Accounting software useful for tax returns and daily accounting processing. In modern times, due to the spread of the Internet and the diversification of work styles, cloud-based systems are attracting attention instead of installation-based systems. In this article, we will thoroughly compare the prices and features of 12 recommended cloud accounting software. We will explain how to choose one and what to keep in mind when implementing it.
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What is cloud accounting software?
Cloud accounting software is accounting software that allows you to perform daily accounting processing and book entry over the Internet. Originally, the installation type that was installed on a computer was the mainstream. However, in recent years, more and more companies are using cloud-based accounting software.
A feature of cloud accounting software is that it can be used regardless of location or time as it manages bookkeeping on the cloud without installing software on a computer. In today’s world, where remote work and telework are becoming more common due to the promotion of work style reform, the advantage of cloud accounting software is that it can be accessed from anywhere.
Cloud accounting software is also chosen because data can be exchanged in real-time and data can be shared with tax accountants.
Difference between corporate and individual use
Cloud accounting software is available for corporations and individuals, such as freelancers and sole proprietors.
Cloud accounting software for corporations is equipped with functions related to corporate payments. It is also extremely convenient as it allows you to sort out expenses such as salaries and benefits. Another feature is that it can be used by multiple people in charge of accounting and finance.
Cloud accounting software for individuals is designed to allow you to perform tax returns and accounting tasks even without accounting knowledge. Depending on your accounting software, you may be able to create the necessary documents just by answering some questions. It can also be linked with credit cards and bank accounts, allowing for smooth sorting.
Benefits of implementing cloud accounting software
Cloud accounting software is very convenient and has been used by both individuals and corporations in recent years, but what kind of effects can you get if you implement it? Here, we will introduce five points.
Reduce work burden and improve work efficiency
Cloud accounting software allows you to perform various accounting-related tasks on your PC in the cloud, eliminating the need for paper-based communication and management, which can improve work efficiency.
Additionally, since multiple people can log in and use the service at the same time, the work can be divided up and the work burden on each person can be reduced.
Achieving diversification of work styles
Cloud accounting software is also effective in diversifying work styles such as telework and remote work. Cloud accounting software can be accessed freely anywhere outside the office as long as you have an internet environment.
This eliminates the need for employees to come to the office just for accounting purposes, allowing them to access their accounts at any time and place of their choice, leading to more efficient accounting operations.
Reduces operational effort and costs
Unlike conventional installation-type software, cloud accounting software does not require updates or the installation of new products, reducing the effort required for updates and the cost of purchasing new products.
In the case of cloud accounting software, the provider will automatically update and keep it up to date. It also flexibly responds to legal revisions and tax system changes, so there is no need to set up or confirm it yourself.
Prevent input errors
Cloud accounting software has an API link function that links with bank accounts and credit cards, making input and sorting work more efficient.
For example, by linking bank accounts and credit cards to cloud accounting software, the information will be automatically sorted, so the accountant only needs to confirm and approve the details. Manual entry can lead to mistakes, but using cloud accounting software can prevent these mistakes.
Can strengthen internal controls
By introducing compatible cloud accounting software, you can quickly respond to legal and system amendments. Cloud accounting software is constantly updated by the provider, so there is no need for individuals or corporations to update it, reducing costs and strengthening internal controls.
[High share] 5 recommended cloud accounting software
Many companies offer cloud accounting software. Therefore, many people do not know which cloud accounting software to choose. Here we will introduce cloud accounting software that has a high market share in Japan.
1. Free accounting
free accounting is cloud accounting software that is easy to use for both individuals and corporations. You can easily create ledgers with automatic sorting, and AI will automatically guess the account items. It is also recommended for store managers as it can be linked with POS registers and electronic money.
| provider | Free Co., Ltd. |
| Initial cost | free |
| Rate plan | ■Annual payment
■Monthly payment
|
| Implementation results | Over 330,000 paid users (as of the end of December 2021) |
| Functions/Features | Automatic entry of details, OCR function, creation of estimates, deliveries, and invoices, user addition, expense settlement, general ledger, journal, fixed asset ledger, etc. |
2. Money Forward Cloud Accounting
Money Forward Cloud Accounting is cloud accounting software that works with over 3000 services. You can automatically create financial statements with one click, allowing you to visualize your business status in real-time. There is also a sharing function that allows you to share the latest data with your tax advisor, so there is no need to print it out on paper or send it by email.
| provider | Money Forward Co., Ltd. |
| Initial cost | free |
| Rate plan | ■Annual plan
■Monthly plan
|
| Functions/Features | Creation of financial statements, department registration, consumption tax declaration, log function, sorting approval function, monthly closing function, etc. |
3. Yayoi Accounting Online
Yayoi Accounting Online is a cloud accounting software that is easy to use even for beginners with simple functions and operations. We support all your accounting tasks, from inputting transactions to preparing financial statements. It also has a customer center and a strong support system.
| provider | Yayoi Co., Ltd. |
| Initial cost | Inquiry required |
| Rate plan | Self plan: 28,600 yen (tax included)/year Basic plan: 38,720 yen (tax included)/year |
| Implementation results | Over 2.8 million series registered users (as of September 2022) |
| Functions/Features | Transaction input, automatic sorting of receipts and receipts, linkage with bank accounts, credit cards, and POS registers, creation of financial statements, transaction/balance/profit/loss/credit reports, etc. |
4. Accounting Bugyo Cloud
Kabuto Bugyo Cloud is a cloud accounting software that can balance system support and accounting DX. We support you from installation to operation, so you can find the optimal operation. Additionally, if you are currently using another company’s accounting system, we can migrate your data in as little as one day.
| provider | Obic Business Consultant Co., Ltd. |
| Initial cost |
|
| Rate plan |
|
| Functions/Features | Transaction entry, automatic invoices, accounting reports, analysis reports, management accounting reports, settlement of accounts, consumption tax declarations, etc. |
5. Cloud accounting software MA1
Cloud accounting software MA1 is a cloud and installation type hybrid accounting software. The basic system is installed and can be connected to the cloud only when needed. You can operate with peace of mind with a comprehensive support system including telephone, AI, and remote support.
| provider | Sorimachi Co., Ltd. |
| Initial cost | Inquiry required |
| Rate plan | Inquiry required |
| Functions/Features | Management diagnosis, summary profit, and loss management analysis, performance list by the client, bookkeeping productivity list by staff, etc. |
[For corporations] Recommended cloud accounting software
The scope of accounting treatment is different for individuals and corporations. Here we will introduce cloud accounting software recommended for businesses.
1.OBIC7 accounting information solution
OBIC7 Accounting Information Solution is cloud accounting software that allows you to visualize business processes. We provide consistent support from standalone accounting to consolidated accounting, receivables payables, etc. It is attractive that it can lead to efficient business improvements using ERP, and that it can quickly respond to accounting standards and system revisions such as IFRS.
| provider | Obic Co., Ltd. |
| Initial cost | Inquiry required |
| Rate plan | Inquiry required |
| Functions/Features | Financial accounting systems, management accounting systems, debt/payment management systems, employee payment management systems, travel/expense workflow systems, etc. |
2. Bill One powered by Sansan
Bill One is cloud accounting software provided by Sansan Co., Ltd. We can receive invoices on your behalf and convert them into data, regardless of whether they are sent by mail or email attachments. Additionally, invoices can be converted into data with 99.9% accuracy using AI, OCR, and input operators.
| provider | Sansan Co., Ltd. |
| Initial cost | Inquiry required |
| Rate plan | Inquiry required |
| Functions/Features | Invoice list display, receipt notification/reminder, status management, change history/response history storage, invoice search, journal entry, original invoice storage, payment notification, etc. |
3. Jobcan Accounting
Jobkan Accounting is a cloud accounting software that features rich aggregation functions and desktop-like operability. It supports electronic ledger storage and can be centrally managed when combined with other Jobcan series. Equipped with authority management and approval functions, it is possible to improve both operational efficiency and security measures.
| provider | DONUTS Co., Ltd. |
| Initial cost | free |
| Rate plan |
|
| Implementation results | The cumulative total of over 150,000 companies in the series (*as of April 2023) |
| Functions/Features | Accounting support, journal entry/bookkeeping, reports/aggregation, various collaborations, financial statement creation, tax rate support, authority management/approval functions, history management functions, etc. |
4. PCA Cloud Public Interest Corporation Accounting
PCA Cloud is accounting software for public interest corporations. Compatible with public interest corporation accounting standards, you can not only input slips but also create trial balances and financial statements. Since it can also be linked with other products using API, it is possible to improve the work efficiency of accounting personnel.
| provider | P.C.A. Co., Ltd. |
| Initial cost | Monthly payment: Free Annual payment: Please inquire |
| Rate plan | 17,160 yen (tax included) ~/month |
| Implementation results | The cumulative total of over 20,000 companies in the series (*as of April 2023) |
| Functions/Features | Easy-to-use screen and rich specs, automatic update/backup function, reminder function to support communication, complete approval function, rich form input, layout editing of inquiry letters, etc. |
[Free] Recommended cloud accounting software
Even if you are thinking of using cloud accounting software, the cost will increase the burden. Here we will introduce some recommended cloud accounting software that you can use for free.
1. Yen book accounting
Enbook Accounting is accounting software that features a screen layout that is easy to understand even for accounting beginners. You can import Yayoi Accounting data, saving you the trouble of entering numbers from the beginning. There is no need to enter bank ID or personal information required to create ledgers, so there is no risk of personal information being leaked.
| provider | Encho Internet Service Co., Ltd. |
| Initial cost | free |
| Rate plan | free |
| Functions/Features | Journal, accounting book, trial balance, general ledger, sub-ledger, annual settlement, financial report, annual carryover, etc. |
2. Town accounting
Community Accounting is cloud-based accounting software for local organizations such as local governments, PTAs, and school sports clubs. You can create documents such as cash books and deposit books and download them as PDF or Excel. Since data is encrypted using SSL communication, it can be used safely in terms of security.
| provider | Town accounting |
| Initial cost | free |
| Rate plan | free |
| Implementation results | More than 30,000 organizations (*as of April 2023) |
| Functions/Features | Cash book, subject ledger, income and expenditure statement, income and expenditure budget table, group settings, bank account settings, fiscal year settings, accounting budgeting, etc. |
3. Yayoi White Declaration Online
Cloud accounting software for sole proprietors that can be used like a household account book and has functions for white tax returns. You can file your final tax return via e-tax, so there is no need to go to the tax office. It also supports the invoice system and electronic document preservation law, so it is also recommended for those filing a tax return for the first time.
| provider | Yayoi Co., Ltd. |
| Initial cost | Inquiry required |
| Rate plan | Free plan: Free Basic plan: First year 5,060 yen (tax included)/year, next year 10,120 yen (tax included)/year Total plan: First year 9,240 yen (tax included)/year, next year 18,480 yen (tax included)/year |
| Implementation results | Over 2.8 million registered users (as of September 2022) |
| Functions/Features | Creation of final tax returns, automation of journal entries and bookkeeping, list of forms, financial institution collaboration, visualization of business status, POS cash register collaboration, accounting office collaboration, invoice collaboration, smartphone apps, etc. |
How to choose cloud accounting software
There are cloud accounting software specialized for various accounting operations, and it is important to choose the most suitable software. Here, we will introduce how to choose cloud accounting software.
Is it for corporations or individuals?
Cloud accounting software is available for businesses and individuals, so be sure to understand it in advance. Software for corporations is characterized by settlement functions and support for specialized accounting processing. Software for individuals also performs the accounting operations necessary for tax returns and tax returns. Each one has different functions, so please check the official website to see if it is for businesses or individuals.
Is your accounting system suitable?
For small and medium-sized businesses, someone who is not an accounting professional may be in charge of accounting. Therefore, it is recommended that you choose an accounting software that you can use even if you do not have much knowledge of bookkeeping.
Additionally, linking bank accounts and credit cards through API integration can greatly reduce the burden on accountants. Therefore, it is possible to create a system that does not depend on the person in charge of accounting, even if the person in charge of accounting is absent for a long period or retires.
Does the price match your expectations?
There are initial costs and monthly fees when implementing cloud accounting software. Figure out the features your company needs, check the cost of additional features, and then compare cloud accounting software.
Cloud accounting software with many features often comes with a high monthly fee, so if you don’t use it, your money will be wasted. Consider cost-effectiveness as well.
Is there a security support system in place?
Make sure you have the security and support in place to manage your company’s financial information in the cloud. It is important to check encryption support for SSL communication, server security measures, and whether a backup system is in place. We also recommend checking the presence or absence of the Privacy Mark.
Is there a free trial?
Choose a cloud accounting software that offers a free trial to check its ease of use and how accounting staff use it.
By trying out the service for free for a certain period, you can improve its operability and discover problems while using it. Please take advantage of the free trial, share how to use it with your accountant, and then consider which cloud accounting software to implement.
Points to note when using cloud accounting software
By introducing cloud accounting software that supports accounting operations, you can improve the efficiency of your operations. However, if not operated correctly, problems can occur. Here, we will explain the things to keep in mind when using cloud accounting software.
Cannot be used without an Internet environment
Cloud accounting software stores data on a server via the Internet. Therefore, it cannot be used without an Internet environment, and it is also affected by the Internet connection environment.
Also, even if you can connect to the Internet, you may not be able to work if the provider’s system troubles or server maintenance occurs. Please check the server maintenance schedule in advance.
There are cases where risks arise in terms of security.
Cloud accounting software stores a company’s accounting information in the cloud, so there is a risk of unauthorized access and information leaks.
In particular, cloud accounting software contains a variety of internal information such as a company’s bank account and credit card information. If the software allows you to determine usage privileges in detail, assign privileges according to each role for hacking and security measures.
Compare cloud accounting software and choose the one that suits your company.
In this article, we introduced the benefits that can be obtained by implementing cloud accounting software and recommended software. By implementing cloud accounting software, you can streamline your accounting operations. Cloud accounting software is available for corporations and individuals, so check the official website and consider the software you need. We also recommend using accounting software that has a free trial and comparing the actual operation and usability before implementing it.
