Accounting · Full Double-Entry Accounting
Zoho Books Review
Low-cost online accounting with a free plan for small revenue and job profitability from the Professional plan
Quick verdict
Who Zoho Books fits: Cost-conscious solo and small trades (plumbers, electricians, HVAC, handymen, small GCs) that want low-cost full accounting, with per-job profitability from the Professional plan, especially if they use other Zoho apps. Trade-offs: Projects, timesheets and inventory start at Professional ($40/mo billed annually); field service needs the separate Zoho FSM app; advanced inventory starts at Elite; monthly billing costs more than annual; not construction accounting.
Pricing
Free $0 (while revenue for the financial year stays under $50K; 1 user plus 1 accountant; up to 1,000 invoices a year) · Standard $15/mo · Professional $40/mo · Premium $60/mo · Elite $120/mo · Ultimate $240/mo, billed annually ($20, $50, $70, $150 and $275 billed monthly). Paid plans include 3, 5, 10, 10 and 15 users; extra users $2.50/mo billed annually or $3/mo monthly. 14-day free trial.
Affiliate disclosure: The link to Zoho Books on this page goes to its own site and is not an affiliate link.
About Zoho Books
Zoho Books is online accounting software from Zoho Corporation, which started as AdventNet in New Jersey in 1996, renamed itself Zoho in 2009 and launched Zoho Books in 2011. Zoho has its Estancia campus in Chennai, India, and US offices in Pleasanton, California and Austin, Texas, and says it has never taken money from investors.
The Free plan stays available as long as revenue for the financial year is under $50,000. It covers one user plus an accountant and up to 1,000 invoices a year, with quotes, expenses, mileage tracking, bank reconciliation, a customer portal, online payments, and 1099 and W-9 management. Standard ($15/mo billed annually, 3 users) adds sales tax and use tax tracking. For trades that want per-job numbers, the plan to look at is Professional ($40/mo billed annually, 5 users): it adds projects, billable timesheets, project profitability, inventory tracking, and sales and purchase orders.
Zoho sells related apps that connect to Books. Zoho Payroll, which Zoho says handles federal, state and local tax payments in all 50 states, posts payroll journal entries into Books. Zoho FSM, Zoho's field-service app, has a two-way sync with Books for companies, contacts, and services and parts, and turns work orders into invoices. Books also has mobile apps and connects to Tax1099 and Yearli for 1099 filing.
The trade-off: the Free plan costs $0 and Standard $15/mo billed annually, but projects, timesheets and inventory start at Professional, advanced inventory and warehouses start at Elite ($120/mo billed annually), scheduling and dispatch need Zoho FSM as a separate app, and Books is general small-business accounting rather than construction accounting.
How it works
Start on the Free plan or a 14-day trial of a paid plan, connect your bank accounts, and send invoices and quotes that customers can pay online through a payment link or the customer portal, with automatic payment reminders. On Professional and higher, you set up projects, staff log time with a timer on the web, mobile app or browser extension, and you bill timesheets and see each project's profitability. A vendor portal lets suppliers receive purchase orders and track bill payments. Zoho Payroll posts payroll journal entries into Books, and Zoho FSM syncs customers and services with Books and turns field work orders into invoices.
Pros & cons
What works
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Free plan for small revenue
Free while revenue for the financial year stays under $50,000, with invoices, quotes, expenses, mileage and bank reconciliation for one user plus an accountant.
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Low paid entry price
Standard is $15/mo billed annually ($20 monthly) with 3 users and sales tax tracking.
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Job profitability on Professional
Professional ($40/mo billed annually) adds projects, billable timesheets, project profitability, inventory tracking and purchase orders.
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Online payments and customer portal
Customers can pay invoices online through a payment link or the portal, with automatic reminders.
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Zoho's own payroll and field-service apps
Zoho Payroll posts journal entries into Books, and Zoho FSM syncs customers and services with Books and turns work orders into invoices.
What doesn't
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Job tracking needs Professional
Projects, timesheets and project profitability are not in Free or Standard; they start at $40/mo billed annually.
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Field service is a separate app
Scheduling and dispatch live in Zoho FSM, a separate product, not inside Books.
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Advanced inventory costs more
Advanced inventory control and warehouses start at Elite, $120/mo billed annually.
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Monthly billing costs more
Paying month to month costs $5-$35 more per month than annual billing, depending on the plan.
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Not construction accounting
It is general small-business accounting; Zoho's plan list does not include construction billing features such as AIA progress billing or retainage.
Features & integrations
Key features
Integrations
Frequently asked
Is Zoho Books really free for a small contractor?
Yes, as long as revenue for the financial year stays under $50,000. The Free plan covers one user plus an accountant and up to 1,000 invoices a year, with quotes, expenses, mileage tracking, bank reconciliation and online payments. Above that, Standard is $15/mo billed annually ($20 monthly).
Does Zoho Books do job costing?
Partly. From the Professional plan ($40/mo billed annually), Zoho Books has projects, billable timesheets and project profitability, so you can see time and costs per job. Zoho's plan list does not include construction billing features such as AIA progress billing or retainage, so complex GC accounting needs a construction-focused tool.
Can Zoho Books handle my payroll?
Zoho sells payroll as a separate app, Zoho Payroll. Zoho says it handles federal, state and local tax payments for all 50 states and posts payroll journal entries into Zoho Books. Check Zoho Payroll's own pricing before you sign up.
Does Zoho Books work for field-service scheduling?
Not by itself. Scheduling and dispatch live in Zoho FSM, a separate app. Zoho says FSM has a two-way sync with Zoho Books for companies, contacts, and services and parts, and converts work orders into invoices.
Other accounting software
QuickBooks Online
Intuit's cloud accounting, from a free plan to Advanced, with job costing and inventory from the Plus plan up
Xero
Cloud accounting with no per-user license fees and three simple US plans
FreshBooks
Invoicing-first accounting for solo and small service businesses
Wave
Free accounting and invoicing for very small and new businesses
QuickBooks Desktop / Enterprise
QuickBooks' Windows desktop accounting for larger contractors, with a Construction & Contractors edition
Sage 50
Sage 50: installed accounting software with job, phase and cost code tracking, inventory and purchase orders