Side Hustle Income Tracker: 5 Tools for Shopify Entrepreneurs

In the ever-expanding world of e-commerce, Shopify has become a go-to platform for entrepreneurs looking to build their online stores. The beauty of Shopify lies in its flexibility, scalability, and ease of use. For many, it serves as a foundation for their side hustle --- an opportunity to supplement their income or eventually replace a full-time job.

However, managing the finances of a side hustle requires more than just building an online store. As an entrepreneur, you need tools to track your income, manage expenses, and ensure your business is growing profitably. Fortunately, a variety of tools are designed specifically for Shopify entrepreneurs to help manage and monitor their side hustle income. In this article, we'll explore five of the best tools that can help Shopify entrepreneurs track their income, streamline operations, and build a more successful business.

Shopify's Native Analytics and Reports

1.1 Overview of Shopify Analytics

Shopify offers a robust set of native tools to help you track the performance of your store. These tools include real-time analytics, financial reports, and sales data that provide an in-depth look at your store's income and performance. For Shopify entrepreneurs running a side hustle, these reports are invaluable for understanding how well their business is doing and where improvements are needed.

1.2 Key Features for Income Tracking

Shopify's native analytics dashboard provides several key features, including:

• Sales Overview: This feature provides a quick glance at your total sales, broken down by day, week, or month. It helps you keep track of your revenue and monitor trends over time.
• Product Reports: You can see which products are selling the most and at what rates, helping you understand which products are driving income.
• Order Reports: These reports give you a detailed breakdown of each order, including the total amount, taxes, discounts, shipping charges, and more.
• Customer Reports: Customer data is key to growing your side hustle. Shopify's customer reports give insight into the buying behavior, demographics, and lifetime value of your customers.

1.3 Why It's Great for Side Hustles

For entrepreneurs just starting out, Shopify's built-in analytics and reports are a one-stop solution for income tracking. They're easy to use, integrated with the Shopify platform, and accessible for users at all experience levels. You don't need to purchase additional apps to start tracking your income --- everything is included within your Shopify plan.

However, while Shopify's native tools are useful, they might not offer the detailed customization and advanced features that some side hustlers require as their businesses grow. This is where other tools come into play.

QuickBooks Self-Employed

2.1 Overview of QuickBooks Self-Employed

QuickBooks Self-Employed is a popular accounting software that helps freelancers and entrepreneurs track their income, expenses, and taxes. It's particularly useful for side hustle owners who need to manage their business finances while keeping things simple.

QuickBooks integrates easily with Shopify and can automatically import sales transactions, making it much easier for entrepreneurs to manage their finances without having to manually enter data.

2.2 Key Features for Income Tracking

Some of the key features of QuickBooks Self-Employed include:

• Income & Expense Tracking: QuickBooks automatically tracks income and expenses, categorizes them, and generates reports to show how much you're earning and where you're spending.
• Tax Calculation: QuickBooks helps you calculate quarterly taxes based on your income, which is especially useful for freelancers or side hustle owners who may not be aware of how much they should set aside for taxes.
• Mileage Tracking: If you're running a physical business or delivering products, QuickBooks allows you to track your mileage for tax purposes, ensuring you don't miss out on potential deductions.

2.3 Why It's Great for Side Hustles

QuickBooks Self-Employed is designed for solo entrepreneurs, making it ideal for those running a side hustle. It's especially useful if your side hustle has expenses (like supplies, software, or shipping fees) that need to be tracked alongside your income. Moreover, the ability to sync your Shopify transactions with QuickBooks saves you time and ensures that your financial data is accurate.

However, QuickBooks Self-Employed is more of an accounting tool than a dedicated income tracker. It's great for entrepreneurs who need to manage their finances holistically, including tax preparation and expense tracking.

ProfitWell

3.1 Overview of ProfitWell

ProfitWell is an advanced subscription and revenue analytics tool designed for SaaS businesses and e-commerce entrepreneurs who need a deeper understanding of their revenue and profit margins. This tool offers insights into recurring revenue, customer lifetime value, and much more.

3.2 Key Features for Income Tracking

Some of the key features of ProfitWell include:

• Subscription Metrics: For Shopify entrepreneurs with subscription-based models, ProfitWell tracks monthly recurring revenue, churn rate, and customer retention.
• Revenue Segmentation: ProfitWell helps you segment your revenue data by product, channel, or customer cohort, offering deeper insights into which segments are the most profitable.
• Churn Analysis: Understanding why customers leave is just as important as knowing how many new customers are joining. ProfitWell helps you identify and address churn before it becomes a serious issue.

3.3 Why It's Great for Side Hustles

ProfitWell is perfect for Shopify entrepreneurs who have a subscription-based business model or want to get a more granular look at their revenue. If your side hustle involves recurring payments, whether from subscriptions, membership fees, or repeat customers, ProfitWell provides valuable insights to help optimize and grow your business.

The downside is that ProfitWell is more suited for larger businesses or subscription-based models, so it may be overkill for simpler side hustle setups. However, if your side hustle includes subscription revenue, this tool can be a game-changer.

Shopify Payments & Shopify Payments Reports

4.1 Overview of Shopify Payments

Shopify Payments is Shopify's integrated payment processor, allowing store owners to accept credit card payments, digital wallets, and other payment methods directly through their Shopify store. It simplifies transactions and gives store owners access to detailed reporting tools.

4.2 Key Features for Income Tracking

Shopify Payments offers built-in income tracking and reporting features that make it easy to manage your side hustle's finances, including:

• Transaction Reports: Shopify Payments provides reports on each transaction, including the total amount, processing fees, and net income.
• Fee Breakdown: You can see exactly how much Shopify has charged you in transaction fees, which helps you understand your true income after costs.
• Payout Reports: Shopify Payments also provides details on when you will receive payouts, which helps ensure that cash flow remains steady.

4.3 Why It's Great for Side Hustles

Shopify Payments is seamless for entrepreneurs who are already using Shopify for their store. With the ability to track every transaction, including fees, and view payout reports, Shopify Payments ensures that you have a full picture of your business's financial health.

This tool is especially useful for Shopify entrepreneurs who want an all-in-one solution for payments and income tracking. It eliminates the need for third-party integrations and manual tracking.

Wave Accounting

5.1 Overview of Wave Accounting

Wave Accounting is a free accounting software that provides simple, easy-to-use tools for small business owners and freelancers. It's ideal for Shopify side hustle owners who need a straightforward way to track income, expenses, and taxes without the complexity of more expensive tools.

5.2 Key Features for Income Tracking

Some of the key features of Wave Accounting include:

• Income and Expense Tracking: Wave allows you to easily categorize your income and expenses, making it easy to track your net profit.
• Custom Invoicing: If your side hustle involves invoicing clients, Wave lets you create and send customized invoices and track payments.
• Receipt Scanning: You can upload and scan receipts to keep track of expenses, ensuring that you never miss a deduction.

5.3 Why It's Great for Side Hustles

Wave Accounting is perfect for Shopify entrepreneurs who are looking for a simple and cost-effective solution for income tracking. It integrates with bank accounts and payment processors like Shopify Payments, making it easy to import financial data.

For side hustle owners just starting out, Wave is a great way to get your finances organized without breaking the bank. While it may not offer the advanced features of paid tools, it provides everything you need to keep your business finances in order.

Conclusion

Running a side hustle through Shopify can be incredibly rewarding, but it's essential to have the right tools to manage your income and expenses. From Shopify's native analytics to advanced tools like ProfitWell and QuickBooks Self-Employed, there's a wealth of options available to help Shopify entrepreneurs track their income and grow their businesses.

Choosing the right tool depends on your business model, the complexity of your finances, and your long-term goals. By leveraging these income-tracking tools, you can ensure that your side hustle is profitable, well-managed, and positioned for success.

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