Best Financial Platforms for Solopreneurs: Collective vs Pilot vs Lettuce
Running a one-person business means wearing every hat. You’re the CEO, the sales team, the product person—and also the finance department. Most solopreneurs handle bookkeeping and taxes in the margins, between actual revenue-generating work.
The result: neglected books, scrambled tax seasons, and thousands in overpaid taxes.
A new category of financial platforms has emerged specifically for solopreneurs and freelancers. These services combine bookkeeping, tax preparation, and sometimes banking into unified platforms designed for businesses of one.
This comparison covers the major players: Collective, Pilot, Lettuce, and Xendoo. Each takes a different approach to solving the solopreneur finance problem.
Quick Comparison: At a Glance
| Platform | Monthly Cost | Bookkeeping | Tax Filing | S Corp Support | Best For |
|---|---|---|---|---|---|
| Collective | $296+ | Human | Included | Core feature | Full-service, $80K+ income |
| Pilot | $349+ | Human | Add-on | Yes | Funded startups |
| Lettuce | $99-299 | Automated | Included | Core feature | Budget S Corp seekers |
| Xendoo | $395+ | Human | Add-on | Limited | E-commerce, high volume |
| QuickBooks Live | $50+ | Human | Separate | No | QB ecosystem users |
Bottom Line Recommendations:
- Best overall for high earners: Collective ($80K+ income, hands-off)
- Best budget option: Lettuce (S Corp benefits at lower cost)
- Best for startups: Pilot (professional-grade, venture credibility)
- Best for e-commerce: Xendoo (transaction volume expertise)
The Solopreneur Finance Problem
Self-employed individuals face unique financial challenges:
Tax complexity: Quarterly estimated payments, self-employment tax (15.3%), deduction tracking, and year-end filing create ongoing overhead.
S Corp opportunity cost: The S Corp election can save thousands in self-employment tax, but the administrative burden keeps most solopreneurs from pursuing it.
Time drain: The average solopreneur spends 10+ hours monthly on financial tasks—time that doesn’t generate revenue.
Error risk: DIY bookkeeping leads to missed deductions, incorrect categorization, and audit exposure.
The platforms in this comparison address these problems with different approaches: human bookkeepers vs. AI automation, all-in-one pricing vs. à la carte services, and S Corp optimization vs. general bookkeeping.
Understanding S Corp Tax Savings
Before diving into platforms, understand why S Corp status matters for solopreneurs.
As a sole proprietor or single-member LLC: You pay 15.3% self-employment tax on your entire net profit. Earn $150,000? That’s roughly $23,000 in self-employment tax alone.
As an S Corp: You pay yourself a reasonable salary (say $70,000) and take the remaining $80,000 as distributions. Self-employment tax only applies to the salary portion.
The math at $150,000 income:
- Self-employment tax on $70,000 salary: ~$10,700
- Self-employment tax on $80,000 distribution: $0
- Savings: ~$12,200
This is why platforms like Collective and Lettuce focus heavily on S Corp formation and management. The tax savings often exceed the platform cost.
The catch: S Corp administration requires payroll, additional tax filings, and reasonable salary compliance. These platforms handle that complexity.
Collective: Best All-In-One for High Earners
Collective positions itself as the complete financial back-office for solopreneurs earning $80K+. They handle S Corp formation, bookkeeping, taxes, and payroll in one monthly fee.
What Collective Does
- S Corp formation and maintenance: Creates your S Corp or converts existing LLC
- Monthly bookkeeping: Human bookkeepers, not just software
- Tax preparation and filing: Business and personal returns included
- Payroll: Processes your salary payments (via Gusto, included)
- Business banking: Integrated banking option
- Quarterly estimates: Calculates and tracks estimated payments
Collective Pricing
| Plan | Monthly | Annual (15% off) | Includes |
|---|---|---|---|
| S Corp | $296 | ~$252 | Full S Corp services, bookkeeping, taxes |
| LLC | $169 | ~$144 | LLC services without S Corp |
S Corp formation is a one-time additional fee (~$500). The monthly fee covers ongoing operations.
Collective Features in Detail
Human bookkeepers: Unlike AI-only solutions, Collective assigns human bookkeepers who review and categorize transactions. You get a dedicated team, not just software.
Tax filing included: Both business (Form 1120-S) and personal tax support are included. No surprise bills at tax time.
Gusto payroll included: Collective absorbs the Gusto subscription cost. Payroll runs automatically each month, paying your salary and withholding appropriate taxes.
Reasonable salary guidance: Collective helps determine the appropriate salary level to maximize tax savings while staying IRS-compliant.
Collective Pros
- Truly all-in-one: Bookkeeping, taxes, payroll, and banking in one fee
- S Corp tax savings: 15-25% potential savings on self-employment tax
- Human expertise: Real bookkeepers review your finances
- No surprise fees: Predictable monthly cost
- Gusto included: Payroll subscription absorbed
Collective Cons
- Income threshold: Only makes financial sense above ~$80K income
- US only: No international support
- Solopreneur only: Not for businesses with employees
- S Corp complexity: Adds administrative requirements
- Annual commitment: Best pricing requires annual payment
Who Should Use Collective
Solopreneurs earning $80,000+ annually who want completely hands-off financial management. The S Corp tax savings typically exceed the platform cost at this income level, making Collective effectively pay for itself.
Not ideal for: Early-stage freelancers under $80K, businesses with employees, or those who prefer DIY control.
Pilot: Best for Funded Startups
Pilot targets venture-backed startups and growing businesses needing professional-grade bookkeeping. It’s more expensive than solopreneur-focused options but delivers enterprise-level financial operations.
What Pilot Does
- Monthly bookkeeping: Dedicated human bookkeeper
- Financial statements: P&L, balance sheet, cash flow
- Accrual accounting: GAAP-compliant if needed
- CFO services: Strategic financial guidance (add-on)
- Tax services: Business tax preparation (add-on)
Pilot Pricing
Pilot prices by monthly expenses:
| Monthly Expenses | Core Plan | Select Plan |
|---|---|---|
| Under $30K | $349/mo | $599/mo |
| $30K-$100K | $499/mo | $699/mo |
| $100K-$250K | $699/mo | $899/mo |
| Over $250K | $899/mo | $1,149/mo |
Pre-revenue discount: $200 off monthly for first year if pre-revenue.
Add-ons:
- Tax Essentials: $2,450/year
- Tax Standard: $5,400/year
- CFO Basic: $1,875/month
- CFO Essential: $3,375/month
Note: Pilot requires annual payment upfront plus one month onboarding fee.
Pilot Features in Detail
Dedicated bookkeeper: You work with an assigned bookkeeper who learns your business, not a rotating team.
Accrual accounting: For startups needing GAAP compliance or preparing for fundraising, Pilot handles accrual accounting properly.
Financial reporting: Monthly financial statements delivered consistently, ready for board meetings or investor updates.
CFO services: Fractional CFO support for financial strategy, forecasting, and fundraising preparation.
Pilot Pros
- High-quality bookkeeping: Professional, accurate, reliable
- Venture credibility: Used by many VC-backed companies
- Accrual expertise: Proper GAAP accounting available
- CFO services: Strategic financial guidance when needed
- Strong reporting: Investor-ready financial statements
Pilot Cons
- Expensive for solopreneurs: Starts at $349/month before tax services
- Tax not included: Add $2,450+ annually for tax prep
- Startup-focused: Features designed for funded companies
- Annual upfront payment: Cash flow impact
- Overkill for simple businesses: More than most solopreneurs need
Who Should Use Pilot
Funded startups, growing businesses preparing for fundraising, and companies needing GAAP-compliant accrual accounting. If you have investors or plan to raise money, Pilot’s credibility and reporting quality matter.
Not ideal for: Budget-conscious solopreneurs, simple freelance businesses, or anyone prioritizing cost over features.
Lettuce: Best Budget S Corp Option
Lettuce offers S Corp formation and management at a lower price point than Collective. It’s more automated and less hands-on, but delivers the core tax savings at reduced cost.
What Lettuce Does
- S Corp formation: Creates or converts to S Corp
- Automated bookkeeping: AI-powered categorization
- Payroll: Monthly salary payments with tax withholding
- Tax management: Quarterly estimates, business tax filing
- Tax set-aside: Automatically reserves money for taxes
Lettuce Pricing
| Plan | Monthly | Includes |
|---|---|---|
| Grow | $99 | Tax withholding, bookkeeping, invoicing, personal tax filing |
| Pro | $299 | + S Corp formation, payroll, business tax filing, audit defense |
Lettuce Pro includes S Corp formation fees—no additional one-time cost.
Lettuce Features in Detail
AI-powered bookkeeping: Transactions are categorized automatically using machine learning. Less human review than Collective, but significant time savings over DIY.
LettuceHead AI: Conversational AI assistant answers tax and business questions. Not a replacement for professional advice on complex matters, but handles routine questions.
Tax set-aside: Automatically calculates and reserves money for estimated taxes, preventing the quarterly scramble.
Savings guarantee: If you don’t save on taxes, Lettuce refunds your subscription fees.
Lettuce Pros
- Affordable S Corp: Full S Corp services at $299/month
- Formation included: No additional S Corp setup fees
- Modern interface: Clean, intuitive design
- Savings guarantee: Money-back if you don’t save
- Tax set-aside: Automatic tax reserves
Lettuce Cons
- Automated bookkeeping: AI categorization isn’t perfect, requires occasional review
- Less human touch: No dedicated bookkeeper like Collective or Pilot
- Newer platform: Founded 2023, less track record
- US only: No international support
- Limited integrations: Fewer third-party connections
Who Should Use Lettuce
Solopreneurs earning $70,000+ who want S Corp tax savings without the higher cost of Collective. Best for those comfortable with technology and willing to occasionally review AI categorization.
Not ideal for: Those wanting fully hands-off human bookkeeping, complex business structures, or maximum support access.
Related: Lettuce Review: Financial Operating System for Solopreneurs
Xendoo: Best for E-Commerce and High Volume
Xendoo provides professional bookkeeping services with strength in e-commerce and businesses with high transaction volumes.
What Xendoo Does
- Monthly bookkeeping: Human bookkeepers
- Financial statements: P&L, balance sheet by 5th of month
- Catch-up bookkeeping: For businesses with backlog
- Tax services: Federal and state filing (add-on)
- Fractional CFO: Strategic guidance (add-on)
Xendoo Pricing
Based on monthly expenses:
| Plan | Monthly | Annual | Monthly Expenses |
|---|---|---|---|
| Essential | $395 | $355 | Up to $50K |
| Growth | $595 | $535 | Up to $75K |
| Scale | $995 | $895 | Up to $125K |
Add-ons:
- Tax filing: $1,200/year
- Fractional CFO: Custom pricing
Xendoo Features in Detail
Weekly bookkeeping: Unlike monthly-close services, Xendoo reconciles weekly for more current visibility.
Dedicated team: Assigned bookkeeping team learns your business over time.
E-commerce expertise: Strong integrations with Shopify, Amazon, and e-commerce platforms.
Catch-up services: If your books are months behind, Xendoo offers catch-up bookkeeping to get current.
Xendoo Pros
- Weekly bookkeeping: More frequent than competitors
- E-commerce focus: Understands online business complexity
- Catch-up available: Fix messy books
- Experienced team: Established bookkeeping expertise
- Financial dashboard: Real-time access to reports
Xendoo Cons
- Tax not included: Add $1,200/year for filing
- No S Corp focus: General bookkeeping, not S Corp optimization
- Higher minimums: $395/month starting point
- Transaction-based pricing: Costs scale with volume
Who Should Use Xendoo
E-commerce businesses, companies with high transaction volumes, and businesses needing catch-up bookkeeping. The weekly reconciliation and e-commerce integrations serve online sellers well.
Not ideal for: Simple service businesses, solopreneurs seeking S Corp optimization, or budget-conscious freelancers.
QuickBooks Live: Best for QB Ecosystem
QuickBooks Live adds human bookkeepers to the QuickBooks ecosystem. It’s not a standalone service but an enhancement to QuickBooks Online.
What QuickBooks Live Does
- Virtual bookkeeper access: Human bookkeeper via QuickBooks
- Monthly close: Books reconciled and closed monthly
- Financial statements: P&L and balance sheet
- Tax-ready books: Prepared for tax filing
QuickBooks Live Pricing
| QB Plan | Software | + Live Bookkeeping | Total |
|---|---|---|---|
| Simple Start | $30/mo | +$50/mo | $80/mo |
| Essentials | $60/mo | +$50/mo | $110/mo |
| Plus | $90/mo | +$50/mo | $140/mo |
Prices may vary; check current QuickBooks pricing.
Tax filing is separate through TurboTax or a CPA.
QuickBooks Live Pros
- Intuit ecosystem: Seamless with QuickBooks and TurboTax
- Established brand: Trusted name in small business accounting
- Affordable entry: Lower starting point than dedicated services
- Wide accountant network: Easy to find QuickBooks-familiar CPAs
QuickBooks Live Cons
- Bookkeeper quality varies: Inconsistent experience reported
- QuickBooks required: Locked into the ecosystem
- Tax filing separate: No integrated tax preparation
- Interface dated: QuickBooks Online isn’t the most modern
- No S Corp specialization: General bookkeeping only
Who Should Use QuickBooks Live
Solopreneurs already invested in the QuickBooks ecosystem who want human bookkeeper support without switching platforms. The integration with TurboTax simplifies tax filing for straightforward situations.
Not ideal for: Those seeking S Corp optimization, modern interfaces, or all-in-one solutions.
Feature Comparison Matrix
Core Services
| Feature | Collective | Pilot | Lettuce | Xendoo | QB Live |
|---|---|---|---|---|---|
| Monthly bookkeeping | Human | Human | AI | Human | Human |
| Tax filing included | Yes | No | Yes (Pro) | No | No |
| S Corp formation | Yes | No | Yes | No | No |
| Payroll | Yes | No | Yes | No | No |
| Banking | Yes | No | No | No | No |
| CFO services | Limited | Yes | No | Yes | No |
Pricing Summary (Annual Cost)
| Platform | Base | Tax Filing | Total (Simple) |
|---|---|---|---|
| Collective S Corp | $3,552 | Included | $3,552 |
| Pilot Core | $4,188+ | +$2,450 | $6,638+ |
| Lettuce Pro | $3,588 | Included | $3,588 |
| Xendoo Essential | $4,260 | +$1,200 | $5,460 |
| QB Live (Simple Start) | $960 | +$400+ | $1,360+ |
Integration Support
| Platform | QuickBooks | Xero | Stripe | Shopify | Gusto |
|---|---|---|---|---|---|
| Collective | Yes | Yes | Yes | Yes | Included |
| Pilot | Yes | Yes | Yes | Yes | Yes |
| Lettuce | Limited | No | Yes | No | N/A |
| Xendoo | Yes | Yes | Yes | Yes | Yes |
| QB Live | Native | No | Yes | Yes | Yes |
Decision Framework
By Annual Income
| Income Level | Recommendation | Reasoning |
|---|---|---|
| Under $50K | DIY + Wave or QB Self-Employed | Platform costs exceed value |
| $50K-$70K | Lettuce Grow ($99/mo) | Tax tracking without S Corp overhead |
| $70K-$100K | Lettuce Pro ($299/mo) | S Corp savings justify platform cost |
| $100K-$150K | Collective or Lettuce Pro | Both deliver strong value |
| $150K+ | Collective | Maximum hands-off, human expertise |
By Priority
| If You Want… | Choose | Why |
|---|---|---|
| Completely hands-off | Collective | Human bookkeepers handle everything |
| Maximum S Corp savings | Lettuce Pro | Lower cost, same tax benefits |
| Startup credibility | Pilot | Venture-backed company standard |
| E-commerce expertise | Xendoo | Transaction volume and integrations |
| Stay in QuickBooks | QB Live | Seamless ecosystem integration |
| Lowest cost | Lettuce Grow | $99/month for core features |
By Business Type
| Business Type | Recommendation |
|---|---|
| Freelancer/Consultant | Collective or Lettuce (income-dependent) |
| Content Creator | Lettuce Pro (simple income, S Corp benefits) |
| E-commerce Seller | Xendoo (transaction expertise) |
| Funded Startup | Pilot (investor expectations) |
| Side Hustle | Lettuce Grow or DIY (cost-sensitive) |
S Corp Savings Analysis
Break-Even Calculation
At what income does S Corp (via Collective or Lettuce) pay for itself?
Assumptions:
- Self-employment tax rate: 15.3% (up to Social Security wage base)
- Reasonable salary: 60% of income
- Platform cost: $3,500/year
| Annual Income | SE Tax (Sole Prop) | SE Tax (S Corp) | Savings | Net After Platform |
|---|---|---|---|---|
| $70,000 | $10,710 | $6,426 | $4,284 | $784 |
| $100,000 | $15,300 | $9,180 | $6,120 | $2,620 |
| $150,000 | $22,950 | $13,770 | $9,180 | $5,680 |
| $200,000 | $23,236* | $13,942* | $9,294 | $5,794 |
*Social Security wage base caps affect higher incomes
The math is clear: Above $70K, S Corp platforms pay for themselves. Above $100K, the net savings become substantial.
Migration Considerations
When to Switch Platforms
- Income crosses $70-80K: Consider S Corp via Collective or Lettuce
- Outgrowing DIY: Errors, time drain, or missed deductions
- Tax complexity increasing: Multiple income sources, business expenses
- Current solution failing: Late books, surprise tax bills
Switching Checklist
Before switching:
- Export all financial data from current system
- Ensure books are reconciled through transition date
- Gather all tax documents (prior returns, EIN, etc.)
- Note all recurring transactions and vendors
Timing considerations:
- Best time: January (fresh tax year)
- Acceptable: Any quarter start
- Avoid: Mid-quarter or during tax season
During transition:
- Overlap briefly for data verification
- Update banking connections
- Verify historical data transferred correctly
- Confirm payroll setup (if applicable)
Frequently Asked Questions
Can I switch from sole proprietor to S Corp mid-year?
Yes, but timing matters. S Corp election can be made retroactively for the first 75 days of a tax year, or prospectively for the following year. Collective and Lettuce help navigate this timing.
Do I need to earn a minimum to use these platforms?
There’s no minimum to sign up, but the value proposition changes with income. Below $70K, S Corp administrative costs may exceed tax savings. The platforms will advise if S Corp doesn’t make sense for your situation.
What’s a “reasonable salary” for S Corp?
The IRS requires S Corp owners pay themselves a reasonable salary for the work performed. This varies by industry and role—typically 50-70% of net income for solopreneurs. All platforms in this comparison help determine appropriate salary levels.
Can I use these platforms if I have employees?
Most solopreneur-focused platforms (Collective, Lettuce) are designed for businesses of one. If you have employees, Pilot or traditional payroll + bookkeeping services are better fits.
What happens if I have a bad year?
S Corp election can be revisited. If income drops significantly, you might revert to simpler structures. The platforms help navigate these transitions.
Final Verdict
Best Overall for High Earners: Collective
For solopreneurs earning $80K+ who want completely hands-off financial management, Collective delivers the best combination of human expertise and S Corp optimization. The all-in-one pricing with included tax filing eliminates surprises.
Best Budget S Corp Option: Lettuce
For those wanting S Corp tax savings at a lower price point, Lettuce Pro at $299/month provides the core benefits with more automation and less human touch. The savings guarantee removes risk.
Best for Startups: Pilot
For funded startups needing investor-ready financials, Pilot’s professional bookkeeping and CFO services justify the premium. The venture credibility matters when fundraising.
Best for E-Commerce: Xendoo
For online sellers with high transaction volumes, Xendoo’s weekly bookkeeping and e-commerce integrations handle the complexity better than generalist platforms.
Related Articles
- Lettuce Review: Financial Operating System for Solopreneurs
- Solopreneur Banking: Found vs Relay vs Bluevine
- Solopreneur Operations Guide
Pricing verified January 2025. Financial service offerings change frequently—verify current terms on official websites before making decisions. This article is for informational purposes and not tax advice. Consult a qualified tax professional for your specific situation.