• About
  • Credit Card Basics
  • Mortgage Basics
  • $40K Challenge
  • Aunt Doris
  • Privacy
  • Archives
  • Insiders
  • Features

Len Penzo dot Com

The offbeat personal finance blog for responsible people.

QuickBooks or Xero: Which Online Accounting Software Is Better?

By Enero Febrero

quickbooks or xeroDoes your small business need accounting software to keep track of its finances, but you don’t like dealing with all of the usual technology mumbo-jumbo? Then try focusing on what are arguably the two most important factors: price and number of users.

Now, there’s a lot of accounting software on the market. But which product should you pick? After all, the choices range from great apps that can handle a few tasks, to complete small business suites.

Well, for those who are in the market for the latter there are two choices: Xero (pronounced “zero”) and QuickBooks.

You’ve probably heard of QuickBooks, but maybe not Xero. Xero is a New Zealand-based company built from the ground up with the cloud and mobility in mind. QuickBooks, as you probably know, is a proven piece of software that has been around since the 1990s. Almost all small businesses eventually come across it if they’re in business long enough.

Yes, both are solid options — but lets see of one is better than the other when comparing price and users:

Pricing

The first thing you should know is that Xero and QuickBooks take different approaches to pricing.Xero’s most popular pricing plan runs $30 per month. That plan allows you to send an unlimited number of invoices, bills and the all-important reconciling of bank transactions.

As for QuickBooks, their highest plan is $30 per month and includes everything listed above, plus multi-currency. Xero’s next option at $40 per month also includes multi-currency.

The big difference, however, is in the amount of users. Let’s take a look:

Number of users

Xero allows for an unlimited number of users — no matter the pricing level. That means there’s no difference whether you have a team of, say, five people who have access to your financials — or a corporation of 100 people. It doesn’t matter! And if you need to lessen the amount of users, that’s no problem either. With Xero, scalability is easy.

On the other hand, QuickBooks doesn’t allow for unlimited users. In fact, your monthly price is actually dependent on how many users are authorized to use it. So if you have a large accounting team, it could run you in the hundreds of dollars per month. And most of the time, businesses sign up for contracts, which can be costly if you need to lay off or add people mid-year.

Xero and QuickBooks are very capable pieces of software, but it’s important to think about the future of your business — especially if you anticipate growth. If that’s true, the software that permits an unlimited users is probably the more-attractive offer.

Photo Credit: stock photo

Related Posts:
  • 100 Words On: What You Should Always Do Before Buying Stuff Online100 Words On: What You Should Always Do Before Buying Stuff Online
  • A True Love-Story: My Proven Method for Online Dating SuccessA True Love-Story: My Proven Method for Online Dating Success
  • Great Ways to Stretch Your Online Gaming BudgetGreat Ways to Stretch Your Online Gaming Budget

1 Comment July 8, 2015

Comments

  1. 1

    Sam Grapner says

    July 19, 2015 at 9:57 am

    Enero,

    I use a piece of FOSS (Free and Open Source Software) called GNUCash. Free and open source means that you never have to pay for it if you don’t want to and never have to pay for updates either.

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Question of the Week:

Which would you rather find?

View Results

Loading ... Loading ...

Recent Posts

  • Black Coffee: And … It’s Gone
  • How to Get the Most for Your Money on a Gaming Vacation
  • Grandfather Says: A Lesson on Real Estate Development
  • 4 Things Everyone Should Know About the Cost of Growing Old
  • Fun Things to Do in New York City for Free
  • Powerful It Is: How Compound Interest Is Like the Force
  • Black Coffee: Credit Stiffs, Corporate Zombies and the Walking Dead
  • U.S. Credit Card Debt Surpasses $1 Trillion
  • Falling for This Tax Scam Will Have You Singing an Unhappy (i)Tune
  • 3 Ways You Can Save Money by Spending It

Disclaimer

This site is for informational and entertainment purposes only, and the content herein should not be mistaken for professional financial advice. This website accepts advertising in the form of monetary and other compensation; as such, topics of discussion are occasionally influenced by these advertisers. Ultimately, you and you alone are responsible for the decisions you make in life, so please contact an independent financial professional for advice regarding your unique personal situation.

Popular Now:

  1. 1. A Simple Trick for Getting Credit Card Interest Charges Waived
  2. 2. 4 Ways Duct Tape Can Fix Your Personal Finances
  3. 3. 7 Skills My Immigrant Parents Taught Me
  4. 4. 6 Good Habits You Can Employ to Improve Your Finances
  5. 5. How Choosing Credit or Debit Is Like Picking Salad Dressing
  6. 6. 8 Ways to Make Money on Your Morning Commute
  7. 7. 7 Awesome Reasons Why You Should Use a Roth IRA for Retirement Savings
  8. 8. 8 Really Useful Money-Saving Tips Every Family Should Consider
  9. 9. Why Insurance Companies Don’t Want You to Know About Concierge Doctors
  10. 10. 7 Great Careers That Don’t Require a Lot of Experience to Start

All-Time Most Popular:

  1. 1. 19 Things Your Suburban Millionaire Neighbor Won’t Tell You
  2. 2. Dear Friend: Here Are 41 Reasons Why I’m NOT Lending You the Money
  3. 3. Why Your Expensive Luxury Car Doesn’t Impress Smart People
  4. 4. If You Can’t Live on $40,000 Annually It’s Your Own Fault
  5. 5. 21 Reasons Why Corner Lots Are for Suckers
  6. 6. 18 Fast Facts About Social Security Numbers
  7. 7. My Ketchup Taste Test: Upset! Guess Which Brand Topped Heinz
  8. 8. The Great Paper Towel Test: Which Brand Is Your Best Value?
  9. 9. 12 Good Reasons Why You Should (and Should Not) Pay Off Your Mortgage Early
  10. 10. 9 Great Gifts for People Who Have Everything

 

Copyright © 2018 Len Penzo dot Com · All Rights Reserved · Designed by Nuts and Bolts Media

7ads6x98y