Xero accounting software review

Unfortunately, Xero only has a chatbot, a customer service email, and self-help information. In this area, we gave more weight to certain features like creating inventory items, viewing inventory levels, adding inventory to invoices, and calculating COGS automatically. Xero has all of these features alongside minor features that can help in inventory management, like viewing inventory cost information and POs. FreshBooks offers unlimited time-tracking in its lowest-tier Lite plan, whereas Xero users would have to opt into the highest-tier Established plan for that feature.

Without built-in payroll, Xero also lost its great tax support, and the customer service has taken a turn for the worst. Unlimited users and advanced features make this cloud accounting software platform a good fit for many small businesses. Xero helps transform the data you enter into actionable information at every subscription level. A dashboard provides a summary of your business’s financial health, including total cash in and out, outstanding invoices and overdue bills. Another page dedicated to short-term cash flow charts out how future bills and invoices can affect your bank balance over the next week or month.

Xero Pricing & Cost

The company has also limited expense claims, projects, and multi-currency support to the most expensive plan. Since our last review, Xero’s customer support has also gone downhill. Users like freelancers and small businesses can try Xero for 30 days before signing up for a subscription. However, accountants and bookkeepers can register in the Xero Partner program to get it for free. If your business isn’t offering accountancy services, you aren’t eligible for the free Xero account.

Based in New Zealand, the multi-faceted package currently comes in three incarnations and is aimed at small, medium and larger-sized businesses. It allows three users for its Essentials plan ($55 per month) and 25 https://bookkeeping-reviews.com/the-xero-accounting-software-review-for-2021/ users for its top plan, the Advanced ($200 per month). This can be helpful if your company is growing fast, or you simply want the reassurance that there’s no limit to how many people can be part of the team.

Positive Xero Reviews & Testimonials

We broadly recommend Xero for those who want a solid, reliable accounting software tool that won’t break the bank. We suggest that all businesses, except for freelancers, opt for the Established Plan for the most functionality and best value. The expenses section within Xero will allow you to manage your bills, purchase orders, and employee expense claim tracking, which includes a receipt analysis feature. They’re visually set up much like the Sales section, so all bills are ordered in a list view so you can see each due date, who you owe money to, and more.

The solution now also comes with a project management feature, which wasn’t previously included. With Xero’s robust accounting features, small businesses can view their cash flows, transactions, and account details from any location. Online payments allow users to track and manage expenses as well as improve relationships with critical business material suppliers. There are also features that automatically import and code all business transactions accurately.

FreshBooks vs Xero: How They Compare in 2023

Click the “OK” icon between the two to verify the match is correct. Our partners cannot pay us to guarantee favorable reviews of their products or services. Accounts payable, accounts receivable, bank reconciliation, integration, etc provided in a better way in Xero comparatively. Even then you can tend to find yourself getting a little tied up in knots such is the powerful array of features on offer.

Instead, you’ll need to edit the original PO and adjust the quantity not yet received. Otherwise, the number of units available and in a PO will be https://bookkeeping-reviews.com/ overstated. Although it can work this way, we still don’t see it as a great solution since there’s no paper trail or change log when editing POs.

But if you intend to hire external bookkeepers and certified public accountants (CPAs) to handle your business’ accounting, QuickBooks Online is more popular for US accountants and bookkeepers. Xero lets new customers sign up for a 30-day free trial to test out its features. You can add Gusto payroll to any plan for an extra $40 per month, plus $6 per month per person. Includes project tracking tools in most expensive plan; has transaction tracking tags; lacks industry-specific reports; users with multiple businesses must pay for separate subscriptions. 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. It is not user friendly for those who have little accounting knowledge.

We saw all of these features in Xero, and we’re satisfied with how it can help companies stay on top of projects in terms of income, expenses, and profitability. Users can also upload files like bank statements to register the transactions in the books. The only setback we see here is that users can’t enter ending balances of checking accounts—they have to upload the bank statement first before reconciling.

There is also a Xero Accounting app for Android (Android 5.0+) and Apple products (iOS 12.0+) and separate mobile apps for Xero Expenses and Xero Projects. Danielle Bauter is a writer for the Accounting division of Fit Small Business. She has owned Check Yourself, a bookkeeping and payroll service that specializes in small business, for over twenty years. She holds a Bachelor’s degree from UCLA and has served on the Board of the National Association of Women Business Owners.

• Help your peers make the right decisions by sharing your product experience with them.
• In the end, Xero is a good solution for mid-to-large-sized businesses in need of strong accounting features and multiple users.
• If using multiple currencies is a priority to you, consider other platforms that offer this capability at a lower cost.
• For unlimited invoicing and bill-paying capacity, you’ll need to upgrade to the Growing plan.
• While the price may rule out the software for small businesses, Xero still has a lot to offer for medium and large businesses or those in need of multiple users.
• For example, each invoice has a history that tells you the dates the invoices were created, edited, sent to customers, and viewed by the customer.