Methodology

This page explains how we estimate software costs and how we rank bookkeeping and invoicing platforms. All logic is implemented in plain TypeScript so you can inspect the exact rules.

Monthly cost model

monthlyTotal = platformBase + seatAddon + payrollAddon

Platform base is the monthly price of the plan tier we select for each vendor using your inputs (team size, invoice volume, inventory, multi-currency, payroll flags, and country focus). Tiers and caps are documented per provider in code.

Seat add-onapproximates extra billable users beyond the tier's included seats: max(0, teamMembers − tierIncludedUsers) × additionalUserMonthlyApprox.

Payroll add-on is illustrative only — not payroll tax or compliance pricing: payrollBaseApprox + payrollHeadcountEffective × perHeadApprox when you enable payroll. If payroll is on but headcount is zero, we assume at least one employee for modeling.

FreshBooks tier selection

We estimate an active client count from monthly invoices and team size, then pick the cheapest tier whose client cap still fits.

Xero, Zoho Books, QuickBooks tier selection

Tiers escalate with user count, inventory needs, multi-currency / international focus, and (for Zoho) free-tier invoice and user caps.

First-year total

firstYear = monthlyTotal × 12 + setupFeeEstimate + migrationBudget

setupFeeEstimate is a static planning allowance per vendor (training, chart setup, cleanup). migrationBudget is the one-time dollar amount you enter in the calculator.

Illustrative time-saved value

We show a simple planning figure: a capped fraction of your stated admin hours multiplied by your hourly value. It is not a promise of ROI — only a way to compare whether software cost is in the ballpark of time you spend on admin today.

Recommendation scoring

Each provider has editorial scores (1–10) on eight dimensions: invoicing fit, accountant collaboration, payroll fit, time tracking, inventory, multi-currency, service-business fit, and beginner-friendliness.

The engine combines scores with your answers:

• Workflow checkboxes increase weight on matching dimensions (e.g., time tracking boosts time-tracking fit).
• Business type emphasizes service-business fit for freelancers, agencies, and consultancies.
• Country focus adjusts US payroll familiarity vs. international / multi-currency depth.
• Cost fit compares estimated monthly total to your stated budget.
• Main priority applies a documented boost (lowest cost, easiest invoicing, best accountant fit, etc.).
• Light slug-specific nudges encode common market positioning (e.g., FreshBooks for services, QuickBooks for US payroll).

Important disclaimers

• Pricing is based on published-style monthly figures at the "last updated" date on each provider page — not live API data.
• Payroll, payments, and tax services vary by state and country; verify with the vendor.
• This is not tax, accounting, or legal advice.
• Scores are editorial judgments, not objective benchmarks.