I mentioned in a post Friday that Microsft is no longer going to support MS Money after Jan 2011.  So now what do you do? This may be a time to re-evaluate  at your accounting software in order to figure out what will meet your needs, and how they can be  best met.

If you are like me, when you started your home business, you used your current personal financial software, I used Quicken, but both Quicken and Microsoft have business features. Now, you have a  couple of options, replace MS Money with an equivalent copy of another brand of financial software, or upgrade to a full-fledged accounting software package. Here are some questions you need to ask yourself to help make this decision:

1. Does your Accounting Software handle expense/revenue categories the way you want?
2. Is it difficult to enter transactions?
3. Are you able to easily get accurate reports on profit and loss, net income, and margin?
4. Do you need online integration with a web store?
5. Do you need customized invoices/easier email delivery?
6. Do you want to better segregate business and personal activities?
7. Do you need to track inventory?
8. Do you need to support double entry/accrual  accounting?

Some options to consider are (this is by no means a complete list)

Outright — Fee basic online accounting. (Well reviewed)

Quickbooks Online (Both Free and Paid Versions)- A next step from personal financial software. (I use this for my consulting business)

Quickbooks – Also free and paid versions — Also easy to transition to, lots of free templates and wizards

Peachtree – More advanced for a businesses that need full support of double entry/accrual accounting

If you have an accountant,  consult him or her, before you make a decision about acounting software (I’m not an accoutant so they will know better then I.) Also since this is in no way a complete list, so please feel free to add your own suggestions in the comment section.

According to CNET Microsoft has announced that they will discontinue Microsoft Money. Their schedule is to stop selling it by the end of June 2009, and stop supporting it  as  of January 31, 2011 (19 months from now). The software will still work, but  it won’t be able to download data from banks  after Jan 31 2011.  Here’s a link to the CNET story.

Time to look for a replacement. Quicken is the obvious choice, but you may also want to look at Mint, a free online personal banking app.