How To Avoid Quickbooks Fees

How To Avoid Quickbooks Fees

Avoiding or minimizing QuickBooks fees depends on which version you’re using (Online vs. Desktop), your business needs, and which services you’re subscribed to. Here’s how to avoid or reduce QuickBooks fees effectively:

💸 1. Choose the Right Plan (Avoid Overpaying)

🧾 QuickBooks Online Plans (as of 2025):

• Simple Start: ~$30/month
• Essentials: ~$60/month
• Plus: ~$90/month
• Advanced: ~$200/month

✅ What to do:

• Don’t pay for features you don’t use.
• If you’re a freelancer or sole proprietor, consider:
  • QuickBooks Self-Employed (cheaper, ~$20/mo)
  • Alternatives like Wave, Zoho Books, or FreshBooks

🏷️ 2. Watch for Add-On Service Fees

QuickBooks charges extra for:

• Payroll (starting ~$45/month + per-employee fees)
• Payments / Credit Card Processing
• Time Tracking (TSheets)
• Bill Pay & Bill.com integration
• 1099 e-filing

✅ What to do:

• Evaluate if you need all add-ons.
• Use external services for cheaper options:
  • Payroll: Gusto, Patriot
  • 1099s: Track1099, Tax1099
  • Invoicing/Time tracking: Toggl, Clockify

💳 3. Avoid Payment Processing Fees

QuickBooks Payments charges:

• ~2.9% for credit cards
• ~1% for ACH/bank transfers

✅ To reduce fees:

• Encourage clients to pay via ACH (bank transfer) instead of credit card
• Use third-party processors like:
  • Square, Stripe, or PayPal (compare rates)
• Collect payments outside of QuickBooks, then record manually (note: more bookkeeping work)

🖥️ 4. Consider QuickBooks Desktop Instead of Online

• One-time purchase instead of monthly subscription (Desktop Pro/Plus ~ $549/year)
• More control over features and data
• Not cloud-based, but more cost-effective for some small businesses

✅ Ideal for businesses that:

• Don’t need remote/cloud access
• Have minimal staff/users

🧾 5. Take Advantage of Promotions

• First-year discounts (often 50% off for 3–6 months)
• Bundle discounts (e.g., with payroll or accountant versions)
• Check reseller sites or use a QuickBooks ProAdvisor for special pricing

👥 6. Limit Users (Each One Costs More)

• Online versions charge per user (especially Essentials/Plus plans)

✅ Tips:

• Share access only with essential team members
• Give your accountant read-only access (no extra cost in some plans)

🚫 7. Avoid Inactive Subscriptions

• Cancel any unused add-ons or duplicate services
• Review your billing summary monthly to catch hidden or duplicate charges

🔁 Summary: How to Avoid or Minimize QuickBooks Fees

Tip	Savings Potential
Pick the right plan	High
Use fewer add-ons	Medium–High
Avoid card fees	Medium
Use Desktop version	High (if applicable)
Use ACH instead of cards	Medium
Limit user seats	Low–Medium
Cancel unused features	Low–Medium