Chasing down receipts at tax time while wondering which expenses you actually missed?
This guide shows you how to track small business expenses systematically, so you capture every deduction, avoid costly mistakes, and stay audit-ready year-round.
We’ll walk you through the exact tracking methods, deduction rules, and management systems that turn expense chaos into cash savings.
Let’s get started.
Key Takeaways
- Key differences between Odoo and Wave.
- Which platform is best for specific industries.
- Pricing and scalability insights for small businesses
- How to decide based on your team size and the features needed
What’s the Real Difference Between Odoo Accounting and Wave Accounting?
Odoo accounting is comprehensive business management software built for companies that require integrated operations across sales, inventory, CRM, and finance. Wave is a simple, free accounting platform ideal for freelancers and small service businesses.
Your decision depends on whether you need just bookkeeping or complete operational integration.
Odoo: A Business Management Suite With Accounting Built-In
Odoo is a modular ERP system offering 30+ integrated apps, with accounting functioning as one part of a larger operational ecosystem.
Odoo connects accounting to sales pipelines, customer records, stock levels, manufacturing workflows, and e-commerce channels. This unified environment reduces data duplication and provides real-time visibility across departments.
It works exceptionally well for product-based or scaling businesses that need centralized operations and workflow automation.
Wave: The Free-Forever Accounting Platform
Wave is a free, standalone accounting tool designed for freelancers and micro-businesses that only need invoicing, expense tracking, and simple reports.
Wave includes unlimited invoicing and expense tracking at no cost. It earns revenue from optional services, such as payment processing (standard 2.9% + $0.60) and payroll.
The platform is user-friendly and ideal for service providers who don’t need inventory, CRM, or multi-department operations.
How Much Do Odoo and Wave Really Cost?
Wave is free only for basic accounting, but costs increase quickly when you add payment processing or payroll. Odoo appears affordable at first, but the total cost rises as you add users and modules. The right choice depends on how many features your business actually needs.
Wave's Pricing Model
Wave’s pricing starts with the Starter plan, which offers free, unlimited invoicing, expense tracking, and basic financial reports without requiring a credit card. However, costs can still add up. The Pro plan is $16 per month and includes features such as automatic bank imports and recurring billing; otherwise, manual categorization is required.
For payment processing, the fee is 2.9% plus $0.60 per transaction. Processing $10,000 monthly results in $350 in fees. Payroll costs $40 per month, plus $6 per employee or contractor, totaling $70 for a 5-person team.
For example, a consulting firm with five employees using Wave Pro, payroll, and processing $8,000 monthly will pay $318 each month, or $3,816 annually. It’s not truly free.
Odoo's Pricing Model
Odoo accounting services offer one app completely free for unlimited users. If accounting is truly all you need forever, Odoo costs zero dollars.
But the moment you add a second app—say, CRM to manage your sales pipeline—you’re paying $31.10 per user per month for the first app, plus $7.80 per user per month for each additional app.
According to Odoo’s official pricing page, a 5-person team using Accounting, CRM, and Inventory pays approximately $970/month, or $11,640 annually.
Implementation costs hit harder than subscription fees. A professional Odoo setup typically runs $1,500-$5,000, depending on complexity. You’re not launching Odoo in an afternoon like you would with Wave.
Use Case Scenario
If you are a solo freelancer needing invoicing and expense tracking, Wave costs $0-16 a month, while Odoo is free. Both are equal in terms of price.
For a five-person service business without inventory needs, Wave ranges from $150 to $ 320 per month based on payment volume. Odoo costs $155- $ 970 per month, depending on the modules. Wave is the cheaper option.
For a ten-person product business that requires inventory management, Wave cannot provide help at any price. Odoo costs $600-1,200 a month and effectively solves the problem, making it the better choice here.
TrustRadius reviews show that the main complaint about Odoo is its price increase from $6,000 to $9,000 after adding necessary modules. The main complaint about Wave is that it is free until you need the useful features.
Feature-by-Feature Breakdown: Odoo vs. Wave
Odoo offers advanced, integrated business features beyond accounting, including inventory, CRM, project management, and automation. Wave focuses only on simple bookkeeping and invoicing.
Tip: Odoo is the best platform for your business needs beyond basic accounting.
1. Core Accounting & Financials
| Odoo vs. Wave Accounting Comparison | ||
|---|---|---|
| Feature | Odoo | Wave |
| Accounting Model | Double-entry bookkeeping with full accounts payable/receivable, multi-currency support | Basic single-entry bookkeeping for freelancers and small businesses |
| Custom Financial Reports | Customizable reports, dashboards, and budget vs. actuals | Pre-built reports with limited customization |
| Multi-currency Support | Automatic currency updates, multi-currency bank reconciliation | Basic multi-currency with manual updates |
| Bank Reconciliation | Automated bank feeds with full integration to accounting | Automated bank feeds (even on the free plan) |
| Use Case | Growing businesses needing full accounting features | Freelancers and small businesses needing basic bookkeeping |
How This Helps:
Odoo: Ideal for businesses with multi-currency operations, or those that need custom financial reports for management and tax filings.
Wave: Perfect for small, single-entity businesses and freelancers with basic bookkeeping needs and no need for multi-currency support.
2. Invoicing, Billing & Payments
| Feature | Odoo | Wave |
|---|---|---|
| Invoice Customization | Fully customizable invoices with automatic generation from sales/purchase orders | Basic invoice customization with templates for logo and payment terms |
| Recurring Billing | Supports complex recurring billing with automatic invoicing | Simple recurring billing for basic use |
| Payment Integration | Requires third-party integrations (e.g., Stripe, PayPal) | Built-in credit card payment processing (2.9% + $0.60 fees) |
| Use Case | For businesses with complex billing needs (subscriptions, usage-based, tiered pricing) | Ideal for freelancers and small service businesses who need simple, quick invoicing |
How This Helps:
Odoo: Best for businesses with recurring billing or tiered pricing who need advanced automation.
Wave: Great for freelancers and service businesses that need quick, straightforward invoices and easy online payments.
3. Inventory, CRM, Sales & Operational Management
| Feature | Odoo | Wave |
|---|---|---|
| Inventory Management | Complete inventory, stock tracking, purchase orders, and warehouse management | - |
| CRM | Complete CRM with customer data management, lead tracking, and sales pipeline integration | - |
| Sales Orders | Sales orders, purchase orders, and automated invoicing integration with accounting | - |
| Use Case | Product-based businesses with inventory management needs | Service-based businesses with no inventory or operational needs |
How This Helps:
Odoo: Essential for e-commerce, manufacturing, and retail businesses needing full inventory management, CRM, and sales pipeline integration.
Wave: Suitable for small service businesses or freelancers that do not deal with inventory or multi-department operations.
4. Project Management, Time Tracking & Multi‑Function Business Admin
| Feature | Odoo | Wave |
|---|---|---|
| Project Management | Full project tracking, task assignment, and expense tracking | - |
| Time Tracking | Built-in time tracking for billable hours and project tracking | - |
| Use Case | Agencies, consultants, or any business billing by project or hour | Freelancers with flat-rate or one-time billing |
How This Helps:
Odoo: Essential for consultancies, agencies, or businesses that need project management and time tracking integrated with billing.
Wave: Suitable for small service-based businesses that bill one-time fees with no ongoing project work.
5. Integrations, Automation & Ecosystem Flexibility
| Feature | Odoo | Wave |
|---|---|---|
| Native Integrations | 30+ native integrations, including Shopify, WooCommerce, Amazon, and POS systems | Limited integrations (only payment processors like Stripe and PayPal) |
| API & Custom Integrations | Open API for custom integrations and access to 40,000+ apps via Odoo App Store | Limited to Zapier for custom integrations |
| Automation | Automates invoicing, stock updates, and financial entries | Minimal automation (only basic tasks like invoice creation and payment tracking) |
| Use Case | Businesses scaling across channels, with complex operations that require seamless integration and automation | Simple businesses with basic integration needs (Stripe, PayPal, and bank feeds) |
How This Helps:
Odoo: Ideal for businesses that require integration across multiple platforms, including CRM, inventory, e-commerce, and automation of tasks.
Wave: Great for businesses with simple workflows that don’t need complex integrations or automation beyond payment processing.
Which Platform Offers Better Customer Support: Odoo or Wave?
When it comes to customer support, both Odoo and Wave have distinct strengths and limitations, making it crucial to align your choice with your business’s needs.
Let’s break it down.
Wave’s Support Crisis
- Customer Complaints: According to the BBB, 81% of Wave reviews rate it 1-star, primarily due to poor customer support.
- No Phone Support: Free users can only access email and chat support (they need to pay for the Pro plan to get phone support).
- Slow Response Times: Verified reviews report that paying users wait 3-7 days for responses, and free users wait even longer.
- Payment Issues: Several businesses report having their funds held for over 120 days without any direct contact, only receiving automated bot responses.
- Tax Filing Errors: Some users have reported tax filing errors that resulted in IRS penalties, for which Wave did not reimburse.
Why It Matters for You:
- Wave’s support can be frustrating, especially if you need urgent help with payroll or tax filing.
- Wave works best for freelancers and small businesses that do not rely on time-sensitive support.
Odoo’s Partner-Based Support
- Odoo’s Support Model: You don’t get direct support from Odoo. Instead, you rely on certified Odoo partners for setup, training, and ongoing support.
- Inconsistent Support Quality: Customers often complain that their partners disappear after the sale or take weeks to respond.
- Paid Support: Odoo offers paid support packages, but these can be expensive ($580 for 4 hours).
- Community Support: If you’re okay with self-service, Odoo’s community forums can be helpful, but response times vary from hours to days.
Why It Matters for You:
- Odoo’s support can be great, but it depends on the partner you choose. If you select a reliable partner, you can get good, responsive help.
- Odoo is best for businesses with complex needs that require custom setups. If you need fast support, choose a good partner upfront.
The Support Decision You’re Actually Making
- Wave has limited support for free users, with slow response times and no phone assistance, making it suitable for small businesses with basic needs.
- Odoo offers better support through certified partners, though their quality varies, and is ideal for those needing customization and advanced features; finding a reliable partner is essential.
When Should You Consider Upgrading Your Accounting Platform?
As businesses grow, they quickly realize their accounting software does not keep pace with their expanding needs. This happens faster than many expect, especially with Wave. Let’s explore when these platforms stop working for you and what to consider as you move on.
Wave’s Limitations as Your Business Grows
Wave has some hard limitations that businesses face as they scale:
1. Inventory Needs:
When you need to track stock, manage reorder points, or oversee multiple warehouses, Wave falls short. Many businesses resort to spreadsheets or different inventory software, undermining the benefits of integrated accounting.
Example: One user shared, “We’re managing $200K in inventory using Google Sheets because Wave offers nothing. Our accountant is terrified.”
2 . Payroll Costs:
Wave’s payroll costs can be surprising as you scale. With a base fee of $40/month plus $6 per employee, a team of 12 pays $112/month or $1,344/year. In comparison, competitors like QuickBooks charge only $200 to $400 per year.
Impact: Many businesses migrate to platforms like QuickBooks or Gusto to reduce costs.
3. Complex Reporting Limitations:
Wave only offers 12 pre-built reports. You cannot customize reports or create department-specific views. Businesses that track profitability by client or project often outgrow Wave’s reporting by year two.
Example: One user noted, “We hit a wall when we needed more detailed reporting on projects and clients. Wave’s reporting just couldn’t keep up.”
4. International Operations Struggle:
Wave’s multi-currency support is limited, making it challenging to handle currency conversion and manual adjustments for international invoicing. Users with global operations often face issues.
Example: One reviewer on G2 said, “Currency conversion headaches are a constant struggle. Wave doesn’t provide the support I need for international invoicing.”
Odoo’s Complexities for Small Businesses
Wave has some hard limitations that businesses face as they scale:
1. Inventory Needs:
When you need to track stock, manage reorder points, or oversee multiple warehouses, Wave falls short. Many businesses resort to spreadsheets or different inventory software, undermining the benefits of integrated accounting.
Example: One user shared, “We’re managing $200K in inventory using Google Sheets because Wave offers nothing. Our accountant is terrified.”
2 . Payroll Costs:
Wave’s payroll costs can be surprising as you scale. With a base fee of $40/month plus $6 per employee, a team of 12 pays $112/month or $1,344/year. In comparison, competitors like QuickBooks charge only $200 to $400 per year.
Impact: Many businesses migrate to platforms like QuickBooks or Gusto to reduce costs.
3. Complex Reporting Limitations:
Wave only offers 12 pre-built reports. You cannot customize reports or create department-specific views. Businesses that track profitability by client or project often outgrow Wave’s reporting by year two.
Example: One user noted, “We hit a wall when we needed more detailed reporting on projects and clients. Wave’s reporting just couldn’t keep up.”
4. International Operations Struggle:
Wave’s multi-currency support is limited, making it challenging to handle currency conversion and manual adjustments for international invoicing. Users with global operations often face issues.
Example: One reviewer on G2 said, “Currency conversion headaches are a constant struggle. Wave doesn’t provide the support I need for international invoicing.”
Industry-Specific Guide: Which Platform Fits Your Business Type?
Businesses face different challenges based on their type. Here’s a breakdown of which platform suits your needs.
E-commerce & Retail: Odoo Wins (No Contest)
- Odoo is essential for e-commerce businesses. It natively integrates with Shopify, WooCommerce, and Magento, offering real-time inventory tracking and multi-channel sales sync.
- Wave forces you to manage inventory manually in spreadsheets. It doesn’t support multi-location warehouses or automated stock updates.
Example: One retailer switched to Odoo after three weeks of inventory chaos with Wave.
Takeaway: If you sell physical products online, Odoo is the only choice.
Service-Based Businesses: Wave Works (With Conditions)
- Wave is perfect for freelancers, consultants, and small agencies with fewer than 10 employees. It’s great for simple invoicing and expense tracking.
- Odoo is better if you need time tracking, project management, or client portals. Wave lacks these features, forcing you to use third-party tools.
Takeaway: Wave works for small, simple service businesses. If you need advanced features, Odoo is the better choice.
Manufacturing & Distribution: Odoo Only
- Odoo handles inventory management, work orders, production scheduling, and multi-warehouse management.
- Wave doesn’t offer any of these features, forcing you to use third-party tools for inventory tracking, which defeats the purpose of integrated software.
Takeaway: Odoo is essential for manufacturing or distribution businesses.
Solopreneurs & Micro-Businesses: Context Determines Winner
1. Solo Service Providers:
Wave works perfectly for freelancers who need invoicing, expense tracking, and basic tax reports. It’s free or low-cost (from $0–$16/month).
2. Solo Product Sellers:
Wave won’t work if you manage inventory. Odoo is needed to track stock levels and manage fulfillment.
Takeaway:
- Wave works for freelancers and service businesses with simple needs.
- Odoo is necessary for solopreneurs with inventory.
The 5-Question Decision Framework: Making Your Final Choice
Choosing the right platform for your business doesn’t have to be complicated. By answering the following five key questions, you can quickly determine which platform, Odoo or Wave, is the best fit for your business needs.
Do You Have or Will You Have Inventory Within 12 Months?
Decide if your business needs inventory management. If you’re selling physical products or expect to soon, Wave won’t work for you; it lacks inventory management features, leaving you to rely on spreadsheets or other tools.
Odoo, on the other hand, is ideal for businesses that require real-time inventory tracking, multi-location warehouse management, and e-commerce integrations.
If you plan to sell physical products and manage inventory, choose Odoo.
Is Your Team 10+ People or Growing to 10+ Within 18 Months?
If your team has fewer than 10 people and won’t grow in the next 18 months, Wave is a good option. However, as your team expands, costs can rise quickly.
For example, Wave’s payroll starts at $40 per month plus $6 per employee. At 12 employees, you’ll spend $1,344 annually just on payroll, which can be significantly higher than competitors with better features.
For growing businesses, Odoo is a better choice. It offers advanced workflow management and customizable user roles that scale as your team grows, along with multi-department reporting that Wave lacks.
Do You Need CRM, Project Management, or Time Tracking Integrated?
Wave lacks built-in features for CRM, project management, and time tracking. You’ll need to use external tools like Toggl or Harvest and deal with manual data reconciliation, which can lead to errors.
In contrast, Odoo offers seamless integration of all these features. You can manage client interactions, projects, and billable hours within a single platform.
This is ideal for service-based businesses or agencies needing comprehensive time tracking and project profitability analysis, saving time and minimizing errors.
Is Fast Customer Support Critical to Your Operations?
If your business deals with payroll, tax filing, or payment processing, quick support is crucial. Wave’s support can be slow, with email responses taking 3-7 days for paid users and no phone support for free users.
This can cause delays, especially when urgent issues arise, such as payroll errors or tax filing mistakes.
Odoo provides partner-based support, which varies by partner. Choosing a reliable partner ensures timely assistance, while a poor choice can lead to slow responses and missed deadlines. So, take the time to select a highly rated Odoo partner for consistent, fast support.
Is Your Budget Under $100/Month, and are your Needs Purely Basic?
If you have a limited budget and need basic features like invoicing, expense tracking, and tax reporting, Wave is a great option. It offers a free plan and a low-cost option ranging from $0-16/month, making it affordable for solo freelancers or micro-businesses.
On the other hand, if you need more advanced features like inventory management or multi-user collaboration, Odoo can become pricey as you add users and apps.
While it has a free plan for a single app, costs increase significantly for additional apps and implementation support.
Conclusion: Making the Right Choice for Your Business
Choosing the right accounting platform is crucial for your business’s growth. While Wave is great for small businesses and freelancers with simple needs, Odoo offers the scalability and advanced features required as your business expands.
Understanding when you’ll outgrow each platform helps you avoid costly migrations and ensures you have the right tools for the job.
Consider your business size, industry, and future growth before making your decision. Choosing the right software now can save you time, money, and frustration down the road.
