20 Best School Accounting Software for 2025

Co-Founder and Chief Data Scientist

20 Best School Accounting Software for 2025 Table of Contents

1. Key School Accounting Statistics 2. Why School Accounting Software Is Important 3. What Are the Benefits of Integrating Accounting Software with Other Educational Tools?

List of Accounting Software

Key School Accounting Statistics

While financial management as espoused by schools employs generally accepted accounting principles (GAAP) through accounting degree programs, accounting practices differ from institution to institution and more so in corporate settings. It can be more complex and even complicated than your garden-variety SME accounting. Revenue streams can come from myriad sources, ranging from investments and grants to donations and sports merchandise across different departments and operations.

In fact, from SY 2019 to 2020, a good 29% of public postsecondary institutions’ revenue is categorized as “other" (National Center for Education Statistics, 2022a). This shows that a significant amount of income is not from what most would consider conventional sources. Additionally, the degree of autonomy given to some of these programs such as sports and other extracurricular programs adds to the complexity.

The varied applications make bookkeeping difficult, directly affecting the ease of planning overall policy and making long-term strategic decisions. Fortunately, there are robust and easy-to-use school accounting and bookkeeping software platforms today that are more than enough for the task.

In this article, you will get to know a lot of the best school accounting software, what they do for educational institutions, and get some tips on how to choose the best one that fits your organization’s needs.

As with many organizations, schools have to contend with pacing their digital transformation faster than before. It affects all school processes, from admissions to curriculum management. For the first, they can turn to the best admissions and enrollment management software.

As for the latter, they have various curriculum management software tools at their disposal. For managing their cash flow, they have to employ accounting tools specially designed for educational institutions.

Financial management and accounting for schools is not a walk in the park. Aside from its stark differences with business accounting, it is also conducted differently per institution type. Standard accounting practices exist for everybody to follow, but educational institutions like school districts may have different accounting and reporting needs. This is because the stakeholder makeup can be very different. Each school or district may have different “data user groups" with different preferences (Institute of Education Science, 2015). Hence, they often use different tools and methodologies that apply to their particular requirements. This explains why school accounting systems are different from small business software. As such, many schools opt to commission the development of their own software solutions, which could further expand overall functionality.

For instance, the development of school software applications, according to naming a business tips, usually involves the heavier use of technology given the added efficiency it imparts to the operational process. For instance, the best POS for restaurant use serves as a cash register, displays table assignments and orders, and monitors employee shifts. This, however, can run into some problems and it costs a great deal of time and money. Firstly, on average, it takes around 1,500 to 2,500 hours to develop a generic accounting software solution (Cherednichenko, 2021). This does not include testing and onboarding. Secondly, depending on the complexity, an accounting software solution can cost from $35,000 to $80,000 to develop. Also, if a solution is made from scratch and is totally your own, no precedents will be available for self-service knowledge. And, there will be no possibility for community support.

On the other hand, off-the-shelf accounting platforms typically have lower initial costs to adopt. Moreover, SaaS solutions are very flexible in terms of scale and customizability. Adopting one can virtually be equal to getting one developed especially for you. This is why many educational institutions have been switching to SaaS solutions.

Before heading to our list of the 20 best school accounting software for schools, let us first touch on some important preliminaries. In the next few sections, we will discuss some pain points that school accounting software can help you with. Additionally, we will list and briefly discuss general considerations when making a software purchase decision. This will, hopefully, help you make a better, more informed decision.

Different types and levels of educational institutions have varying accounting requirements. First of all, they need to be compliant with accepted standards, laws, and other regulations pertaining to them. Secondly, as mentioned, every institution has different publics or “data user groups (Institute of Education Science, 2015)" with different needs and purposes for accounting information. Hence, institutions require both standardized and custom tools to cater to both these needs.

In this section, we are going to look at key school accounting statistics to illustrate the complexity of fulfilling the aforementioned requirements. We will paint a picture that school accounting, at any level, needs to be both flexible and robust—to be able to deal with dynamic changes while complying with standards and regulations. From there, you will see that the digital tools for school accounting must also mirror these qualities and enable organizations to carry out their operations in such a fashion these qualities permit.

Postsecondary Institutions: The Breadth and Depth of Accounting

No rigid off-the-shelf accounting solution can be a good accounting solution for schools, especially postsecondary academic institutions. When you look at degree-granting postsecondary institutions of different types of control, you will see that they vary, on average, in terms of their revenue sources (NCES, 2022a).

Private for-profit institutions from 2019 to 2020 earned 93% of their revenue from tuition and fees. Only 2% came from government grants, contracts, and appropriations. On the other hand, public postsecondary institutions generated only 20% of their revenue from tuition and fees. A good 43% came from government grants, contracts, and appropriations; 6% from auxiliary enterprises; 3% from investments; and 29% from what is categorized as “all other revenues." This is nearly a third of all revenue coming from streams that could not be put into a more general category.

This shows that, at the level of postsecondary education, organizations can have a wide variety of service structures that could not be dealt with by a rigid one-size-fits-all methodology. Conversely, it cannot be taken care of by using a rigid non-customizable off-the-shelf accounting solution. When it comes to expenses, the same situation stands. The type and share of expenditures differ on average as well.

For instance, for private for-profit institutions, 67% of expenses go to academic support, student services, and institutional support (NCES, 2022b). In contrast, public institutions, on average, only allot around 20% for spending on the same general category. Moreover, public and private nonprofit educational institutions, on average, have special expenditures that private for-profit ones tend to not have or tend to spend little on. Research and public service make up around 16% of the expenditures of public institutions. Another 16% go to hospital services. Private nonprofits, on average, have 12% of their overall expenditures on research and public service and about 15% go to hospital services.

Additionally, these revenues and expenditures are also spread out across schools, colleges, and departments. Hence, consolidating these figures for compliance, reporting, and data-driven strategic decision-making would be intractable without a solution that can bring all of these together.

Why School Accounting Software Is Important

The issue of accounting for sprawling activities and finances is a matter of compliance and providing a better vantage point for making data-driven strategic decisions. The need is more pronounced in policymaking concerning public primary and secondary education. This is because policymakers use financial data from schools and programs to (Institute of Education Sciences, 2015):

ensure adequate and equitable funding;
for state accountability;
and assess programs by relating school-level expenditures to student achievement scores or other criteria for effectiveness

For instance, the data on the national average revenue shares of public schools are regularly getting consolidated. Most recently, it was found that in SY 2018 to 2019, federal sources of public school revenue only accounted for 7.9% of the total with California ($8.05B), Texas ($7.28B), and Florida ($3.54B) getting the highest allocations among states (NCES, 2021). These, together with other data sets and projections, will be used to inform policies and budget decisions moving forward.

This is no easy task given that as of 2020, there are 98,469 public schools in the country—from kindergarten to high school (NCES, 2022c). Software solutions are integral in helping educational institutions quickly consolidate information from different data pools to generate these important reports. This is why school accounting software platforms are very important.

In fact, school districts or state education agencies develop cost reporting software solutions to interface with existing systems as, many times, the data needed are already in a district’s data systems (Institute of Education Sciences, 2015). These include school administration systems and library management software solutions. The integration allows schools and districts to quickly and accurately provide accurate data for analyses required for good policymaking. These include how salaries were allocated to schools and programs served by teachers. Another is computing indirect costs such as those for used space by linking a teacher’s assigned classrooms to facilities data about the square footage of classrooms (Institute for Education Sciences, 2015).

Computing for direct and indirect costs can be fairly complex, necessitating advanced methods and tools. It gets complicated when some of the pooled data come in archaic formats such as electronic spreadsheets and loose paper; more so when they are sourced from programs jointly managed by students. This could be about accounting for activity funds for the art club, photography club, athletics activities, and special field trips, among others.

So, to expedite and make the whole process simpler, a good school accounting software solution is in order—more so if you could acquire the best school accounting software among the lot.

Admittedly, the best school accounting software should provide users with advanced data handling, analytics, and reporting tools complete with easy-to-understand visualizations. These are very intuitive and lend well to non-experts and novice users.

But as they are many, how could you find the right one for you? For that, here are things to consider when going after the best school accounting software for your institution.

Things to Consider When Purchasing a School Accounting Software

Integration. As educational institutions already have software systems in place, it is best to adopt a school accounting solution that can integrate with the apps they are using. These include student management systems, learning management systems, library management systems, and the like. In this way, accountants and administrative staff can easily pull data from these sources in real-time for reports whenever they need to. Moreover, choose one that supports different file formats and works well with spreadsheet software. In this way, you will be able to easily import and export data when needed.

Custom Reporting and Compliance. It is imperative for a school accounting solution to have a good reporting module that can create custom reports, metrics, and analytics procedures. Customization is crucial, especially for compliance as education boards and agencies may have custom category codes, standards, and reporting formats. Fortunately, many software platforms are flexible enough for this. Also, there are tools that have state-specific compliance features.

Scalability. Look for a platform that can easily scale as your school grows. You should be able to add new items and categories such as new activity funds, revenue streams, and expenditures, among others. You should also consider the capability to add new users and credentials as the number of your staff increases. Also, this feature would be useful should you wish to provide limited access to club sponsors or student club leaders to make financial data updates easier.

Ease-of-Use. Today, most SaaS solutions come with high out-of-the-box usability. In fact, an important goal of these solutions is to make complex and complicated processes easily understandable and manageable for non-experts. Most, if not all, of the software products listed here are very easy to use. This software solution feature is similarly evident in related apps such as the finance business name generator used by entrepreneurs.

Training and Support. Remember that when buying software, especially SaaS platforms, you are not just purchasing the product itself. You are also signing up for a partnership with the software provider. Hence, you should take the time to find out whether your software provider offers good customer support and technical training, has a comprehensive knowledge base, and is proactive in terms of providing updates and fixing bugs if any. A good share of the overall experience with your software is your experience with the software provider. So, make sure that you partner with an honest and hardworking company. Furthermore, it is also a plus if you choose a product with an active community or user base. In this way, you will have an additional avenue for knowledge and technical help.

Cost. This, of course, is a very important factor when choosing the right accounting software for your educational institution. You can only pick the product or subscription plan that fits your budget’s needs. So, when looking at different software products, make sure that you take note of the features and capabilities of the specific plans that you can afford. In this way, you will not have the wrong expectations and may incur losses as some plans have lock-in periods. Fortunately, especially in this list, there are many software providers that offer their solutions via quote-based plans. Hence, you will have a hand on which features are included in your version and pay only for the modules you need.

So, without much further ado, the next section lists 20 accounting software examples that are considered the best for school use. Hopefully, this narrows down your choices and you can find the right one that fits your needs.

What Are the Benefits of Integrating Accounting Software with Other Educational Tools?

Integrating accounting software with other educational tools, such as LMS for small business, can have numerous benefits for schools. It can enhance operational efficiency, improve data accuracy, and provide a more comprehensive view of the school's financial and academic performance. By combining accounting software with other tools, schools can automate tasks, reduce manual errors, and make more informed decisions. Additionally, integration can facilitate the sharing of data and insights across different departments, enabling schools to identify areas of improvement and optimize their resources. This can lead to better financial management, improved student outcomes, and enhanced overall school performance.

Practical Use Cases for Accounting Software in Schools

School accounting software does more than handle day-to-day financial transactions—it offers specific use cases that streamline operations, ensuring efficiency and transparency across various departments. One key area where these tools shine is in managing tuition payments and invoicing. With the inclusion of automation, schools can generate invoices for tuition or extracurricular fees effortlessly while customizing formats to fit institutional guidelines. Automated payment reminders also reduce late payments significantly, which fosters a balanced cash flow. For schools interested in diverse payment options, exploring best invoicing software solutions could further enhance the overall payment and processing experience.

Another critical use case is activity fund accounting. From small clubs to larger-scale sports programs, tracking the flow of funds requires precision. Accounting software helps consolidate the financial data of these dynamic activities, ensuring accurate reporting of both direct and indirect costs while staying compliant with district or state-specific requirements. Budget forecasting becomes easier as it allows schools to analyze trends from past events and allocate future funds efficiently.

These platforms also improve donor and grant management capabilities. Educational institutions frequently depend on grants and donations from various stakeholders. Accounting software ensures transparency by tracking funds from receipt to allocation, providing comprehensive reports for stakeholders and auditors. This trust and clarity can encourage further contributions while enabling schools to meet deadlines for grant utilization.

Lastly, many modern accounting systems integrate seamlessly with student information systems, boosting operational synchronization. Such integration ensures that student billing, attendance tracking, and curriculum updates reflect real-time financial standings, providing administrators a holistic view to make sound, data-informed decisions. Leveraging these advanced features ensures schools can focus more on education and less on tedious manual processes.

Go with the School Accounting Solution that Fits Your Needs

It is easy to dismiss the importance of a trustworthy accounting software for school. This is especially true for educational institutions that have small operations. It is a common pitfall for childcare services, too. They are lured into thinking that they do not need such fancy solutions because they can still do it the traditional way. Paper journals and ledgers and spreadsheets can work if you are only handling a handful of students—and have no plans of growing your school or service.

But if you are looking beyond the current state of your institution, investing in the best school accounting software will be a good idea. You can get a complete look at your financial health. Plus, you can figure out ways on how to save on costs without it affecting the quality of your service. In this way, you can have a healthier bottom line.

A big school with an existing accounting solution looking for a better option can enjoy the same benefits. On top of those, there are platforms that include convenient tools for parents like online tuition payments. As well, they can enjoy integrations with other solutions such as digital learning platforms.

Aptafund is an accounting software solution that can meet the rigorous demands of schools. It has a robust set of accounting tools that users will surely appreciate, as they can expedite their processes. And for those looking for a complete school administration system, Synergetic would be a good choice.

But whichever you go with, just make sure that accountants, administrators, and other users will appreciate your choice as well.

Key Insights

Diverse Revenue Streams: Educational institutions, particularly postsecondary ones, have a wide range of revenue sources, including tuition, government grants, donations, and auxiliary services. This diversity necessitates flexible accounting software to manage and track these varied streams effectively.
Complex Accounting Needs: School accounting differs significantly from typical business accounting due to the unique nature of revenue and expenditure categories. Institutions require specialized software that can handle these complexities and provide accurate financial reports.
Compliance and Reporting: Schools must adhere to strict regulatory standards and provide detailed financial reports for compliance and strategic planning. Robust school accounting software ensures institutions meet these requirements efficiently.
Integration with Existing Systems: Effective school accounting software should seamlessly integrate with other school management systems, such as student information systems, library management, and learning management systems, to provide a unified view of financial health.
Scalability and Customization: As schools grow, their accounting needs evolve. Scalable and customizable accounting software allows institutions to add new features, revenue streams, and user access without significant overhauls.
Ease of Use and Training: User-friendly interfaces and comprehensive training and support are crucial for ensuring that school staff can efficiently use the accounting software. This reduces the learning curve and improves overall productivity.
Automation and Efficiency: Automation of routine accounting tasks, such as invoicing, payroll, and financial reporting, helps reduce errors and frees up staff time for more strategic activities.
Security Features: Given the sensitivity of financial data, school accounting software must have robust security features to protect against cyber threats and unauthorized access.
Cost Considerations: Schools must balance their budget constraints with the need for effective accounting solutions. Flexible pricing plans and quote-based options help schools find software that fits their financial capabilities.

FAQ

Why is specialized accounting software necessary for schools? Specialized accounting software is necessary for schools because their financial operations are more complex than typical businesses. Schools have multiple revenue streams, such as tuition, grants, and donations, and various expenditure categories that need detailed tracking and reporting. Standard business accounting software may not be equipped to handle these complexities.
How does school accounting software help with compliance and reporting? School accounting software helps with compliance and reporting by providing tools to generate detailed financial reports that meet regulatory standards. It ensures that all financial activities are accurately recorded and can be easily audited, making it easier for schools to comply with state and federal regulations.
What are the benefits of integrating school accounting software with other school management systems? Integrating school accounting software with other management systems, such as student information systems and library management systems, provides a unified view of the school's financial health. It streamlines data sharing across departments, reduces manual data entry, and enhances the accuracy of financial reporting.
How can scalability and customization in accounting software benefit schools? Scalability and customization in accounting software allow schools to adapt the software to their evolving needs. As schools grow or change their financial structures, they can add new features, revenue streams, and user access without overhauling their entire system. Customizable reporting and compliance tools ensure the software remains relevant and effective.
What features should schools look for in accounting software to ensure ease of use? Schools should look for accounting software with an intuitive user interface, comprehensive training programs, and responsive customer support. Features like customizable dashboards, automated workflows, and easy-to-generate reports enhance usability and ensure staff can efficiently manage financial tasks.
How does automation improve the efficiency of school accounting? Automation improves the efficiency of school accounting by reducing the need for manual data entry and repetitive tasks. Automated invoicing, payroll, and financial reporting minimize errors and save time, allowing staff to focus on more strategic activities and decision-making.
What security features are important in school accounting software? Important security features in school accounting software include data encryption, secure access controls, regular security updates, and compliance with industry standards. These features protect sensitive financial data from cyber threats and unauthorized access, ensuring the integrity and confidentiality of financial information.
How can schools balance cost and functionality when choosing accounting software?

Schools can balance cost and functionality by carefully evaluating their specific needs and comparing them with the features offered by various accounting software solutions. Opting for quote-based pricing allows schools to select only the necessary modules and avoid paying for unnecessary features. Additionally, considering SaaS solutions can provide flexibility in scaling and customization while keeping initial costs manageable.

References:

Cherednichenko, S. (2021, December 8). How to create your own accounting software: Technologies and cost. Mobindustry.
Sciences. (2015). Financial accounting for local and state school systems: 2014 edition (347). National Center for Education Statistics. NCES.
Institute for Education Sciences. (2015). Financial accounting for local and state school systems: 2014 edition (347). National Center for Education Statistics. NCES.
National Center for Education Statistics. (2021). Revenues for public elementary and secondary schools, by source of funds and state or jurisdiction: 2018-19. National Center for Education Statistics. NCES.
National Center for Education Statistics. (2022a, May). COE Postsecondary institution revenues. National Center for Education Statistics. NCES.
National Center for Education Statistics. (2022b, May). COE Postsecondary institution expenses. National Center for Education Statistics. NCES.
National Center for Education Statistics. (2022c). Fast facts: Educational institutions (84). National Center for Education Statistics. NCES.

AUG 6, 2025

20 Best School Accounting Software for 2025

List of Accounting Software

NetSuite ERP Accounting

Tipalti

Ramp

Connecteam

Gaviti

Acumatica

Paylocity

Zoho Books

FreshBooks

Xero

ADP Workforce Now

Sage Intacct

Paychex

QuickBooks

Wave Invoicing

Gusto

AvidXchange

Sage Business Cloud Accounting

Kashoo

Neat

A2X

Procore

Ellucian

Wave Payroll

ClearBooks

Refrens Accounting