Xero and QuickBooks Online are both cloud accounting platforms with solid Australian compliance, but they pull in different directions on price and access. Xero is the local market leader and includes unlimited users and payroll on every plan. QuickBooks, from Intuit, undercuts it on the monthly price and is known for strong reporting. The right choice depends on how many people need access and whether you run a payroll.
Pricing and plans compared
QuickBooks is the cheaper sticker price across the range: Simple Start undercuts Xero's Ignite plan, Essentials sits below Xero's Grow, and Plus tops out below Xero's Comprehensive. If you are a sole trader or a small business that does not need many users or payroll, QuickBooks keeps more in the bank each month, and Xero's Ignite plan also caps you at 20 invoices a month. The comparison table on this page shows each plan's current price in Australian dollars.
Two things close the gap. Xero includes unlimited users on every plan, while QuickBooks starts at one. And Xero includes payroll, while QuickBooks runs payroll as a paid add-on through Employment Hero. Once you have a few staff and more than one person in the books, Xero's all in price can match or beat QuickBooks. The calculator above folds your invoice count and headcount into a single figure for each.
Who each one is built for
Xero suits businesses with a team and a payroll. Unlimited users mean your bookkeeper, accountant and staff all work in the same file at no extra cost, and included payroll removes a separate bill. Its huge Australian accountant network also makes it easy to find help.
QuickBooks suits cost conscious businesses, especially sole traders and small operators, that want strong reporting and a lower monthly price and can live within its user limits. Intuit's reporting and dashboards are a genuine strength.
Australian compliance: BAS, GST, STP and awards
Both products are built for Australian compliance and are evenly matched here. Each prepares and lodges your BAS, tracks GST automatically, and reports Single Touch Payroll Phase 2 to the ATO. Both handle PAYG and superannuation, with Xero's payroll built in and QuickBooks using its Employment Hero add-on. Neither leaves a compliance gap, so this rarely decides it.
Switching and migration
Both support migration in either direction, bringing across your chart of accounts, contacts and historical transactions. As always, switch near the end of a BAS quarter so your reporting periods stay clean, and reconcile both files for one overlap month before retiring the old one.
Integrations and support
Xero's edge is its app ecosystem, the largest accountant network in Australia, and 24/7 online support. QuickBooks counters with strong reporting and a lower price, with Australian business hours support. Both connect to the mainstream apps a small business relies on.
Pros and cons for this matchup
Xero wins on unlimited users, included payroll, the widest app and accountant network and round the clock support, but costs more per month and caps invoices on its entry plan. QuickBooks wins on a lower price across the range and strong reporting, but limits users on the entry plan and charges separately for payroll.
The verdict
If you have a team, run payroll, or want the deepest Australian accountant network, Xero is the pick, and its included users and payroll often make the real cost competitive despite the higher sticker price. If you are a sole trader or small business that wants strong reporting at the lowest monthly cost and does not need many users, QuickBooks Online is the value choice. Put your invoice count and headcount into the calculator above to see which is cheaper for you.