deposit or check, and pay and file payroll taxes. Their Enterprise Plan is their top-tier plan, running $395 a month for cash basis and $1,095 a month for accrual basis.

Based upon minimum criteria, here’s how they stack up against the competition:

Cost

When it comes to cost, they beat Bookkeeper.com in managing cash basis books; Bookkeeper.com’s Starter Plan is $295 a month versus Bookly’s Starter Plan at $195 a month. But when it comes to the management of accrual basis books, Bookly charges $695 a month for their Starter Plan versus Bookkeeper.com’s $295 a month—that is $400 more a month!

Number of Projects/ Bank Accounts Included

The main difference between the accrual basis and cash basis Bookly plans is the quantity of projects or bank accounts that are included in each plan. Bookly’s cash basis plans include five or more bank accounts and month-to-month costs of $10,000 or more whereas Bookly’s accrual basis plans offer two or more bank accounts as well as no limit on the month-to-month costs.

Monthly Reconciliations

Depending on which plan you actually sign up for, Bookly reconciles your credit card and bank accounts based upon the quantity of accounts included in the plan. It’ll ensure that your credit card and bank accounts match your month-to-month credit card and bank statements. This is also offered by all its competition.

Monthly Statements

Similar to its competition, Bookly provides users a month-to-month statement package which includes:

  • Cash Flow Statement
  • Balance Sheet Report
  • Profit and Loss Statement

Accounting Software Setup

Like Bench, Pilot, and inDinero, Bookly has a proprietary software they’ll offer you access to. They’ll make a customized chart of accounts, services, and products lists based upon the needs of your business. Plus, they’ll connect your credit card and bank accounts so that transactions will automatically download to your software.

Expense/Invoice Management

If you happen to sign up for any of their accrual basis plans, Bookly will manage your whole A/R process, including applying customer payments, creating invoices, and remaining on top of all unpaid invoices. As far as expenses are concerned, they’ll also pay and process your supplier bills. Additionally, they’ll remain on top of all unpaid bills to make sure they’re paid in a timely manner. The Pilot Plus Plan, inDinero, Bookkeeper360, and Bookkeeper.com additionally offer accounts payable and accounts receivable management.

Tax Return Prep

Like Bookkeeper.com, it’s possible to add tax return prep to any price plan for an extra $125 a month. That includes personal and business tax returns and unlimited consulting with their in-house CPA.

Payroll Services

Similar to Bookkeeper360 and Bookkeeper.com, Bookly processes your payroll. For an extra $100 a month in addition to $6 an employee, it’s possible to pay up to 10 staff members. Payroll services offered by Bookly involve:

  • Federal and state payroll tax form filing
  • Payroll tax payments
  • Payroll checks issues through direct deposit or check

What is Bookly Missing?

For small companies using the accrual accounting technique, Bookly is extremely expensive compared to Bookkeeper.com. Bookkeeper.com’s Small Business Plan is $295 a month versus Bookly’s Starter Plan, which is $695 a month—a $400 a month difference equal to $4,800 per year!

Out of the four competitors offering accrual-based accounting, it’s the only one which charges more for accrual over cash basis technique. The Pilot Plus Plan, inDinero, Bookkeeper360, and Bookkeeper.com charge the same for accrual and cash-based bookkeeping.


Pilot

bookkeeping servicesPilot’s perfect clients are usually tech startups or general startups. Since they’re situated within the Silicon Valley region, these businesses make up the majority of their client base. But they have the ability to manage the books for startups in any field; pricing plans begin at $195 a month.

Pilot Pricing and Features

They have the simplest price plan out of everyone on the list. There are two plans starting at $195 a month. Pilot’s Core Plan is perfect for a cash basis business that has less than $200,000 in month-to-month costs. Pilot’s Plus Plan is perfect for a product-based business which utilizes accrual accounting and has $200,000+ in month-to-month costs.

Listed here are their pricing plans and the kind of business each is proper for:

Core Plan

Pilot’s Core Plan is perfect for service-based companies that have no employees and less than $200,000 in month-to-month costs. The plan begins at $195 a month for a company with less than $15,225 in month-to-month costs. The more costs there are, the greater the monthly charge.

Plus Plan

Pilot’s Plus Plan is perfect for product-based companies that have no employees and more than $200,000 in month-to-month costs. The plan begins at $1,000 a month versus $195 a month for their Core Plan. Unlike their Core Plan, their Plus Plan offers the capability of managing several entities, several locations, accounts payable, and accounts receivable.

Based on minimum criteria, here’s how they stack up against the competition:

Cost

Like Bookly, Pilot beats Bookkeeper.com when it comes to price. Pilot’s Core Plan begins at $195 a month versus $295 a month for Bookkeeper.com’s Small Business Plan. But Pilot’s Core Plan is for cash basis bookkeeping whereas Bookkeeper.com is for accrual or cash bookkeeping.

Accounting Software Setup

Similar to Merritt Bookkeeping, Pilot utilizes QuickBooks Online in order to manage all their customer’s bookkeeping. If you currently have an account on QuickBooks Online, it’s possible to set up Pilot with accessibility to your present account, or Pilot will set up your business from scratch in QuickBooks Online.

Cash and Accrual Accounting

Pilot’s Core Plan is perfect for small businesses which utilize cash basis accounting; Pilot’s Plus Plan is perfect for larger companies which utilize the accrual basis accounting technique. Unlike Bookkeeper.com that has a beginning cost of $195, Pilot’s Plus begins at $1,000 to offer accrual-based accounting.

Month-to-Month Reconciliations

Unlike Bookkeeper.com, Pilot’s pricing is based on the month-to-month expenses as opposed to the amount of transactions. Therefore, as long as you remain within the month-to-month expense threshold for the plan, it’s possible to connect all your credit card and bank accounts so they may be reconciled to all your statements at month’s end.

Monthly Statements

Like its competition, they’ll supply you with these financial reports:

  • Burn Rate Report
  • Cash Flow Statement
  • Balance Sheet Report
  • Profit and Loss Statement

Payroll Services

Like Bench, Merritt Bookkeeping, and inDinero, Pilot doesn’t provide payroll services. You will instead need to sign up for a payroll service such as Gusto, which will permit you to perform all your payroll duties like paychecks, payroll tax forms, and remitting payroll taxes.

Tax Return Services

Like Merritt Bookkeeping and Bench, tax return services aren’t provided by Pilot. You will instead need to use a tax software such as TurboTax to do your very own taxes or employ an EA or CPA to take care of them on your behalf.

Inventory Tracking

Similar to inDinero Next Steps, Pilot’s Plus offers the capability of tracking and reporting inventory quantities and expenses for all product sales and purchases. Price of goods calculations automatically will calculate to ensure correct financials.

Customized Reporting

Like Bookkeeper.com, Bookly, and the majority of competitor top-tier plans, Pilot’s Plus Plan offers these custom-made schedules and reports:

  • Reports by class, location, department
  • Supporting schedules (prepaid expenses, amortization, depreciation, etc.)
  • Detailed accounts payable and accounts receivable reporting
  • Multiple currency reports
  • Reports by entity

What is Pilot Missing?

Pilot unfortunately falls short by not offering two services most small businesses require: tax return preparation and payroll. Therefore, you’ll need to utilize a payroll software to pay your staff members as well as utilize a tax software to do your own taxes or employ an EA/CPA. Take a look at Bookkeeper360, Bookly, and Bookkeeper.com which provide both tax services and payroll for an extra charge.


What is the Bottom Line?

It is decision time. If you’re an accrual-based business which requires tax, bookkeeping, as well as payroll assistance, get Bookkeeper.com. As explained, they’ll take your present QuickBooks account or make one from scratch and manage all your bookkeeping utilizing QuickBooks.

If you’re a simplistic cash-based business which doesn’t have accounts payable, inventory, or accounts receivable, get Bench. Before committing to utilizing their services, Bench will offer you free bookkeeping services for a month for you to determine if they’re right for you.

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