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Ultimate Guide To Freelance Accounting

24th October 2016

Thanks to technological advancements the way we work is continuously adapting. The work-place transfiguration now means that freelancing has never been more available or connected due to the aid of Cloud sharing and Skype conference calling. Due to these social and technological evolutions, 53 million freelancers are working throughout the United States. That makes up just over 1/3 (34%) of the workforce. It’s recorded that freelancers alone bestowed $715 billion in earnings annually. Consequently, it is vital that freelancers have access to business-quality accountancy software.

It is now easier than ever to use your accountancy software on the move with accountancy apps being utilised on the move via mobile and tablet. With accounting apps from Xerox and Iris there is no better time for freelancers and enterprisers to adapt. Our associates at Alexander Chartered Accountants have kindly supplied us with a few key facts that freelancers should bare in mind.

The infographic takes a look at the best online tools available. Alexander Chartered Accountants have identified three tools which are crucial for freelancers that are seeking accountancy aid. Fresh books are a tool that uses online expense tracking and invoicing. Wave accounting is a free tool which deals with the integration of banking, professional reports and invoicing.  The last recommendation is for the billings tool. This tool provides professional templates for invoices, one click invoicing as well as time and expense tracking. These tools will assist you to organise your freelance accounting successfully.

These cloud accounting tools can be accessed anywhere, offering total flexibility, the internet is making it perfect for freelancers to work on the move. Cloud accounting saves time, resources and capital as well as peace of mind. So, chuck out your hard drives and discard your USB sticks – cloud accounting has arrived! User satisfaction stands at 92% of businesses that are totally satisfied with their cloud-based services; demonstrating just how valued these services are. 82% of businesses also stated that cloud accounting tools saved them money on accountancy fees and a number of other expenses. 80% of businesses saw improvement after just six months, as well as half of all establishments saying that their establishments could transfer sensitive data through cloud-based accounting solutions.

The reasons to adopt cloud accounting solutions are evident. With anytime access and a reduction and spread of costs being the most prominent aspect on why so many of us are looking to use cloud accounting tools. Other pros include increased security, as well as improved data accuracy and well integrated communication.

Alexanders infographic also takes a look at what can be reimbursed as expenses as a freelancer. Fortunately, from a freelancer’s point of view, the list is a lengthy one! The most significant items which can be claimed back include car mileage (45p per mile for the first 10,000), accommodation costs if you need to take a business trips and household bills of up to £4, if you are working from the comfort of your own home. The cost of your lunch is up to £5 a day and computers and laptop expenses can also be reimbursed, if you can provide evidence that they are useful for the functionality of your business.

There are many benefits for freelancer at present, so don’t hesitate to take advantage! Remember, all cloud accounting software should be checked by an accountant as precaution to ensure no digital faults have taken place.

accoutning-infographic

Corey is an all round tech guru who has worked at some major blue chip companies. He started Poweronemedia to share his views and knowledge with the rest of the blogging world.