💳 Save money on credit card processing with one of our top 5 picks for 2025
Both have a lot going for them, but there are some key differences between QuickBooks Desktop and Online. Learn what they are in our comparison.
WRITTEN & RESEARCHED BY
Expert Contributor
Last updated onUpdated
REVIEWED BY
Expert Contributor
All QuickBooks Desktop Pro, Desktop Premiere, Mac, and Desktop Enhanced Payroll products, excluding QuickBooks Desktop Enterprise, will no longer be available to new users after September 30, 2024. Existing QuickBooks Desktop Pro, Premier, Mac, or Enhanced Payroll users will not be impacted. Security updates and product updates will still be released for all users who purchase a QuickBooks Desktop Plus or QuickBooks Desktop Payroll subscription before the cutoff date.
| QuickBooks Online | QuickBooks Desktop | |
|---|---|---|
| Installation Method | Cloud-based | Locally installed with optional cloud hosting |
| Ease Of Use | Easy to learn and use | Steep learning curve |
| Pricing | Subscription-based pricing starting at $35/month | Annual subscriptions start at $1,481/year for Enterprise (Premier and Pro pricing is undisclosed) |
| User Seats | 1-25 | 1-40 |
| Key Features |
|
|
| What’s Missing |
|
|
QuickBooks Online is the cloud-based, cheaper, and easier-to-use accounting software alternative to QuickBooks Desktop, which is locally installed, more expensive, and offers stronger functionality with a steeper learning curve.
Both QuickBooks Desktop and QuickBooks Online utilize a subscription pricing model.
Our complete QuickBooks Online vs. Desktop comparison covers key differences, pricing, features, and usability, so you can easily decide whether QuickBooks Online or QuickBooks Desktop is right for your business.
It is worth noting that QuickBooks Desktop Pro and Premier versions will soon discontinue sales to new users. Beginning July 31, 2024, only QuickBooks Desktop Enterprise will be available. If QuickBooks Desktop seems to be the better fit after reading this comparison, make sure to act quickly to start your subscription to avoid missing out.
Table of Contents
In the battle between QuickBooks Online and Desktop, it’s best to focus on the differences between the two accounting software options since they are so similar.
In comparison with QuickBooks Desktop, QuickBooks Online is cloud-based, cheaper, easier to use, supports more integrations, and is unlikely to be discontinued by QuickBooks.
In contrast, QuickBooks Desktop tends to have a steeper learning curve, offers fewer integrations, and has had its previous versions discontinued by QuickBooks. QuickBooks Pro and Premiere will also discontinue sales to new users on July 31, 2024.
Businesses that have purchased one-time licenses of the locally-installed QuickBooks Desktop versions that have been sunset can still use the software’s accounting features. However, these versions don’t receive security updates, live support, or access to cloud-based services such as live bank feeds, QuickBooks Desktop Payments, or QuickBooks Desktop Payroll.
What stands out most about QuickBooks Online when compared to Desktop is that QBO is cloud-based accounting software. Because of this, QuickBooks Online is much easier to use and has many more integrations and time-saving invoicing automations, such as auto-scheduling. While we’re on the topic of invoicing, QuickBooks Online has the superior product, offering six invoice templates and multilingual invoicing in six languages.
Not only is QuickBooks Online easier to use, but it offers additional support — for a fee. QuickBooks Online users can sign up for QuickBooks Live Bookkeeping to assist with getting the books up to date and managing bookkeeping tasks. As far as other add-ons, QuickBooks Online integrates with over 750 business apps and programs — well over twice the number of integrations you’ll find with Desktop.
Here’s a breakdown of where QuickBooks Online shines:
While QuickBooks Online boasts many of the features you’ll find with Desktop, some of its features, such as inventory management, aren’t quite as advanced. Additionally, you won’t find the industry-specific features and reports that you’ll get if you sign up for Desktop.
QuickBooks Online supports up to 25 users, which does fall short of the 40 users supported under QuickBooks Desktop.
Compared to QuickBooks Online, QuickBooks Desktop offers more advanced accounting. QuickBooks Desktop also offers different versions of its software for certain types of businesses (construction, nonprofits, manufacturing, etc.). These versions offer industry-specific reports, in addition to 50 more reports than you’ll find on QuickBooks Online.
QuickBooks Desktop also has several additional features you won’t find with QBO, including sales orders and lead management. Because it is locally installed software, you also have more control over keeping your financial data secure.
Here’s where QuickBooks Desktop stands out:
Perhaps the biggest area where QuickBooks Desktop falls short is that its Pro and Premier versions will soon be discontinued for new users. While QuickBooks Enterprise will still be an option, this is powerful software with an expensive price tag that will be too much (in terms of features and pricing) for most small businesses.
While QuickBooks Desktop is great for users who prefer locally-installed software, users will have to pay additional fees for cloud hosting, adding to the already expensive cost.
QuickBooks Desktop is also not a great choice for accounting newbies, as the UI is quite unintuitive and has a steep learning curve. And while Desktop has a respectable number of integrations when compared to other accounting software, it falls far short of what QBO offers its users.
| Price | Best For | |
|---|---|---|
| QuickBooks Online | $35+/month | Small to medium businesses with up to 25 users |
| QuickBooks Desktop Pro | Undisclosed | Small to medium businesses with 1 to 3 users |
| QuickBooks Desktop Premier | Undisclosed | Medium and niche industry businesses with 1 to 5 users |
| QuickBooks Desktop Enterprise | $1,481+/year | Medium to large businesses with up to 40 users |
QuickBooks Online and QuickBooks Pro have two different pricing structures.
QuickBooks Online has a monthly SaaS pricing structure. Four pricing plans for QuickBooks Online are available, ranging from $35 to $235/month (with an additional $50+/month for payroll).
QuickBooks Desktop has options for monthly or yearly subscription pricing. The prices for QuickBooks Desktop vary depending on which version of the software you opt for: QuickBooks Pro, QuickBooks Premier, or QuickBooks Enterprise.
QuickBooks Pro is geared toward small to medium businesses. Unfortunately, pricing is no longer disclosed and you will need to contact QuickBooks Sales for more pricing details. At the time of our last review, pricing started at $349.99/year for a single user.
QuickBooks Premier is suited for medium and niche industry businesses. Similar to QuickBooks Pro, pricing is not disclosed. Pricing at the time of our last review started at $549.99/year for a single user.
QuickBooks Enterprise is designed for large businesses or small enterprises and starts at $1,481/year or $142/month. You can add payroll, more users, and cloud hosting for additional fees.
It’s hard to say which software is cheaper because there are so many variables. But there are some general guidelines to know which version might be the one for your business (and your budget).
We recommend crunching the numbers to decide whether the online or desktop versions of QuickBooks are right for your specific business.
| Feature* | QuickBooks Online | QuickBooks Desktop |
|---|---|---|
| Invoicing | ||
| Estimates | ||
| Client Portal | ||
| Contact Management | ||
| Bank Reconciliation | ||
| Expense Tracking | ||
| Chart Of Accounts | ||
| Accounts Payable | ||
| Inventory | ||
| Time Tracking | ||
| Project Management | ||
| Budgeting | ||
| Tax Support | ||
| Built-In Lending | ||
| Reporting |
*Some features are only available on select plans.
Both QuickBooks Online and QuickBooks Desktop offer a large number of features. While they share many of the same features, QuickBooks Desktop’s features are often more developed, except when it comes to invoicing.
Even though QB Desktop has more comprehensive features in general, there are some key features that only QuickBooks Online has, such as bookkeeping support. So, it comes down to which features your business values most.
Here’s a breakdown of how each program’s specific features compare.
When it comes to invoicing, QuickBooks Online blows QuickBooks Desktop out of the water. QuickBooks Online makes it easy to create beautiful custom invoices. The designs are clean and modern, making it easy for customers to understand their invoices. Here’s an example of what a QBO invoice looks like:
QuickBooks Desktop’s invoices are cluttered, outdated, and much harder to customize. Here’s what an invoice made with QuickBooks Desktop looks like:
In addition to having better invoice template designs, QuickBooks Online also has better automations:
With QuickBooks Desktop, you can set recurring invoices, send payment reminders, send batch invoices, and track invoices, but you’ll miss out on many of the other modern, cloud-based automations that QBO provides.
One big drawback of QuickBooks Pro in the past was that it didn’t have mobile apps. Fortunately, a mobile app is now available with the introduction of QuickBooks Desktop 2022. However, the QuickBooks Desktop app is a very pared-down version of the desktop and is poorly rated.
QuickBooks Online also has mobile apps for iOS and Android.
Both QuickBooks Online and QuickBooks Desktop are capable programs with strong accounting features. Each software has its highs and lows.
With QuickBooks Online, users receive many of the same great features while gaining the mobility of cloud-based software. QuickBooks Online is easier to use and has more automations, more integrations, and better invoicing. The downsides are the lack of sales orders, lead management, and other complexities that loyal Desktop users may miss (such as customizable letter templates, a built-in calendar, and even spellcheck).
With QuickBooks Desktop, users receive some of the most developed accounting tools on the market. The software offers comprehensive features, unique touches (such as lead management and sales orders), industry-specific versions of the software, and the potential to be more secure.
The downsides are that QuickBooks Desktop lacks the mobility of QBO, has few automations and limited payment gateways, and has a steep learning curve (although the software is well-organized and gets easier to navigate with time).
Ultimately, your specific business’s size, type, and needs are the real deciding factors in determining which of the QuickBooks versions is best for your business. Just remember, you will need to make a decision quickly if you want QuickBooks Desktop Pro or Premier, as sales of these products will be discontinued this year.
While QuickBooks products work for many businesses, they aren’t the best choice for all businesses. If neither of these options seems to be the right fit or you’re just exploring your options, make sure to check out our list of the best accounting software for small businesses for more great options.
Need A Simple Accounting Solution?
FreshBooks  |
|---|
This easy-to-use and feature-rich software is ideal if you have no bookkeeping experience and want top-notch customer support. Get Started.
Need A Simple Accounting Solution?
FreshBooks |
|---|
This easy-to-use and feature-rich software is ideal if you have no bookkeeping experience and want top-notch customer support. Get Started.
Want to help shape the future of the Merchant Maverick website? Join our testing and survey community!
By providing feedback on how we can improve, you can earn gift cards and get early access to new features.
Help us to improve by providing some feedback on your experience today.
The vendors that appear on this list were chosen by subject matter experts on the basis of product quality, wide usage and availability, and positive reputation.
Merchant Maverick’s ratings are editorial in nature, and are not aggregated from user reviews. Each staff reviewer at Merchant Maverick is a subject matter expert with experience researching, testing, and evaluating small business software and services. The rating of this company or service is based on the author’s expert opinion and analysis of the product, and assessed and seconded by another subject matter expert on staff before publication. Merchant Maverick’s ratings are not influenced by affiliate partnerships.
Our unbiased reviews and content are supported in part by affiliate partnerships, and we adhere to strict guidelines to preserve editorial integrity. The editorial content on this page is not provided by any of the companies mentioned and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author’s alone.
