For more robust scheduling and PTO management, you’ll need to purchase the separate QuickBooks Time product in addition to the accounting software. QuickBooks can also track your mileage reliably and automatically using a GPS-enabled smartphone app. QuickBooks and Xero are two of the best accounting software options with a range of pricing plans to fit multiple budgets.
Xero also allows you to create a project or job, track time to add to it and add details to invoices when you’re ready to bill clients. Xero also offers mobile receipt capture through its Xero Me mobile app (previously called the Xero Expenses app), though you’ll need to upgrade to the Established plan to claim expenses. QuickBooks offers a main dashboard that can be customized with a series of tile-like graphs or lists, which lets you see real-time KPIs at a glance. Premium includes scheduling for jobs and shifts, real-time reporting, custom alerts, and time-off management. Elite offers all of Premium’s features, plus a project activity feed for better control, project estimates that can be easily compared with actuals, geofencing, and support for timesheet signatures.
Xero’s security measures keep your data encrypted and stored in multiple locations online, keeping it safe yet backed up. All plans support two-step authentication for all users, and the company guarantees it’ll keep your data private. This easy-to-use and feature-rich software is ideal if you have no bookkeeping experience and want top-notch customer support. Regardless of what route you choose, make sure to what is commitment accounting do your research and get hands-on with free trials to find the accounting software that’s right for your business. QuickBooks Online has over 750 integrations encompassing everything from customer management and payment processing to tax preparation and lending. Through QBO, you can prepare and print W-2s for your employees and 1099-MISCs for your contractors.
Mobile App Functionality: QuickBooks Online Wins
- There is no built-in payment processing, although you can choose from several options including Stripe and GoCardless.
- Beyond built-in integrations, QuickBooks offers more than 750 connections with other platforms — a quantity that impressed us.
- While neither provider allows you to file a sales tax return, Xero’s features allow for more accessibility when it comes to sales taxes.
- They’ll help you reconcile your bank and credit card statements and prepare monthly reports.
- This makes it a versatile tool for small businesses that need to streamline their operations.
- If you can’t justify the $99-per-month QuickBooks Online Plus plan, you won’t get inventory management, because QuickBooks Online’s lower-tier plans don’t come with it.
The base fee for both plans is half off for the first three months. Xero also lets you send quotes and estimates that can quickly pull up data on contacts, inventory, and pricing. Additional automation abilities let you select inventory items from a preset list, quickly duplicate a previous invoice, or set up automatic invoices for repeat orders. Plus, read receipts let you know when customers have seen an invoice and if it’s been paid. Xero’s only customer support options are an email system and a knowledge base. You can also use the QuickBooks mobile app to track mileage and run expense reports and cash flow statements.
Why QuickBooks Online wins
FreshBooks can be a good option for freelancers and contractors looking for an affordable, simple accounting software. There’s time tracking in all plans and phone support is available from 8 a.m. The first cost of goods available for sale two plan tiers put a limit on billable clients, but not on invoices. Xero and QuickBooks are both great accounting software options for small businesses. They both offer a wide range of features, an easy-to-use interface and competitive pricing.
Inventory Management: Tie
Its inventory management reports will show you how well different items are performing and which ones are the most profitable. And you can also easily add inventory Items to quotes, invoices and purchase orders to make billing easy. The app has a built-in timer you can use to record time as you work, or you can use the location-based job tracker through the mobile app.
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The platform makes it extraordinarily easy to review and pay outstanding bills. You can review and pay outstanding bills in QuickBooks, and the platform will automatically record and match your vendor payments and invoices. All Xero pricing plans include 24/7 online customer support; you can cancel with one month’s notice. Xero stands out with unlimited users on all plans, which can be a big advantage for larger teams or businesses that require collaboration with accountants. Businesses with inventory items should choose accounting software that can track inventory costs, manage COGS, and monitor inventory units. QuickBooks Online takes the lead because it’s generally easier to use than Xero.
In addition to the standard accounting features you’d expect, QuickBooks Online also has advanced features, exceptional invoicing automatizations and customizations, and built-in lending. It also has mobile apps that, according to users, outperform other popular accounting software apps. Accounting 4 abilities of great cfos. software is essential for more than keeping your books current. It’s also vital for tracking cash flow, invoicing clients and paying vendors. 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.
While the two both offer similar features, such as tax management, financial reports, integrated payroll, inventory and file storage, the two are not without their differences. Forbes Advisor compared Xero vs. QuickBooks when it comes to the key features, pricing, customer service and reviews to help you decide which is right for your business. 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 your bank accounts for automatic tracking and reconciliation.
However, if you take advantage of this trial, you will not be able to receive a new user discount, so choose wisely. Speaking of pricing, QuickBooks Online can get a little expensive and may be out of budget for smaller businesses looking for a more cost-effective accounting solution. All pricing plans cover the accounting essentials, with room to grow. QuickBooks and Xero include many of the same features, though QuickBooks is more feature-rich overall.
