Bookkeeping software goes a step beyond invoicing. It imports bank transactions, categorises expenses and produces the reports your accountant or tax return needs. For a freelancer the main decision is how much of that you need, because list prices differ a lot.
This comparison covers QuickBooks Online, Xero, Wave and FreshBooks. Figures come from each vendor's published US pricing pages, checked October 20, 2026. It is a research-based comparison, not a hands-on test, and it is not tax advice.
The short answer
| Tool | Entry list price | Introductory offer shown | Notable limit |
|---|---|---|---|
| QuickBooks Simple Start | $38/month | 50% off for 3 months | 1 user |
| Xero Early | $27/month | 90% off for 6 months for new US customers | 20 invoices and 5 bills |
| Wave | Free accounting and invoicing | None needed | Bank imports and reminders need Pro ($19/month) |
| FreshBooks Lite | $23/month | 80% off for 4 months | 5 billable clients |
QuickBooks Online
QuickBooks Online
Most widely usedFull accounting, priced highest at the entry level.
- Simple Start
- $38/month list (1 user)
- Essentials
- $85/month list (3 users)
- Plus
- $140/month list (5 users)
- Introductory offer
- 50% off for 3 months
Simple Start covers expense tracking, profit and loss reports, one bank connection and two accountant users. Time on invoices and custom performance metrics need Essentials. The promotional price drops to list after three months, so budget for $38 a month, not $19.
What works
- Accountants commonly know it
- Real-time profit and loss reports
What to watch
- Highest entry list price in this group
- Promotional prices end after 3 months
Xero
Xero
Good for bills and invoicesThree tiers; the cheapest limits invoices.
- Early
- $27/month, 20 invoices and 5 bills
- Growing
- $59/month, unlimited invoices and quotes
- Established
- $97/month, multi-currency and project tracking
- Offer
- 90% off for 6 months, ends Nov 2, 2026
The Early plan's 20 invoice limit covers approving and sending, so it suits a freelancer with a few clients, not one who bills weekly. The page covers US pricing only. The new-customer offer on the page ends at 11:59pm UTC on November 2, 2026.
What works
- Unlimited invoices from Growing
- Cash flow forecast on every plan
What to watch
- 20 invoices on the entry plan
- Offer is time-limited
Wave
Wave
Free to startFree accounting and invoicing; Pro adds bank imports.
- Accounting and invoicing
- Free
- Pro
- $19/month or $190/year (USD)
- Card processing
- Optional, per-transaction fees
Pro adds automatic bank transaction imports, unlimited receipt capture, multi-user access and automated late reminders. Automatic bank imports depend on Plaid, so not every bank is supported.
What works
- Genuinely free to start
- Pro is cheaper than most competitors
What to watch
- Bank imports are Pro only
- Depends on Plaid for bank coverage
FreshBooks
FreshBooks
Best for client billingInvoicing first, with accounting reports on Plus.
- Lite
- $23/month, 5 billable clients
- Plus
- $43/month, double-entry reports and reconciliation
- Premium
- $70/month
Double-entry accounting reports, bank reconciliation and accountant access are on Plus, not Lite. If you want real bookkeeping, plan on $43 a month at list price.
What works
- Strong invoicing and time tracking
- Accountant access on Plus
What to watch
- Billable client caps
- Real bookkeeping starts at Plus
Which one should you choose?
- Start with Wave if you want free bookkeeping and can live without automatic bank imports.
- Choose QuickBooks if your accountant uses it or asks for it.
- Choose Xero if you have a handful of clients and want to keep costs low in year one.
- Choose FreshBooks if client billing and time tracking matter more than accounting depth.
Ask your accountant before you switch tools in the middle of a tax year.
How we compared
We read each vendor's published pricing pages on October 20, 2026. We did not test bank syncing or reports. Prices exclude tax and may differ by country.
Frequently asked questions
Can I use a spreadsheet instead?
Yes, if you have few transactions and your accountant accepts it. Software helps once bank transactions and receipts pile up.
Is the introductory price what I will pay?
No. QuickBooks, Xero and FreshBooks show discounts that end after months, then renew at list price.