Self-Employed Comparison and Review



Self-Employed Review

This version is great for:

  • Independent Contractors with no employees
  • QB Self-Employed is ideal for "Shared Economy" jobs like Uber drivers, TaskRabbit taskers, Favor runners, etc
  • This is NOT usable for any business that currently has or will ever have employees

Conclusion:

QuickBooks Self Employed is NOT meant for businesses. Instead this version of QuickBooks is meant for people who generate income working as independent contractors (think Uber drivers, TaskRabbit taskers, Favor runners, etc.). The website and mobile app provide a simple, inexpensive way to track revenue and expenses and plan for income taxes. Use QuickBooks Self Employed to connect your banking and credit card accounts, download your transactions and categorize them as business or personal. The features of this version of QuickBooks are intentionally limited to make it simple to use, but it does include a profit and loss report and estimates your tax liability. The service is also designed to integrate with Turbo Tax Home and Business, which should make tax filing extremely easy.

If you own a business, and you want to use cloud booking software, use one of the QuickBooks Online Products.

Ease of Use

QuickBooks Self Employed is incredibly easy to use, but phone support is completely unavailable, and it doesn't integrate with any other versions of QuickBooks or allow you to import any customer data. Also, this is an online only product, therefore it can't be viewed or updated without an Internet connection. For these reasons, the service has a 3 out of 5 star ease of use rating.

Setting up Your Books

QuickBooks Self Employed is INCREDIBLY easy to set up. Once you've created an account, you simply connect your banking and credit card accounts using your online banking login information for each of the accounts you want to connect then the QuickBooks automatically imports up to the last 90 days of transactions. If you need to go back further, you will have to login into those accounts directly, download the transactions into a spreadsheet then upload them into QuickBooks. Once the transactions are in QuickBooks, you simply go through each transaction and label it as either personal or business and apply the appropriate category to the business transactions. You also have the ability to manually enter transactions that aren't in your accounts for one reason or another (cash for example). The website also has a section for tracking miles driven for work, which can be a very important tax deduction. All of these features are also available using the QuickBooks Self Employed mobile app.

Day-to-Day Operations

As long as your only need for the service is to categorize and track transactions from your attached accounts and record miles, QuickBooks Self Employed is extremely useful. However, this version doesn't allow you to enter bills or invoices, produce a balance sheet or statement of cash flows or any report other than a basic income statement and tax information.

Like QuickBooks Online, QuickBooks Self Employed requires a live Internet connection to use at all. However, all of your data is stored and backed up on Intuit's servers, so your financial data is well protected. The QuickBooks Self Employed app (which also requires a live Internet connection) allows you to categorize transactions, record miles traveled for work and view a summary of your tax deductible expenses. You can also use the app to add new bank accounts and update your tax profile.

Managerial Features

QuickBooks Self Employed does NOT offer any managerial features at all. This product is designed for individuals not businesses. If you need bookkeeping software that can track invoices, bills, employees, inventory, etc, purchase QuickBooks Online or QuickBooks Desktop.

Reporting

QuickBooks Self Employed has three reports: Profit and loss, Tax summary and Tax details. The Profit and loss report can be set to any time period, but both tax reports are tied to specific tax years. The Tax summary report is a PDF ledger that summarizes your taxable business profit along with totals for spending and deductions in Schedule C (on your tax form) categories and healthcare categories. The Tax details report exports information in an Excel spreadsheet with information similar to the Tax summary report, but it also includes detailed transaction information by category.

QuickBooks Self Employed also has a tab for taxes where it shows your quarterly and annual estimated taxes. This helps contractors ensure that they don't fall behind in saving for and making their tax payments.

Tracking Payments to Vendors & Inventory

As mentioned previously, QuickBooks Self Employed doesn't offer any tracking for vendors or for inventory.

Online Banking

QuickBooks Self employed automatically imports transactions from your connected bank accounts, but it does not provide a method to actually reconcile the accounts. That is understandable, because, unlike other versions of QuickBooks, checks, payments and deposits are not meant to be added manually to the system. This product simply categorizes the transactions it imports from your bank and and credit card accounts.

Pricing and Support

QuickBooks Self Employed is the least expensive bookkeeping product offered by QuickBooks. The service has a retail price of $10.00/ month, but they regularly offer sales that lower the price for the first 6 to 12 months. They also offer the service bundled with TurboTax Home & Business for $16.99/ month, but this is also often offered at a discount for the first 6 to 12 months. The bundled product is actually a good value, because TurboTax Home & Business costs $104.99 when purchased separately, which is $20.99 more than you would pay per year than buying it bundled with QuickBooks Self Employed.

Pricing

Price

$10 $5/month

Number of User Accounts

1

Free Trial

30 Days, but

General Features

Ease of Use

Unlimited Customer Support

Free

Online Access

Permission Controls

Edit Your Books Offline

Prints Checks

Uploads Bank Files

Helps Create Tax Forms

Managerial Features

Rating

None

Creates Invoices

Automated Invoicing

Tracks Inventory

Creates Estimates

Manages Bills

Bills Your Customers

Creates Purchase Orders

Helps Create Budgets

Forecasts Sales and Expenses

Reports

Number of Reports

3

"Company Snapshot"

"Company Scorecard"

Industry-Specific Reports


Self-Employed Screenshots
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