Top 5 Accounting Integrations for the Best Expense Tracking App

The most daunting task can be managing your business finances if your expense tracking systems are not integrated or communicating properly. For a small business owner in the United States, it’s not just about looking for the best expense tracking app for small business, as it’s also important to consider integration with accounting systems. This is because if your expense tracking app can be integrated into your accounting systems, such as QuickBooks or Xero, it can help you save time by reducing errors in your financial information.

The Importance of Accounting Integrations for Tracking Expenses

When accounting integrations are used to connect the app that tracks expenses to the bookkeeping software, it allows for all financial data to flow automatically from the expense tracking software, giving you an efficient way to process and track your expenses. By having your expenses synced automatically instead of exporting spreadsheets or manually recording transactions, you reduce the amount of time it takes to enter expenses and significantly enhance the accuracy of reports, taxes, and the ability to forecast cash flow. As businesses expand and their transaction volumes rise, well-integrated systems are ultimately the most efficient way of keeping track of company expenses.

1.​‍​‌‍​‍‌ QuickBooks Integration

Among other accounting software platforms, QuickBooks is immensely popular in the U.S., thus a high-priority integration. The best expense tracking app for a small business must flawlessly sync expenses, categories, vendors, and tax data straight to QuickBooks. Post integration, each sanctioned expense gets recorded on the books automatically, thus greatly lessening the time required for reconciliation at month-end. It further implies that your profit and loss statements will be accurate without having to do extra manual ​‍​‌‍​‍‌work.

2. Xero Integration

Another accounting system that is popular, especially with startups, is Xero. Expense tracking apps that work with Xero allow users to have their expenses synced in real-time. If you’re looking for the best expense tracking app for a small business, the fact that the software integrates with Xero means that the information can be directly imported into your general ledger. This can be important if you’re running a business that has people working remotely or has international contractors.

3. FreshBooks Integration

FreshBooks has become increasingly popular with freelance contractors and small business agencies because of its support for client invoicing, along with the ability to manage and track expenses. When an expenses tracking system you use integrates with FreshBooks, there will be billable expenses associated with invoices sent to the clients. By choosing the best expense tracking app for a small business that supports FreshBooks integration, you will be able to maximize your cash return on your investment, hence maximizing your profitability.

4.​‍​‌‍​‍‌ NetSuite Integration

Businesses that are scaling and moving to sophisticated accounting systems can’t do without a NetSuite integration. Although NetSuite is mainly designed for mid-sized companies, a good number of small businesses go for it as they grow. The best expense tracking app for small business should work with NetSuite and allow the syncing of expenses with departments, projects, and cost centers. Such an integration brings about more detailed financial transparency and helps in making informed strategic ​‍​‌‍​‍‌decisions.

5. Wave Accounting Integration

One of the free accounting tools that small businesses, especially microbusinesses and startups, commonly use is Wave. Expense tracking tools that work well with Wave enable small business owners to streamline bookkeeping processes through automated accounting systems that do not require expensive accounting software. Choosing the best expense tracking app for a small business that integrates with Wave helps small businesses keep their finances in order during the funding stage and SBA business loan applications.

How Integrations Improve Accuracy and Compliance

Manual entry of expenses opens the door for human error, which includes missing receipts or misclassified items. By integrating employee expense tracking software with accounting software, businesses can eliminate these risks. By eliminating these human errors from your business, automation enables you to be audit-ready and be accurate in reporting expenses and taxes based on accurate financial data to the IRS. The best expense tracking app for a small business that provides automated expense tracking will provide you with access to financial performance reports, so your tax-preparation and financial reporting processes are less complex during year-end processing.

Choosing the Right Integration for Your Business

Not every business will require every single integration. First, you will need to determine if you are currently using, or will in the future use, a specific accounting software. Then, you will need to select a top expense tracking app for small businesses that supports a native, two-way sync with that specific accounting software. You will also want to make sure that this specific app supports real-time syncing, attaching receipts, and creating expense categories. With this, your business will function properly without requiring extra work.

Conclusion

Accounting integrations are no longer a luxury item; they are a necessity for businesses in this day and age. Regardless of whether you use QuickBooks, Xero, FreshBooks, Netsuite, or Wave to track expenses for your business, the best expense tracking application for a business with good accounting integrations will save you time and sanity. By having automated systems in place for tracking expenses and accounting, you will save more time to grow your business.