Essential Tax Software for your Small Business
Keeping on track with taxes for your small business gets exponentially easier if you have the right software and systems in place. Over the years we have tried out a number of options, and found that almost all of our favorite programs have grown and expanded to offer a complete solution for small businesses. As cost can be prohibitive for some, we have included paid and free options for each type of software. Read on for a list of our top recommended systems for invoicing, income & expense tracking, tax prep and projections for small business owners in 2018.
Invoicing, Income & Expense Tracking:
While Quickbooks undoubtedly tops our list in terms of functionality and features, there are free accounting software options you can use as your business gets off the ground. One of our favorites is Wave, which offers free accounting software, invoicing and receipt scanning, with paid options for online payments and payroll. Included with the free option is unlimited income & expense tracking which will be essential to get your accounting processes in place.
Free: IRS Free File
If you make under $66,000 you can utilize the IRS free file software at no charge. Should you make over $66,000 you still have the option for free file, however you must know how to do your taxes yourself as the software only does math and offers basic guidance– state tax prep is not available either. If free file will not work for you, we love how intuitive and easy TurboTax software is to use. Small Business filing starts at $159.99 for federal taxes only, and allows you to input data directly from Quickbooks. It also offers the peace of mind of a calculation check and a 100% accuracy guarantee.
Paid: Tax Planner Pro
Free: TurboTax Tax Caster
Tax Planner Pro is a great system for providing business and personal projections throughout the year. Their small business plan starts at $249/year and includes a tax strategy module as well as a tax plan simulator. If you don’t need that level of granularity, TurboTax offers their Tax Caster to estimate your tax return for the year, based off your income. Tax projections are essential for small businesses to make throughout the year so be sure you are utilizing one of these options.
Tax software is only as useful as the data and maintenance you put into it. While we highly recommend you invest in some of these systems for your business, others, such as tax prep software may not be needed as they may be better left for your accountant to handle. For more information on what information you need to be recording, and how an accountant can help mitigate your tax liability, contact Karen at Stampone & Associates today at 215.277.1191.