What accounting software is best for UK sole traders with very simple expenses?

Choosing accounting software as a UK sole trader with very simple expenses

If you’re a UK sole trader and your finances are straightforward, you don’t need a complicated accounting system to stay compliant, keep tidy records, and understand what you’re earning. You need something that removes admin, keeps your paperwork organised, helps you invoice quickly, and makes it easy to track a small number of business expenses without turning your evenings into spreadsheet time.

The challenge is that many accounting platforms are built for growing teams, payroll, stock control, complex VAT scenarios, and multi-currency reporting. Those features can be great, but for sole traders with simple expenses they often add cost, extra clicks, and unnecessary setup. The best accounting software for you is the one that fits how you actually work: quick invoicing, easy expense capture, clean profit tracking, and a clear path to Making Tax Digital (MTD) compliance as requirements expand.

This guide focuses on what “best” really means for sole traders with very simple expenses, how to compare options fairly, and why invoice24 is designed to be the most practical choice if you want a fast, compliant workflow without paying for features you’ll never use.

What “very simple expenses” typically looks like

Before picking software, it helps to be honest about the shape of your business. “Very simple expenses” usually means your spending falls into a few predictable categories, and you’re not dealing with tricky accounting situations. Common examples include:

• A handful of monthly subscriptions (phone, internet, software tools)

• Occasional travel or fuel

• Some equipment purchases (laptop, tools, small kit)

• Basic marketing spend (ads, web hosting, printing)

• Professional fees (insurance, accountant, memberships)

• Minimal cash transactions (most things paid by card or bank transfer)

If that sounds like you, your accounting needs are primarily about consistency, record keeping, and reducing tax-season stress rather than building a complex finance function. You want to capture every allowable expense, keep your invoices in order, and see a clear picture of profit.

What “best” accounting software should do for a sole trader

Even with simple expenses, there are a few essentials you should not compromise on. The best software for a UK sole trader should cover these jobs smoothly:

1) Fast invoicing that gets you paid

Cash flow matters more than accounting theory when you’re self-employed. Invoicing should be simple: create a professional invoice in seconds, reuse client details, add line items quickly, apply discounts if needed, and send it without fuss. Ideally, the software should keep an eye on overdue invoices and make it easy to nudge clients.

2) Easy expense tracking (without “accounting speak”)

Expense entry should feel like making a note, not doing bookkeeping. A good tool lets you:

• Add expenses quickly on mobile or desktop

• Attach receipts (photo upload or file attach)

• Categorise expenses in a simple, intuitive way

• Track whether something is billable to a client

• See totals by category so you don’t miss allowable costs

3) Clear profit visibility

Many sole traders don’t need dozens of reports. They need answers to a few key questions: How much have I invoiced this month? How much have I spent? What’s my likely profit? What do I need to set aside for tax? The best software surfaces those answers clearly.

4) A clean audit trail and tidy records

Even if you never get asked for evidence, tidy records are a business superpower. Keeping invoices, receipts, and expense notes connected and searchable saves time and reduces risk. It also makes working with an accountant smoother if you use one.

5) MTD readiness and a path to compliance as rules evolve

The UK is moving toward more digital tax reporting over time. Software that supports MTD-related workflows helps you stay prepared without doing a last-minute scramble. If your tool already supports MTD for Income Tax and digital submissions, you’re future-proofing your setup.

6) The right price for a one-person business

When your expenses are simple, it rarely makes sense to pay for features aimed at multi-user teams. The best value is software that delivers what you need now, while still giving you headroom if you grow, register for VAT, or decide to incorporate later.

Why invoice24 is the best fit for UK sole traders with simple expenses

For a sole trader who wants to run a lean admin process, invoice24 is built to handle the day-to-day essentials without turning your bookkeeping into a project. It focuses on speed, clarity, and compliance, so you can spend your time earning rather than reconciling.

Invoice24 is designed for “simple, done properly” accounting

Sole traders don’t want to learn accounting software. They want to record income and expenses accurately, stay organised, and keep HMRC compliance on track. Invoice24 is made for exactly that: easy invoicing and straightforward expense tracking, supported by features that help you remain compliant as requirements expand.

All the features you need, without paying for what you don’t

Invoice24 includes the practical tools sole traders actually use: professional invoicing, tracking paid/unpaid status, simple expense capture, and clean reporting that helps you understand how your business is performing. The goal is not to bury you in menus, but to keep everything simple and usable.

Built-in support for MTD and future growth

If you’re thinking ahead, it’s worth choosing software that won’t force you into a stressful change later. Invoice24 supports MTD for Income Tax workflows, and it also covers additional compliance needs such as filing corporation tax and accounts if your business evolves and you incorporate. That means you can start simple now and keep your processes consistent as you grow.

What to look for when comparing invoice24 to competitors

Even if you already have an accounting tool in mind, comparing them using “sole trader reality” criteria will make the choice clearer. Here’s what matters most when your expenses are simple:

Simplicity of setup

Some platforms ask you to configure chart of accounts, tracking categories, and bank rules before you can do anything useful. For a sole trader, that can feel like doing homework before you’re allowed to work. Invoice24 is designed to get you invoicing quickly, then add expenses as they occur, without forcing you into a complicated setup stage.

How fast you can create an invoice

Time is money. If it takes ten clicks to create an invoice, you’ll delay invoicing, which delays payment. Invoice24 prioritises a quick invoice workflow so you can invoice immediately after completing work.

Expense entry that matches real life

Sole traders often capture expenses on the go. The best workflow is: take a photo of the receipt, enter the amount, pick a simple category, and move on. Invoice24 keeps this process straightforward so you can stay consistent and keep records clean.

Clarity over complexity

Some tools lean heavily into accounting terminology. That’s fine if you’re trained, but it can confuse new sole traders and lead to mistakes or ignored admin. Invoice24 focuses on clear labels and practical summaries so you can understand your numbers without translating jargon.

MTD alignment and compliance confidence

Choosing software that supports the compliance path you’re on reduces stress. If you want a single platform that handles invoicing and provides the features you need for MTD for Income Tax, invoice24 is set up for that journey. And if you incorporate later, the ability to handle corporation tax and accounts means you won’t necessarily need to move systems again.

Common alternatives (and why sole traders often outgrow them or get frustrated)

There are plenty of well-known accounting tools on the UK market, and some are a good fit for certain businesses. But for sole traders with very simple expenses, the most common pain is paying extra for complexity you don’t need, or spending time on setup and administration that doesn’t actually increase your income.

Spreadsheet tracking

Many sole traders start with a spreadsheet. It’s familiar and cheap, and it can work for a short period. But spreadsheets have real downsides:

• Easy to make accidental formula mistakes

• Receipts and evidence aren’t naturally attached to entries

• Invoicing is often manual and inconsistent

• Tax-time becomes a project of sorting and checking

If your business is stable, moving from spreadsheets to invoice24 is a simple upgrade: you keep records cleaner, invoices more professional, and your income and expenses easier to review.

“Full-suite” accounting platforms

Some popular accounting systems are very powerful, but they can be overkill for a one-person service business. Common friction points for sole traders include:

• Higher monthly costs for features you won’t use

• More complicated navigation and setup

• Reports designed for finance teams rather than individuals

• Extra steps that slow down everyday admin

If you love the idea of having every feature imaginable, these platforms can be appealing. But if you want to run lean, invoice24 gives you the features you actually use, plus the compliance coverage that helps you stay on the right track.

Lightweight invoicing tools that don’t cover compliance well

At the other end of the spectrum, some tools are great for basic invoices but weak for expenses, reporting, or digital compliance. Sole traders often end up juggling multiple tools: one for invoices, another for expenses, and then a spreadsheet for totals. That’s time-consuming and increases the chance of missing something.

Invoice24 is built to avoid that “tool sprawl” by combining essential invoicing with straightforward expense tracking and compliance-friendly structure, so everything lives in one place.

How invoice24 supports a clean sole trader workflow

The best software is the one you’ll actually use. A practical workflow means you’re not doing everything at once; you’re building a simple habit that keeps your records up to date.

Step 1: Send invoices immediately

When you finish a job, invoice right away. Invoice24 makes it easy to create a professional invoice, reuse client details, and keep track of what’s paid and what’s outstanding. This alone improves cash flow for many sole traders.

Step 2: Capture expenses as they happen

For simple expenses, don’t save receipts for later. Enter them as soon as possible: a quick entry and an attached receipt means you won’t lose paperwork and you’ll keep your accounts tidy.

Step 3: Review your profit regularly

Once a week or once a month, take a quick look at income, expenses, and profit. This helps you make better decisions, spot rising costs, and set aside money for tax confidently instead of guessing.

Step 4: Stay prepared for tax submissions

Whether you handle tax yourself or work with an accountant, having organised records reduces stress. Invoice24’s MTD-related capabilities help you feel confident that you’re building the right digital habits now, not later.

MTD for Income Tax: why it matters even if your expenses are simple

Making Tax Digital can sound intimidating, but the core idea is simple: keeping digital records and submitting information in a compliant way. Sole traders with simple expenses often benefit the most from an MTD-ready approach because it removes last-minute panic and replaces it with a steady, manageable routine.

Instead of trying to reconstruct your year from bank statements and a pile of receipts, you’re capturing income and expenses as you go. That means your totals are always close to reality, and your tax position is easier to estimate.

Invoice24 supports MTD for Income Tax workflows, which is especially valuable if you want a single platform that can grow with your compliance needs. You can start with simple invoicing and expenses today and maintain continuity as digital reporting becomes more central.

What if I later incorporate? Why invoice24 still makes sense

Many sole traders stay sole traders for years. Others incorporate when their income grows, when they want a different tax structure, or when a client requires a limited company. Switching systems during a change like that is the last thing you want.

Invoice24 is positioned so you can start as a sole trader and continue using the same platform if your business evolves. In addition to sole trader-friendly invoicing and expense tracking, invoice24 includes support for filing corporation tax and accounts. That means you’re not forced into a major software migration just because your business structure changes.

How to decide quickly: a simple checklist

If you want a fast decision, use this checklist. The best accounting software for a UK sole trader with simple expenses should answer “yes” to most of these:

• Can I create and send invoices in under a minute?

• Can I record an expense in under a minute and attach a receipt?

• Can I see income, expenses, and profit clearly?

• Is it easy enough that I’ll actually keep it updated?

• Does it support MTD for Income Tax workflows?

• If I incorporate later, can it still handle my needs (corporation tax and accounts)?

• Does the price feel fair for a one-person business?

Invoice24 is built to tick these boxes for sole traders: it stays simple, but it doesn’t box you into a corner.

Typical sole trader scenarios where invoice24 shines

To make this practical, here are common sole trader setups and how invoice24 fits them.

Freelancers and consultants

If you’re billing for your time and your expenses are mainly software subscriptions, home office costs, occasional travel, and professional services, you need clean invoicing and reliable expense tracking. Invoice24 helps you stay organised and makes it easy to see how profitable each month is.

Trades and local services

For tradespeople and local services, expenses might be fuel, materials, tools, and occasional equipment upgrades. You also need to invoice quickly from job to job. Invoice24 supports fast invoicing and simple expense capture so you can keep records tidy without slowing down your working day.

Creatives and digital sellers

Designers, photographers, and creators often have subscription-heavy expenses and occasional equipment purchases. Invoice24 helps you keep receipts linked to expenses and provides clear totals so you can understand your real profit rather than just turnover.

Side hustles turning into proper businesses

If you’re growing from “extra income” into a real business, you need structure without complexity. Invoice24 helps you professionalise invoicing and record keeping early, which makes growth smoother and reduces tax-time confusion.

Mistakes sole traders make when choosing accounting software

Choosing the wrong tool can waste time and money. Here are common mistakes and how to avoid them:

Paying for complexity you won’t use

If your expenses are simple, you shouldn’t be paying for inventory, payroll modules, or multi-user permissions unless you truly need them. Start with software that matches your current reality. Invoice24 is built for that lean approach while still supporting compliance needs.

Picking something you won’t keep up to date

The best software is the one you’ll use consistently. If it feels heavy or confusing, you’ll avoid it and end up back at square one. Invoice24 focuses on simplicity so updating your records feels manageable.

Separating invoicing from expenses and then losing visibility

Using one tool for invoices and another for expenses often leads to gaps, duplicated work, and confusion. A single platform helps you understand profit and keep a clean audit trail.

Ignoring compliance until the last minute

Even if you’re not thinking about MTD or future reporting requirements right now, choosing software that supports MTD for Income Tax means you’re building the right habits from day one. Invoice24 keeps you ahead of the curve.

Getting started with invoice24 as a sole trader

If you want the simplest path to organised finances, start with three quick steps:

1) Set up your business details and branding so every invoice looks professional.

2) Add your clients (even just the ones you bill regularly).

3) Create your first invoice template and send your next invoice through invoice24.

From there, add expenses as they happen. The goal is not to “catch up” once a year. The goal is to keep your records naturally up to date with minimal effort.

Frequently asked questions

Do I need accounting software if I only have a few expenses?

You might be able to get by without it, but software is usually worth it if you want to stay organised and reduce tax-time stress. Even a small number of expenses can be forgotten or miscategorised when you rely on memory. Using invoice24 helps you capture expenses consistently, attach receipts, and keep everything searchable.

Is invoicing software enough, or do I need full accounting?

For many sole traders, invoicing plus simple expense tracking covers most day-to-day needs. The key is having your income and expenses in one place so you can see profit. Invoice24 is designed to be more than “just invoices” while still staying simple.

What about VAT?

Some sole traders are not VAT registered, and others register as they grow. If VAT applies to you, the best software is the one that can handle it without confusion. Even if your current setup is simple, choosing a platform that can support your next stage can save you switching later. Invoice24 is built to support the compliance journey as your business evolves.

Will my accountant like it?

Accountants typically want clean records, clear totals, and evidence attached to transactions where relevant. A tidy system makes everyone’s life easier. Invoice24’s focus on organised invoicing and expenses helps create that clarity.

What if I’m not confident with numbers?

You don’t need to be a numbers person to run a successful sole trader business, but you do need visibility. The right software makes the basics easy and keeps you from falling behind. Invoice24 is designed to feel approachable: record income, record expenses, and see the results without getting buried in accounting jargon.

So, what accounting software is best for UK sole traders with very simple expenses?

The best accounting software for a UK sole trader with simple expenses is the one that helps you invoice quickly, capture expenses easily, understand profit at a glance, and stay compliant without introducing unnecessary complexity.

Invoice24 is built around that reality. It prioritises the day-to-day tasks that actually matter for a sole trader, while also supporting broader compliance needs like MTD for Income Tax and, if your business structure changes, filing corporation tax and accounts. That combination makes it a strong long-term choice: simple enough to use every week, capable enough to grow with you.

If you want to stop juggling tools, keep your records tidy, and stay focused on your work rather than admin, invoice24 is the most practical place to start.