Tax Prep Software for Self-Employed People Compared
When you work for yourself, tax software has a bigger job than filling in a form once a year. It has to cope with business income, expenses, mileage, quarterly estimates or payments on account, and the odd client who paid you twice. This guide compares four well-known options for self-employed people, explains what each one is built for and gives you a simple scorecard so you can choose calmly before the January deadlines.
Key takeaways
- Start with your country: TurboTax Self-Employed and H&R Block focus on US returns, while FreeAgent is built for UK Self Assessment.
- Decide whether you want a once-a-year filing tool or a year-round bookkeeping app that also prepares your return.
- Compare how each tool handles business expenses, mileage, receipts and estimated payments, not just the headline price.
- Run a short trial with real numbers from last year before you commit, and check current features, pricing and privacy policies.
If you are a freelancer, contractor, consultant or side hustler, you probably already know the feeling: a folder of invoices, a bank feed full of mystery transactions and a nagging sense that you are missing a deduction. Good software will not do your thinking for you, but it can ask the right questions in the right order and keep your numbers in one place.
A quick note before we begin: this article is general information about software and tax admin, not tax, legal or financial advice. Rules change and every situation is different, so check official sources such as IRS.gov and GOV.UK, and talk to a qualified accountant or tax professional if your return is complicated.
What self-employed filers need from tax software
An employee with one paycheck can get by with almost any filing tool. Self-employed people have more moving parts, so it pays to know what to look for before you compare brands.
- Business income from several sources. Client payments, platform payouts and marketplace sales should be easy to enter and match to the right forms or pages.
- Expense categories that make sense. Look for categories that fit your work, with plain explanations of what usually counts.
- Mileage and vehicle costs. If you drive for work, check how the tool records trips and which method it supports.
- Home office questions. The rules for claiming a share of household costs differ by country, so good software walks you through them.
- Estimated payments or payments on account. In the US, many self-employed people pay estimated tax each quarter. In the UK, Self Assessment taxpayers may make payments on account. The software should help you see what is coming next, not just what is due now.
- Help when you get stuck. Some tools offer expert review for an extra fee. Others rely on help articles and chat.
Filing tool or year-round bookkeeping app?
This is the most useful question to answer first. A filing tool is something you open once a year to prepare and submit a return. A bookkeeping app runs all year: it connects to your bank, sorts transactions, tracks mileage and then feeds your totals into a return. If you dread a January scramble, a year-round app can make next year far easier. If your books are already tidy in a spreadsheet or accounting system, a filing tool may be all you need.
Pro tip
Before you compare anything, write down the three things that took you longest last year. Maybe it was sorting bank transactions, adding up mileage or working out your home office share. Judge every tool by how well it solves those three problems.
The four tools at a glance
Here are four names self-employed people often consider. This is not a ranking. Each tool suits a different situation, and features and pricing change often, so treat this as a starting point and check each provider's current plans before you sign up.
| Tool | Main market | Type | Often suits | Check before you choose |
|---|---|---|---|---|
| TurboTax Self-Employed | US | Guided annual filing | Freelancers and gig workers filing a federal return with business income | Which edition covers your situation, state return costs and add-on expert help |
| H&R Block | US | Online software plus in-person offices | People who want to file online but like the option of a human preparer | Which online tier covers self-employment and what in-person help costs |
| FreeAgent | UK | Year-round accounting software | UK sole traders and small companies who want bookkeeping and Self Assessment in one place | Whether your bank offers access as part of an account and which return types are supported |
| QuickBooks Self-Employed | US and UK | Year-round bookkeeping app for sole traders | Freelancers who want to sort transactions and track mileage through the year | Whether it is still offered in your country, under what name, and how it connects to filing |
TurboTax Self-Employed
TurboTax is one of the best-known US filing brands, and its self-employed edition is aimed at people with freelance or gig income. Its main strength is the guided interview: it asks questions in plain language and builds your return from the answers, which suits people who would rather not think in form numbers. Look at how it imports income and expenses, how it handles vehicle and home office questions and whether expert review is included or extra. Also check the cost of state returns, which are often priced separately.
H&R Block
H&R Block offers online filing software as well as a network of in-person tax offices in the US. That mix is its main appeal: you can start online and, if your situation gets complicated, you may be able to get help from a person. Check which online tier covers self-employment income, what support is included and what an in-person review would cost compared with doing it yourself.
FreeAgent
FreeAgent is UK accounting software designed for freelancers, sole traders and small businesses. It works year round: you connect your bank, send invoices, log expenses and then use your figures to prepare and file a Self Assessment return to HMRC from inside the app. It suits people who want their bookkeeping and their return in one place. Some UK banks have offered FreeAgent access with certain business accounts, so check whether that applies to you before paying for a subscription.
QuickBooks Self-Employed
QuickBooks Self-Employed is a bookkeeping app for sole traders. It is built around sorting bank transactions into business and personal, tracking mileage and estimating what you may owe as the year goes on. Intuit has changed its product line-up over time, so check whether this product is still offered in your country, what it is currently called and how it connects to filing. If you use TurboTax in the US, see whether the two can share data.
Common mistake
Choosing software by the advertised starting price. The entry tier is often for simple returns only, and business income, state returns, expert help or extra features can move you into a higher tier. Price the plan you will actually need, with your real situation, before you compare.
How to choose in one evening
You do not need a week of research. Use this method to narrow the field and make a confident choice.
- Confirm your filing country and return type. US federal and state returns, UK Self Assessment, or both if you have income in more than one place. Drop any tool that does not cover your returns.
- List your complications. Write down every unusual item: several income sources, a vehicle, a home office, equipment purchases, rental income, investment income or a partner's income.
- Decide on filing tool or bookkeeping app. Be honest about your habits. If your records are a mess, a year-round app may save more time than it costs.
- Price the tier you need. Include state returns, expert help and any add-ons. Note whether the price is per return or a monthly or yearly subscription.
- Test with last year's numbers. Many tools let you start for free and pay only when you file. Enter a few real figures and see how clear the questions feel.
- Check data export and privacy. Make sure you can download your return and records, and read how the provider stores and uses your data.
- Choose and set a filing date. Pick the tool, then put a filing date in your calendar at least a week before the deadline.
A tax software scorecard template
Copy this table into a spreadsheet and score each tool from 1 to 5 on the things that matter to you. The scores and notes below are made up for illustration only.
| Tool | Covers my returns? | Handles my complications (1 to 5) | Ease of use (1 to 5) | Help available | Price for my tier (example) | Notes |
|---|---|---|---|---|---|---|
| Tool A (example) | Yes, federal and state | 4 | 5 | Paid expert add-on | $150 | Mileage questions very clear |
| Tool B (example) | Yes, federal only | 3 | 4 | In-person option | $120 | State return costs extra |
| Tool C (example) | Yes, UK Self Assessment | 5 | 4 | Help articles and email | £20 a month | Also does invoicing |
Add a final column for "would I use it again next year?" after you file. That one honest answer is worth more than any review.
Hypothetical example
Imagine Maya, a freelance illustrator in Ohio who also sells prints online and drives to client meetings. Last year she lost a whole weekend sorting card transactions. She shortlists a guided US filing tool and a year-round bookkeeping app. Testing both with three months of real data, she finds the bookkeeping app sorts her transactions in minutes and keeps a mileage log, while the filing tool asks clearer questions about her home studio. She decides to use the bookkeeping app all year and the filing tool for the return itself, and checks first that the two can share data. Someone with tidy books and one client might reach a simpler answer.
Timing your choice around the January deadlines
Mid-January is a busy time for self-employed people on both sides of the Atlantic, so it helps to know which dates matter before you start testing software.
- US estimated tax. The fourth-quarter estimated payment for 2027 is due on 18 January 2028. If you have not paid it yet, deal with that first and choose software afterwards.
- US forms from clients. Forms 1099-NEC are due to recipients by 31 January, so you may still be waiting for some. Do not file until you have checked them against your own records.
- UK Self Assessment. Online returns and any balancing payment are due by 31 January. If your last bill was over £1,000, you may also have a first payment on account due on the same date, unless most of your tax was collected at source.
If you are a UK filer reading this in mid-January, there may not be time to switch to new software and learn it before the deadline. In that case, file with what you know and plan a calm switch for next year. If you cannot pay the full bill, HMRC Time to Pay arrangements may let you spread it; check eligibility on GOV.UK. In the US, the IRS offers payment plans for tax balances, though penalties and interest still apply.
Records, privacy and when to bring in a professional
Tax software holds some of your most sensitive information, from bank details to your Social Security number or National Insurance number. Treat the choice of provider with the same care you would give a bank.
- Use strong sign-in security. Turn on multi-factor authentication and use a unique password stored in a password manager.
- Read the privacy policy. Look for how your data is stored, whether it is shared for marketing and how you can delete it.
- Download your records. Save a PDF copy of your filed return and supporting records outside the software. The IRS generally expects records to be kept for at least 3 years after filing, and longer in some cases. In the UK, sole traders keep records for at least 5 years after the 31 January filing deadline.
- Know your limits. Software is great for straightforward self-employment. If you have income in several countries, a big one-off gain, employees, a change of business structure or a letter from the tax authority, a qualified accountant or tax professional is usually worth the cost.
Your tax software action checklist
- Pay any US estimated tax or plan any UK payment that is due right now
- Confirm which returns you need to file this year
- List the three tasks that took longest last year
- Decide between a filing tool and a year-round bookkeeping app
- Shortlist two or three tools that cover your returns
- Price the tier you actually need, including add-ons
- Test each tool with real figures and fill in the scorecard
- Turn on multi-factor authentication and read the privacy policy
- Set a filing date a week before the deadline
- Save a copy of your filed return and records outside the software
Frequently asked questions
Do I need special software if I am self-employed?
Not always, but it usually helps. Many basic tiers are designed for simple employee returns and may not cover business income or expenses. Check that the edition you choose supports self-employment before you start entering figures.
Can I use US software for my UK return, or the other way round?
Generally no. US tools prepare US federal and state returns, while UK tools such as FreeAgent are built for HMRC Self Assessment. If you have tax obligations in both countries, you will usually need separate tools and, ideally, an adviser who understands both systems.
Is a bookkeeping app worth paying for all year?
It depends on how messy your records get. If you have many transactions, drive for work or struggle to separate business and personal spending, a year-round app can save hours in January. If you have a few clients and tidy records, an annual filing tool may be enough.
Should I pay for expert help inside the software?
Consider it if you are unsure about several items, are filing as self-employed for the first time or have had a big change in your business. Compare the add-on cost with an hour of a local accountant's time before you decide.
The bottom line
The best tax prep software for you is the one that covers your returns, handles your real complications and that you will actually use. Start with your country, decide whether you want a filing tool or a year-round bookkeeping app, price the tier you need and test each option with last year's numbers.
Handle any payment that is due this month first, then pick one evening this week to fill in the scorecard. Once your tool is chosen and your filing date is in the calendar, tax season becomes one more task on your list instead of a cloud over January.
