Best Accounting Software for the Self-Employed — 2026
Self-employed individuals in the US and UK have different needs. This page covers both — Schedule C filers in the US and MTD-affected sole traders in the UK.
US Self-Employed
QuickBooks Self-Employed
Background GPS mileage tracking (78% capture), Schedule C export, TurboTax integration. $20-35/mo.
Full review →UK Sole Traders
FreeAgent (free with Mettle)
HMRC MTD-compatible. Free with NatWest/RBS/Mettle business account. No monthly cost.
UK guide →US self-employed — Schedule C is your benchmark
If you are self-employed in the US and file Schedule C, the features that matter most are: automatic expense categorisation mapped to Schedule C lines, mileage tracking with GPS capture, and quarterly estimated tax calculation. QuickBooks Self-Employed handles all three at $20-35/mo.
FreshBooks is a strong alternative if invoicing and client management are your priority over tax-prep automation. Wave covers the basics at $0.
UK sole traders — MTD is the deciding factor from April 2026
From April 2026, UK self-employed individuals with qualifying income above £50,000 must use MTD-compatible software and submit quarterly digital updates to HMRC. This is a hard requirement — non-compliant software triggers penalties.
The MTD-compatible options as of 2026-05-19: FreeAgent, Xero, QuickBooks Online (not Self-Employed), Sage Business Cloud. FreeAgent free with Mettle is the most cost-effective starting point for sole traders with basic needs. See our full UK guide.
Don't use this for: UK self-employed individuals using non-MTD software after April 2026
Using software not on HMRC's MTD-compatible list after your mandatory start date is non-compliant and triggers penalties. Check the HMRC list at gov.uk/guidance/find-software-thats-compatible-with-making-tax-digital-for-income-tax before committing to any software.Best for Freelancers
FreshBooks vs Wave vs QBSE in depth
Best for UK Sole Traders
MTD guide with FreeAgent deep-dive