Finding the Right Bookkeeping Software for Your Independent Contracting Business

As a self-employed independent contractor operating under an LLC taxed as an S-Corp, managing finances can often feel overwhelming, especially if you’re seeking simplicity. If your work involves primarily receiving 1099 compensation and handling a few business expenses, it’s crucial to find a Bookkeeping solution that meets your needs without unnecessary complexity.

Understanding Your Needs

In your case, you’re looking for software that will streamline your Bookkeeping tasks with minimal fuss. You already manage payroll for yourself through Gusto and primarily deal with 1099 forms from the facilities you contract with. The requirements are straightforward: no inventory tracking, invoicing, or time management features—just a focus on your monthly compensation and expenses.

Exploring Simpler Options

Many users find traditional bookkeeping software like QuickBooks to be far more than they need. This kind of software can be expensive and complex, particularly if your operations are straightforward. Fortunately, there are alternatives that offer simplicity and affordability.

Currently, you’re considering two popular options: Wave and Zoho Books. These platforms are known for their user-friendly interfaces and can handle basic bookkeeping efficiently.

Wave

Wave is particularly appealing for freelancers and small business owners. This software is free to use for many basic Accounting functions, making it an attractive option if you want to avoid monthly fees. It allows you to link your bank and credit card accounts, automatically importing transactions into the system—a feature that will save you a significant amount of time. Additionally, Wave offers an iOS app, enabling you to manage your finances on the go.

Zoho Books

On the other hand, Zoho Books offers a comprehensive suite of features at a competitive price point. While it does have a monthly fee, it may still be less than $35, and it offers extensive functionality such as expense tracking and invoice management if you ever need those capabilities. Zoho’s mobile app ensures that you can handle your bookkeeping tasks conveniently from your iPhone while also allowing bank account integration for seamless transaction imports.

Conclusion

When selecting the right bookkeeping software for your needs, consider how much functionality you truly require. Wave could be your perfect fit if you prefer a no-cost solution with essential features. However, if you value a little more functionality while still keeping it simple, Zoho Books may be worth exploring.

Ultimately, your goal is to make your bookkeeping process effortless for both yourself and your accountant. By choosing a straightforward