Mission-driven organizations, like nonprofits and associations, face a distinct set of financial requirements that go far beyond standard business accounting.
They must maintain strict compliance while reporting on funding sources like grants, donations, and membership dues. More importantly, these organizations need to accurately illustrate operational effectiveness by tying every dollar back to program delivery and the realization of their core mission.
Nonprofit accounting software is a crucial tool for financial integrity and mission support. It must be robust enough to handle their complex organizational structure, reporting, and nonprofit budgeting needs on a program-by-program basis.
Unfortunately, many organizations are currently burdened by non-specialized accounting software, relying on extensive workarounds and tedious manual processes to make their current solution function.
The right platform solves this by helping you streamline intricate financial processes, drastically reduce costly errors, and position your team to make smarter, faster decisions.
What Is Accounting Software?
Accounting software is a set of digital tools that handle financial management tasks such as bookkeeping, invoicing, payroll, budgeting, and reporting. It gives users a clear view of cash flow, expenses, and performance while minimizing the need for manual data entry.
Modern accounting solutions also integrate with payroll and analytics tools to provide real-time financial intelligence—making them essential for both day-to-day operations and strategic planning.
When evaluating options, consider:
- Scalability as your organization grows
- Integration with tools like CRMs, ERP systems, or fundraising platforms
- Security & compliance features that ensure financial data is protected and secure
- Reporting flexibility to analyze performance at every level
- Support & implementation tailored to your team’s needs
What Are the Best Accounting Software Options?
- Best Accounting Software for Nonprofits and Associations — MIP Accounting by Momentive Software
- Best for Small Businesses — QuickBooks Online
- Best for Growing Teams — Xero
- Best for Enterprises — NetSuite
- Best Free Accounting Software — Wave
- Best for Automation — Zoho Books
Best Accounting Software for Nonprofits and Associations
MIP Accounting by Momentive Software
Overview
MIP Accounting by Momentive Software is a comprehensive accounting software platform built to meet the complex needs of associations, nonprofits, and other mission-driven organizations. It simplifies financial operations while supporting regulatory compliance, multi-entity accounting, and fund tracking.
Key Features
- Advanced accounting built for complex nonprofit and grant structures
- Robust reporting and analytics for better financial transparency
- Seamless integration with membership, event, and fundraising systems
- Cloud-based for flexibility and security
- Comprehensive HR management tools
- Dedicated customer support and implementation services
Reviews
Finance and operations professionals praise MIP Accounting for its depth, reliability, and adaptability. Many highlight the platform’s ability to manage restricted funds and multi-program budgets with precision, saving hours of manual reconciliation.
Benefits
- Centralizes complex financial operations in one platform
- Delivers accurate, audit management
- Improves team efficiency with workflow automation
- Scales with organizations as they grow
Pricing
MIP Accounting offers tiered pricing based on organization size and feature needs, with transparent options for cloud or on-premise deployment.
Why We Picked It
MIP Accounting by Momentive Software is the top choice for associations and nonprofits seeking a powerful, purpose-built accounting system that balances depth, flexibility, and compliance with ease of use—illustrating why nonprofits are turning to MIP Accounting.
Best for Small Businesses
QuickBooks Online
Overview
QuickBooks Online remains one of the most popular accounting tools for small businesses thanks to its ease of use, automation features, and robust integrations. Its cloud-based platform simplifies bookkeeping, invoicing, and reporting—helping business owners manage finances without needing a full-time accountant.
Key Features
- Automated expense tracking and bank reconciliation
- Customizable invoices and recurring billing
- Built-in payroll and HR management
- Integration with hundreds of business apps and payment processors
- Mobile app for on-the-go invoicing and reporting
Reviews
Users praise QuickBooks Online for its intuitive design and strong feature set tailored to small business needs. However, some note that advanced reporting and multi-user capabilities can be costly at higher tiers.
Benefits
- Simplifies accounting tasks for small business owners
- Saves time with automation and recurring processes
- Accessible anywhere with cloud sync and mobile tools
Pricing
Plans start at $30/month, with additional tiers for advanced reporting, payroll, and multi-user access.
Why We Picked It
QuickBooks Online delivers an excellent balance of usability, affordability, and capability—making it ideal for small businesses seeking a reliable, all-around accounting solution.
Best for Growing Teams
Xero
Overview
Xero offers a scalable cloud-based accounting solution designed for businesses growing in size or complexity. Its clean interface, collaboration tools, and app marketplace make it especially popular among modern teams and accountants managing multiple clients.
Key Features
- Real-time collaboration for multiple users
- Smart bank reconciliation and transaction categorization
- Expense and project tracking for team-based workflows
- 1,000+ integrations across inventory, CRM, and payroll tools
- AI-driven insights and reporting
Reviews
Users appreciate Xero’s modern UX, automation capabilities, and extensive integration options. Some find its reporting slightly less customizable than QuickBooks, but it’s praised for overall flexibility and reliability.
Benefits
- Streamlines collaboration across finance and operations teams
- Reduces manual work with automated reconciliation and reporting
- Grows easily with additional apps and users
Pricing
Plans start at $15/month, with higher tiers for growing teams needing advanced features like multi-currency support.
Why We Picked It
Xero’s intuitive design, strong automation, and scalability make it an ideal accounting choice for fast-growing businesses ready to move beyond entry-level tools.
Best for Enterprises
NetSuite
Overview
NetSuite by Oracle is a full ERP solution that goes beyond accounting, combining financial management with inventory, HR, and CRM functionality. It’s designed for large enterprises that need unified visibility across departments, multi-entity reporting, and global compliance support.
Key Features
- Complete ERP suite with accounting, inventory, CRM, and HR
- Real-time dashboards and enterprise-level reporting
- Global tax, currency, and compliance support
- Strong automation for billing and revenue recognition
- Highly customizable workflows and integrations
Reviews
Enterprise users praise NetSuite for its depth and scalability. Many highlight its ability to replace multiple standalone systems, though implementation and setup can be time-intensive.
Benefits
- Consolidates multiple business functions into one platform
- Offers advanced reporting and compliance for global operations
- Scales efficiently for large organizations with complex structures
Pricing
Pricing is quote-based, typically starting at $999/month plus per-user fees.
Why We Picked It
NetSuite is the gold standard for enterprise accounting, offering unmatched power, customization, and end-to-end financial visibility.
Best Free Accounting Software
Wave
Overview
Wave offers a powerful, free accounting solution designed for freelancers, solopreneurs, and small businesses. It covers the essentials—bookkeeping, invoicing, and expense tracking—without a subscription fee, making it a great entry-level option.
Key Features
- Free invoicing, expense management, and receipt scanning
- Basic cash flow and profit/loss reporting
- Bank connections for automatic transaction syncing
- Optional paid add-ons for payroll and payment processing
- Mobile-friendly dashboard and simple setup
Reviews
Users love Wave’s value and simplicity, especially for small operations. Some note that its feature set and support are limited compared to paid alternatives, but it’s praised as a cost-effective starting point.
Benefits
- 100% free for core accounting features
- Easy for non-accountants to use
- Great for freelancers and small teams with straightforward finances
Pricing
Free for core tools; payroll and payments are available as paid add-ons.
Why We Picked It
Wave delivers excellent foundational accounting tools at no cost—ideal for small operations that want reliable financial tracking without monthly fees.
Best for Automation
Zoho Books
Overview
Zoho Books automates many core accounting tasks, from invoicing and expense tracking to tax compliance and reporting. As part of the Zoho ecosystem, it integrates seamlessly with CRM, inventory, and project management tools for an all-in-one business suite.
Key Features
- Automated workflows for invoicing, reminders, and reconciliation
- Built-in tax compliance and audit trail features
- Advanced project billing and expense tracking
- Seamless integration with Zoho CRM, Payroll, and Analytics
- Robust mobile apps and customer portals
Reviews
Users value Zoho Books for its automation, affordability, and integration depth. Some mention a learning curve with setup, but it’s highly rated for efficiency once configured.
Benefits
- Reduces manual workload through smart automation
- Integrates easily across the Zoho ecosystem
- Improves compliance and financial accuracy
Pricing
Plans start at $15/month, with free tiers available for small businesses under a revenue cap.
Why We Picked It
Zoho Books stands out for its automation-first approach, helping businesses streamline accounting tasks and focus on growth rather than data entry.
Choosing the Right Accounting Software
The right accounting software doesn’t just manage numbers—it powers strategy, accuracy, and long-term growth. Today’s top accounting platforms make it easier than ever to stay compliant, transparent, and efficient.
MIP Accounting by Momentive Software stands out as a trusted choice for associations and nonprofits, delivering robust accounting, reporting, and fund management capabilities that scale with mission-driven organizations.
FAQ
What Software Do Most Accountants Use?
QuickBooks Online, Xero, and MIP Accounting by Momentive Software are among the most widely used accounting platforms. QuickBooks dominates small business use, while Xero appeals to growing teams, and MIP serves nonprofits and associations needing accounting and compliance tools.
What Is the Best Accounting Software Overall?
The best accounting software depends on your organization’s needs. MIP Accounting by Momentive Software is ideal for nonprofits and associations. QuickBooks Online works best for small businesses, Xero suits growing teams, and NetSuite is preferred by large enterprises.
What’s Easier to Use Than QuickBooks?
For users wanting a simpler alternative, Wave offers free, beginner-friendly bookkeeping and invoicing tools, while Zoho Books provides automated workflows that simplify daily accounting tasks. Learn why more are moving on from QuickBooks.
Which Accounting Software Is Best for Small Businesses?
Small business owners often choose QuickBooks Online for its all-around functionality, or Xero for collaboration and scalability. Both integrate easily with payment and payroll systems, making them efficient for day-to-day financial management.
What Is the Best Accounting Software for Self-Employed Professionals and Freelancers?
Wave and Zoho Books are great low-cost options for freelancers and sole proprietors. They handle invoices, expenses, and reporting without steep learning curves or large monthly fees.
What Accounting Software Do Nonprofits Use?
Nonprofits and associations typically use MIP Accounting by Momentive Software for accounting, grant tracking, and reporting. Book a demo to learn more about MIP accounting. Some smaller organizations use QuickBooks for Nonprofits, but MIP offers more robust compliance and financial transparency features.
Is There Free Accounting Software for Small Businesses or Nonprofits?
Yes. Wave is one of the best free accounting platforms, offering core bookkeeping and invoicing tools. While it’s excellent for startups or small organizations, larger teams may eventually outgrow its limited reporting and integration options.
Which Is Better for Small Businesses: Xero or QuickBooks?
Both are excellent. QuickBooks offers slightly more built-in features for U.S. tax and payroll needs, while Xero stands out for its modern design and collaborative features. Your choice depends on your growth stage and preferred user experience.
What’s the Best Accounting Software for Large Businesses?
NetSuite leads for enterprises needing advanced ERP features, global compliance, and multi-entity management. It consolidates accounting, HR, and operations into one system.
What Features Should I Look for in Accounting Software?
Look for automation, scalability, real-time reporting, integrations, and reliable customer support. Prioritize platforms that reduce manual entry, improve accuracy, and adapt as your business grows.
Do I Need Accounting Software if I’m Self-Employed or Running a Small Nonprofit?
Yes. Even basic accounting tools save time, prevent errors, and simplify tax season. Platforms like Wave, Zoho Books, or MIP Cloud make it easy to manage finances without hiring a full-time accountant.
Is There an Accounting Program with No Monthly Fee?
Wave offers essential accounting tools at no cost. Some software like Zoho Books also provides free plans for very small businesses under specific revenue thresholds.
