Guide to Sage Pricing 2025: Costs, Plans & Features

Note: The information about Sage Accounting pricing in this blog was sourced from publicly available materials as of March 20, 2025. Please note that details may be subject to change.

Introduction

For many UK businesses, managing finances is not just about compliance—it is essential for growth, cash flow management, and long-term success. Whether you are a sole trader, small business, or a growing enterprise, selecting the right accounting software can streamline financial operations.

If you are asking yourself:

• Are you overpaying for accounting software that does not meet your needs?
• Are hidden fees affecting your business budgeting?
• Do you need a clear comparison of different Sage Accounting plans?

This guide provides a detailed breakdown of Sage Accounting’s 2025 pricing in the UK, helping you choose the best plan for your business.

we will guide you through:

What is Sage Accounting & Who Is It For?

It is a cloud-based accounting solution that helps UK businesses manage financial transactions, invoicing, VAT submissions, and cash flow tracking. It is widely used by:

• Sole traders and freelancers who need a simple way to track income and expenses.
• Small businesses looking for VAT compliance and multi-user access.
• Growing SMEs managing payroll, supplier payments, and inventory.
• Larger businesses that require advanced financial reporting, automation, and forecasting tools.

Unlike some competitors, It is specifically tailored for UK businesses, ensuring compliance with Making Tax Digital (MTD) regulations and integration with UK bank accounts for real-time financial data.

Sage Accounting UK Pricing Overview (2025)

Plan	Monthly Price	Best For
Accounting Start	£12 + VAT	Sole traders, freelancers, and very small businesses.
Accounting Standard	£26 + VAT	Small to medium-sized businesses needing VAT submissions and financial reporting.
Accounting Plus	£30 + VAT	Businesses managing inventory, multi-currency transactions, and advanced reporting.

Breakdown of Sage Accounting Plans & Features

1. Sage Accounting Start

Best for: Sole traders, freelancers, and small businesses that need basic financial tracking.

Price: £12 + VAT per month

Key Features:

• Basic invoicing and expense tracking
• Automatic bank reconciliation
• Basic financial reporting

Limitations:

• No VAT submissions or multi-user access
• Not suitable for businesses managing suppliers or inventory

2. Sage Accounting Standard

Best for: Small and growing businesses that require VAT compliance, financial forecasting, and multi-user access.

Price: £26 + VAT per month

Key Features:

• All features included in the Accounting Start plan
• VAT submissions compliant with Making Tax Digital (MTD)
• Multi-user access with different permission levels
• Cash flow forecasting and management tools
• Basic inventory management and tracking

Limitations:

• May lack advanced automation needed for larger businesses
• Limited reporting features compared to Accounting Plus

3. Sage Accounting Plus

Best for: Medium to large businesses that need multi-currency support, advanced inventory tracking, and budgeting tools.

Price: £30 + VAT per month

Key Features:

• All features included in the Accounting Standard plan
• Budgeting and forecasting tools
• Multi-currency support for global transactions
• Exchange rate gains and loss reports
• Advanced inventory management

Limitations:

• Higher pricing may not be justified for micro-businesses

What’s New in 2025? Introducing Sage Copilot

Sage Copilot is a new AI-powered assistant integrated into its Accounting to help businesses automate accounting tasks and gain real-time financial insights.

Key Features:

• Automated data entry and categorisation
• AI-powered financial insights to track cash flow
• Proactive alerts for budget variances and overdue invoices

Price: Available as an add-on for £20 per user, per month

Comparing Sage Accounting Plans

Feature	Accounting Start	Accounting Standard	Accounting Plus
Income & Expense Tracking	✓	✓	✓
Invoicing	✓	✓	✓
Bank Reconciliation	✓	✓	✓
VAT Submissions (MTD Compliant)	✗	✓	✓
Multi-User Access	✗	✓	✓
Inventory Management	✗	Basic	Advanced
Cash Flow Forecasting	✗	✓	✓
Budgeting Tools	✗	✗	✓
Multi-Currency Support	✗	✗	✓
AI-Powered Insights (Sage Copilot)	Add-on (£20/user)	Add-on (£20/user)	Add-on (£20/user)

Add-Ons and Hidden Costs

While its Accounting plans cover most essential accounting functions, businesses may encounter additional costs depending on their usage.

1. AI-Powered Receipt and Invoice Processing

• What it does: Automates the approval and categorisation of receipts and invoices.
• Included in Standard and Plus plans: 30 receipts/invoices per month.
• Extra Cost: 20p per additional document beyond the limit.

2. Multi-User Access

• Accounting Standard allows up to three users (excluding accountants).
• Accounting Plus allows more users with role-based permissions.
• Additional users beyond the limit may require an upgrade.

3. Sage Copilot (AI-Powered Accounting Assistant)

• Cost: £20 per user, per month (add-on).
• Features:
  • AI-driven insights on cash flow and financial trends.
  • Automatic data entry and transaction categorisation.
  • Smart alerts for potential budgeting issues.

How to Choose the Right Plan for Your Business

1. Sole Traders and Freelancers

• Recommended Plan: Accounting Start
• Why: Covers basic invoicing, bank reconciliation, and income tracking.
• Limitations: No VAT submissions, multi-user access, or advanced features.

2. Small Businesses with VAT Requirements

• Recommended Plan: Accounting Standard
• Why: Includes VAT submissions, cash flow management, and multi-user access.
• Limitations: Does not support multi-currency transactions or advanced budgeting.

3. Medium to Large Businesses with Complex Needs

• Recommended Plan: Accounting Plus
• Why: Offers advanced inventory tracking, budgeting, and multi-currency support.
• Limitations: Higher cost, which may not be necessary for smaller businesses.

Limitations of Sage Accounting in 2025

While Sage Accounting is a powerful solution for many businesses, it does have some limitations:

1. Limited Payroll Capabilities – Unlike some competitors, it does not include payroll processing as a built-in feature. Users need to integrate Sage Payroll separately.
2. Additional Costs for AI Features – Sage Copilot and automated document approvals are available only as paid add-ons.
3. Multi-User Limitations – The Accounting Standard plan only supports up to three users, which may not be sufficient for growing businesses.
4. No Customisable Reports in Lower Plans – Businesses needing in-depth financial analysis may find the standard reporting features too basic.

How Finexer Enhances Sage Accounting

Accounting software helps businesses track cash flow, manage taxes, and stay compliant, but one major challenge remains—getting paid on time. Late payments, inefficient bank transfers, and manual reconciliations can slow down business operations.

This is where Finexer comes in. By integrating Finexer’s Open Banking payment technology with Sage Accounting, businesses can:

• Receive instant bank-to-bank payments instead of waiting days for transactions to clear.
• Eliminate manual reconciliation, as payments are automatically tracked in Sage Accounting.
• Verify customer and supplier bank details in real-time, reducing fraud and errors.

Feature	Sage Accounting Alone	Sage Accounting + Finexer
Payment Processing	Manual bank transfers or card payments	Instant bank-to-bank payments
Payment Reconciliation	Requires manual matching	Automatic reconciliation in Sage Accounting
Fraud & Error Prevention	No built-in verification	Real-time bank account verification
Open Banking Connectivity	Limited	Connects with 99% of UK banks
Transaction Security	Standard security	Enhanced encryption & verification

Who Benefits Most from Finexer + Sage Accounting?

Business Type	Challenges	How Finexer Helps
Small Businesses	Late payments affecting cash flow	Instant bank payments improve liquidity
E-commerce & Retail	High transaction fees from card payments	Bank-to-bank payments reduce costs
Service Providers	Manual reconciliation of invoices	Automatic payment matching in Sage Accounting
Finance & Accounting	Fraud risks from incorrect bank details	Real-time bank verification before transfers

How to Integrate Finexer with Sage Accounting:

1. Sign up for a Finexer account.
2. Connect your Sage Accounting software.
3. Start accepting instant payments and automate reconciliation.

By combining Sage Accounting with Finexer’s Open Banking payments, UK businesses can remove friction from their financial processes and focus on growth instead of chasing payments.