Why consultants need different books
Invoices out and payments in at their own pace, clients in other provinces, states or countries, software subscriptions everywhere, and a home office. The work is simple; staying on top of who owes you and what to set aside is not.
What a bookkeeper for consultants keeps track of
- Invoices, payments and who's late
- Retainers and what's left of them
- Software and subscriptions
- Your home office
- Tax to set aside
In the US
- Clients paying you $2,000 or more in 2026 send a 1099-NEC, but you report all your income either way.
- You pay estimated tax four times a year: April 15, June 15, September 15 and January 15.
- A space at home used only for work can be written off.
In Canada
- Register for GST/HST once your income passes $30,000 in four quarters in a row; services to clients outside Canada are usually zero-rated.
- Once you owe more than $3,000 in tax, CRA asks for instalments.
- Part of your home costs can be claimed for a home office.
What SumSwift does for consultants and freelancers
- Invoices made, emailed and chased in SumSwift, with a pay link your customers can use
- Retainers applied to invoices as you bill
- Subscriptions watched, with price rises and charges you forgot about flagged
- What to set aside for tax, with the payments and their due dates
- Home office worked out for your taxes
- Every statement checked against the balances your bank printed, to the cent, with personal spending kept off your profit