Wave Review

Wave is a cloud-based financial software platform aimed at small business owners, freelancers, and sole proprietors who need basic accounting and invoicing tools without the cost of enterprise solutions. Its core features — including double-entry accounting, unlimited invoicing, expense tracking, and financial reporting — are available at no charge, making it one of the few genuinely free options in the small business accounting market. The platform includes an invoicing tool that allows users to create and send customized invoices, set up recurring billing, and accept online payments via credit card or bank transfer. Payment processing is a paid, usage-based feature charged per transaction, while the invoicing itself remains free. Users can connect bank accounts and credit cards to automatically import and categorize transactions. Wave's accounting module follows double-entry bookkeeping standards and generates standard financial reports such as profit and loss statements, balance sheets, and cash flow reports. These reports are intended to be useful for both business owners managing their own finances and accountants reviewing client books. Payroll is available as a paid subscription add-on, with pricing that varies by state. In some U.S. states, Wave handles full tax filing and remittance (full-service payroll), while in others it offers a self-serve option where users run payroll but handle their own tax filings. Wave competes primarily with QuickBooks Self-Employed, FreshBooks, and Xero in the small business segment. Its free pricing model distinguishes it from most competitors, though its feature set is more limited than paid alternatives, making it best suited for businesses with straightforward financial needs rather than complex operations.