Xero Pricing Overview

Overall, Xero is a great Accounting package. But, their recent and very shifty and deceptive decision to remove core features and start offering them as add-ons is disgusting.

Until recently, there wasn't much I didn't like. I probably couldn't name anything, apart from the somewhat dated UI - but that's a stretch. Recently however, Xero have taken a core feature (Expenses) and starting selling it as an add-on, on top of the monthly subscription fee. Expenses as you may know, and would expect, is 'included' in the monthly subscription and formed part of the core software. There was no additional charge. They've recently updated the Expenses feature (which they should be doing anyway) and now believe that because they've updated it, that warrants it being pulled from core and sold separately as an add-on. As a current subscriber, I signed up for the all inclusive package. Having features ripped from the core package and charged for in addtion to the monthly subscription is not on. Especially when no discount or reduction of the monthly subscription cost was offered. As a SaaS provider, any and all future updates, regardless of how big or small they are, should form part of the monthly subscription. Choosing an accounting package is a big decision and once you're committed, it's difficult and often costly to change. With Xero now employing this kind of model, I'd caution anyone considering Xero to think again, think hard. Today it's Expenses, tomorrow it could be something else. These disgusting tactics employed by Xero are unacceptable.

Basic accounting.

It does everything you need an accountancy program to do and more, it's easy to use as you start automating processes, so reconciliation eventually becomes a few clicks. They are also at the right price point, as you only pay for what you need, you can add on extras, but you aren't paying for what you don't need, I do think that the pricing is just at the right point, if they increased the charges any further and we may feel differently. They also listen to feedback with one exception (the need to see a stock line with no stock, we have some products made to order, and this is sadly not an issue they are going to fix), but in every respect, they do act on feedback, they have their group on C Space designed to test new ideas and fix issues, and it's a great community.

The inability to sell stock lines with zero stock means you have to find your own workaround. The business reporting tools can sometimes need a lot of amending and aren't the easiest and quickest tools to find.

Bookkeeping and stock control

What I like about Xero is its user-friendly interface. The dashboard is clean, designed intuitively and thus visually hence making it easy to get a snapshot of your financial situation at first glance. The software also makes robust offerings, including invoicing, expense tracking, and inventory management which can be helpful for small businesses hoping to simplify their operations forcefully.

A lot of the software showed up loaded with features but it proved to be quite a challenge to fully utilise it since I often wrested with functionality issues that impaired my ability to apply the software across my entire business. Moreover, the cost of using Xero was one big pain point. The monthly bills were quite steep, especially considering my difficulties in fully leveraging the software's capabilities. This and my challenges in disseminating necessary information to my accountants and authorities made for a less-than-ideal experience. In conclusion, while Xero had some merits and has the power to be a mighty tool for small businesses, it fell short of my expectations on several key elements. The steep learning point, high costs, and communication challenges made it fit less in my business needs.

Though the road to Xero was rockier than I could have imagined, it's tough to deny that, in the end, the software addressed several critical issues for my little lobby consulting business. First, when Xero brought a level of order to my financial management that was previously lacking, I was able to track income and expenses all in one place, along with the management of invoices and monitoring cash flow. This central approach to financial management saved me a tremendous amount of time and effort, allowing me the focus elsewhere on other aspects of my business. Second, Xero's cloud-based system allowed me to control my finances from anywhere at any time. That's especially useful for my lobby consulting business, where I often find myself on the move, meeting with clients or attending various events. With Xero, I could easily access my financial data in the office or out and about. Lastly, Xero's reporting capabilities were a significant asset. The software provided detailed financial reports that gave me a clear picture of my business's financial health. These insights were game changers in helping me make informed decisions about my strategy for business and planning for future scenarios. In conclusion, while Xero posed specific issues I had to struggle with, it also offered solutions that streamlined my financial management, provided flexibility, and added valuable insight into my knowledge of my business's financial status. Although the benefits these positives overshadow were never fully realized because of the difficulties Xero presented for me but contributed positively towards my business operations.

The software is error-free, as it automatically performs calculations that speed up our work, just by filling in some data, such as tax calculation, expense calculation, price calculation and costs. We have inventory control through the system, and we can determine which products are in stock, which products have discounts and offers, and which products are at their maximum price. All from the same system without the help of other programs.

I would like that the invoices could be more independent and customizable one from the other when I make them, because if I want to add different information to any of them, it does not allow me to do it and the process must be done manually. Like all financial software, it takes time to get to know it and become familiar with it, as it has many tools and functions available, which could be overwhelming for people who have no experience with similar software.

It is a software that we use to keep the accounting of the company in an easy and efficient way. It has very useful functions that allow us to perform bank reconciliations quickly, make online payments, automated payments to frequent suppliers, in addition to powerful reports and financial analysis that allow us to know in real time the financial data of projects, activities and the company in general.

Business software is the backbone of any company or organization. Deciding on the best solution can be nerve-wracking, as you can end up staking your reputation and the health of the business on your decision. Not making the right decision can result in dire consequences. Unfortunately some of you reading this know exactly what I mean. You want to make sure you've allied yourself with the smartest, best software designers from the very beginning that ultimately help make things easier instead of harder. Fortunately, you can find that solution by signing up with Xero. Xero has been often referred to as the 'Apple of accounting', which is honestly fair. And if you're not an Apple person, that's okay because it's not platform specific. It works on your PC, your Mac, your Ubuntu laptop, your Android tablet, and your oversized iPhone - it's integrated. What you get when you decide to utilize Xero is a collaborative tool, brilliantly designed with unlimited users for about $30-$70/month, depending on your needs. In terms of pricing there isn't an outrageous flat fee that is typically bundled with ERP solutions. So, that means that you pay as you go and as long as you're happy with the system. It's unique in terms of the level of customization. They have a marketplace for something called 'Add Ons', which are intended to help you tailor the system to your specific needs. It's very similar to an App Store with Add Ons being like Apps tailored to your business. Run a T-shirt company? There's an Add On for that. Run a plumbing business? There's an Add On for that too. Perhaps the best aspect of the software is something very simple - it's on the cloud. Sometimes this can concern business leaders as it means you're using the big, scary internet to handle your accounting. But, it's worth keeping in mind that your bank is on the cloud too. And Xero's security measures are the same if not better, and their track record shows this. The real benefit of having your system on the cloud, however, is that your entire team is exactly on the same page. Xero started as a company with this in mind from the outset. In the past as an Accountant, I used to be constantly asked if I could create an invoice or whether it had been paid. With Xero I don't really get asked these questions because our team has access to the system and can look the items up themselves. And it helps give departments agency in terms of billing, because it means that they don't have to completely rely on the Accounting Department for their work. Also, working on the cloud means that there isn't a file to send your CPA. You end up looking at the same financials and are able to collaborate real time with your business advisors and partners. In short, Xero made my life easier and became like a valued advisor. It guides you in terms of getting your company up and running, and can go toe to toe with most ERP's. And, most importantly, it's able to accommodate a quickly growing company. Steve Jobs once said that most accounting software is designed to leave people confused - if finance is complicated, certainly the software should be complicated too. The complete opposite is the case here - clear, understandable, insightful, useful. Highly recommended.

P.O. functionality and reporting could be a bit better, but they're working on it. If you aren't familiar with pivot tables, it can be a bit more effort to get the information you need. However, if you are familiar with pivot tables the world is your oyster. It's not necessarily for everyone. Some people can't think differently from Quickbooks. And that's okay. But, those who are more tech-oriented and grew up with all things internet will feel more at home here.

If you've ever reconciled a bank account before you know what a cumbersome horrible process it usually is. Where Xero really excels is in terms of design. Any designer's first itch is to take the worst part of a problem and really tackle it. What they've done with the reconciliation process is truly incredible. Xero predicts your transactions and lines them up for you. What results is what's been called the gameification of business software. Instead of it being a chore it becomes almost alarmingly fun. And it results in knowing exactly where you are in terms of your financial status. Most other accounting solutions present the idea of a dashboard, but don't deliver. You see pie charts and graphs, but they're not really useful. It's like a false promise - this looks really cool and we know that it should work this way, but we don't know really how to do that. With Xero they excel at it and the dashboard becomes completely interactive so that you're able to drill down and see the exact transaction that's at the heart of an issue. Even better, you're able to edit it on the spot. So, with good design comes the awareness of what's going on. And in terms of accounting I really believe that's the whole point. You're supposed to know where things are and report on where they went. Xero empowers that.

Xero is functionally easy to use but their commercial practices leave a great deal to be desired.

They keep hiking prices for existing users thinking they have them trapped and that we will continue to subscribe because of the pain of migration. Trying to justify the increases because of "added value" functionality is just a smokescreen because if the added features are useful, they are simply an added and unwanted cost. Within an hour of being informed of an enforced price rise, I got another email from them telling me they were pissing $750k away on some vanity marketing project. They need to get their priorities right, and fast...

Basic accounting for a small consulting business. Functionally OK but commercially intolerable.

Easy to use, easy to start, the company is international and growing, and the user fee is extremely cost effective and competitive! We have been on Xero Accounting for 5+ years (before anyone in the USA even knew about them)... and I use it for my four businesses, and we are excited to convert to their payroll program shortly here in Colorado, which is also included with their base pricing. Once that is completed - what we will save on automated payroll processing (through intuit) more that pays for all four business licenses! I'm VERY IMPRESSED with both the product, up-time, simplicity of use, the continued upgrading of the product, as well as the company. I'm now trying to figure out how to invest in these guys from NZ, since their company growth rate exceeds 75% and they now have over 1/2 million small business users worldwide.

Nothing - everyone in the company is extremely responsive, there is xero (pun intended) down time, and the bank feeds are an amazing time saver on reconciliation.

Save time - which is the most valuable resource in a consulting business.

Accounting was probably the most intimidating part of starting a business for the first time. I went with Xero because it looked less intimidating than QBO at the time and it supported payroll in my state for a very good rate. $29 for accounting with payroll up to 5 employees. Of all the features, payroll felt the most well thought out and complete.

As business grew I noticed most features felt unpolished and were lacking functionality that would make them feel complete. To add the functionality that you expect would have been built in required several apps each with their own monthly fee. Some examples - You can see a list of your recurring invoices but you can't get a total unless you use a calculator or sign up for a separate monthly service. - late payment reminders don't go to the invoice recipient. They go to the main contact. This caused a huge problem with our customers as we assumed invoice reminders were going to the right people. - can convert quote to invoice but not to repeating invoice. - can't show passed due amount in current invoice - navigation doesn't always take you to the right screen after you complete an action - Why are my credit cards accounts listed when selecting paid to on invoices? - support is abysmal, send an email and wait a couple of days for response. - easy to migrate to xero as you can import a quickbooks file but no such There's more but you get the point.

Xero recently sent out an email indicating they are eliminating payroll and we must start using Gusto or another service. In addition the $29 product sees no reduction in price or added features which effectively triples the cost. That now makes them more expensive than QBO and not even close to being as robust. So this will be our last year with xero as we move to QBO. Suggestion if someone from xero leadership reads this. Maybe stop throwing parties all over the world and focus on the product a little more.