Xero

Cloud accounting for small businesses, priced per organisation

Xero is cloud accounting software for small businesses and the bookkeepers and accountants who work with them: bank transactions are imported and auto-reconciled, bills are captured from documents rather than typed in by hand, and invoices and quotes go out with online payment attached. Reporting runs in real time rather than at month end, with customisable performance dashboards, KPI and ratio analysis, a 180-day cash flow forecast and industry benchmarking on the higher plans. It handles W-9 and 1099 management, sales tax, multiple currencies, project time and costs, and employee expense and mileage claims. Plans are priced per organisation with no per-user licence fees, and payroll is a paid add-on delivered through Gusto.

  • Auto-reconcile bank transactions from imported feeds
  • Automate bill entry with Smart Document Capture
  • Send invoices and quotes, and accept online payment on them
  • Real-time reports and customisable performance dashboards
  • 180-day cash flow forecast, KPIs and industry benchmarking
  • W-9 and 1099 management, sales tax and multiple currencies
  • Track project time and costs, and employee expense claims
  • No per-user licence fees; payroll is an add-on through Gusto

Based on what people have said

Every answer links back to the mentions it came from

How does Xero compare to QuickBooks Online?

Opinions are divided; some users prefer Xero's interface and find it more user-friendly or cost-effective, while others prefer QuickBooks. Some accountants express a strong preference for one over the other, with some firms refusing to use Xero entirely, while others despise QuickBooks. Users often suggest choosing based on the preference of the accountant who will be managing the books.

10 mentions · r/smallbusinessuk · r/quickbooksonline · r/PersonalFinanceNZ · r/Bookkeeping · r/QuickBooks · r/IndiaBusiness · Aug 2026 – Sep 2026

What are the common complaints regarding Xero's features?

Users report limitations with journal entries, specifically the inability to make them to bank accounts. Others mention difficulties with reporting, lack of native support for certain tax requirements like GST/HST in some regions, and frustrations with invoice template formatting. Additionally, some users find the software slow or manual, and there are recurring requests for features like Single Sign-On (SSO) and the ability to send emails from a custom domain.

14 mentions · r/xero · r/xero · r/xero · r/Bookkeeping · r/Accounting · r/buildinpublic · and 3 more · Aug 2026 – Sep 2026

Is Xero suitable for complex business needs or large-scale data?

While some use Xero for small businesses, others note it lacks native support for complex requirements like ASC 606 revenue recognition, leading some to use external spreadsheets for tracking. Some users suggest migrating to more robust systems like NetSuite for high-visibility projects while keeping Xero for historical data, or using the API to extract data for custom tools.

5 mentions · r/Netsuite · r/xero · r/Accounting · Aug 2026 – Sep 2026

What is the experience with Xero's pricing and billing?

Some users have expressed frustration with rising costs and price increases. There are also reports of difficulties with billing, such as continued charges after a company has been removed from the platform.

4 mentions · r/xero · r/xero · r/PersonalFinanceNZ · r/quickbooksonline · Aug 2026 – Sep 2026

How do users handle integrations and automation with Xero?

Many users leverage Xero's API to build custom integrations, connect to AI tools like Claude, or automate workflows. Some use third-party tools for document fetching, bank reconciliation, or connecting to other software stacks, though some users note that these integrations can be complex to set up and maintain.

10 mentions · r/xero · r/xero · r/Bookkeeping · r/AmazonFBA · @windowsforum · Aug 2026 – Sep 2026

These summarise counts and dates only. Read the quotes themselves under what people are saying.

What people are saying about Xero

53% neutral
“If you're doing the books yourself, Xero is very user-friendly. If you plan on hiring someone to keep your books, most bookkeeper or accountants I know are most familiar with Quickbooks Online.”
Juggernaut_Putrid · reddit ·
“Has a repeating invoice in Xero ever silently stopped going out? Has a repeating invoice ever stopped going out, or turned back into a Draft, with no warning?”
Familiar-Monitor6432 · reddit ·
“Xero or QuickBooks? Would love to hear from folks who've used both especially but any type of anecdotal experience would be great.”
Open_Address_2805 · reddit ·
“I do a fair amount of Xero cleanup for small businesses and anything that cuts down on the back-and-forth between platforms is worth a look. The multi-connection part is what caught my attention since juggling client logins gets old fast.”
troubled_measurement · reddit ·
“You can set it up so that it automatically posts the invoices in to Xero for you”
wakinbakon93 · reddit ·
“Personally, I’d probably recommend starting by just using the Xero mobile app which allows you to import photos of your receipts straight into your file”
luk1874 · reddit ·
“Dext for loading expenses and Datplan for reporting on it all. Keeps the whole xero work solid end to end .”
Superb-Bonus7297 · reddit ·
“I'm thinking of switching my RE clients to Xero (which I understand has classes at lower product tiers) or some combo of a third-party system (Clearing, Doorloop, etc.) and a lighter version of QBO as a GL.”
--Orcanaught-- · reddit ·
“So I've recently gotten xero and invoices and quotes are good and easy to do.”
SnooFloofs836 · reddit ·
“Xero's built in inventory only handles simple buy/sell stock items, no bill of materials, no assemblies, no work orders. For manufacturing you need a proper add-on. Common options: Cin7 Core (formerly DEAR), Unleashed, Katana, MRPeasy.”
landedcost_nerd · reddit ·
“You can have Tracked Inventory items in your Xero Products and Services area. It will increase your stock through POs/Bills and reduce by sales invoices”
IAMN0B0DY1 · reddit ·
“I use Xero for my accounting/invoicing etc. Is there an add on for stock control?”
cornishmanabroad · reddit ·
“Their acquiring of hubdoc and subsequent mangling of it was the beginning of the end for Xero as a proper tech focused software company imo”
usernamewhg · reddit ·
“hubdoc only grabs the header stuff, vendor name, total, date, invoice number. every single line item you're still typing in yourself. and even though xero itself takes up to 4 decimal places, hubdoc rounds to 2, which has apparently caused real reconciliation headaches for people dealing with fractional pricing.”
Hashtag_Maybe · reddit ·
“Currently using AveriWorks. Their free tier better than Xero. If you’re GST registered it covers GST InvoiceNow also.”
idccy · reddit ·
“If more, can consider Xero, QuickBooks, Zoho Books. a lot of choices nowadays”
Yard_Creepy · reddit ·
“Xero or other accounting software”
potatoepotatata · reddit ·
“I manage my properties and all my real estate clients on Xero. PM software is heavy on the PM and light on the "accounting." You won't be able to get a proper balance sheet from Stessa, and at your level, your tax professional will want a balance sheet.”
TheBookkeeperLady · reddit ·
“Hello, I am trying to add my Royal Mail bill to Xero, but the VAT figures on the invoice do not match up with what Xero sees.”
HotMoose9223 · reddit ·
“Other software you can consider are Xero, sage, etc.”
coolth0ught · reddit ·
“Use the bookkeeping software (QBO or Xero) for bookkeeping and keep it simple. If you only need bookkeeping to facilitate tax filings, build your chart of accounts for that and nothing else.”
AzimuthAgave · reddit ·
“If you need the software for bookkeeping/accounting, QBO or Xero would be better options. You can automate some of the manual work using Claude or QBO AI feature.”
Shakhnoza33 · reddit ·
“Xero all day long”
StevenHamilton99 · reddit ·
“How can I get their Xero organisation to link our partner without involving the first partner? Or do i create a new Xero organisation and migrate their data to our initiated organisation file?”
unshavenguard · reddit ·
“I also moved from xero. But instead of building a different version.”
Awesomenugget92 · reddit ·
See what people previously said about Xero