8 Best Online Bookkeeping Services to Simplify Work in 2021

Choosing the best online bookkeeping services takes a lot of time. If you cringe at the thought of going through dozens of bookkeeping companies looking for services best suited for your business, then our reviews will make your decision easy.

We’ve gathered eight brilliant online bookkeeping services for freelancers, small businesses, and individuals. They’ll save you precious time and money, so let’s see what each of them offers.

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Top 8 Online Bookkeeping Services for 2021

1. Bench Review

Bench is one of the best bookkeeping services with dedicated professional bookkeepers. It offers excellent service for any business type, from startups to corporates, covering everything from historical to specialized bookkeeping. Full Review

  • Integrates with FreshBooks, Gusto, and Stripe
  • Detailed expense tracking
  • Financial statements and reports

Bench is one of the best bookkeeping services with dedicated professional bookkeepers. It offers excellent service for any business type, from startups to corporates, covering everything from historical to specialized bookkeeping. Full Review

2. Bookkeeper360 Review

Bookkeeper360 is one of the best services for ecommerce startups. With dedicated teams of CPAs and tech professionals, you can plan and grow your business. Back-office services, various software and platform integrations, and fractional CFO will cover all your needs. Full Review

  • Two-time winner of the Xero Partner of the Year award
  • Integrates with Xero, Gusto, QuickBooks
  • Supports Amazon and Shopify

Bookkeeper360 is one of the best services for ecommerce startups. With dedicated teams of CPAs and tech professionals, you can plan and grow your business. Back-office services, various software and platform integrations, and fractional CFO will cover all your needs. Full Review

3. QuickBooks Live Bookkeeping Review

QuickBooks Live is the perfect bookkeeping service for businesses and self-employed people who already use QuickBooks for their business finances but need hands-on bookkeeping assistance. A team of certified accountants, bookkeepers, and advisors provides real-time and personalized bookkeeping. Full Review

  • Industry-leading features
  • Customized setup
  • Monthly closes

QuickBooks Live is the perfect bookkeeping service for businesses and self-employed people who already use QuickBooks for their business finances but need hands-on bookkeeping assistance. A team of certified accountants, bookkeepers, and advisors provides real-time and personalized bookkeeping. Full Review

4. Botkeeper Review

Botkeeper uses AI and machine learning to automate their bookkeeping processes. This makes it an excellent service for accounting companies that outsource their bookkeeping and startups and businesses with no dedicated accounting team. Full Review

  • Integrates with Gusto
  • Great dashboard and reporting
  • Smartphone app available

Botkeeper uses AI and machine learning to automate their bookkeeping processes. This makes it an excellent service for accounting companies that outsource their bookkeeping and startups and businesses with no dedicated accounting team. Full Review

5. Xendoo Review

Xendoo is an online bookkeeping company with professional bookkeepers and CPAs that take care of small and medium businesses. They provide both cash and accrual accounting, can organize your books and help you catch up with them, and prepare your papers for tax filing. Xendoo also integrates and connects with multiple ecommerce platforms. Full Review

  • Integrates with Stripe, Gusto, and TaxJar
  • Free Xero account
  • Back-office support

Xendoo is an online bookkeeping company with professional bookkeepers and CPAs that take care of small and medium businesses. They provide both cash and accrual accounting, can organize your books and help you catch up with them, and prepare your papers for tax filing. Xendoo also integrates and connects with multiple ecommerce platforms. Full Review

6. Bean Ninjas Review

Bean Ninjas is a bookkeeping and accounting service best suited for freelancers, online sellers, bloggers, and small to medium businesses. They keep the books in order, catch up and reconcile past books, and provide coaching and financial training for their clients. Full Review

  • Xero Platinum Partner
  • Financial coaching
  • Xero health check

Bean Ninjas is a bookkeeping and accounting service best suited for freelancers, online sellers, bloggers, and small to medium businesses. They keep the books in order, catch up and reconcile past books, and provide coaching and financial training for their clients. Full Review

7. Bookkeeper.com Review

Bookkeeper.com is an all-in-one bookkeeping and accounting service aimed at small businesses. It provides account reconciliation, tax preparation, and easy onboarding. It's an excellent service if you have multiple individual contractors. Full Review

  • Integrates with Microsoft Office
  • Transaction-based plans
  • Tax preparation and bill pay

Bookkeeper.com is an all-in-one bookkeeping and accounting service aimed at small businesses. It provides account reconciliation, tax preparation, and easy onboarding. It's an excellent service if you have multiple individual contractors. Full Review

8. Flatworld Solutions Review

Flatworld Solutions offers excellent bookkeeping and accounting services to businesses and individuals who don’t need a full-time bookkeeper. Pay by the project or hire a part-time financial expert for payroll management, tax preparation, or account reconciliation. Full Review

  • ISO9001-certified for online bookkeeping and accounting
  • Competitive pricing
  • Multiple types of accounting software

Flatworld Solutions offers excellent bookkeeping and accounting services to businesses and individuals who don’t need a full-time bookkeeper. Pay by the project or hire a part-time financial expert for payroll management, tax preparation, or account reconciliation. Full Review

Online Bookkeeping Service Reviews

Bench

Bench Review

Bench

BEST FOR

Loan Applicants

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  • Rating: 10
  • Accounting Software: Bench software
  • Cash and Accrual Accounting: Available/On-demand
  • Free Trial: One month

Whether you’re a startup with less than $1K of monthly expenses or an enterprise with up to $1 million in spendings, Bench will offer you a customized monthly plan and a dedicated bookkeeper.

It’s arguably the best online bookkeeping service, and it provides excellent service for businesses that already use other tools for managing payroll, taxes, and invoicing. The proprietary in-house software syncs smoothly with most major banks and payment platforms like Gusto, FreshBooks, and Stripe for effortless data transfer.

Their list of bookkeeping services is long, including account reconciliation, tax bookkeeping, tax preparation and filing, expense overviews, etc. No matter which pricing plan you select, you’ll get a dedicated, highly-skilled bookkeeper who’ll import bank statements, categorize transactions, prepare monthly financial statements, and work with your CPA or tax professional.

Historical bookkeeping and Bench’s Catch Up Bookkeeping Plan will organize your past months’ books and keep everything in order and ready for a loan application. Virtual bookkeeping services reviews also love that Bench allows you to see your cash flow and prepare your tax forms.

You can try out Bench services for one month for free and cancel any time, no strings attached. All pricing plans are customizable, and packages are flexible. You can contact your bookkeeper or support service at any time for any issues and questions.

Pros Cons
BenchTax Separate payroll, invoicing, and billing apps
Specialized bookkeeping
Account reconciliation
Bookkeeper360

Bookkeeper360 Review

Bookkeeper360

BEST FOR

Ecommerce Startups

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  • Rating: 10
  • Accounting Software: Xero
  • Cash and Accrual Accounting: Available
  • Free Trial: 14 days

With a dedicated team of CPAs, CFOs, advisors, and tech experts, Bookkeeper360 is one of the best bookkeeping services that will make sure your ecommerce startup grows steadily.

You can try out the services for free for two weeks and decide on a weekly or monthly payment plan. Depending on your choice, you’ll either get a dedicated accountant or a whole team to take care of your business’ finances.

No matter the payment choice, you’ll get the best online accounting services, including accurate and timely financial insights, monthly reconciliation, monthly profit, loss, and balance reports, Weekly and monthly reports, etc. 

What’s best is that Bookkeeper360 also allows you to add services to your package. That way, you can create a customized package to fit your business perfectly. Some of the additional services include CFO and comptroller advisory, tax prep and planning, HR and payroll, revenue recognition, etc.

The cost of accounting services will, naturally, vary depending on the additional services you choose.

Bookkeeper360 integrates with Gusto, QuickBooks, Shopify, Amazon, Xero, and many other platforms and software. There’s also a smartphone app available for Xero accounting.

Pros Cons
Lots of additional services Getting started takes between 1-2 weeks
Business coaching available
Helpful customer support

 

QuickBooks Live Bookkeeping

QuickBooks Live Bookkeeping Review

QuickBooks Live Bookkeeping

BEST FOR

Small and Medium-Sized businesses

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  • Rating: 9.8
  • Accounting Software: QuickBooks
  • Cash and Accrual Accounting: Available
  • Free Trial: Free consultation

If your business already uses the QuickBooks accounting software or you want to transfer to it, you’ll be happy to know that QuickBooks Live Bookkeeping offers some of the best bookkeeping for small business owners. It’s also perfect for medium-sized businesses as well. 

You can get a free consultation before committing to the service, but even when you choose a pricing plan, you’ll be able to change or cancel it at any time. Moreover, there’s no contract required, so you can move onto another service if this one doesn’t suit your needs.

QuickBooks Live Bookkeeping offers some of the best professional bookkeeping services in the USA. They’re divided into three phases:

  1. Setup—A certified QuickBooks ProAdvisor with years of experience will set up your account, connect it to your banks, and guide you through QuickBooks basics.
  2. Ongoing bookkeeping—Each month, the bookkeeper will categorize your transactions and reconcile accounts.
  3. Month-end close—At the end of the month, the bookkeeper will close the books and confirm they’re accurate. They’ll also send you financial reports in PDF form, including a profit and loss statement and balance sheet.

The list of accounting and bookkeeping services QuickBooks Live offers is quite long, and some of them include tracking income and expenses, invoicing, billing and inventory management, tax filing, etc. 

The pricing is based on your business’ monthly expenses and doesn’t include the QuickBooks Online subscription that you also need.

Pros Cons
A dedicated bookkeeping team No income tax support
QuickBooks ProAdvisors and CPAs Requires QuickBooks Online
Personalized, real-time support
Botkeeper

Botkeeper Review

Botkeeper

BEST FOR

Outsourcing

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  • Rating: 9.9
  • Accounting Software: Botkeeper software
  • Cash and Accrual Accounting: Available
  • Free Trial: Not available

With machine learning and artificial intelligence (AI), Botkeeper provides the best outsourced accounting services to accounting companies, startups, and small businesses.

Their software created the perfect “pre-accounting” solution, as the company refers to it. Namely, it eliminates the need for almost all data entry and delivers books with the majority of bookkeeping ready.

The cost of outsourcing accounting services that Botkeeper provides is pretty high, but it will pay out quickly if you have a large client base. You can pay per client or for the entire platform on a monthly or annual basis.

Botkeeper may be software, but you’ll also be in touch with a dedicated team of financial experts, deployment specialists, and an accounting team. They’ll help and guide you through the platform.

Botkeeper offers custom-tailored onboarding and cleanup. It connects to your or your client’s bank and credit card accounts. Then, it runs a comprehensive health assessment of the books and sets you up with the platform. Finally, it takes care of any necessary clean up and starts the daily bookkeeping operations.

You’ll get excellent services from one of the best accounting companies. A dedicated team will make the integration to the platform effortless. They’ll provide you with platform training, create personalized playbooks, and assist you in managing accounts. Furthermore, expert CPAs and accountants will take care of managing and paying bills, payroll administration, financial reporting, invoicing, and much more. 

Even though Botkeeper is one of the best accounting websites, it can sometimes get a bit glitchy. Luckily, it’s easy to navigate, offers excellent services, and the bookkeepers and accountants are helpful, friendly, and highly competent.

Pros Cons
An innovative way of bookkeeping All plans must be paid annually
Efficient tax reports It occasionally glitches
Connects with PayPal, Stripe, Amazon, etc. 
Xendoo

Xendoo Review

Xendoo

BEST FOR

SMBs

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  • Rating: 9.8
  • Accounting Software: QuickBooks, Xero, Xendoo
  • Cash and Accrual Accounting: Available
  • Free Trial: One month

Xendoo offers the best online accounting for small business owners, freelancers, and startups. They provide multiple teams of professional bookkeepers and CPAs who’ll work with you on improving and growing your business.

The cost of bookkeeping services for small business owners will depend on the business’ monthly expenses. You can try out one of Xendoo’s numerous plans for free for a whole month and decide if that’s what you need. Depending on the plan you choose, you can opt for cash, modified accrual, or both.

Xandoo works with some of the best accounting services—QuickBooks and Xero. Their dedicated team of CPAs and bookkeepers will smoothly transfer your data from or integrate it with their proprietary Xendoo software. Whichever you select, you’ll get real-time access and metrics. They’ll work with you based on your schedule, and you can also contact them via phone or email. 

The team will take care of the categorization and reconciliation of monthly business transactions, personal monthly reports, files for tax returns and savings, etc. The best accountant for small business owners will also provide you with weekly bookkeeping and month-end financials.

Pros  Cons
Personal and corporate tax returns Only basic bookkeeping
Fast, responsive, and helpful customer service
Connects with A2X, Veem, Fattmerchant

 

Bean Ninjas

Bean Ninjas Review

Bean Ninjas

BEST FOR

Online Sellers

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  • Rating: 9.7
  • Accounting Software: Xero
  • Cash and Accrual Accounting: Available
  • Free Trial: Not available

Bean Ninjas is an online accounting and bookkeeping service that offers the best bookkeeping for online sellers, freelancers, bloggers, digital agencies, entrepreneurs, coaches, consultants, and ecommerce stores.

Bean Ninjas integrates with Xero and transfers all your data onto their platform. Every pricing plan comes with a Xero account, so you’ll have no additional expenses. Moreover, as soon as you sign up for Bean Ninjas, a team of financial experts will perform a Xero health check to ensure your bookkeeping is fit and up to date.

What makes Bean Ninjas one of the best online accounting services for freelancers and online sellers is the A2X integration that works perfectly with Amazon and Shopify. Moreover, each client also gets financial training and coaching to lift their business skills to another level.

Besides all of the mentioned, Bean Ninjas also offers other popular online bookkeeping services, such as, transaction categorizing, receipt and expense management, bank accounts reconciliation, quarterly financial reports, etc. 

Pros Cons
Free Xero account Very expensive
EOFY tax package
Integrates with TaxJar, Gusto, A2X
Bookkeeper.com

Bookkeeper.com Review

Bookkeeper.com

BEST FOR

Law Firms

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  • Rating: 9.8
  • Accounting Software: QuickBooks
  • Cash and Accrual Accounting: Available
  • Free Trial: Not available

If you’re looking for the best online bookkeeping services for law firms, Bookkeeper.com offers an all-in-one solution—detailed bookkeeping and accounting services.

Even though it offers both accrual and cash accounting, tax preparation and payroll services are Bookkeeper.com’s strongest points. Combine that with their focus on data security, and you get the best virtual bookkeeping services for businesses that need a high level of data protection. 

Besides tax preparation, Bookkeeper.com will also provide financial training, so you’ll develop even better tax-saving strategies. You can choose a plan and add different services to create a custom package for your business.

No matter the plan you choose, you can expect the best small business online accounting services, including account reconciliation and data transfer to QuickBooks, monthly profit and loss and balance sheets, cash flow statements, general ledger, CFO and business advisory., etc. 

Now, these are all excellent services provided by Bookkeeper.com financial professionals and QuickBooks Online Pro Advisors. However, if you compare accounting services online, you’ll notice that Bookkeeper.com can be a bit expensive for a tiny business or a startup compared to other options. 

Pros Cons
Business, tax, and financial planning  No free trial or consultations
Detailed payroll management No smartphone app
Offers a lot of services and features
Flatworld Solutions

Flatworld Solutions Review

Flatworld Solutions

BEST FOR

Real Estate Companies

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  • Rating: 9.6
  • Accounting Software: QuickBooks
  • Cash and Accrual Accounting: Available
  • Free Trial: Not available

Flatworld Solutions takes bookkeeping and accounting outsourcing to a whole new level. If you need cheap bookkeeping services, they’re the perfect solution. The company offers all types of bookkeeping and accounting services billed by the hour or project. You can hire a full-time or a part-time accountant, too, if that’s what you need.

The platform uses several pieces of accounting software, with QuickBooks as the best-known. They have financial professionals offering the best online bookkeeping services for real estate businesses, as well as regular bookkeeping and accounting, forensic accounting, cash flow management, tax processing and returns, financial analysis, payroll processing and management, etc.

Moreover, you can get Flatworld Solutions’ best online personal bookkeeping services for a small price, too. 

Pros Cons
Budget-friendly, no plan required Off-shore company
Secure data servers No iOS app
Part-time and full-time bookkeepers

How to Choose Between the Best Online Bookkeeping Services 

Decided to start your own business and leave the bookkeeping to more experienced people? Smart move! However, many small businesses don’t have a monthly budget or need an in-house bookkeeper and accountant.

That doesn’t mean that you should do your taxes, track expenses, and payroll on your own. After all, you’d leave taking care of legal documents to a service like Rocket Lawyer, taking legal advice from LegalZoom, and registering your business with Northwest. But, how to find the best online bookkeeping service to take care of your finances?

Here’s an in-depth guide that’ll teach you everything you need to know.

What’s an Online Bookkeeping Service?

An online bookkeeping service does what an in-house bookkeeper or accountant would do—anything from payroll and accounting setup. It can manage taxes, pay your employees, provide reports and statements such as income and balance reports, etc. 

Why do You Need an Online Bookkeeping Service?

Small business owners and freelancers face many challenges, with bookkeeping being one of the hardest. Enter professional bookkeeping services that take care of your finances and let you focus on the growth aspect of your business.  

Online bookkeeping will allow you to access your financial statements and funds anytime and anywhere. Moreover, most online services will provide you with a personal bookkeeper that’ll be dedicated to your account.

Bookkeeping vs. Accounting Services

People tend to use these two terms interchangeably. And while they both help keep your business running and flourishing, they differ in some aspects.

Namely, bookkeeping services help run the daily financial tasks of a business. Bookkeepers manage incomes, business expenses, send invoices, and process payments. They can also provide help with payroll or manage your accounting software.

Conversely, outsourced accounting services are responsible for creating long-term plans and strategies. They’ll help you plan your taxes and tax returns or even improve your cash flow. Most companies on our list offer both bookkeeping and accounting services.

Benefits of Using Online Bookkeeping Services

Not having to deal with your finances and taxes isn’t the only benefit of hiring an online bookkeeping service. You’ll also:

  • Save time and money—Bookkeeping and accounting are complex processes that take up a lot of time. The best online bookkeeping companies will spare you from this responsibility, leaving you with more time you can dedicate to your business. Moreover, you won’t have to hire in-house accountants and bookkeepers, which will, in turn, also save you some money.
  • Get top skills and experience. Professional bookkeepers and accountants are educated, experienced, and skilled in dealing with your business’ finances. They’ll take good care of your account and leave you with one less thing to worry about.
  • Be ready for the tax season. Online business bookkeeping services will keep your documentation organized, fill quarterly and annual taxes, manage your tax returns, and make sure your business is ready for an IRS audit at any given time.
  • Pay your employees and get paid on time. An online bookkeeping service can organize and schedule payroll for your employees. In case you’re a freelancer, it can also send you invoices and payment reminders.

Cash Basis Vs. Accrual Basis Accounting

Before you decide on hiring one of the best online bookkeeping services from our list, think about whether you need cash basis or accrual accounting.

Cash basis accounting recognizes revenue when cash is received and expenses when they’re paid. Many small businesses decide on this option because it’s effortless to maintain. It’s easy to determine when there’s a transaction, and there’s no need to track payables and receivables.

Virtual accounting firms can track how much money your business has at any time, and the income is taxed when in the bank.

Conversely, accrual accounting records revenue and expense when earned, no matter if the money is received or paid. It allows for a long-term prediction for your business. However, they can’t provide awareness on cash flow, as your business may seem profitable even if your bank is empty.

Evaluating the Best Bookkeeping Firm in the Online World

Before choosing a bookkeeping company for your business, make sure it offers both core and advanced services. A good company should provide both basic and advanced services.

Basic services should include:

  • Income and expense categorization
  • Monthly reconciliations and reporting
  • Monthly statements
  • Tracking bills and issuing payments
  • Cash and accrual accounting

Advanced services should include tools that manage:

  • Employee payroll
  • Tax preparation and return
  • Partnership and corporation returns
  • Time tracking
  • Medical benefits
  • Workers’ compensation insurance

Dedicated Bookkeeper

Just because you’re hiring an online bookkeeping service doesn’t mean a computer has to run your business. Compare small business accounting services online, and go for one that will assign a dedicated human bookkeeper to your account.

That way, you’ll be able to talk to them and ask them questions, as they’ll know and understand your business.

Business Size-Specific Services

You should go for a bookkeeping company that offers specific services according to the size of your business. A bookkeeper should be skilled at managing a freelancing, small, large business, or enterprise.

Accounting Software Compatibility

Before getting bookkeeping services for your small business, you should also check which accounting software the company uses. You want to integrate the service or migration of your documentation, so it goes smoothly, quickly, and painlessly.

Certification

Make sure the bookkeeping service you’re choosing is certified and skilled in dealing with your business. Hiring an experienced service also guarantees you’ll have a good experience.

Ease of Use

The platform or an app the bookkeeping company provides should be simple and easy to use. You want to access your account info and business funds quickly and without hassle. 

Security

It goes without saying that the best online accountants should keep your information safe and limit access to your account.

Customer Support

Ideally, hiring a bookkeeping service means that you don’t have to worry about that aspect of your business. However, you might have some questions, so a customer support team you can reach via email, phone, or chat is essential.

Value for Money

Make sure you’re getting the best bookkeeping service for the money you pay. Spending less sounds great, but it’s better to splurge and hire skilled professionals than save a couple of bucks when it comes to your business and finances.

The Bottom Line

No matter if you’re a freelancer on a tight budget or an enterprise with $500K monthly expenses, our online bookkeeping services review list has a solution for your needs. We have it all from very affordable, project and hourly-based pricing to full-time bookkeepers and accounting platforms.

All you need to do is choose one service that suits your business model the best. Let the financial professionals do the bookkeeping for you while you concentrate on what you love—doing your job.

FAQ

Is virtual bookkeeping legit?

Absolutely! Virtual bookkeeping will provide you with the same services as an in-house bookkeeper or accountant would for a lot less. You’ll be able to access your account and funds anytime and anywhere you are without the need to schedule a meeting with your accountant.

What is the best program for bookkeeping?

It depends on your needs. We have reviewed online bookkeeping companies that are great for small businesses, freelancers, and individuals. Each of them offers a variety of high-quality services, as well as skilled and professional bookkeepers, so you’ll indeed find what’s best for you.

Is a certified bookkeeper worth it?

Yes! A certified, skilled, and experienced bookkeeper is worth every penny. They’ll make sure your business runs properly and are always ready for an IRS audit.

Why should I use a bookkeeping service?

A professional bookkeeping service will help your business grow. A skilled bookkeeper will take care of your account, manage payments, invoices, bills, track your business expenses, and so much more.

What services do bookkeepers provide?

Bookkeepers may provide some essential services like income and expense categorization and monthly reports. However, the best online bookkeeping services provide so much more. They’ll manage your taxes and tax returns, employee payroll, issue payments, track bills, and provide accounting services, as well.