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FreshBooks is easy-to-use accounting software with a clean interface that means even computer novices will feel comfortable navigating FreshBooks. It also offers a ton of features usually found in more robust (and more expensive) products, from quick invoicing to time and mileage tracking. Get the full story, including screenshots, in our in-depth FreshBooks review.
Lite: $15
Plus: $25
Premium: $50
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If you're self-employed, FreshBooks was created to give you an easy way to track income and expenses. But today, FreshBooks isn't just for freelancers. It has four plans available, ranging from the Lite plan, which is perfect for sole proprietors, and startups, to the Select plan, which is better suited for larger businesses with more clients.
FreshBooks has also added a new Accounting Partner Program, which offers a more collaborative approach for FreshBooks users and their accountants.
If you're just starting out or have no plans to hire an employee, then FreshBooks is for you. However, if you find your business growing, there are more suitable products available.
Everything in FreshBooks is designed to help you do things faster, whether that's invoicing a client, recording a payment, tracking your time spent on a project, or snapping a photo of your lunch receipt for easy expense logging.
FreshBooks offers four plan tiers, each with an increasing array of features. You don't need the top tiers to save a ton of time, though. All four plans include the ability to:
Upgrading to the higher tiers gives you more access, plus extra features. For example, jumping up to Plus gives you the option to set up recurring invoices, capture receipt data, and invite your accountant. A Premium upgrade will also let you capture bill data and customize templates.
FreshBooks does invoices right. They're fast to make, easy to send, and simple to manage.
Indeed, creating a new invoice in FreshBooks takes less than a minute (depending on how fast you type -- or tap). To start, you can open a new invoice right from your Dashboard's dropdown menu, or with a tap in the mobile app.
From there, you can quickly add your client (if they're not in the system yet, no worries, you can add them right from the invoice!), add services or products, tack on sales tax, and set reminders. Once it's ready to go, email it directly to the client (or print it, if they're old-school).
Your invoices may take a few minutes longer if you decide to add a logo, fiddle with the font, or change the colors. (The FreshBooks branding will remain unless you upgrade to a Select plan.)
One thing I recommend taking time to tack on to every invoice is an automatic reminder, which will send email reminders to clients. Reminders can be set to go out before and after a bill is due, and the timing/frequency can be customized for each invoice.
FreshBooks will also notify you if the payment is late, and can even add a late fee if a payment is really late.
You can choose to accept online payments by connecting either Stripe (ACH and credit cards) or PayPal (PayPal accounts and credit cards). This will include paying the respective processors' fees, which start at 2.9%+$0.30 per transaction for credit cards in the U.S.
Once you're set up to accept online payments, you can include this payment option with each invoice. The easier and more convenient you make it to pay, the more likely you are to get paid quickly (or at all).
Made a mistake? You can also process full or partial refunds right from the invoice.
High plan tiers will get some extra features here, but let's start with the basics. All plans can connect bank and credit card accounts to automatically import expenses. This can save you a ton of time over manually entering your transactions.
Once uploaded, you can see a list of your expenses under the Expenses tab. Expenses can be categorized by type, supplier, and more. This lets you easily filter and organize your expenses for tracking throughout the year -- and, arguably just as important, for totaling at tax time.
If you upgrade to Plus tier, adding expenses gets even easier because you can access the receipt scanner. This lets you upload a photo of your receipt, and FreshBooks will automatically pull the important information from the photo to record the transaction. With a Premium plan, you can do this with other types of bills, too.
We all want to be paid for our time, but how often do you forget to write down how much time you've spent on a job? Using the time-tracking option, you can easily log your time for any job -- even when you're still out in the field.
The Time Tracking feature on the mobile app not only lets you log your hours, but it includes a built-in timer that can track your time for you. You can start, pause, and stop tracking time at the tap of a button.
Time logs can be assigned to specific clients and projects, then marked as "Billable" so you can quickly invoice clients for your time later. Add notes so you know what you got done during the time for easier records-keeping. (We always say we'll remember, but few of us really do.)
Your time isn't the only thing you can track. The app includes a mileage tracking feature that uses your device's GPS to automatically track your mileage.
Not a fan of the big brother approach? You can choose to manually enter your mileage, through the app. You can do this by inputting your miles driven, or by adding your start and end locations to the app and letting it calculate the miles for you.
It's important to note that the mileage functionality is limited, as it's intended primarily for tax deduction calculations. You can't turn saved trips into invoices, or really even use the data for anything. You can't even add mileage from the website, only the app. And the only way you can get your mileage data on the website is by downloading a report on your data.
If you work with a lot of different people and/or businesses, the Clients tab can be your best friend. Just having a database of clients, including their contact information, at your fingertips -- because yes, you can access it in the app -- can be a lifesaver if you're away from your desk.
But the features go far beyond a simple phone book. Each client entry includes valuable insight into current projects, including the status of each and every invoice. You can also edit reminders, create invoices and projects, and even run individual client reports.
Oh, and don't forget to check out the Relationship page at the top of each client entry. This is where you can write notes about the client that could be handy later, such as communication preferences or persistent issues. (Don't worry, clients can't see these notes, so you're free to be frank.)
If you have clients with multiple jobs -- or just like the extra level of organization -- you can head to the Projects tab. Here, you can organize each job into its own project, paid hourly or at a flat rate, and assign it to a client. You can even send estimates
By creating a Project entry for your job, you have now made your billing process about 1,000 times easier. You can easily log hours for each project, especially using the in-app time tracker mentioned above. Plus, a single click when uploading expenses and bills can also assign them directly to the relevant project.
With everything in one place, you get to the real gem of it all: You can easily generate accurate invoices for any project, using the hours, bills, and expenses already assigned to it. A few clicks and you're done.
Your reporting options in FreshBooks are modest but effective. For instance, you can find all of the standard accounting reports, from profit & loss statements to expense reports. There's also a mileage tracking report for deductions and a sales tax summary to help when filing.
There are myriad business reports, too. Want to see a summary of invoices over a set period of time? Generate an Invoice Details report. Wondering which items are selling the best? An Item Sales report can show you any trends. See Time Entry Details by project, client, or team member.
Your reports all live under the aptly named Reports tab. They're organized by type, though you can select up to six "favorites" that will appear at the top of the page.
If you're a data hound, you might find FreshBooks reports somewhat limiting, as there aren't a lot of customization options. However, reports can be exported to Microsoft Excel if you want to play with the data yourself. You can also email a report or save it as a PDF.
Many small businesses rely on contractors and other professionals to get things done. The My Team feature is a useful way to keep track of helpers, from tracking time to receiving invoices.
When you invite a team member, you can assign them one of five roles. The permissions they receive will depend on the role you assign:
Invitations require only the person's email address. Then, they'll need to make their own FreshBooks account (they don't need a FreshBooks subscription, however).
One of the biggest complaints I have with comparable online accounting applications such as Xero and QuickBooks Online is their lack of telephone support.
In this QuickBooks alternative, support is included in the cost of the subscription, and you can call the toll-free number and talk to a live person during extended business hours. While many support questions can be easily answered by using the other resources available in FreshBooks, it's incredibly refreshing to have the option to call support when it's needed.
You can also contact FreshBooks via email, use the contact form on the website, click on the Get Help tab to access instant messaging, or access support from within the application. The website also offers a FreshBooks tour and a searchable FAQ page.
The biggest benefit of FreshBooks is that it's easy enough that you'll actually use it. The product is designed with the user in mind, and that's evident as you make your way through the various features and functions. FreshBooks has also been incredibly responsive to complaints about the lack of true accounting features by adding double-entry accounting and beefing up the reporting options.
Particularly beneficial to the self-employed who have likely been saddled with a bunch of features they really didn't need, FreshBooks is a breath of fresh air. If you're looking for easy invoice creation, good expense management, and time-tracking capability, look no further than FreshBooks. Remember, the faster you invoice, the faster you get paid.
FreshBooks offers four plan options, each with increasing functionality.
FreshBooks regularly offers promotional pricing for the first three months of a new contract, so be sure to check its website for the latest pricing.
The FreshBooks Lite plan, regularly $15/month, is available for $4.50/month for the first three months. The Lite plan offers plenty of features for the sole proprietor or freelancer. If you're looking for more features, the Plus plan may be the best fit. Regularly priced at $25/month, the Plus plan is now available for $7.50/month for the first three months. Considered the most popular FreshBooks plan, the Plus plan includes features such as unlimited proposals, recurring invoices, late payment reminders, and scheduled late fees. Also available is the Premium plan, which can support up to 500 clients. The Premium plan, normally $50/month, is now $15/month for the first three months. If you have more than 500 clients, the Select plan is best for you, with pricing available directly from FreshBooks.FreshBooks does not include a payroll option in any of its plans, but it does offer integration with Gusto if you need to pay employees.
FreshBooks can run on just about any web browser, including Google Chrome, Firefox, Internet Explorer, Microsoft Edge, Opera, Safari, Mobile Safari, and Mobile Chrome. Mobile apps (freshbooks mobile apps) are available for both iOS and Android devices, and the product remains in sync, so you can use your desktop system in the morning and your phone while you're out in the afternoon, and the information will remain consistent in both.
The FreshBooks Dashboard includes a welcome screen (above) that displays your setup progress. Once setup is complete, you'll see charts displaying your outstanding revenue, total profit, revenue streams, spending, and unbilled time. The spending chart can be an eye-opener when you see exactly where all of your money is going, and the unbilled time can serve as a reminder to create those invoices you've been procrastinating on.
The interface is consistent throughout, and all of the features in FreshBooks are easily accessed from the vertical menu bar, including the settings icon, where you can add another company, enter any of the products or services you sell, and set up online payments. The help icon (a question mark) is not immediately visible but resides in the lower right corner of the dashboard.
Invoicing & Payments | Budgeting Capability | Customer & Vendor Management | Good Reporting Options | |
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FreshBooks | ||||
Xero | ||||
GnuCash | ||||
Wave Accounting | ||||
QuickBooks Online |
FreshBooks works best for sole proprietors and freelancers who want to be paid quickly.
Yes. FreshBooks added double-entry accounting in 2018, making it a true accounting program.
At this time, FreshBooks does not offer budgeting capability.
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