The Projects category lets you manage any projects and record time spent using the time tracking feature. As with QuickBooks, you can use Xero to automatically import and categorize expenses. Other mutual features include receipt photo upload, mobile app mileage tracking, expense reporting and adding billable expenses to client invoices. You can also use the QuickBooks mobile app to track mileage and run expense reports and cash flow statements. From the desktop suite, you can set custom rules for categorizing all expenses.
QuickBooks Online Reviews
It has all the functionality you need to manage transactions, calculate payments and track projects at an affordable entry point. When you evaluate and compare Xero to QuickBooks Online for your small business, refer to our guide and find as much other information as you can for these cloud accounting software solutions. Only your company can decide if Xero is better than QuickBooks Online or QuickBooks Online is better than Xero, based on your specific business needs and checklist. If you pay VAT, work with suppliers or are a growing business, you can take your pick from Essentials (up to 3 users) or Plus (up to 5 users). The features list grows with the monthly subscription cost, and you can bolt-on extra services such as Payroll for a small extra monthly fee.
Can you use Xero to track inventory?
Unlike QuickBooks, Xero users do not have any phone support options. To get it, you’ll just need to log in, visit Xero Central, and submit a query. You can then how to calculate the employee labor percentage track its progress through a section called “My cases,” which details which specialist is working on it, the current status, and expected response time.
Basic inventory tracking in all plans
QuickBooks interface is comparatively easier to navigate as its menu panel consists of all the key components, making it easier for anyone to find the preferred section. Notifications, tasks, searches, and settings are readily accessible from the dashboard. QuickBooks generates sharable mileage reports with a breakdown of miles and potential deductions. It also lets users keep a mileage log according to the IRS’s requirements.
If your business needs many users to access your accounting data and requires low-cost inventory and fixed-asset accounting, Xero is the better choice. If you need comprehensive bank reconciliation, class and location tracking, good customer support, and easy access to local bookkeepers, then QuickBooks Online wins. This takes into account customer management, revenue recognition, invoice management, and collections. FreshBooks can be a good option for freelancers and contractors looking for an affordable, simple accounting software.
Users can connect their bank accounts to automate income and expense tracking. Xero is primarily an accounting software that offers payments in over 160 currencies, making it ideal for international business. It provides instant currency conversion, helps manage exchange rates for better cash flow, and allows users to view reports in local or foreign currency. It supports foreign exchange bank accounts and payments in any currency. QuickBooks is an online accounting software that helps users track receipts, bank transactions, and income. It is popular among small to medium-sized businesses and offers cloud-based and on-premises applications.
QuickBooks and Xero both have good support and training options, but QuickBooks has phone support while Xero does not, earning it a research score of 4.7 – nearly double Xero’s 2.4/5. In sharp contrast with QuickBooks’ extensive language support, gross profit vs net income Xero does not offer support for languages other than English. There are some workarounds, like downloading the basic invoice template, manually changing the language, and reuploading it, but there’s no easy support for multiple languages.
We were especially impressed with Xero’s built-in Gusto payroll integration. When we tested Xero, this seamless integration powered the entirely automatic updating of our accounting records when we ran payroll through Gusto. We also liked Xero’s built-in integrations with the payment processor Stripe, the CRM HubSpot, the email marketing platform Mailchimp and the e-commerce platform Shopify. Business News Daily provides resources, advice and product reviews to drive business growth. Our mission is to equip business owners with the knowledge and confidence to make informed decisions. As part of that, we recommend products and services for their success.
Xero enables daily bank reconciliation through live bank feed or manually import bank statements if the bank does not connect to Xero. It supports matching bank statements to invoices or bill payments using rules or accepting a suggested match. Users can sort and group transactions in bulk before reconciling them and receive alerts for suggested matches. Xero also shows when a client views the invoice and alerts businesses when the invoice is paid. Users can set the software to send multiple reminders to the clients for due and overdue invoices at their preferred intervals.
- Xero and QuickBooks are both great accounting software options for small businesses.
- Standard phone support is available Monday through Friday, 9 AM to 8 PM EST, and 24/7 with the QuickBooks Online Advanced plan.
- This is because Xero allows you to see how much each project is costing you in real time and compare that to your estimated profits.
- Similar to its competitors, Xero provides double-entry accounting and comprehensive reporting functionalities.
Through Wise, you can reduce the hefty fees most banks charge on international transactions – it’s simply one less thing to worry about and you even can earn a return on the money you hold. Harsh is a data enthusiast with over 2.5 years of experience in research analysis and software development. He is passionate about translating complex technical concepts into clear and engaging content. His expertise in data integration and infrastructure shines through his 100+ published articles, helping data practitioners solve challenges related to data engineering. To begin, it’s important to mention that when comparing , there are several areas where it’s especially tough to identify which platform provides more value.
Plus, Xero staffers can call people back to discuss their cases over the phone, giving you that phone support you need, albeit in a roundabout way. QuickBooks works on Windows PCs, Macs, and major browsers including Mozilla Firefox, Google Chrome, and Microsoft Edge. If you have Windows, you’ll need to be running Windows 7 or newer, with at least 4GBs of RAM and a processor comparable to the Intel Core i5. Both services are available on all the most common devices and browsers.
Pricing is never a straightforward comparison, because different accounting software providers emphasize different features. In this case, we give the edge to Xero because its entry-level Early plan includes more features than QuickBooks’ Self-Employed plan at a lower price point. However, QuickBooks’ second-tier Simple Start plan packs more tools than Xero’s second-tier Growing plan. With a research score of 5/5 for software attributes and 5/5 for its accounts receivable features, the complimentary software gives Quickbooks and Xero a run for their money too.
However, if you want a more scalable solution with the option to hire additional services like payroll and tax filing, then Xero is the more suitable choice. NerdWallet independently reviews accounting software products before determining our top picks. We collect the data for our software ratings from products’ public-facing websites and from company representatives. Information is gathered on a regular basis and reviewed by our editorial team for consistency and accuracy.
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. Track mileage, send invoices and get a snapshot of your business cash flow with both Xero and QuickBooks. While Xero’s lowest-tiered plan allows you to send and approve up to 20 invoices, partner apps that initiate transactions can automatically contribute to your limit. While FreshBooks has a live chat option for sales inquiries, you have to send an email or request a phone call for customer support. ET, so if you’re having a late-night issue trying to sort out an invoice, you’ll have to wait until morning for in-person help.
Xero offers three paid plans based on the typical life cycle of a small business. Xero’s support and learning portal, Xero Central, offers access to a searchable database categorized by topics like ‘Inventory’ or ‘Reporting and Tracking,’ among others. Resources include how-tos, explainers, and professional development courses. We’d recommend checking the total features offered by the QuickBooks Essentials and Xero Growing plans against your business’s needs. That said, both QuickBooks and Xero often offer a special entry deal for your first few months, although these deals can vary.
Additionally, if more software apps and integrations are critical to the scalability of your business, then Xero is a winner in this category as well. Xero also allows you to create quotes, send invoices and enter bills, and you can accept online payments by credit card, debit card, direct debit, Apple Pay, Google Pay, Stripe and GoCardless. You can also sync acquisitions and payments cycle your bank accounts for automatic tracking and reconciliation. However, keep in mind that the entry-level Early plan only supports 20 invoices and five bills per month, so if you regularly exceed that, then you’ll need to upgrade. All of the QuickBooks plans allow you to create unlimited invoices and quotes and customize them to reflect your company branding.
There’s time tracking in all plans and phone support is available from 8 a.m. The first two plan tiers put a limit on billable clients, but not on invoices. 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. The desktop version is installed on a computer, while the online version is accessed through a web browser. QuickBooks Online includes all the components of the desktop version, plus additional features such as more app integrations, a fully functional mobile app and more attractive pricing. The Online plans start at $30 per month, whereas the Desktop plans must be paid annually and start at $492 per year.