What is Wave Review, Formerly Wave Accounting?

Wave accounting offers accounting platforms.

Wave Accounting Software

Wave is double-entry accounting software for businesses. The cloud-based software is free, enabling data to be accessed anywhere. We have used the software for adding an unlimited number of collaborators while working on our entire business through just one login. Wave accounting software eliminates data-entry and provides us with the financial reports we need. Our accounting is integrated seamlessly with receipt scanning, payroll, invoicing, and payment processing. Wave is invaluable for every small business owner.

We have learned Wave bookkeeping software is essential for ensuring we have tracked everything correctly. We also enjoy saving money whenever possible. Wave eliminates the need to purchase expensive software. Wave was established by Kirk Simpson and James Lochrie in July of 2009, with the official launch in 2010. The company is based in Toronto, Canada. Wave offers free online invoicing in addition to affordable invoicing and accounting software and payroll processing services. Wave Accounting is also referred to as Wave Apps.

We have also used the platform for bookkeeping support and tax advice services. H&R Block acquired Wave Apps in June of 2019. Wave has since updated both features and the logo, but the service platform is the same. Wave Bookkeeping offers all of the following:

• Accepts online payments

• Tracking expenses and income

• Tracking receipts

• Creation of in-depth reports for bookkeeping and accounting.

Invoicing

• Simple payroll services

Wave Accounting Software Dashboard

The dashboard provides us with access to our profit and losses and cash flow. We know the information is current because we have automatically linked our bank accounts to enable automatic transactions. The dashboard has numerous different sections we have defined below.

Sales Section

We use this section for the creation and management of our bookkeeping and accounting services including:

Invoices: We create simple and free invoices, and have inserted our business colors and logo. We were offered three different design templates.

Customer Statements: We have enjoyed this new feature not previously available. We require customer statements to remain in contact with our customers, create statements for sharing account details and activity with our customers, and send reminders regarding outstanding invoices.

Estimates: We create estimates for our clients. We turn the statements into invoices at a later date.

Checkouts: We are able to accept payments directly from our website without the need for coding.

Products and Services: This is our database for products, services, and pricing data. This is different than the purchases section for products and services. Recurring Invoices: We use Wave accounting software for the creation of recurring invoices for automatically collecting recurring payments from our customers.

Payments: This is where we set up our account for accepting bank transfers, and credit card payments using our choice of checkouts and invoicing. Customer Databases: Our client and customer information is stored here. This is also where we pull information for estimates and invoices.

Accounting Section

Transactions: We are able to manage all of our bank transactions here with three different options.

• Manually adding transactions

• Uploading our bank statements through Wave Connect

• Automatically connecting our bank account

Reconciliation: Wave assists us with account reconciliation with a walkthrough available for every transaction. This helps us find duplicate or missing transactions. We want to be certain we have the correct numbers both annually and every month.

Hire a Bookkeeper: When necessary, we have used the Wave app for hiring an accounting coach, tax pro, and a bookkeeper.

Chart of Accounts: This is where we receive an overall view of our account including assets, liabilities, expenses, and income. Our outflow and inflow of funds are displayed on one page.

Purchases Section

Receipts: We use Wave for tracking receipts. We upload them using a mobile app. We are also able to send them through email.

Bills: This is a part of our expense category. When necessary, we have added bills manually.

Purchases of Products and Services: This database includes all of the services and products we have purchased from contractors and vendors. All of these items are listed on our bills.

Vendors: We use this section for tracking contractors and vendors. We can manually add them, use a CSV file, or upload our vendors through Google Contacts.

Payroll Section

Run Payroll: We use the dashboard for running our entire payroll from one location. We edit, approve, and schedule payroll for independent contractors and employees. The dashboard reveals direct deposits, and starting and ending periods. We can also see our total costs, and generate W2s.

Timesheets: We track our salaried and hourly employees here. We also include holiday, sick, vacation, and overtime pay.

Direct Deposit: This is where we set up our direct deposits to meet our payroll.

Employees: We have added all of our employees including important information such as tax details and addresses.

Taxes: This is where our tax payments are set up for payroll.

The Payroll dashboard must be set up prior to accessing employees, taxes, timesheets, and direct deposit dashboards.

Banking Section

Connected Accounts: We use this feature for connecting to our bank for easier accounting and bookkeeping. Users can connect to banks in Canada, or use Wave Connect for banks outside of the country including the United States. This allows transactions to be exported and imported through an add-on.

Insurance: This feature can only be used within the United States. The partnership between Wave and Next Insurance enables Wave Accounting to offer insurance for small businesses. Sign-up is available directly through the dashboard.

Payouts: We set everything up to receive online payments for both recurring and standard invoices in addition to online checkouts. We can accept credit cards, PayPal transfers, and ACH bank transfers.

Reports Dashboard

We receive exceptional value from the reports dashboard. Once our accounts were linked, we began running our business using the Wave platform. Within a few months, the reports showed how our business was performing.

Tax Reports: This section is for reports regarding taxes. We receive payroll and wage tax and sales tax reports.

Vendor Reports: These reports include aged payables and purchases by the vendor. Running these reports shows how our business is doing regarding spending.

Customer Reports: This area reveals if our business is doing well regarding our customers. The two key reports allow us to concentrate on income by aged customer receivables.

The Big Picture: This is where we run reports for balance sheets, profit and loss, and cash flow.

Digging Deeper: We run customized reports showing detailed transactions for the entire time we have been in business. This includes our general ledger, trial balances, and account balances.

Wave Advisors: We can receive help directly from our dashboard from a team of trained Wave advisors including accounting, tax assistance, and bookkeeping.

How To Do Your Bank Reconciliation in Wave Accounting?

A bank reconciliation statement is an important and necessary document that must match the cash balance shown on our balance sheet. This amount must be the same as what is listed on our bank statement. We determine if any changes in our accounting are necessary by reconciling both accounts. We complete bank reconciliations on a regular basis to make certain our cash records for the business are correct. This is how we find both cash manipulations and fraud by using Wave bookkeeping.

There are reasons our accounting records and bank statements may not match. When we receive a bank statement showing the cash balance our company started with, the ending balance includes all transactions we made during this time. In many instances, our ending cash balance is not the same as the ending balance on our bank statement. The reasons for this difference include:

Deposits Still in Transit: There are often checks and cash the business has received and recorded not yet appearing on the statement from the bank.

Bank Service Fees: Although fairly small, banks charge businesses for all of the services provided to their customers.

Outstanding Checks: Sometimes a check has been issued by the business to pay creditors, but the bank has not yet processed the payments.

Interest: Banks will pay interest for certain accounts.

NSF Checks: NSF or not sufficient funds are deposited checks where the account does not contain enough funds to cover the transaction. The previous credit made by the bank is then deducted from the business account. The depositor will receive the check back marked as NSF.

We have found accounting software such as Wave enables us to perform bank reconciliations to decrease both our work, and the number of adjustments necessary for real-time updates. We begin by comparing the list of deposits and checks issued to the checks listed on our bank statement. This shows all uncleared deposits and checks due to transit. We use the cash balance listed on our bank statement, add in all uncredited deposits, and deduct any checks still outstanding.

This adjusts our bank cash balance. We then take the ending cash balance for the business, add in any interest, and make a note of the receivable amount. Next, we deduct NSF checks, penalties, and service fees from our bank. The result is an adjusted cash balance for the business. Once our reconciliation is complete, our adjusted balance matches the cash balance for the business.

FAQ

What software do accountants use?

Unquestionably, accounting needs software. Not having a good accounting system at hand is one of the main reasons why companies collapse. This would provide warning signals to companies when they might run out of capital or when the capital is at potential risk. Therefore, there is an accounting solution that will help operators to do their job more efficiently by using an exceptional tool. So, there are different types of accounting systems available in the world market. Some people consider free accounting software as an accessible source, as it does not charge them at all and it also gives them the freedom to use it in anyplace. Some of the most prominent programs are:

  • Wave Accounting
  • QuickBook‘s
  • Zero
  • Microsoft Excel
  • Sage
  • MAS200
  • PeachTree (small business accounting software)
  • Peoplesoft
  • ERP

Is wave accounting really free?

Nowadays having a wave account is a plus. There are no hidden tricks here in this accounting app. This Wave software is indeed free, no limitations, and no hidden fees. A Wave user can enjoy it as much as they want, for as long as they want, and they won’t be charged for a penny. Certainly, this free software includes payroll service, billing, invoice status, accounting coaching, and receipt scanning. We understand that there is a focus on this accounting software that works easily and free of charge made for small businesses. It can be used for both online and physical companies. This allows users to connect via online and offline sales to get the best solution in the accounting world.

Is wave accounting software safe to use?

Today’s accounting software is a far cry from traditional desktop calculators, pencils, and paper. State-of-the-art solutions provide a whole range of tools and possibilities. Moreover,accounting software is becoming more and more effective and not only gives us more information and makes our work more valuable, but it is also more secure and reliable than the accounting tools of the past years. Among all the advances that are taking place every day in this field, this new concept of wave’s dashboard is completely safe. It includes tabs for Credit Cards, Expense tracking, Income, bank payments, invoice payments, and Recent Activity. Other items include net income, bank accounts, and many others. To sum up, in the wave accounting review, we can find a new way of serving that breaks with all the problems we suffered in the past.

Does wave integrate with paypal?

The answer is yes, Wave is ideal for making transactions within the system to support accounting, as long as it is a business account and not a personal one. PayPal and Wave can be integrated like other financial institutions. Also, it is quite simple since there is no coding required to connect. Every event with personalized details will be sent to Wave, as well as applying real-time workflows and filters. It must be connected most comfortably and conveniently possible for the one who aspires to connect. From time ago, Wave and PayPal are connected and are highly recommended by the public and freelancers.

How does wave accounting software make money?

Wave Accounting makes its money by implementing advertising banners that pop up when users are running the application. This is a widely adopted formula by various SaaS markets. However, it is not widely accepted by a plentiful majority of small business owners. In short, accounting wave software is a big option for companies, since its existence is powerful, they accelerate processes and help manage resources to make the business grow and be more profitable. It further helps to achieve goals in record time. Today, accounting software is the key element of any accounting department, whether it is a small or large company.

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