Cloud accounting software – what are your options?
From Katrina Ryan, Next Accounting
Using cloud technology, accounting software packages can help your business achieve a very high level of efficiency in data entry and recording of transactions, particularly with the automatic bank feeds. There are a number of options available, so I’ve put together a quick reference summary on the three main ones to help make your decision that little bit easier!
But first, a word about changing over from your current software to the cloud.
Conversion from your current software
Conversions from any software package can be done, which means that you can get a new system up and running now, and also have the time to ‘practice’ making it run efficiently before the start of next financial year. These conversions can be generally done within a week and can be done without any (or very little) disruption to you and your current data entry.
Benefits of changing to cloud accounting software
Real time support
Cashflow help
You can manage your business as soon as the month is over and make informed decisions on your business
More time for you
Reduced bookkeeping costs as the software can pretty much do the simple data entry for you
You can access the file anywhere for most cloud options – on holidays, at the kids’ swimming lessons, at home, at work – wherever there is internet
Some cloud software options also have smart phone apps that you can use to data input on the go
Joint access to the file
The product that is right for each business depends on the following factors:
Number of monthly transactions
Number of entities in your client group
Whether you have employees in your business or not
Whether you require add on products like inventory management or job costing
Here are a few options:
Xero
Costs range from $10/month to $100/month, depending on the size of the business
Unlimited users
Payroll function incorporated in software
Has ‘add on’ partners that integrate with the software where you require inventory management or job costing
Automatic bank feeds every time your login to the software
Auto allocation of transactions to speed up data entry
Allows “Job Tracking” (reporting on multiple P&Ls)
Automatic software updates for changes to legislation (ie tax tables and superannuation guarantee increase)
Free integrated Superannuation Clearing House (in most modules)
MYOB Essentials
Costs ranges from $25/month to $45/month, depending on requirements
Payroll function incorporated in software
Automatic bank feeds every time your login to the software
Auto allocation of transactions to speed up data entry
Includes basic inventory function
Does not allow Job Tracking so only single purpose reporting
Automatic software updates for changes to legislation (ie tax tables and superannuation guarantee increase
Has free integrated Superannuation Clearing House
Quickbooks Online
Costs range from $15/month to $35/month, depending on the size of the business
5 users
Payroll function incorporated in the software
Has ‘add on’ partners that integrate with the software where you require inventory management or job costing
Automatic bank feeds every time your login to the software
Auto allocation of transactions to speed up data entry
Allows “Job Tracking” (reporting on multiple P&Ls) in top version
Automatic software updates for changes to legislation (ie tax tables and superannuation guarantee increase)
Has free integrated Superannuation Clearing House (in most modules)
Can track inventory
