Verdict: Wave is the better fit if you want zero monthly subscription cost and don’t mind per-transaction payment processing fees. FreshBooks is the better fit if built-in time tracking and a more polished, professional client-facing invoice matter enough to justify its monthly fee. This is a software feature and pricing comparison only, not financial or tax advice.
Last updated: August 2026, based on hands-on invoice creation in both tools, with pricing verified against each provider’s official pricing page.
Written by the AppGuideHQ Team — see how we test and review software.
At-a-Glance Comparison
| Wave | FreshBooks | |
|---|---|---|
| Monthly cost | $0 (core plan) | From $23/mo (Lite, 5 clients) |
| Client limit | Unlimited on free plan | 5 clients on cheapest paid plan |
| Time tracking built in | No | Yes, native |
| Payment processing fee | 1% bank / 2.9%+$0.60 card | 2.9%+$0.30 Visa/MC, 3.5%+$0.30 Amex |
| Additional team members | Paid Pro plan feature | $11/mo per member |
| Free trial available? | No trial needed — core plan is free | Yes, typically 30 days |
Wave: Best for Zero Monthly Cost
Wave’s Starter plan is a genuinely free product — unlimited invoices, estimates, and basic bookkeeping with no client cap and no forced upgrade. The tradeoff is how Wave makes money: a processing fee on every payment a client makes through the platform (1% for bank transfers, 2.9% + $0.60 for most cards, 3.4% + $0.60 for Amex). For a freelancer sending a handful of invoices a month, that’s usually cheaper overall than FreshBooks’ flat monthly fee; at higher invoice volume with frequent card payments, the percentage-based fees can add up faster than a flat subscription.
- Pros: genuinely free core product, unlimited clients and invoices, no forced trial
- Cons: per-transaction payment fees, no native time tracking
FreshBooks: Best for Time Tracking and Client Experience
FreshBooks has no permanent free plan — the Lite tier starts at $23/month for up to 5 billable clients (only clients you actually invoice in that period count against the cap, so dormant clients don’t use it up). What you get for the fee is time tracking built directly into the invoicing flow (log hours, bill them without re-entering data elsewhere) and what’s generally considered a more polished, professional-feeling client payment page than Wave’s. Every plan is single-user by default, with additional team members costing $11/month each.
- Pros: native time tracking, polished client-facing experience, slightly lower card processing rate than Wave
- Cons: no free plan, 5-client cap on the cheapest tier, extra cost per team member
Which One Should You Pick?
- Want zero monthly cost, comfortable with per-transaction fees → Wave
- Bill by the hour and want tracking built in → FreshBooks
- More than 5 active clients but want to avoid a monthly fee → Wave, since its free plan has no client cap
- Send high invoice volume with frequent card payments → run the math on FreshBooks’ flat fee vs Wave’s percentage-based processing costs for your actual volume
- Want the most polished client payment experience → FreshBooks
If time tracking specifically is the deciding factor, our 9 best invoicing apps with built-in time tracking roundup covers more options beyond just FreshBooks.
FAQ
Is Wave actually free, or is that misleading?
Core invoicing and bookkeeping are genuinely free with no subscription. Wave earns revenue through per-transaction payment processing fees and optional paid add-ons, not by charging for the invoicing software itself.
Does FreshBooks offer a free trial?
Yes, FreshBooks typically offers a free trial period (commonly around 30 days) so you can test the product before committing to a paid plan.
Which is cheaper for a freelancer with 3 clients?
Wave, in most cases — at low invoice volume, Wave’s free plan plus per-transaction fees typically costs less overall than FreshBooks’ $23/month Lite plan, though the exact break-even point depends on your payment volume and method.
Can I switch from Wave to FreshBooks later?
Yes, both support data export, though migrating client records and invoice history typically requires some manual reconciliation rather than a fully automatic transfer.
A Real Cost Comparison: 20 Invoices a Month
Numbers make this comparison concrete. Say you send 20 invoices a month, half paid by card averaging $500 each. On Wave, that’s roughly $29 in card processing fees that month (10 card payments x ($500 x 2.9% + $0.60)), with $0 in subscription cost — total around $29/month. On FreshBooks’ $23/month Lite plan, you’d pay the flat $23 regardless of payment volume, plus card fees around $0.30 higher per transaction than Wave’s (Visa/Mastercard) but the difference is small at this volume — total around $23-26/month depending on card mix. At this specific volume, the two land close to each other; the gap widens as invoice count grows, since Wave scales with transaction fees while FreshBooks stays flat until you need a higher tier for more clients.
The practical rule of thumb: below roughly 15-20 paid invoices a month, Wave tends to be cheaper or comparable. Above that, FreshBooks’ flat fee starts winning on pure cost, though you’re also paying for its time tracking and more polished client experience either way.
FAQ
Does Wave support recurring invoices?
Yes, Wave’s free plan supports setting up recurring invoices for retainer clients or subscription-style billing at no extra cost.
Can I accept payments in multiple currencies with either tool?
Both support multi-currency invoicing, though available payment processing currencies depend on your account region and the specific payment gateway connected — check current support directly with each provider for your country.
Is my financial data secure with either provider?
Both Wave and FreshBooks are established, PCI-compliant platforms that don’t store raw card numbers on their own servers, relying on standard payment-industry security practices. This page doesn’t offer financial advice beyond that general software note — for questions about protecting business finances, consult a professional.
Does either tool offer a way to accept deposits or partial payments?
Yes, both support partial payment collection on invoices, useful for project-based work where you collect a deposit upfront and the remainder on completion.
Can I customize the look of my invoices in either tool?
Both offer basic branding customization (logo, color accent) on their entry tiers, with FreshBooks generally offering more template variety than Wave at the free/entry-tier level.
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