Gone are the days of manual accounting and examining each and every detail with a fine-tooth comb. Of course, accounts must still be verified by a person and not a computer program, but accounting software has made life for small and medium businesses so much easier in the last thirty years. With the rise of the affordable personal computer came innovative software for all kinds of businesses.

Where would we be without the important basic programs such as Word and Excel, that are used by almost every person who uses a computer? In the same way, basic accounting software is available for any business who wants to take better control over tracking their finances. In the U.S., a surprising 18% of small businesses do not have accounting software at all. Tracking profit and loss, expenses and payments, invoicing, and payroll, are just a few of the features that most software programs offer.

Keep reading to learn how you can utilise the tools available to you and make your business run more smoothly with accounting software.

Which Software to Use?

There are many options that are convenient and cost-effective for businesses without a large accountancy budget. Invest in the right software for your size company based on the features that are imperative for your business. Depending on the structure of your company, you may require different features and capabilities. For instance, a sole trader will need different payroll features to a company with multiple employees. You may want to be a traditionalist and want several monthly payment options or you may be looking for more cutting-edge apps and technology for people on the go, and integration-only payroll features.

No matter which features or facilities you need or your experience level with accountancy software, there is a fit for your business. Many companies offer a free trial period, so take advantage before committing to a certain system. For a total payroll service you could outsource your payroll to Mi2u.

Tax Implications

While it may seem easier short-term to use a “shoebox”, using these tools that are widely available and affordable to get your business financials on track. It makes it so much easier at tax time to print off a few reports instead of searching through a shoebox. Saving time means saving money and effort, and putting that effort towards your business goals.

Do you have employees? Accounting software can make it so simple to track employee timesheets, withholdings, and whatever types of taxes you must pay based on your business. Make your life less stressful and put an accounting software process into place.

Better Financial Decisions

Knowing and tracking every expense will help you see the bigger picture in terms of your profit and loss statements, incomings and outgoings, and future plans. A good accounting software program can generate many types of reports at the click of a button so that you can clearly see exactly where there is room for improvement or where you are doing well.

In case of an audit, accounting software will give the auditor any and all financial aspects of your business which can clear up any confusion. “Knowledge is power” so make sure you have the knowledge to make the best decisions for your business.

Accounting Software is the Future

In the 21st century, there’s no reason not to have an accounting program in place for a small or medium-sized business. A software program can offer so much value, save time, and streamline all your transactions in a clear and concise manner for tax purposes, auditing, and important business decisions. Take advantage of a free trial and get started on streamlining your financials today.