Why Simple Accounting Software Is Not As Simple As It Seems

When looking at simple accounting software, the terms “interface” and “integrated” are often used interchangeably, but there’s a subtle difference between the two terms. “Interface” refers to the point at which interaction occurs within independent systems or diverse groups. The term “integrated” means all parts are brought together to make one whole. Some point of sale systems interface or link to other simple accounting software, such as Peachtree accounting or QuickBooks, while others have fully integrated accounting systems built right in to the software. Finding out the differences between the two can be confusing when choosing the correct simple accounting software for your business needs.

Are Integrated Modules better for your Simple Accounting Software?

Integrated Modules in simple accounting software mean that they rely on the same information and data files data files but that they’re available in real-time so the data is delivered consistently throughout all modules. This solution offers the maximum level of reliability in order to save you time, while avoiding the problems associated with double-entry problems.

The advantages of integrated modules are that they provide you with real-time updates and you only have to learn one program. With this option you only update once and can quickly scroll down from your general ledger to look at transactions such as your invoices, inventory adjustments and receivables. Integrated modules have easy configuration also but the one disadvantage of this module is its poor design.

Are Interfaced Modules a better choice in Simple Accounting Software?

Interfaced modules rely on software protocols so that data can be translated and transferred. In an effort to communicate with third party programs, software companies will often write interfaces. This eliminates the need to input the information a second time as the interface ensures the information is sent back and forth as needed. The downside to this approach is the manual triggering of the interface, which means real-time information presentation is not possible.

While most of these links make it possible for you to send such things as purchase, sales, and inventory adjustments from the POS software to your simple accounting software platform it’s a real hassle to do so manually or run at the close of the day. Some allow you to update in real time but they all do so differently. Advantages of using interface are that you save money and there’s no re-training. It does offer better overall design but there are several disadvantages also. You’ll deal with out of date information, have to learn both programs, and the configuration is difficult.

Choosing the Right Simple Accounting Software for Your Business

Some retailers still gather reports for end of day processes from POS software to transfer daily transactions manually into the simple accounting software platform. This is obviously the cheapest but certainly the most time consuming and you’re prone to making more errors. Whatever POS system you choose, whether interfaced or integrated, they both work differently. Vendors might say it’s integrated, but that doesn’t necessarily mean that it is.

The two terms are often used interchangeably even though their meanings are different. It’s most important for you to choose a simple accounting software with a proven track record and rely on people you trust about which software they chose and why.