QuickBooks Online Pricing And Plans (2023 Guide) (2023)

QuickBooks is a well-established accounting software that is widely used by businesses from a variety of industries. With five plans, each at different price points, users can choose the plan that best meets their business needs without paying for additional features that they don’t want. As a business grows, users can easily upgrade to a more advanced plan with additional features seamlessly. QuickBooks is the platform most used by professional accountants so if you plan to work with an accountant, they will likely be very familiar with the platform, its features and capabilities.

A word of warning, however: In addition to the monthly plans described in this article, QuickBooks Online also offers a number of other services at an additional charge. Make sure to determine whether the service you want, such as payroll capabilities, is included in the plan or whether it is an extra fee.

QuickBooks Online offers five plans: Self-Employed, Simple Start, Essentials, Plus and Advanced. These plans are scalable, with each plan offering additional features in addition to the features included in the lower-priced plan. For this reason, businesses can start with the more cost-effective option and move up as their business grows and needs change.

Individuals that choose the Self-Employed plan will see prices ranging from $15 to $35 per month, depending on if they’d like to add tax and CPA services to their subscription. The other four plans range from $30 with Simple Start to $200 per month on the Advanced plan. Users can elect to either get a 30-day free trial or subscribe at a reduced rate of 50% for three months, but they cannot take advantage of both options.

QuickBooks Plans [Compared]

Self-Employed

QuickBooks Self-Employed is suitable for freelancers and independent contractors who want to be able to track all their business expenses (such as rent or marketing) in one place. As a bonus, it also includes invoicing tools. If you report income on Schedule C of your personal income tax return, this cost-effective option might be best for you.

Simple Start

The Simple Start plan provides a single user with all the necessary tools you need to manage your company’s accounting, including the ability to monitor income and expenses, create invoices and payments, claim tax deductions, collect receipts, and track mileage. Although you can track expenses, QuickBooks Simple Start doesn’t enable users to pay bills. To manage and pay bills, you’ll need QuickBooks Essentials.

Essentials

Small businesses that are growing may want to use QuickBooks Essentials. The plan offers up to three users all the features of QuickBooks Simple Start, plus the ability to track hours worked and manage bills. A key added feature of the QuickBooks Essentials plan is the ability to manage unpaid bills and allocate billable time and expenses to a specific customer. Additionally, QuickBooks Essentials will send reminders regarding upcoming bills to be paid so that you don’t miss a payment.

Plus

QuickBooks Plus is the most popular plan for businesses since it includes features such as inventory tracking, project management and tax support. It also includes up to five users per account. Midsized businesses with several customers or clients might benefit from the ability to track profitability with QuickBooks Plus. Because the Plus plan enables users to view and track projects, including project expenses and labor costs, users can accurately track a project’s profitability and generate relevant reports on project progress.

Advanced

Larger businesses with substantial accounting teams may want to consider the QuickBooks Advanced plan. This plan significantly extends the functionality of the other plans by offering features such as a dedicated account team to help, workflow automation, data restoration, batch invoices, and on-demand online training. It covers up to 25 users and provides dedicated customer support and advanced reporting features.

Although QuickBooks Online is a great cloud-based accounting platform, it isn’t the only one. QuickBooks is an excellent option for growing businesses and larger companies, especially if they want project management tools, the ability to allocate billable hours to specific clients or manage a large amount of inventory.

FreshBooks is great for self-employed individuals, sole proprietors and independent contractors. It is incredibly user-friendly and easy to navigate, so if you are a sole proprietor looking for basic accounting software, FreshBooks will meet your needs at a relatively low cost. Its basic plan is in line with QuickBooks Simple Start, at $15 per month.

Xero is most often used by small or medium-sized businesses. Although it has the lowest starting price, at $12 per month, it can be a little more difficult to navigate than QuickBooks or FreshBooks. Because there is an unlimited number of users that can use the program, you can maximize its use if you have a team of professionals who need access to your accounting software. The number of invoices that users can send each month is capped at 20, so it is also best for individuals who have a relatively small number of clients or customers.

Learn more in our complete guide to QuickBooks alternatives.

Bottom Line

The QuickBooks Online plan that’s best for you largely depends on the number of users who will be using the program, the size of your business and your particular needs. If you are self-employed and report income on Schedule C of your personal income tax return, the QuickBooks Self-Employed plan will likely make the most sense.

If you are a small business or a startup, consider QuickBooks Simple Start. Businesses that provide services, rather than goods, should consider the QuickBooks Essentials plan. Businesses with inventory will likely get the most benefit from QuickBooks Plus. Large businesses that need access for up to 25 users will probably want to go with QuickBooks Advanced.