QuickBooks vs Xero 2024: Which Software Is Better for You?

QuickBooks Online has four pricing plans ranging from $35/month to $235/month. The more expensive QuickBooks plans include additional features and users. While Xero’s entry-level plan seems like the better deal when compared to QuickBooks, limitations on invoices and bills make it suitable for very small businesses or freelancers. Xero also doesn’t have some built-in features that you’ll find with QuickBooks, including payroll (although Xero integrates with Gusto) or payment processing. The software must have features that allow users to set sales tax rates, apply them to invoices, and enable users to pay sales tax liability.

Xero VS QuickBooks Online: Pricing Comparison

Both Xero and QuickBooks Online have troubles when it comes to customer service. The biggest downside of Xero’s customer service is that there is no phone support available. Email support is available, but it may take up to one day to receive a response to your inquiry. There are other ways to get the help you need fast, including the Xero Central help center, Xero TV videos, and in-software help. Both Xero and QuickBooks Online include invoicing, but there are a few reasons why QBO has the edge.

Pricing: Xero Wins

If you’re in the market the difference between gross sales and net sales for accounting software, you might be feeling overwhelmed by all the options out there. While Xero and QuickBooks are wildly popular, they’re not the only options available. There are a number of alternative accounting software programs that can offer powerful features and a user-friendly interface. One of the advantages of using Xero is that it can save businesses time and money. With Xero, businesses can eliminate the need for paper records and reduce accounting fees.

Explore additional comparisons

QuickBooks is available both online and via desktop and is ideal for businesses that outsource their accounting tasks to a bookkeeper or accountant. This is because QuickBooks only allows up to 40 users for its highest-tiered plan, and even then, some plans require every user to pay for their own account. Xero is ideal for businesses that keep a team of bookkeepers or accountants in-house. Depending on several factors, including the size of your business and the type of business you run, either QuickBooks or Xero will be your best choice. Xero is a better solution for large and growing companies that don’t want a cap on the number of users needing access to the software.

This includes the ability to accept payments, view reports, and assign expenses to customers or projects. However, both mobile apps let you send invoices, capture receipts, enter bill payments, and categorize expenses in the bank feed. QuickBooks Online has a range of product tiers to meet your business’s bookkeeping needs. The QuickBooks Online base plan starts at $35 per month, and the plan with the most features is $235 per month. Intuit offers prospective users a free 30-day trial and generous discounts on their monthly subscriptions.

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1. Xero and QuickBooks Online are both powerful accounting software solutions for small businesses.
2. This software is best suited for small to mid-sized businesses, although its Advanced Plan that supports up to 25 users does make it a viable option for larger businesses.
3. Has robust reporting tools and report customization options, basic inventory tracking in all plans and a capable mobile app; Early plan limits the number of invoices and bills.
4. For companies needing a payroll function for their employees, Xero offers add-on integrations for an additional cost.
5. With more than 3 million users worldwide, Xero is popular but not as ubiquitous as QuickBooks Online.

With more than 3 million users worldwide, Xero is popular but not as ubiquitous as QuickBooks Online. All plans include 24/7 live chat support; phone support is available 5 a.m. Can support larger small businesses with dozens of employees; all three plans include an unlimited number of users. QuickBooks goes beyond accounting with 750+ integrated apps, streamlining everything from payroll to customer relationships. This eliminates the need for multiple platforms, reducing time and effort while empowering smarter business decisions. FreshBooks is one such option that has gained popularity in recent years.