Often companies need to reduce the number of employees on the payroll. But why? This article explains the reasons behind downsizing and lists the positive and negative effects of downsizing.

Why do Companies Downsize?

Reducing Costs

Employee compensation and benefits are a liability for the company and reduce the owner’s equity. Every company incurs considerable costs of salaries and other benefits and expects the employees to help increase profitability. Therefore, if employees are not positively contributing to the company’s growth, it is better to let them go, thereby reducing costs.

Shift to Outsourcing

Keeping permanent employees is costly. The company must provide benefits along with the gross salary, annual salary increases, and more. If the company believes that outsourcing employees will reduce costs, bring in more skilled labor, and add to the company’s competitive edge, it may decide to downsize.

Mergers

Mergers are a key reason for downsizing. When two companies merge, they start working as one unit; therefore, they share resources. The chances are that multiple employees fulfill the same role, which causes redundancy in work and cost, so they must be downsized to maintain productivity and efficiency.

Positive Effects of Downsizing

1. Controls Costs

Downsizing allows companies to reduce costs by laying off employees who are either no longer needed in the company or have not been productive. The company is saved from paying employees who are not positively contributing and have been adding to undue expenses.

2. Emphasizes on Performance

After downsizing, the employees who remain in the company know that their survival depends on the performance and the quality of work they deliver. It naturally emphasizes the need to improve and maintain their performance and, as a result, enhances productivity in the company. Also, it differentiates hardworking employees from less productive ones, as those who are not willing to sharpen their skills and work in a competitive environment eventually leave or can be let go.

3. Makes Management Easier

A company is left with a smaller team once it has successfully undergone downsizing. This allows management to develop professional relationships within the company, understand employee challenges, and resolve their concerns while fostering employee satisfaction.

4. Retains Talent and Skills

Companies do not want to retain unproductive employees. More often, employee performance decreases with time as a secure job makes employees comfortable, and they do not try to learn new skills. Downsizing allows the company to enjoy a pool of talented and skilled workforce willing to learn and work productively.

Negative Effects of Downsizing

1. Increases Work Pressure

The employees who are left with the company are required to do some part of the work that the downsized employees were responsible for. This lays work pressure on the employees can leave them exhausted and frustrated by additional responsibilities and no pay increase.

2. May Raise Legal Issues

A major downsizing in the company can lead to legal risks and problems. There are several unions and agencies that work solely for employee rights.  The company may face discrimination lawsuits, which can take a lot of the company’s time and money.

3. Damages Company Reputation

Downsizing is a negative term for employees and the rest of the world. People do not like companies that let go of their employees, and prospective employees may avoid working in companies that have a history of downsizing.  This can have a long-lasting, negative impact on the company’s reputation.

4. Raises Job Insecurity

Downsizing means that all employees could be let go, and this raises employees’ concerns.  As a result, productive employees who would have been kept might start looking for employment opportunities elsewhere and leave. 

Downsizing is often necessary to keep the company profitable by reducing the costs of retaining unproductive employees. However, it must be carried out meticulously, and employees should know why they are asked to leave. Also, the retained employees must be motivated to work with the best of their skills and potential and be assured that their jobs are not in danger.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Here are five helpful tips everyone needs to know to turn their talent into a business.

Question Your Level of Passion

Talent alone will not make your business a success. You have to have a deep passion for your business to not only survive those first crucial years of the business but to have a long and lucrative career.

If your passion is temporary, your business will be temporary and fail within the first year or two. Passion also drives your knowledge. If your business based on your talent requires education or certifications, if your passion is fleeting, you won’t complete the education required, and your business will fail.

Starting and operating a business is hard work and often takes up more hours than working for someone else, so your passion is essential to drive forward even when challenging. 

Push Through the Challenges

Most entrepreneurs who start a business of any kind will tell you that every stage of starting and operating a business is a challenge. If you have assessed your passion and know you want to use your talent to create a business, you will still need the stamina to work through the inevitable difficulties of running a business.

Some of the challenges that come with running a business can be overwhelming and even a little scary. You have to keep going despite these times. However, you don’t just have to endure the challenges. You can develop your business and come up with creative ideas to meet these challenges.

Develop Your Brand

Your talent and passion got the business started and helped drive you through the challenges, but your business’s success and longevity rely on customers. The best way to gain and retain customers is to develop your brand and market it.

To develop your brand know what makes you and your business unique or find the focal point of your business, which could be the talent or a specific product or service your business offers. Whatever makes your business stand out from others in the market is what you should build your brand around. That unique quality will be the strongest foundation for your business and your brand.

Also, having a strong brand will make it easier to develop marketing strategies. Go back and think about the millionaires you are aware of that built a business on their talent and identify their brand. Their brand is likely what you thought of first, not the millionaire.

Keep Focused

Keeping your focus on the overall operations of your business is a given. If you allow outside influences and challenges to distract you, your business may fail. Some of the distractions are unavoidable issues. It would be best if you gave some attention to resolve them. Other distractions can be people who don’t support you or your business.

Starting and operating your own business, especially one based on your talent, can draw a lot of negativity from your friends and family who don’t see the potential you do. Despite this negativity, keep your focus. This is not their business or life, it is yours, and it requires your entire attention and efforts.

Assess Your Business

It is important that you continually assess your business. Assessments are meant to test how your business is succeeding and where it is failing. You can make these assessments weekly, monthly, or yearly. If you have regular assessments, it lets you and your staff make changes to grow your business.

Sometimes your business will start strong and fizzle. This is not necessarily because your passion or desire for the business has faded. You are doing some of the same things now that you did initially, and these strategies no longer work.

Conclusion

Using your talent to start your own business is a great idea if you have a passion for owning and operating a business based on that talent. If you decide to use this talent to work for yourself instead of lending your talent to someone else’s business, you will surely succeed if you follow these steps.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Becoming independent and starting a freelance business can be a scary endeavor. However, it can also be one of the most rewarding things a person can do. Though you will have clients who dictate their terms and needs, you are your boss, and you can pick and choose the clients and jobs you take. Starting a freelance business has become more common in this economy, requiring people to have a primary job and some side gigs to help them make ends meet. Here are six tips for starting a freelance business.

Who is Your Client

Knowing the client, you will serve extremely important to the freelancer. This will determine how you conduct your business and how you market it. Marketing will be wholly focused on your pre-determined target audience, and this is why you need to be familiar with who your client is. Some freelancers have skills in multiple areas; however, they will need to determine each client type separately and focus on ads and marketing individually to get business.

Your Niche

While as a freelancer, you can do multiple types of work, be careful not to try to do anything and everything, and try to focus the bulk of your freelance career on one niche. When you focus on only one or a few freelancing types, you can build your business to success. There is still a place for the multi-talented freelancer. While you don’t want to divide your focus, you need to balance it with what will provide you with the steadiest income. So it is highly recommended you stick to one niche for the most significant results.

Services

Determining what services you offer is dependent on deciding your niche. The services you offer are essentially sub-categories of your main niche. If you are unsure of what type of services you may have, find freelancers in the same niche and see what services they offer. Also, base them on your skills and experience.

Keep Your Main Job

While freelancing can be gratifying due to the freedom it gives you in the work you take and the hours you work, it is also sporadic in the income you earn. Unless you can take the loss of income, it is suggested that you keep your primary source of income until your freelance income covers at least 50 to 75% of your primary job income. Once you get to that level, when you quit your job and have more time to dedicate to your freelance work you will quickly make up the last percentage.

Keep Up Your Skills

Continuing to build your skills can give you a significant advantage in the competitive freelance world. Also, the higher your skill levels are, the higher the pay. You can take on small and quick tasks that gain your skills even though they don’t pay as much. This skill gain will pay off and make up the difference in your earnings in the long-term.

Pricing

Many freelancers have difficulty pricing their work, and websites that help freelancers attract clients generally take a fee from your payout. Hence, you have to compensate by charging more considerable fees. When setting prices for your work, you should consider skill level, experience, abilities, and the market. Also, it would help if you built your business and reputation before raising your rates. You can’t be just starting and charging high rates. You have to develop it over time. How much time depends on how much work you take on and how quickly you build your skills and reputation.

Conclusion

While there are so many reasons, it isn’t easy to decide to become a freelancer. Freelancing can be such fulfilling work. It has its risks and rewards, and using these tips should help you be successful.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

While the notion of blogs was started in the early nineties, it is only in the last eight years that blogging has been legitimized as a viable business marketing tool. This idea of using keyword-heavy blogs with value to drive traffic to your business site has grown and has been integrated as a large part of online marketing for businesses of all sizes.

The key to marketing through blogging is still developing as, year-over-year, blog size, and keyword requirements change and grow. Blogs that attracted traffic to your site five years ago may not register on search engines if the word count is too low or the keywords that were focused on are no longer optimized. Here are four things you need to know to have a successful blog for your business.

Choose Timeless Keywords

Even if your business is unique or considered niche, you can choose keywords to build your blogs around to lead people to your site for years to come. First, it is good to do searches using words that have to do with your site’s business or planned subject matter. You can see how many people use certain words or phrases during searches through free search engine analytics. The idea is that you want to find words that don’t have too much competition and are high in the number of people who use them to search.

To ensure the keywords are timeless, avoid words currently trending but may not stand up over time. These trends can be current vernacular or catchphrases that will be gone in a few months or years.  

Focus on Word Counts

While year-over-year, the word count requirement needle moves up, you should know what the minimums are and consistently shoot for those counts when writing your blog. If you can feasibly go well over the minimums, this will ensure your blog will register on search engines for years to come. However, be careful not to add content with no added value to the blog, as this could do more damage than good if readers become bored. Online users’ attention span is short on content, especially when reading; therefore, you don’t want to write the information or entertaining blog equivalent of “War and Peace.”

Create Relevant and Useful Content

While many business or marketing blogs are specifically created to encourage users to click on the article directing them to your business website if the content is not relevant or doesn’t deliver useful content, the reader may not stay on your site long enough to explore your business and products or services it offers. The business blog does have a specific function. However, it still needs to provide interesting content and value.

Make Sure Your Blog is Well Written

While your blog is specifically created to drive traffic that will hopefully convert to revenue to your site, it can do more harm than good if the content is written. You or your content writer(s) must write high-quality and grammatically correct content. If a business blog is not quality over quantity or vice versa, they are equally important for driving potential customers to your site and converting them into revenue-generating customers. Putting marketing dollars into hiring quality writers who give high-quality, valuable, and traffic generating content will ultimately pay for itself. Hiring poor writers to save money can hurt your business, and if a lot of time has to be spent editing to get the quality up to standards, the revenue loss to pay for that can be costly.

Conclusion

Blogging for business can be a highly effective marketing tool and should be used by businesses trying to drive a high traffic volume to their site. Following these tips will ensure that you get the traffic to your site and have the greatest chance to turn that traffic into revenue.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Home mortgage financing is not always that easy to handle, especially when it comes to lenders who have strict policies and lengthy approval processes, making it even more challenging to request a loan. The founder and CEO of LoanDepot.com, Anthony Hsieh, says, “Homeowners today need to be triathletes to qualify for a loan, with great income, great credit, and great value in their home.” Here are six crucial questions to ask when you are considering refinancing your home loan.

Do I have equity in my home?

Ideally, homeowners should have 20% equity in their homes to sign up for a loan request without paying private mortgage insurance. This lack of equity may adversely affect the benefit of refinancing and make homeowners owe more than their house’s actual cost. Home Savings’ vice president says that going for mortgage refinancing without sufficient equity only depreciates a house’s value. Another thing that impacts qualifying for the loan is the borrower’s credit score. To qualify for refinancing your mortgage to get a loan, you need to have a good credit score, much like when you obtained the original loan that created your mortgage.

What are my Financial Goals?

Most of the homeowners opt for refinancing to reduce their monthly installments. A good mortgage calculator may guide you in deciding your installment plans and reduce the interest amounts. The vice president of Home Savings says, “Some people are reorganizing their loans to a 20, 15, or 10-year mortgage, which works well for people with plenty of disposable income. But I fear that people are too concentrated on paying off their mortgage and not incorporating this decision with their overall financial plan.”

What are the contractual terms of my current loans?

When refinancing your home, another important question you need to ask is about your current loan terms and conditions. When it comes to terms and conditions, interest rates and fluctuations are the biggest financial concerns for borrowing homeowners. Borrowers should stick to fixed-rate loans rather than variable rates.

While asking for a refinance for your home, you should be certain about the time you plan to spend in your home. In general, Mortgage professionals inform the borrowers that a refinance may cost them three to six percent more than the home’s actual cost. If the break-even tends to happen at fifteen months while you still plan to stay in that house for the next five years or more, then it is good to go for refinancing. However, if you have to leave in two years, then refinancing is not a good option.

Is my credit score high enough?

A borrower’s credit report is an important factor that plays a vital role in getting a good mortgage rate. Any mortgage borrower needs to have a good credit score because it becomes nearly impossible for you to qualify for refinancing without a high credit score. Ideally, a borrower will have a score of 720 or more. Any credit score less than 620 may cause hassles in getting approved to refinance your mortgage.

Do I have other lines of credit or a second mortgage?

Getting a second loan may cause the borrower extra stress. It comes with additional complexity, and borrowers might lose track of payment schedules. Borrowers have the option of paying off the first loan before entering into the second loan, or they can combine both loans by making them into one large loan. Having only one loan will make it easier to keep your payments in order, as having multiple credit lines at a time can be confusing.

Conclusion

The bottom line is that you need to know if you not only qualify to refinance your mortgage but if you should. Consider all six of these questions before making this important decision that will affect your financial future.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Times are tough in the corporate sector.  It can be challenging, even for skilled and experienced staff, to retain their jobs. With the competition tougher than ever, professionals cannot stress enough the importance of adapting to a new workplace’s dynamics. A recent study has shown that almost half of newly hired employees in almost every organization face trouble adjusting to their new workplace environment. Reportedly, employers’ issues with their newly hired staff are either regarding the poor performance or the violation of disciplinary rules. Some of the cases are so severe that employers have no other choice but to terminate those employees’ contracts.

Let us dig deeper into this problem to find out the real cause. What exactly is the reason for the failure of these new hires? One of the most common reasons is that many newly hired employees do not have a solid understanding of their job descriptions and roles. Since first being hired, it was not clear what their job definition was, and they were unsure about their work’s exact nature. As a result, they end up exiting the corporation by themselves due to stagnation in their growth or are fired by their bosses.

An appropriate approach for a person who has just started at a new workplace is completely understanding their job role. Getting all instructions documented and keeping a record is important for maintaining transparency. Even after following all the SOPs (standard operating procedures), one must keep in mind that flexibility is important in the corporate sector. In modern-day business, workplace dynamics are constantly changing and evolving. Employees must be flexible and adaptive to the changes happening in their surroundings.

Before candidates apply for a job, one thing that can improve their chances of quickly adapting to the new workplace dynamics is to conduct thorough research on the company. The research must include learning about the top tier management and executives’ corporate responsibilities, how various departments within the organization operate solo or together as a team, a little information about the company’s history, who are its competitors, and the industry trends that can impact core business operations.

When an employee leaves an organization or is fired, the case is not always that of incompetency. In many cases, employees leave the company because of difficulties in implementing the feedback they get from their surroundings.

Here are a few tips to consider before joining your new workplace:

• Have a holistic idea of what your company does.
• Prepare yourself to accept feedback on your work, having a complete idea of what is expected of you at your new job.
• Refrain from constantly pointing out how you handled certain situations at your last workplace. View your new workplace as a fresh start.
• Bluffing about things you do not know or bragging about your qualifications are not effective approaches. If you are unaware of something, just ask.
• Everyone makes mistakes; accept the fact that you are bound to make some, too. Never cover up your mistakes. Acknowledge and report them immediately to your superior. It may hurt your pride a little temporarily, but in the longer run, reporting your mistakes will help your superiors save you from much bigger trouble.
• Always take notes and ask questions when a superior is explaining something to you. Your superiors will be very cooperative in most organizations and will not mind explaining procedures and offering suggestions. However, they might get annoyed if you keep asking the same questions repeatedly.
• Never come to your workplace in a dress that is too casual. It might be a common practice, but it still is worth mentioning. Many workplaces allow casual dressing, but still, you must come in for work in a presentable attire. Dress for the job you want.
• Employees are often taken for granted by keeping their bosses informed about tardiness or time off. Keeping your superiors informed is the essence of professionalism.
• Many new employees neglect to take orientations and training sessions seriously. Paying attention to your orientation and studying employee handbooks properly often pays off in the long-term.

Beginning a new journey at a workplace can be challenging. Still, the experience can also be exciting if you are ambitious. The HR department is often helpful in integrating new employees into the company. It is essential to commit to your new workplace and its culture fully.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

It is common to constantly be on the lookout for ways to improve your resume. Here are some rules to follow to ensure your resume makes a lasting impression.

1. Using reverse chronological formatting, as opposed to functional formatting, is most preferred by recruiters and hiring managers. This format allows for an easy understanding of your professional timeline.
2. It is always useful to adequately present your skills and abilities. Still, this alone does nothing to clarify your career pathways, which may make attaining a coveted position more difficult. Prioritizing skills and abilities is recommended for those who have gaps in their employment history as a way to conceal the voids. If you want to improve your resume, try to sell yourself while also making your career path understandable
3. Include numbers, figures, and percentages in your resume where it is necessary. This gives the impression that you are well-researched and detail-oriented, an attractive quality to future employers. However, it is important to make sure that your resume isn’t only filled with numbers. This will make it dull and undigestable, which may irritate the recruiter.
4. Keywords are an essential component of a well-written resume. If you do not know which words to use as keywords for your resume, make a word cloud from the description of the job you have targeted. These keywords will make your resume more visible to recruiters.
5. After choosing your keywords, it is now time to proofread. This is an incredibly important part of the process. Imagine what would happen if your resume is full of errors (vocabulary, grammar, punctuation, or other errors) and was then read by the recruiter or the hiring manager. You wouldn’t stand a chance! He or she would assume that you did not take care to check your resume, or perhaps that you just simply do not know how to write! To avoid all of this, have your resume proofread by someone you trust. This will expand your awareness of more ideas and improvements to make.
6. The next thing to prioritize is your achievements. Sprinkle your accomplishments all over your resume to better sell yourself. The person reading your resume is not at all interested in learning about your different job duties and responsibilities. Instead, highlight what you have accomplished in every one of your previous jobs and positions.
7. As mentioned, refrain from including the words “responsible for” in your resume. Employers can already deduce most of the responsibilities that come with a particular job. They want to know about the outcome of your task performance, not just merely what you were performing. Keep this in mind.
8. It would be best if you kept brevity in mind while crafting your resume—Declutter what you have written by removing unnecessary details. Your resume should be qualitative rather than being full of flowery language. Add each accomplishment and achievement to your resume while keeping them concise.
9. Adding only relevant information is especially important to ensure your resume is easily digestible. It is not necessary to mention every job you have ever done in your life. Many of your previous jobs may not be relevant to the one you are looking for now, even though they were a part of your journey. Keep your resume relevant and relatable, as it should serve as a promotional document.
10. Do not feel that you must keep your resume objective. Try to begin your writing first with the summary, as this is a successful and modern approach to creating a professional resume.
11. While writing your resume, you must consider exactly what it is your audience wants from you. Your resume should contain everything wanted and needed by the organization you plan to join. It would be best if you had an idea of some of the problems facing the firm. This way, you can touch upon applicable solutions that you will bring to these concerns.
12. Try to customize your resume according to the requirements of the organization, wherever possible. Prompt employers to acknowledge that you understand their struggles and that you hold the solution. This promotes your strengths and keeps your resume relevant and relatable to what the hiring company is looking for.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

By: Jennifer Brazer

Jennifer is the author of From Cubicle to Cloud and Founder/CEO of Complete Controller, a pioneering financial services firm, that helps entrepreneurs break free of traditional constraints and scale their businesses to new heights.

Fact Checked By: Brittany McMillen

5 Ways to Boost Your Savings and Achieve Financial Freedom

Did you know that 34% of Americans live paycheck to paycheck, and only 44% have enough savings to cover a $1,000 emergency? These statistics reflect a reality many of us wrestle with—but here’s the good news: you don’t have to stay stuck. Since founding Complete Controller 15 years ago, I’ve helped thousands of clients turn their financial situations around. Whether your goal is to break free from debt, build an emergency fund, or secure your financial future, boosting your savings is your first step toward financial freedom. Here’s a practical, actionable roadmap to help you take control of your money and maximize your savings starting today.

Understanding Your Financial Landscape

Assess your current financial situation

If there’s one thing my years in financial services have taught me, it’s this: before solving financial issues, you’ve got to know where the problem lies. Think of this like going to the doctor—you can’t fix what you don’t diagnose.

Start by listing your income, fixed expenses (like rent and utilities), variable expenses, and any debts or subscriptions. Be honest and detailed—include every $5 coffee or late-night fast food order.

Steps to get started:

1. Use apps like Mint or create a no-frills spreadsheet to categorize your expenses.
2. Track every dollar for at least 30 days.
3. Compare your income to your monthly outflow to identify patterns.

Take the Jones family as an example. They found that 20% of their monthly spending was tied up in unused memberships, eating out and impulse purchases. By canceling unnecessary subscriptions, meal planning, and being more intentional in their spending, they saved $10,000 in just one year. Want to talk about impactful results? That’s the power of understanding where your money goes. For a deeper dive into financial planning, check out comprehensive financial planning.

Identify areas for improvement

Here’s something I tell every client: saving money doesn’t mean giving up everything you enjoy. Instead, it’s about being intentional. The key is separating essentials from excess. If you realize your paycheck gets swallowed by impulse buys, dining out, or little luxuries, pinpoint what could be trimmed without derailing your happiness.

Automating Your Savings

Set up automatic transfers

When life gets busy, even the best-saver intentions tend to fall by the wayside. That’s why automation is my go-to advice. Think of it as setting your savings on autopilot. Simply redirect a portion of your paycheck into savings before you even see it in your checking account.

How to set it up:

1. Log into your bank account and schedule regular transfers to your savings account.
2. Start small—$25 or $50 per paycheck will add up over time.
3. Gradually increase the amount as you get better at living within your adjusted income.

This simple step eliminates excuses, stops impulsive spending, and guarantees progress. Savings become habitual, not optional. Trust me, you’ll thank yourself when that emergency fund is there to catch you when life throws curveballs.

Use savings apps

Want to make saving even smoother? Technology has your back. Apps like Qapital and Digit analyze your financial habits and squirrel away small amounts of money based on patterns. These tools are your invisible savings assistants.

Why they work:

• You save without noticing the impact on your day-to-day life.
• They help you build strong financial habits effortlessly.
• They give you insight into spending trends.

Every cent counts, and these apps make sure everything is well-spent.

Budgeting and Expense Tracking

Implement the 50/30/20 rule

When it comes to managing your finances, the 50/30/20 rule is a lifesaver. It’s structured enough to guide you without making you feel boxed in. Allocate 50% of your income to necessities (housing, bills, groceries), 30% to wants (dining out, entertainment), and 20% to savings or debt repayment.

The beauty of this method is its flexibility. If saving 20% feels unreachable because of existing debt or obligations, start with 10%. Even small steps move you forward. For more budgeting and saving tools, explore these resources to help simplify the process.

Track your expenses

Most of us swipe our cards without a second thought—out of sight, out of mind, right? But tracking your expenses will shine a spotlight on those sneaky leaks in your budget. Apps like Mint and Personal Capital do the heavy lifting for you by categorizing your spending and identifying areas for improvement.

Want more ideas? Check out these small business bookkeeping tips that translate seamlessly to personal budgeting.

Investing Your Savings

Introduction to investment options

As someone who’s dedicated my career to financial empowerment, I believe one thing firmly: a savings account is a starting point, not your endgame. To truly grow your wealth, you’ll need to invest, but you don’t have to be a Wall Street wizard to do so.

Options to consider:

• Stocks offer high growth potential but come with risks.
• Bonds are safer but yield smaller returns.
• Mutual funds offer diversification and are beginner-friendly.

Start by researching your options and aligning them with your goals. For effective investment portfolio tips, discover ways to balance risk and rewards.

Start small with micro-investing

Investing isn’t reserved for the wealthy anymore. Platforms like Acorns and Robinhood make it easy to invest with spare change. Even rounding up $0.50 at a time adds up quickly. Over time, compound growth can work wonders. Consumer education sites like investor education resources offer supplemental guides to help beginners navigate this effectively.

Avoiding Financial Pitfalls

Avoid impulse purchases

Impulse buying is one of the biggest threats to savings goals. Master the 30-day rule: When you want something but don’t need it, wait 30 days before purchasing it. Often, the impulse fades, saving you money and regret.

Manage debt effectively

Debt can strangle your savings potential. Over the years, I’ve seen countless clients transform their financial trajectories by tackling high-interest debts first while maintaining minimum payments on others. If credit card debt is your Achilles’ heel, you’re not alone. Thirty-six percent of households carry more credit card debt than emergency savings. Check out these tips to manage your credit responsibly.

Conclusion: Take Control of Your Financial Future

The journey to financial freedom starts with a decision—the decision to act today. Whether it’s automating savings, implementing more thoughtful budgeting practices, or dipping your toes into investing, small changes yield tremendous results.

Remember, financial freedom isn’t about perfection. It’s about consistent progress. Start now, no matter where you are, and take the next step toward creating a life of stability, possibility, and growth. Ready to dive in deeper? Learn more from the experts at Complete Controller here.

FAQ

What is the best way to start saving money?

Start by assessing your finances, using tools like the 50/30/20 rule, and regularly automating small amounts into savings.

How can I avoid impulse purchases?

Apply the 30-day rule: wait 30 days before buying non-essential items. Most of the time, the impulse will pass.

What are good investment apps for beginners?

Apps like Acorns and Robinhood are great starting points as they let you begin investing with minimal funds.

What are tools for tracking expenses?

Mint and Personal Capital are excellent for categorizing and analyzing your spending to spotlight savings opportunities.

How does the 50/30/20 rule work?

For a balanced budget, allocate 50% of income to needs, 30% to wants, and 20% to savings or debt repayment.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Every financially responsible adult is aware of the importance of your credit score. Most credit scores linger around the good to poor range due to unpaid or slow paid debts. Even if you have a decent score when making large purchases such as a car or home, a higher credit score can be the difference between higher interest rates or lower payments. These differences could cost or save you hundreds of dollars. Here are five strategies to boost your credit score.

Find Out When Your Issuer Reports Payment History

For a major boost to your credit, you must know your credit cards’ reporting date. The reason is that your credit can receive a boost if you carry less than 10% of your credit card limit each month. Regardless of your credit limits or minimum payment requirements, you will always want to ensure your balance is under 10% of your credit limit.

The reason you must know the reporting date of the credit holder is that if you get your balance below 10% or even pay the entire balance, but it is after the reporting date, it will do nothing positive for your credit score or may even lower it slightly depending on what percentage of your limit you are holding.

For the best results, pay your bill down just before the reporting date, which can be a monthly boost to your credit score.

Pay Down Debt Strategically

To boost your score, you now know you need to keep your balance below 10% of your credit limit. So if you have more than one credit card, you will want to pay down the balances to get them all below 10% of their limit. For those cards already below this percentage, you can make a minimum required payment.

The other strategy you want to utilize is to pay more towards loans or credit cards with the highest interest. The more quickly you pay these down, the bigger the savings and the better the boost to your credit score.

Pay Twice a Month

While sometimes finances are such that even making one payment on a loan or credit card can be a challenge, if possible, it is suggested you attempt to make two payments. This will boost your credit score and help save you money by paying off interest, gaining debt far more quickly.

Raise Your Credit Limits

If you are a shopaholic, you may be getting excited about this option; however, raising your credit limit is not so you can spend more and get into more debt. In this case, raising your limit and keeping your ratio below 10% will boost your credit score.

Only ask for an increase in credit if you have been on time on all your payments with the creditor as if you ask for an increase and have not paid on time or at all, this raise of your limit request may alarm the creditor and in some cases, they may even lower your credit.

Mix It Up

While having diverse credit is only accounts for 10% of your overall score, having a mix will boost your credit. Having a mix means that you need different types of current credit that you are paying off. Suppose your only credit is revolving credit, such as a credit card or an installment payment on a long-term loan such as a mortgage. You will need to diversify your credit. If you can purchase something on credit, pay it off quickly to give your credit score a quick boost.

Conclusion

Your credit score should always be a financial priority. While you may never need it to make large purchases, your credit score is used to determine interest rates and, in some cases, can be used by phone and utility companies to decide on down payments or additional fees. It can also be a factor a potential employer considers before hiring you. Whatever the reason your credit score may be used, it is important to keep it as high as possible so use these quick boosts to raise your score.

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud-hosted desktop where their entire team and tax accountant may access the QuickBooks™️ file, critical financial documents, and back-office tools in an efficient and secure environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.

Best Accounting Software for Small Business:
Top Picks for 2026

The best accounting software for small business in 2026 is a cloud-based platform that combines bookkeeping, invoicing, expense tracking, and reporting at a price that fits how you actually run your company—with QuickBooks Online, Xero, FreshBooks, Zoho Books, and Wave Accounting leading the pack. QuickBooks Online is the strongest all-around pick for growing U.S. businesses, Xero wins on ease of use and unlimited users, FreshBooks dominates for freelancers and service pros, Zoho Books offers the best free tier for startups already in the Zoho ecosystem, and Wave is ideal for solopreneurs who need free, no-frills books.

After more than 20 years building Complete Controller into a nationwide bookkeeping firm, I’ve watched thousands of small business owners either thrive or drown based on one decision: the accounting tool they picked on day one. Here’s a stat that always gets my attention—64% of small businesses now rely on accounting software to manage their finances (Intuit QuickBooks, 2024)—which means the wrong choice puts you behind the majority of your competitors before you’ve even sent your first invoice. In this article, I’ll share the exact framework my team uses to match clients with the right platform, break down the top five contenders, walk you through a real-world case, and hand you a 30–90 day rollout plan you can actually use.

What is the best accounting software for small business and how do you pick the right one?

• The short answer: The best accounting software for small business is a cloud-based tool—QuickBooks Online, Xero, FreshBooks, Zoho Books, or Wave—that matches your invoicing, expense tracking, reporting, and payroll needs at a price you can sustain.
• Start with must-haves: Clarify whether you need invoicing, bank feeds, payroll management, inventory, or CRM integration before comparing tools.
• Watch the pricing traps: Starter plans look cheap, but user limits and feature gates can double your cost within a year.
• Prioritize the cloud: Mobile apps and real-time collaboration with your bookkeeper are non-negotiable in 2026.
• Plan for growth: Pick software that scales with you—don’t buy an ERP when you need a ledger, and don’t outgrow a free tool six months in.

How to Decide What “Best Accounting Software” Means for Your Business

Every business has a different rhythm, so the “best” tool depends on your stage, industry, and team. Before you compare feature checklists, get honest about how you invoice, how you pay people, and how often you actually look at your numbers.

Core features every small business accounting software should include

At minimum, your platform needs to handle double-entry bookkeeping, invoicing, expense tracking, and standard financial reports. These are the pieces that keep you audit-ready and give you a real picture of profitability.

• Double-entry accounting for accuracy and tax readiness
• Professional invoicing with recurring billing and online payment links
• Bank feeds and receipt capture to cut manual data entry
• P&L, balance sheet, and cash flow reports as baseline output
• Accountant access so your bookkeeper can log in without extra seats

For a deeper dive on habits that pair with the right software, my team put together 9 bookkeeping tips for small businesses that I recommend reading alongside this.

Advanced features that justify higher pricing

Once you have employees, inventory, or project-based revenue, you’ll need more horsepower. Built-in payroll, job costing, and multi-currency support move you from a “checkbook replacement” to a real operations platform.

A simple framework to choose your best fit

I sort every Complete Controller client into one of three stages:

1. Solo/side hustle: Wave or Zoho’s free tier
2. Growing small business: QuickBooks Online, Xero, or FreshBooks
3. Multi-location or complex ops: Sage Intacct, NetSuite, or QuickBooks Enterprise

Overbuying software early creates more confusion than value—I’ve seen owners spend $200/month on features they’ll never touch.

Best Accounting Software for Small Business: Top Picks and Who They’re Best For

Here’s how the five leaders actually stack up when you put them in front of real business owners.

QuickBooks Online – The default standard

QuickBooks Online is the platform most U.S. accountants know cold, which alone makes it worth considering. Roughly 70–80% of our clients either start on QuickBooks or migrate to it eventually.

• Strengths: 750+ integrations, robust reporting, native payroll, deep accountant network
• Weak spots: Costs climb fast; the interface can overwhelm non-accountants
• Best for: U.S. small businesses planning to hire, add inventory, or work closely with a CPA

Xero – Clean, cloud-native, ease of use

Xero is my go-to recommendation for international clients and teams that need multiple users without a per-seat penalty. The bank reconciliation experience is genuinely delightful—a phrase I don’t use lightly about accounting software.

FreshBooks – Invoicing-first for freelancers and service pros

If you bill by the hour or project, FreshBooks makes getting paid feel effortless. One of my contractor clients cut billing time in half the month she switched from spreadsheets to FreshBooks.

Zoho Books – Best free plan and deep ecosystem

Zoho Books shines for startups already using Zoho CRM or Zoho Mail. The free tier handles businesses under a certain revenue threshold, and the paid tiers are competitively priced with strong invoicing and inventory.

Wave Accounting – Free bookkeeping for simple businesses

Wave is genuinely free for core accounting and invoicing—no trial, no gotcha. That said, I tell clients to treat Wave as a starting point, not a forever home. Once you add employees or inventory, you’ll outgrow it.

Other notable contenders

• Sage Intacct – multi-entity reporting for mid-market
• NetSuite – full ERP for inventory-heavy operations
• QuickBooks Desktop Enterprise – advanced inventory power

Accounting software works best with expert support. Discover how Complete Controller helps businesses simplify bookkeeping and gain financial clarity.

Side-by-Side Comparison: Features, Pricing, and Ease of Use

Platform	Starting Price	Free Trial	Best Feature	Best For
QuickBooks Online	~$35/mo	30 days	Ecosystem depth	Most U.S. SMBs
Xero	~$20/mo	30 days	Unlimited users	Global teams
FreshBooks	~$21/mo	30 days	Invoicing & time tracking	Freelancers
Zoho Books	Free–$275/mo	14 days	Free tier + Zoho suite	Startups
Wave	Free	N/A	Truly free core	Solopreneurs

Beyond the specs, usability is where owners feel the difference daily. Xero and FreshBooks tend to onboard fastest for non-accountants, while QuickBooks rewards a couple hours of upfront training with far more analytical power down the road. Whichever you choose, reconciling your accounts regularly is what actually keeps the software honest.

Real-World Impact: How the Right Software Transformed One Small Business

Software marketing pages promise the moon. Here’s what change actually looks like on the ground.

Case study – From spreadsheets to cloud accounting

Take Bear’s Beef, a small food business that adopted QuickBooks to fix a chronic billing problem. The owner’s own words: “Now that we do invoices in QuickBooks, we invoice much quicker and we get paid quicker” (Intuit QuickBooks Customer Story). That’s not marketing polish—that’s cash flow relief.

The pain point is universal. A Federal Reserve survey found that 60% of employer firms faced financial challenges in the prior 12 months, and paying operating expenses was the most common issue at 43% (Federal Reserve, 2024). When invoices go out faster and payments arrive sooner, that pressure eases dramatically.

Lessons for small business owners

• Start with your processes, not the software’s feature list
• Automate the tasks that eat your time first
• Get real training—from the vendor, your CPA, or a partner like us

Avoid These Common Mistakes When Choosing Accounting Software

The traps I see most often aren’t about picking the “wrong” tool—they’re about setup shortcuts.

Overbuying features you’ll never use

Owners routinely buy ERP-level tools for what a $30/month subscription would handle. Save that money for marketing.

Ignoring data migration and setup

Dirty imports create dirty reports. Clean your vendor list, design your chart of accounts intentionally, and configure bank rules on day one. Our guide on managing business accounting walks through the essentials.

Underestimating training and support

A few hours of training prevents thousands in mistakes. That’s where a fractional bookkeeper earns their fee many times over.

A 30–90 Day Rollout Plan for Your New Software

1. Days 0–30: Choose your platform, clean legacy data, set up your chart of accounts, bank feeds, and invoicing templates
2. Days 30–60: Build recurring invoices, expense rules, receipt workflows, and connect payroll or e-commerce integrations
3. Days 60–90: Review monthly financials with your accountant, use dashboards to spot cash flow trends, and refine permissions

For record-keeping standards along the way, the SBA’s small business records guide is a solid reference, and the IRS employment taxes page covers payroll compliance basics. If double-entry still feels fuzzy, the SEC’s plain-language explainer is worth a bookmark.

Final Thoughts: My Recommendation as a Founder

The best accounting software for small business isn’t the one with the flashiest ad—it’s the one that fits your stage, your team, and your goals. QuickBooks Online remains my default for growing U.S. companies, Xero for global teams, FreshBooks for service pros, Zoho for lean startups, and Wave for the true solopreneur. Pick with intention, set it up right, and review the numbers monthly. That discipline is what separates businesses that survive from businesses that scale.

If you’d like help choosing, migrating, or optimizing your accounting software, reach out to the Complete Controller team —we’ve helped thousands of businesses turn messy books into a competitive advantage, and we’d love to do the same for yours.

Frequently Asked Questions About Best Accounting Software for Small Business

What is the easiest accounting software for a small business owner with no accounting background?

FreshBooks and Xero are consistently rated the easiest for non-accountants thanks to clean interfaces and guided setup. Wave is also beginner-friendly for very simple businesses.

How much should I expect to pay for small business accounting software in 2026?

Expect $20–$90/month for most growing small businesses, with free options like Wave and Zoho’s free tier available for solopreneurs. Payroll add-ons typically add $40–$80/month.

Can I switch accounting software mid-year without messing up my books?

Yes, but do it deliberately—clean your data, export historical reports, and ideally switch at the start of a quarter. Working with a bookkeeper during migration prevents costly errors.

Do I need accounting software if I already use spreadsheets?

Almost certainly. Spreadsheets don’t scale, don’t automate bank feeds, and don’t produce audit-ready reports. Even the free tier of Wave or Zoho beats a spreadsheet for most businesses.

Which accounting software integrates best with payroll and expense tracking?

QuickBooks Online and Xero lead here, with native payroll modules and thousands of integrations for expense tools, POS systems, and e-commerce platforms.

Sources

• Complete Controller. “9 Bookkeeping Tips for Small Businesses.” https://www.completecontroller.com/9-bookkeeping-tips-for-small-businesses/
• Complete Controller. “Importance of Reconciling Your Accounting Statements Regularly.” https://www.completecontroller.com/importance-of-reconciling-your-accounting-statements-regularly/
• Complete Controller. “Managing Business Accounting.” https://www.completecontroller.com/managing-business-accounting/
• Federal Reserve System. (March 2024). “2024 Report on Employer Firms: Findings from the 2023 Small Business Credit Survey.” https://www.fedsmallbusiness.org/survey/2023/report-on-employer-firms
• Intuit QuickBooks. “Bear’s Beef.” QuickBooks Customer Stories. https://quickbooks.intuit.com/r/customer-stories/bears-beef/
• Intuit QuickBooks. (September 18, 2024). “The New Small Business Money Trends.” https://quickbooks.intuit.com/r/money/small-business-money-trends/
• Internal Revenue Service. “Employment Taxes.” IRS Small Businesses & Self-Employed. https://www.irs.gov/businesses/small-businesses-self-employed/employment-taxes
• U.S. Securities and Exchange Commission. “Double-Entry Bookkeeping.” Investor.gov. https://www.investor.gov/introduction-investing/investing-basics/glossary/double-entry-bookkeeping
• U.S. Small Business Administration. “Keep Records for Your Small Business.” SBA Business Guide. https://www.sba.gov/business-guide/manage-your-business/records-your-small-business

About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity. Reviewed By: Brittany McMillen

Brittany McMillen

Brittany McMillen is a seasoned Marketing Manager with a sharp eye for strategy and storytelling. With a background in digital marketing, brand development, and customer engagement, she brings a results-driven mindset to every project. Brittany specializes in crafting compelling content and optimizing user experiences that convert. When she’s not reviewing content, she’s exploring the latest marketing trends or championing small business success.

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