However, if you own a big business, prefer locally stored software, or want industry-specific reports, QuickBooks Desktop could be a better fit for your business. Different software packages include licenses for 1 to 10 users, up to 20 users, up to 30 users, and up to 40 users. This website is using a security service to protect itself from online attacks. There are several actions that could trigger this block including submitting a certain word or phrase, a SQL command or malformed data. QuickBooks Online and QuickBooks Desktop both earned decent user ratings, although QuickBooks Desktop’s mobile app received low scores. In addition to third-party integrations, QuickBooks Online integrates with native products, such as QuickBooks Payments, QuickBooks Payroll, and QuickBooks Time (formerly TSheets).

We’ll focus on differences specific to the construction industry, so you can make an informed decision about which version is best for your accounting needs. The other version, which is currently Intuit’s priority, is QuickBooks Online. It’s a cloud-based app with many of the same features as QuickBooks Desktop, as well as some distinct differences. Remember you were not comfortable with the desktop version when you first started using it. If you are considering switching from QuickBooks Desktop to QuickBooks Online, you need to approach it as if you are learning a new software system (because you are).

• Like its desktop counterpart, there are multiple editions of QuickBooks Online aimed at serving different purposes.
• Doing so grants you access to the Priority Circle loyalty program, including a dedicated account team, free on-demand training, and premium care from QuickBooks experts.
• QuickBooks migration is (hopefully) something you do once, and there is no benefit for you to spin your wheels for days trying to make this work.

During the setup process, you can choose the features and functions that you will likely be using in QuickBooks Online. No need to worry if you skip one; you can always go back and add it at a later date. Offers four plans to accommodate a range of businesses with different needs; each plan limits the number of users, though. We’ll compare QuickBooks Online vs. Desktop and highlight the differences between each version plus which one is most suitable for collaborating on the go, and which is faster and offers more advanced features. During the conversion process, certain payroll information may not transfer to QBO. This includes the previous year’s payroll history, the breakdown of payroll items, employee schedules, wages, year-to-date balances, and other relevant information.

For both cases, I strongly encourage you to find or buy a migration checklist. There are many cases where it’s to your benefit to learn how to approach and resolve a task. QuickBooks migration is (hopefully) something you do single step income statement once, and there is no benefit for you to spin your wheels for days trying to make this work. If you need help with the initial setup of your QBO file, you can hire a professional bookkeeper through the ProAdvisor directory.

QuickBooks Online vs. QuickBooks Desktop: Pricing

There are two versions of QuickBooks Desktop (Premier Plus and Enterprise) and four versions of QuickBooks Online (Simple Start, Essentials, Plus and Advanced). Sign up to receive more well-researched small business articles and topics in your inbox, personalized for you. Here’s a quick way to tell which version of QuickBooks is right for your business.

The right QuickBooks Online plan depends on the size of your business and the features you need. For example, Self-Employed is best for freelancers or solopreneurs, while Simple Start is ideal for small businesses wanting to track assets and liabilities. Essentials is preferable if you need to track unpaid bills, while Plus is great if you require inventory and project management. Plus includes inventory accounting that allows you to monitor stock items and quantity—a necessity if you’re selling products. It uses first-in, first-out (FIFO) inventory tracking, an essential feature that helps manufacturers or retailers determine how their inventory affects their profitability. It also lets you update inventory costs and quantities, separate taxable from nontaxable items, and set up alerts if you’re running out of stock.

How We Evaluated QuickBooks Online Plans

It’s also a better option for businesses requiring complex inventory accounting features. Meanwhile, QuickBooks Premier has two payroll options with prices that start at $50 per month plus $5 per employee. If you can file taxes confidently on your own, Enhanced Payroll might be suitable.

• QuickBooks Online can be accessed from any internet-connected device, including a mobile device with the QuickBooks app installed, after you enter a valid username and password.
• There are many more integrations with QuickBooks Online, including business productivity and sales apps such as CRMs.
• QuickBooks Desktop recently began requiring an annual payment to maintain live technical support and even some features, such as payroll.
• Click on Reports at the top of the screen, then click on company and financial and finally over to either the profit and loss or the balance sheet report.
• I’m here to help you route to the best support available that can help you get back the pay history.

It is worth noticing that an accounting firm can add their team members, and this does not impact the user limit because it happens from within the firm’s access. When it comes to user limits, the major difference between QBDT and QBO is in how access is granted to additional users. Fortunately, you can purchase access to additional license seats, which is a fancy term for additional users.

Comparison of QuickBooks Online Products

This is useful for businesses with multiple departments or divisions and those that provide various types of services. Meanwhile, QuickBooks Desktop allows you to set up classes, but you can’t track your income and expenses by location. Both QuickBooks Online and Desktop are on our list of the best small business accounting software. QuickBooks Online is our top recommendation, while QuickBooks Desktop is our leading desktop accounting program.

Conversely, many classic QuickBooks Desktop tools can’t be found in the online version. QuickBooks Desktop Pro, Pro Plus and Premier are no longer sold, although unsold copies may still be available at authorized vendors for a limited time. QuickBooks is encouraging all existing Desktop clients to migrate to QuickBooks Online as soon as possible.

Generating reports in QBO

The ability to link with other applications can be helpful for many businesses, while it may be a need for others. In contrast, as your needs evolve, you may upgrade to any of the QuickBooks Desktop editions. However, upgrading will need you to convert your data from one software solution to another, which may be a time-consuming and complex procedure. Hevo loads the data onto the desired Data Warehouse/destination in real-time and enriches the data and transforms it into an analysis-ready form without having to write a single line of code.

QuickBooks Online: Pros & Cons

QuickBooks Online is better than QuickBooks Desktop if you prefer a cloud-based accounting software to a locally installed one. QuickBooks Online’s biggest advantage is its ability to be accessed from anywhere with an internet-enabled device. Learn about all the differences in our comparison of QuickBooks Online vs Desktop.

Can I switch from QuickBooks Self-Employed to any other version of QuickBooks Online?

Below, we’ll review how these features stack up between QuickBooks Desktop and QuickBooks Online. The QuickBooks Online mobile and desktop apps are worlds apart – the Quickbooks Online mobile app is generally seen as being leaps and bounds better than the mobile app for QuickBooks Desktop. The Desktop-specific mobile app has minimal functionality and is mostly used for receipt uploading and other basic tasks. Both the program and data file are installed on a specific computer or network.