An accounting software can compliment the service provided to you by your contractor accountant as it allows you keep on top of your day-to-day bookkeeping alongside receiving support, advice and guidance from your accountant. It can really help to make your contracting life a lot easier, giving you more time to concentrate on the important things.
Accounting software such as FreeAgent allows you to manage your accounts in a clear, organised and easy arrangement from providing financial summaries of your business cash flow, expenses and tax timelines to offering a secure and accessible place to store your receipts and invoices.
How to choose the right accounting software for you
For those undecided on what software is best for them, here are some pointers on what features you should look for, depending on your needs as a contractor:
- If costs and legislation can differ for every contract you have, a project accounting software would be ideal for you
- For an audit history, cost records, depreciation calculations and resource allocation, look for a software that includes fixed asset management
- If you’re VAT-registered (your company only needs to register for VAT when it hits a certain turnover level) then ideally you need an accounting software that provides VAT management
- Those who employ staff would benefit from a payroll management system. It can help you accurately calculate and pay your employees’ salaries as well as creating the necessary payslips and tax forms
- If you want to set financial targets then look for an accounting software that features a dashboard summary of your business’ financial performance
Why we have a premium partnership with FreeAgent
K&B Accountancy Group clients, on a monthly package, have access to their own online FreeAgent portal. FreeAgent has been created specifically with small businesses and the self-employed in mind, with a wide range of features designed to truly simplify the contracting process for you.
With the upcoming digital tax legislation, Making Tax Digital (MTD), HMRC has subsequently released a list of suppliers who are equipped to support the MTD initiative, and FreeAgent is one of them. This means FreeAgent is a platform contractors can trust to help navigate them through the future MTD changes. A statement published on accountingweb.co.uk from Ed Molyneux, CEO and co-founder of FreeAgent, commented:
“We’re delighted to be on HMRC’s list of MTD-ready suppliers. It’s a key recognition for our software as we prepare to support freelancers, micro-businesses and their accountants through the forthcoming MTD for VAT legislation.
“Ever since we started FreeAgent, we’ve been committed to helping business owners manage their tax & finances digitally. We’ve supported digital VAT submissions since 2010 and we’re now looking forward to working with HMRC to help shape MTD and to ensure that this brave new world of digital tax is as simple as possible for our users.”
Real-time support from your accountant
With FreeAgent, you can view and discuss account details in real time with your accountant. You can upload, transfer and store important files and data as well as exchange sensitive, confidential information with your accountant on this secure platform.
A clear view of your accounts
FreeAgent includes a dashboard that allows you to view your business cash flow and provides a live bank balance chart so you can easily evaluate your financial performance. It also offers access to view recent expenses, bills, invoices and projects. Additionally, it provides a tax timeline highlighting important upcoming deadlines for you.
Keep track of expenses
FreeAgent ensures you stay on top of your expenses. Yyou can record out-of-pocket expenses even when you’re on the go. This accounting software also allocates expenses in real-time and updates any tax liabilities automatically. Of course, you can also attach images of your receipts and store them online on the software’s cloud.
With this accounting software, you will also be able to track your project profitability including income, time and expenses. It gives you the tools to organise your project tasks. You can track your billable and unbillable time and set rates and budgets for each project.
You can also generate timesheet reports, which can be emailed to clients. FreeAgent lets you enter time manually or use the built-in stopwatch timer they provide to accurately calculate time spent on each project.
Invoicing, VAT and tax
You can choose stock templates for your invoices or customise and brand them with your own logo. What’s more, this accounting software also automatically generates VAT returns and you can file them directly to HMRC online.
But the benefits don’t stop there. Click here to see all the fantastic benefits and features our premium partnership with FreeAgent can offer.
Looking to switch accountants? You can switch to K&B Accountancy Group for FREE without the need to pay for any ‘catch up’ or retrospective accountancy fees for the previous year’s accounts and corporation tax return*.
If you’re entirely new to contracting, let Cloud9 Umbrella handle things for you. For a limited time only they are offering new contractors the chance to trial their service. They will process your first payslip free of charge and if you love what they do for you, you can get another month free too! * Find out more and sign up today! *T&Cs apply.