If you’re a realtor in Canada, you know that managing your commission income can feel like a juggling act. Between splitting commissions with your brokerage, tracking expenses, and figuring out tax deductions, staying on top of your finances can get overwhelming—fast. So, how do you make it easier without hiring a full-time accountant or spending a fortune on software?
Thankfully, there are plenty of tools designed to simplify commission tracking for real estate agents like you. In this guide, we’ll explore the top 10 accounting tools that will help you track your commissions, manage expenses, and keep your business finances in order—without costing you an arm and a leg.
Why Do Realtors Need Accounting Software?
Before diving into the tools, let’s chat about why accounting software is essential for Canadian realtors:
- Track Commissions Easily: With fluctuating income from commissions, software helps you know exactly how much you’ve earned, what’s pending, and what’s been split with your brokerage.
- Expense Management: From gas for showings to staging costs, realtors have a long list of deductible expenses. Good software keeps everything organized and ready for tax season.
- Tax Prep Made Simple: When the CRA comes knocking, clean and accurate records can save you a lot of stress.
- Budget Smarter: By having a clear picture of your income and expenses, you can set smarter financial goals and avoid overspending.
Now, let’s dive into the tools!
1. QuickBooks Online
QuickBooks is a household name in accounting software, and for good reason. It’s a versatile platform that works beautifully for realtors, thanks to features like income tracking, expense categorization, and mileage tracking.
- Best for: Realtors looking for an all-in-one tool that grows with their business.
- Why It’s Great: You can link your bank accounts, automatically import transactions, and even use the mobile app to snap photos of receipts.
- Cost: Plans start at $25/month, with discounts often available for new users.
2. Wave Accounting
Wave is an excellent option for realtors who are just starting out or want a free, no-frills solution. It allows you to track income, expenses, and invoices—all without any subscription fees.
- Best for: Budget-conscious realtors.
- Why It’s Great: Wave integrates with your bank account and generates simple reports for tax filing.
- Cost: Free for basic accounting features, with optional paid add-ons like payroll services.
3. FreshBooks
FreshBooks is perfect for realtors who need an easy-to-use platform with a focus on invoicing. While commissions are typically paid by your brokerage, FreshBooks can still help you track your income, expenses, and billable hours (if applicable).
- Best for: Realtors who value simplicity and client invoicing options.
- Why It’s Great: Its dashboard is clean, intuitive, and ideal for small businesses.
- Cost: Plans start at $19/month, but the Lite plan is often enough for real estate agents.
4. Hubdoc
Hubdoc isn’t a full-fledged accounting software but acts as a powerful companion to platforms like QuickBooks or Xero. It automates the collection and organization of financial documents, like receipts and invoices.
- Best for: Realtors who hate dealing with piles of paperwork.
- Why It’s Great: Hubdoc connects to your accounts, fetches bank statements automatically, and organizes them for you.
- Cost: Around $12/month (but sometimes included with other accounting tools).
5. Realtor-specific Software: Realtyzam
Realtyzam is designed exclusively for real estate agents, which means it understands the nuances of your industry. You can track commissions, expenses, and income without unnecessary features bogging you down.
- Best for: Realtors who want industry-specific features.
- Why It’s Great: You get built-in tools for commission tracking, mileage logging, and tax reports tailored to real estate professionals.
- Cost: $12/month or $120/year, making it affordable and realtor-focused.
6. Xero
Xero is another robust accounting platform that rivals QuickBooks. It’s user-friendly, integrates with tons of third-party apps, and has powerful reporting tools to keep your finances crystal clear.
- Best for: Tech-savvy realtors who love automation.
- Why It’s Great: Xero’s interface is sleek, and it offers features like project tracking and GST filing for Canadians.
- Cost: Plans start at $29/month, with a 30-day free trial available.
7. Zoho Books
Zoho Books is part of the Zoho suite of business tools and offers an affordable yet powerful accounting solution. It’s perfect for realtors who want something flexible and easy to integrate with their existing workflows.
- Best for: Realtors who already use Zoho products or want a customizable solution.
- Why It’s Great: Zoho offers customizable invoicing, real-time expense tracking, and great customer support.
- Cost: Plans start at $15/month.
8. Mileage Tracking Apps: MileIQ
Let’s be honest—keeping track of your driving for showings and client meetings can be a pain. MileIQ makes it easy by automatically logging your trips and letting you categorize them as business or personal with a simple swipe.
- Best for: Realtors who drive a lot and need mileage records for tax deductions.
- Why It’s Great: It syncs with your accounting software and gives you CRA-compliant mileage reports.
- Cost: Plans start at $5.99/month.
9. Expensify
If tracking receipts and expenses feels like a chore, Expensify can be your best friend. This app automates the process of scanning receipts, categorizing expenses, and even generating expense reports.
- Best for: Realtors who want to automate expense tracking.
- Why It’s Great: Expensify integrates with major accounting software and makes tax prep a breeze.
- Cost: Free for up to 25 SmartScans/month, with premium plans starting at $4.99/month.
How to Choose the Right Tool for You
With so many options available, how do you pick the best one? Here are some tips:
- Consider Your Budget: Start with free or low-cost options like Wave or Realtyzam if you’re just getting started.
- Think About Features: Do you need full accounting software or just a simple commission tracker?
- Look for Automation: Tools that integrate with your bank accounts or automate receipt tracking can save you hours.
- Try Before You Buy: Most platforms offer free trials—take advantage of them to see which one feels right for your business.
Key Takeaways
Managing commission income as a Canadian realtor doesn’t have to be overwhelming. The right accounting software can simplify your finances, help you track your earnings, and make tax season far less stressful. Here’s a quick recap of the top tools:
- QuickBooks, Xero, and FreshBooks for all-in-one accounting solutions.
- Wave and Realtyzam for affordable, realtor-specific features.
- MileIQ and Expensify for tracking mileage and expenses with ease.
Ready to take control of your finances? Try one of these tools today, and let us know if you need help setting up your system! Contact us for tailored advice for Canadian realtors.
