Bookkeeping

QuickBooks Online VS Desktop Comparison

quickbooks cloud vs desktop

Another notable difference between QuickBooks Online and QuickBooks Desktop is their integration capabilities. QuickBooks Online integrates with over 750 third-party apps, and we highlighted the most notable integrations in our guide to the best QuickBooks Online integrations for small businesses. As I was testing them out, I found QuickBooks Online a lot sleeker, more modern, and easier to navigate than QuickBooks Desktop. Every step was prefaced with a tutorial, guiding me in setting up my company’s profile by prompting me to provide specific information. I’ve deduced that it comes down to a stubborn user base—one that refuses to let go of QuickBooks Desktop in favor of its cloud-based successor. Granted, most people agree QuickBooks Online is the better option, but the old-timer is still somehow in the running.

For those customers that choose to stay on Desktop Plus subscriptions, we’ll continue to focus on product maintenance and security. We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or what is leverage definition example and formula endorsed by included advertisers. The Ascent, a Motley Fool service, does not cover all offers on the market.

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Prior to joining the team at Forbes Advisor, Cassie was a content operations manager and copywriting manager. Keep in mind that if you do decide to have QuickBooks Desktop hosted, there will be an additional fee. As an added convenience, if you outgrow your current edition of QuickBooks Online, upgrade to a more powerful plan in minutes. QuickBooks Desktop’s user interface is very different from QuickBooks Online, offering navigation using a flowchart style menu. You can send email invites to your accountant from within the software. Find help articles, video tutorials, and connect with other businesses in our online community.

Integrations: QuickBooks Online Wins

The dashboard is super intuitive with large, easy-to-understand charts, and the mobile app is similarly easy to use. If your home or office has a slow or unpredictable internet connection, QuickBooks Desktop can ensure you can reach most of your data even if the internet goes down overnight. The downside to locally stored data, though, is that you can only access it from where it’s stored. You can pay extra (or upgrade to a pricier plan) to get data hosting through QuickBooks, which will let you access some financial information—though not all of it—on a different device. QuickBooks Online is cloud based, which means you can access your QuickBooks account anywhere you have the internet and an internet-enabled device. QuickBooks Desktop is desktop based, meaning you’ll buy a hard copy of QuickBooks’ software, then download that software once onto a single device.

quickbooks cloud vs desktop

Best Accounting and Bookkeeping Apps for Small Businesses

When you upgrade to Enterprise, QuickBooks Desktop’s most comprehensive plan, you’ll gain access to advanced inventory features, including barcode scanning and serial number tracking. QuickBooks Online wins for pricing because it’s essentially more affordable than QuickBooks Enterprise. For instance, if you have five members, you can purchase the Plus plan for only $90 monthly, whereas with Enterprise, you need to pay $427 monthly for five users. I find myself leaning toward the futuristic solution, which makes QuickBooks Online my preferred choice of accounting software (my Ralph Macchio). Plus, it’s the only one that integrates with Zapier, enabling you to seamlessly link your accounting management to the rest of your business’s tools.

QuickBooks Desktop Premier and Quickbooks Desktop Enterprise have even more reports (especially if you opt for the industry-specific versions of these 6 benefits of becoming an accountant programs). QuickBooks Online and QuickBooks Desktop operate on true double-entry accounting principles and have both accrual and cash-basis accounting. Each offers a detailed chart of accounts, journal entries, bank reconciliation, accounts payable, accounts receivable, and the basic reports needed to run a company. However, QuickBooks Desktop offers better reporting and supports more complex accounting.

QuickBooks Desktop has a more dated user interface than some cloud-based products and requires prior accounting knowledge to get the most out of the product. In the past, customers could choose between annually renewing plans and single-purchase software with a license that stayed valid for three years. If you purchased a Desktop Pro plan in 2021, your software will still work until 2024—but new customers who bought the 2022 software version can only choose annual subscriptions. QuickBooks Online has been part of the Intuit accounting software family for a few decades now. Since QuickBooks Online is browser-based, not desktop-based, you can log on to your Quickbooks Online account from any web-enabled device with a sturdy internet connection.

The online version of QuickBooks is much easier to use than the desktop version. Even though QB Desktop has more comprehensive features in general, there are some key features that only QuickBooks Online has, such as bookkeeping support. It’s hard to say which software is cheaper because there are so many variables. But there are some general guidelines to know which version might be the one for your business (and your budget). QuickBooks Online supports up to 25 users, which does fall short of the 40 users supported under QuickBooks Desktop. Our complete QuickBooks Online vs. Desktop comparison covers key differences, pricing, features, and usability, so you can easily decide whether QuickBooks Online or QuickBooks Desktop is right for your business.

  1. The software offers comprehensive features, unique touches (such as lead management and sales orders), industry-specific versions of the software, and the potential to be more secure.
  2. I find myself leaning toward the futuristic solution, which makes QuickBooks Online my preferred choice of accounting software (my Ralph Macchio).
  3. The downsides are the lack of sales orders, lead management, and other complexities that loyal Desktop users may miss (such as customizable letter templates, a built-in calendar, and even spellcheck).
  4. With QuickBooks Desktop, users receive some of the most developed accounting tools on the market.
  5. Features include mileage tracking, basic reporting, income and expense tracking, capture and organize receipts and estimation of quarterly taxes.
  6. Both versions have mobile apps, but the app for the Desktop version primarily functions as a way to upload receipts, and the Online mobile app is robust in comparison.

QuickBooks Self-Employed is a QuickBooks Online product for contractors and freelancers, specifically for those who do not have separate business and personal financial accounts. It starts at $30 a month and includes basic 7 best church accounting software 2020 features only, such as mileage tracking and invoicing. However, if you’re not a Mac user, you can choose from all three QuickBooks Desktop  plans. The QuickBooks Desktop Premier Plus plan is particularly useful for business that want industry-specific features. Most notably, Premier Plus has 150+ customizable reports for nonprofits, general contractors, and retailers. Unlike QuickBooks Online, Desktop Pro includes built-in inventory management.