5 Best Restaurant Bookkeeping Software in 2025

What is Restaurant Bookkeeping Software

Restaurant bookkeeping software helps in managing all money-related tasks in a restaurant. Daily sales, inventory, and employee wages need to be tracked in running a Restaurant. This software makes this job easier. It also helps you remove mistakes that waste time and money. It also connects with your sales system (POS), so it becomes easy to track your sales and spending automatically. It also helps users in tracking what items are in stock and what needs to be ordered again. Using bookkeeping software for restaurants is also very helpful as it provides reports to help you determine your financial health which is very necessary to make good strategic decisions. 

Key features of the Restaurant Bookkeeping Software

• POS Integration
• The software should link easily with your POS system.
• This way, your sales data is automatically recorded.
• Expense Tracking
• You can track every expense, like food costs, wages, and utilities.
• Categorizing expenses helps with budgeting.
• Inventory Management
• Helps track stock levels.
• You’ll know when to reorder and avoid running out or wasting food.
• Tax Compliance

• Keep track of tax information to stay compliant.
• It generates reports to make tax filing easier.

• Multi-Location Support

• If you run more than one restaurant, the software can handle money tasks for all places.
• You can track individual locations or see an overall view.

Top 5 Restaurant Bookkeeping Software for 2025

QuickBooks Online

Best For: Quickbooks online is generally suitable for small to medium-sized businesses. 

Overview : In 2025, many small business owners will be using Quickbooks Online. It has useful tools and is simple to use. It also works well with many POS systems. This helps restaurant owners manage their accounts easily.

Key Features:

• POS Integration: It smoothly integrates with platforms like Square, Clover, and Toast.
• Expense Tracking: It automatically divides and tracks expenses for accurate bookkeeping.
• Payroll Support: Offers built-in payroll processing and employee tax filings.
• Tax Reporting: Prepares reports for quarterly and annual tax submissions.
• Mobile App: Access reports and records on the go.

Pros:

• Intuitive user interface, even for beginners.
• It connects with many POS and payment systems.
• The mobile app helps you manage money from any place.

Cons:

• It can cost a lot for small businesses, especially if you add payroll and other tools.
• Some users say the POS connection does not always work smoothly.
• Limited advanced reporting options for larger restaurants or chains.

Xero

Best For: Cloud-Based Flexibility & Integration

Overview:Xero has gained popularity among modern restaurant businesses looking for sleek, cloud-first solutions. It allows for real-time financial monitoring and integrates with various hospitality tools.

Key Features:

• Real-Time Collaboration: Share access with bookkeepers or accountants instantly.

• Automatic Bank Feeds: Syncs with bank accounts to update financial data.

• Multi-Currency Support: Xero is a good choice for restaurants dealing with international vendors or suppliers.

• POS and Inventory Integration: It also works with tools like Vend, TouchBistro, and more.

• Mobile Access: View reports and manage expenses from anywhere.

Pros:

• User-friendly interface with real-time collaboration.
• It easily connects with POS systems and other accounting software.
• Supports multi-currency transactions for international businesses.
• Excellent mobile app for managing finances remotely.

Cons:

• Basic plan users have limited customer support.
• It may take time to learn if you have not used accounting software before.
• The basic plan does not include some advanced tools needed by bigger restaurants.

Toast POS & Accounting

Best For: All-in-One POS and Accounting Solution

Overview:

Toast is more than just a POS, it is a complete restaurant management suite that now includes accounting integrations tailored for restaurant-specific needs.

Key Features:

• End-to-End Operations Management: Combines POS, payroll, accounting, and analytics into one system.
• Sales & Labor Tracking: Tracks both revenue and labor costs to optimize profitability.
• Inventory Management: Monitors stock levels and provides alerts for low inventory.
• Simplified Financial Reporting: This generates detailed reports on sales, costs, and profits to make decisions easily and quickly. 
• Real-Time Insights: This provides comprehensive analytics that helps users or managers monitor overall performance and adjust operations. 

Pros:

• All-in-one solution for POS, accounting, payroll, and analytics.
• You can see live updates on sales, staff work hours, and stock levels..
• Simplifies managing multiple locations.
• Excellent support and training for new users.

Cons:

• Compared to other POS systems and accounting software Toast POS and Accounting is expensive.
• Limited customization for certain advanced accounting needs.
• Users can only get additional advance features in more expensive plans

Restaurant365

Best For: Restaurant365 is best suited for large restaurant chains

Overview

Restaurant365 is a powerful accounting tool made for restaurants. It works well for all sizes, especially big chains and businesses with many locations.

Key Features:

• Complete Accounting Suite: It helps users handle bills, pay employees, track reports, and manage stock.
• Multi-Location Management: This also helps in tracking finances across multiple locations with consolidated reports.
• Real-Time Cost Tracking: This also provides real-time cost data, helping restaurants to optimize their expenses.
• Connects with POS and inventory systems: It connects with POS systems and inventory software. This makes it easy to share data and keeps everything updated.
• Budgeting & Forecasting: Restaurant365 has helpful tools for planning budgets. It also helps guess future income and spending.

Pros:

• To manage and perform all the important financial tasks such as accounting, payroll and inventory management, Restaurant365 provides one single platform. 
• Smooth integration with POS and inventory systems.
• Real-time cost tracking and performance insights.
• Great for multi-location and large restaurant chains.

Cons:

• This software can be expensive for single-location or small restaurants.
• As per the customer’s feedback, the setup and implementation of the Restaurant 365 is complex and time-consuming 
• The platform may be overwhelming for small business owners new to accounting software.

Wave Accounting

Best For: Small Restaurants & Startups

Overview:

Wave Accounting is a good option for small restaurants with simple accounting needs. It does not cost anything and is simple to use.

Key Features:

• Expense Tracking: Wave accounting software helps in tracking expenditures and organizes receipts automatically. 

• Invoicing & Billing: This also permits users to send invoices and receive payment online. 

• Basic Financial Reporting: The user can generate simple financial reports, including profit & loss and cash flow statements.

• Payroll Option (Paid Feature): Adds the ability to run payroll at an additional cost.

• Integration with Bank Accounts: Easily integrates with bank accounts for automatic data syncing.

Pros:

• Free to use with essential accounting features.
• Easy to set up and use, perfect for restaurant startups.
• Simplified user interface with basic but effective reporting.
• Integrates with bank accounts for automatic transaction updates.

Cons:

• Lacks advanced features for more complex restaurant operations.
• Limited customer support options.
• The payroll feature is an additional cost and not fully integrated into the free plan.
• It might not be the best choice for bigger restaurants or chains with more complex needs.

How to pick the right bookkeeping software for your restaurant?

Consider Your Restaurant’s Size

• A small restaurant would prefer simple software such as Wave or QuickBooks Online. 
• Bigger restaurants or chains might need some more features like Restaurant365.

Set a Budget

• Some software is free and the rest charge a fee that is set on a monthly basis. Search for the one that best fits your budget and requirements.

Look for Easy Integration

• Ensure the software works well with your existing POS system.
• Integration helps save time and reduce errors.

Check Customer Support

• Good customer support is important.
• Make sure you can easily get help if needed.

Test Before You Commit

• Most software offers free trials.
• You can first use the trial period or take a demo to ensure the software that you are selecting is the best fit for your restaurant business needs and budget. 

Conclusion

Restaurant bookkeeping software helps manage the money side of a restaurant. With the help of restaurant bookkeeping software, owners of the restaurant can monitor sales and expenses of their business. It saves time, so they can focus more on running their business. The software works well with POS systems. It also helps with inventory and tax tasks. At Meru Accounting, we suggest the best accounting software for each restaurant and provide accounting and bookkeeping services for your restaurant business. 

FAQs

1. Which bookkeeping software is best for small restaurants to manage accounts and records?

• For the small restaurants, Wave Accounting and QuickBooks Online are some of the good options.They are easy to use and offer affordable ways to manage finances.

2. Does restaurant bookkeeping software help with taxes?

• Yes, most restaurant bookkeeping software helps track tax information and generates reports for easier filing.

3. Can I track inventory with restaurant bookkeeping software?

• Yes, software like Restaurant365 and Toast includes inventory tracking to help manage stock.

4. Is restaurant bookkeeping software difficult to use?

• Most accounting software is easy to use, even for those without a background in accounting. It’s built to simplify tasks for beginners. 

5. How much does restaurant bookkeeping software cost?

• It depends on the software. Wave is free, while others like QuickBooks Online and Restaurant365 require monthly subscriptions.

6. What are the key features to look for in restaurant bookkeeping software

• You can select the software that can smoothly integrate with your POS system, provides other features such as inventory tracking, tax compliance, simplifies sales, and tracking of expenditures.