Simple Invoicing vs Accounting Software — What Creatives Actually Need

Simple Invoicing vs Accounting Software — What Creatives Actually Need

Most creatives don't need accounting software. They need invoicing software.

But the line between the two is blurry. Tools like FreshBooks and Wave call themselves "accounting software" but are often used just for invoicing. Tools like inv.so focus purely on invoicing.

This guide helps you decide: Do you need simple invoicing or full accounting software?

📖 Part of our invoicing guide series: This explains why simple invoicing is enough. For the complete guide, see Simple Invoicing for Creatives & Designers.

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What's the Difference?

Simple Invoicing Software

What it does:

• Creates invoices
• Sends invoices
• Tracks payment status
• Accepts payments

What it doesn't do:

• Track expenses
• Handle payroll
• Generate tax reports
• Reconcile bank accounts
• Manage inventory

Examples: inv.so, Stripe Invoicing, simple templates

Best for: Freelancers, creators, designers who just need to send invoices and track payments.

Accounting Software

What it does:

• Everything invoicing software does, plus:
• Expense tracking
• Payroll management
• Tax reporting
• Bank reconciliation
• Financial reports
• Inventory management
• Multi-currency support
• Advanced reporting

Examples: QuickBooks, FreshBooks, Wave, Xero

Best for: Small businesses with employees, complex expenses, or accounting needs.

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Do You Need Accounting Software?

You probably DON'T need accounting software if:

✅ You're a freelancer or solo creator
✅ You just send invoices to clients
✅ You track payments simply
✅ You don't have employees
✅ You don't need payroll
✅ You handle expenses separately
✅ You don't need complex tax reporting
✅ You're not running a full business

Most creatives fall into this category. You just need invoicing.

You probably DO need accounting software if:

❌ You have employees (need payroll)
❌ You have complex expenses to track
❌ You need detailed tax reporting
❌ You need to reconcile bank accounts
❌ You have inventory to manage
❌ You're running a full business
❌ You need financial reports
❌ You have multiple revenue streams

Most creatives don't need this. But some small businesses do.

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The Problem with Using Accounting Software for Simple Invoicing

1. Too Many Features

Accounting software includes:

• Expense tracking (you don't need)
• Payroll (you don't need)
• Tax reporting (you handle separately)
• Bank reconciliation (you don't need)
• Inventory management (you don't need)
• 50 other features (you'll never use)

You're paying for features you'll never use.

2. Slower Workflow

Creating an invoice in accounting software:

1. Log in
2. Navigate to invoicing section
3. Fill out company information (if first time)
4. Select client (or create with 10 fields)
5. Add project details
6. Configure payment terms
7. Set tax settings
8. Review accounting categories
9. Save
10. Send

Time: 10-15 minutes

Creating an invoice in simple invoicing:

1. Click "Create Invoice"
2. Add client name
3. Add project description
4. Add line items
5. Set due date
6. Send

Time: Under 2 minutes

Simple invoicing is 5-7x faster.

3. More Expensive

Accounting software pricing:

• FreshBooks: $17-55/month
• QuickBooks: $30-200/month
• Wave: Free (but limited)
• Xero: $13-70/month

Simple invoicing pricing:

• inv.so: $9/month
• Stripe Invoicing: Free (just fees)
• Templates: Free

You're paying 2-6x more for features you don't need.

4. More Complex

Accounting software requires:

• Understanding accounting concepts
• Setting up chart of accounts
• Configuring tax settings
• Learning complex interface
• Managing multiple features

Simple invoicing requires:

• Creating invoices
• That's it

Complexity you don't need.

5. Not Built for Your Workflow

Your workflow:

1. Finish project
2. Create invoice
3. Send to client
4. Track payment
5. Get paid

Accounting software expects:

1. Set up company
2. Configure accounting
3. Set up chart of accounts
4. Create invoice (through complex form)
5. Reconcile payments
6. Generate reports
7. Track expenses
8. Handle accounting

Wrong workflow for your needs.

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When Simple Invoicing Is Enough

For Most Freelancers

You just need:

• Create invoices
• Send invoices
• Track payments
• Accept payments

Simple invoicing handles this perfectly.

For Creators

You just need:

• Invoice brands/agencies
• Track payments
• Accept card payments
• Stay organized

Simple invoicing is all you need.

For Designers

You just need:

• Invoice design projects
• Track paid/sent/draft
• Accept payments
• Reuse templates

Simple invoicing works great.

For Small Studios

If you're:

• 1-3 people
• No employees
• Simple expenses
• Just need invoicing

Simple invoicing is enough.

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When You Might Need Accounting Software

If You Have Employees

You need:

• Payroll management
• Tax withholding
• Employee expenses

Accounting software helps here.

If You Have Complex Expenses

You need:

• Detailed expense tracking
• Receipt management
• Expense categorization
• Expense reports

Accounting software helps here.

If You Need Detailed Tax Reporting

You need:

• Tax reports
• Income statements
• Expense reports
• Tax preparation

Accounting software helps here.

If You're Running a Full Business

You need:

• Full accounting
• Financial reports
• Bank reconciliation
• Inventory management

Accounting software helps here.

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The Hybrid Approach

Use Simple Invoicing + Separate Tools

For invoicing:

• Use inv.so or similar
• Fast, simple, beautiful
• Just invoicing

For expenses:

• Use separate expense app
• Or simple spreadsheet
• Or accounting software (just for expenses)

For taxes:

• Use accountant
• Or tax software
• Handle separately

Best of both worlds:

• Simple invoicing (fast, easy)
• Separate expense tracking (if needed)
• Separate tax handling (if needed)

You don't need one tool for everything.

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Cost Comparison

Accounting Software Approach

Monthly cost:

• FreshBooks: $17-55/month
• QuickBooks: $30-200/month
• Wave: Free (but limited)

Plus:

• Time learning complex tool
• Time navigating features
• Frustration with complexity

Total cost: $17-200/month + time + frustration

Simple Invoicing Approach

Monthly cost:

• inv.so: $9/month
• Stripe: Free (just fees)
• Templates: Free

Plus:

• Fast workflow
• Simple interface
• No frustration

Total cost: $0-9/month + saved time

Simple invoicing is cheaper and faster.

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Making the Decision

Choose Simple Invoicing If:

✅ You're a freelancer or solo creator
✅ You just need to send invoices
✅ You want fast workflow
✅ You don't need accounting features
✅ You want to save money
✅ You value simplicity

Most creatives should choose this.

Choose Accounting Software If:

❌ You have employees
❌ You need payroll
❌ You have complex expenses
❌ You need detailed tax reporting
❌ You're running a full business
❌ You need financial reports

Only if you actually need accounting features.

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The Bottom Line

Most creatives don't need accounting software. They need simple invoicing.

Accounting software is:

• Too complex
• Too slow
• Too expensive
• Too feature-rich

Simple invoicing is:

• Fast
• Simple
• Affordable
• Perfect for your needs

Choose simple invoicing unless you actually need accounting features.

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Ready for simple invoicing? Try inv.so free — no accounting bloat, just invoicing.