If you’re a smaller business with plans to expand your team, factor in these potential costs when making your decision. FinOptimal’s partnership program can help accounting firms advise their clients on these considerations. If real-time collaboration and access from anywhere are top priorities, Online is a strong contender. Imagine updating your books from your phone while on your commute—QuickBooks Online makes that possible. As Zapier points out, it’s accessible from any device with an internet connection, a significant advantage over Desktop’s local installation. This cloud-based approach simplifies things for businesses that need access to financial data on the go or have teams working remotely.
Should I switch from QuickBooks Online to QuickBooks Desktop?
However, QuickBooks Desktop offers better reporting and supports more complex accounting. Four pricing plans for QuickBooks Online are available, ranging from $35 to $235/month (with an additional $50+/month for payroll). While QuickBooks Online boasts many of the features you’ll find with Desktop, some of its features, such as inventory management, aren’t quite as advanced. Additionally, you won’t find the industry-specific features and reports that you’ll get if you sign up for Desktop. In contrast, QuickBooks Desktop tends to have a steeper learning curve, offers fewer integrations, and has had its previous versions discontinued by QuickBooks. QuickBooks Pro and Premiere will also discontinue sales to new users on July 31, 2024.
All QuickBooks Desktop Pro, Desktop Premiere, Mac, and Desktop Enhanced Payroll products, excluding QuickBooks Desktop Enterprise, will no longer be available to new users after September 30, 2024. Existing QuickBooks Desktop Pro, Premier, Mac, or Enhanced Payroll users will not be impacted. Security updates and product updates will still be released for all users who purchase a QuickBooks Desktop Plus or QuickBooks Desktop Payroll subscription before the cutoff date. Join the thousands of people like you already growing their businesses and knowledge with our team of experts. We deliver timely updates, interesting insights, and exclusive promos to your inbox. Because QuickBooks Online is connected to the cloud, you can work from any device with an internet connection.
- For businesses looking for assistance with their accounting processes, consider exploring FinOptimal’s managed accounting services.
- The bank reconciliation module must also let users reconcile accounts with or without bank feeds for optimal ease of use.
- Both QuickBooks Desktop and QuickBooks Online utilize a subscription pricing model.
- They want it to work for the busy entrepreneur who needs a business bank account and a smart way to manage company expenses with the right business credit card.
QuickBooks Online vs. QuickBooks Desktop Comparison
Because it’s cloud-based, QuickBooks Online seamlessly integrates with hundreds of third-party applications. This broad compatibility lets you create a customized software ecosystem tailored to your specific business needs. Think CRM platforms for managing customer relationships, inventory management tools for tracking stock, and e-commerce platforms for selling online. As Forbes points out, QuickBooks Online boasts over 650 app integrations, simplifying and automating many accounting tasks (source). This extensive network of integrations streamlines processes, reduces manual data entry, and provides a more holistic view of your business operations. Plus, QuickBooks Online is accessible from any device with an internet connection, giving you the flexibility to manage predetermined overhead rate your finances from anywhere, as highlighted by Zapier (source).
Ease of Use: QuickBooks Online Wins
If not, and you prefer a more traditional software experience, Desktop might be a better choice, even if your business operates primarily online. You can access your financial data from anywhere with an internet connection—whether you’re at the office, working from home, or on the go. oregon tax rate This makes it easier to stay organized and collaborate with your team, as Zapier points out. This cloud-based system also makes it simple for your team, including accountants and other key personnel, to work together on a single platform. QuickBooks Desktop also has several additional features you won’t find with QBO, including sales orders and lead management. Because it is locally installed software, you also have more control over keeping your financial data secure.
Fortunately, a mobile app is now available with the introduction of QuickBooks Desktop 2022. However, the QuickBooks Desktop app is a very pared-down version of the desktop and is poorly rated. If your business needs sales orders, QuickBooks Desktop is your only option.
Make the switch to QuickBooks Online
Businesses that have purchased one-time licenses of the locally-installed QuickBooks Desktop versions that have been sunset can still use the software’s accounting features. However, these versions don’t receive security updates, live support, or access to cloud-based services such as live bank feeds, QuickBooks Desktop Payments, or QuickBooks Desktop Payroll. QuickBooks Desktop doesn’t offer the same multi-user accessibility, but it does have a more comprehensive assortment of features that provide an in-depth view of your accounting operations. QuickBooks Desktop offers more advanced inventory management features, job costing worksheets, sales orders, and highly customizable reports. I was impressed with how you could do batch invoicing, something QuickBooks Online doesn’t offer. QuickBooks Desktop still has a place in the accounting software industry.
This may signal future abandonment of its Desktop version as more people move to the cloud. If you make the switch from Desktop to Online, you can import your data and access your original company file at any time. These days, Intuit shifts towards subscriptions even for the Desktop version.
I want to confidently say that the difference in pricing is due to the considerable amount of features that QuickBooks Desktop offers, but I’m unsure if that’s the case. QuickBooks Online is simply easier to learn, provides a detailed onboarding process, and is very intuitive. It’s designed to foster collaboration between multiple users, facilitating multi-user access to accounting data. Each user has their own login credentials, which can be customized to limit access to sensitive information. There’s also a feature that facilitates inviting your accountant to the platform, so they can have direct access to your data. QuickBooks Desktop, on the other hand, is installed locally, meaning you download and install inventory meaning the software on your computer or multiple computers in your office, for example.