Cloud Accountancy for Contractors: Do you find it mystifying?

Technology is evolving at a pace that we are finding hard to keep up with. Like it or not, technology now has a major impact on every part of life. Thankfully, the majority of the time it is a positive impact.

Cloud based accountancy software has definitely made contractors life’s much easier.

Cloud based software is another name for internet based software and therefore is accessible on differing devices that have a connection to the internet.

Contractors and freelancers who use it say it has made understanding their businesses’ financial data much easier. What they like is;

“it cuts back on the time you spend on doing your accounts”

“it is easy to use, even for technophobes”

“it is an ideal software for contractors and freelancers”

Cloud based accountancy packages are ideal for busy contractors and freelancers as they:

• require no software upgrades
• it is accessible anytime, anywhere (as long as you have an internet connection)
• your accountant has access to the same data as you
• you can raise invoices through it
• it can help estimate your corporation tax
• keep track of your dividends

Cloud based accountancy software has been described as a ‘virtual accountant’, but it should NOT signal the end of your relationship with your accountant.

Cloud based accountancy software can not provide you with strategic tax planning and advice. You cannot call upon ‘the cloud’ to help you with a question about VAT, for example. However, using the two in conjunction will make you a super-powered contractor or freelancer.