Quick answer
Xero and QuickBooks are close on price: Xero Ignite is $37 a month and QuickBooks Simple Start is $35.99. The difference is limits. Xero Ignite caps invoices at 20 a month, while QuickBooks limits users, from 1 on Simple Start to 25 on Advanced. Prices checked 11 November 2026.
How we compared: every price and plan limit on this page was read from the vendor’s own Australian pricing page on 11 November 2026. We have not run hands-on tests of these products for this article, so we do not describe how they feel to use. Rules come from the ATO. This is general information, not tax or financial advice. See our editorial policy.
Xero vs QuickBooks: which is better for an Australian business?
Both are popular and priced alike at the bottom, so the decision comes down to limits. Xero limits invoices on its cheapest plan and prices by plan tier. QuickBooks limits users. Prices below are per month, as listed on each vendor’s Australian page.
| Best for | Software | From (per month) |
|---|---|---|
| Up to 20 invoices a month | Xero Ignite | $37 |
| Entry plan, 1 user | QuickBooks Simple Start | $35.99 |
| Payroll for 2 people, longer forecast | Xero Grow | $78 |
| 3 users | QuickBooks Essentials | $66 |
| Payroll for 5 people | Xero Comprehensive | $107 |
| 5 users, inventory, projects | QuickBooks Plus | $89.99 |
How do the plans compare tier by tier?
| Plan | Price per month | Per year | What the page lists |
|---|---|---|---|
| Xero Ignite | $37 | $444 | Quotes and 20 invoices a month, 5 bills, payroll for 1, 30-day forecast |
| QuickBooks Simple Start | $35.99 | $431.88 (or $387.99 yearly) | 1 user, GST tracking, e-lodge BAS, automated bank feeds |
| Xero Grow | $78 | $936 | Payroll for 2, expense claims for 1 user, 60-day forecast |
| QuickBooks Essentials | $66 | $792 (or $712 yearly) | 3 users, multiple currencies, bill and recurring features |
| Xero Comprehensive | $107 | $1,284 | Payroll for 5, expense claims for 5 users, 90-day forecast, multiple currencies |
| QuickBooks Plus | $89.99 | $1,079.88 (or $971.99 yearly) | 5 users, project management, profitability, inventory, purchase orders |
| Xero Ultimate 10 | $143 | $1,716 | Payroll for 10 |
| QuickBooks Advanced | $138 | $1,656 (or $1,489.99 yearly) | 25 users |
What do you pay in the first year?
| Plan | Offer shown | First year | Year two (list price) |
|---|---|---|---|
| Xero Ignite | 80% off first 3 months ($7.40) | $355.20 | $444 |
| QuickBooks Simple Start, monthly | 70% off for 6 months ($10.80) | $280.74 | $431.88 |
| QuickBooks Simple Start, yearly | 50% off for 12 months | $194 | $387.99 |
| Xero Grow | 80% off first 3 months ($15.60) | $748.80 | $936 |
| QuickBooks Essentials, monthly | 70% off for 6 months ($19.80) | $514.80 | $792 |
How do payroll and staff costs compare?
Xero bundles payroll for a set number of people into each plan: 1 on Ignite, 2 on Grow, 5 on Comprehensive and more on Ultimate. QuickBooks adds payroll as a separate step at checkout, and its page did not show a price for it. If you pay staff, ask QuickBooks for the cost at your headcount, then compare it with Xero’s plan that covers that number of people.
Which has better limits for a growing business?
- Invoice volume: Xero Ignite caps invoices at 20 a month. QuickBooks lists no invoice cap on Simple Start on the page we read.
- Users: QuickBooks lists 1, 3, 5 and 25 users by plan. Xero lists expense claims users by plan, with extra users $5 each.
- Inventory and projects: QuickBooks Plus lists inventory, purchase orders and project management.
- Forecasting: Xero lists a 30-day cash flow forecast on Ignite, 60 on Grow and 90 on Comprehensive.
What does the ATO require from either?
The ATO says a business must register for GST at $75,000 of GST turnover. For GST-registered businesses, the tax invoice rules say a sale of $82.50 or more needs seven details, and a sale of $1,000 or more also needs the buyer’s identity or ABN. Check your invoice template in either product against that list.
More comparisons
See MYOB vs QuickBooks, Xero vs MYOB and our small business roundup.
What should you test in the trial?
- Send a real invoice and compare it with the ATO list.
- Connect your bank account and check feeds and matching.
- Generate a BAS report if you are GST-registered and show it to your accountant.
- Count how many invoices and users you will need in 12 months.
Frequently asked questions
Is Xero or QuickBooks cheaper in Australia?
At the entry level they are close: Xero Ignite is $37 a month and QuickBooks Simple Start is $35.99, or $387.99 a year on its yearly option. Xero Grow is $78 against QuickBooks Essentials at $66. Compare the limits, not just the price.
How many invoices can I send on Xero Ignite?
Xero’s page says Ignite covers quotes and up to 20 invoices a month, with 5 bills entered. If you send more, price Xero Grow at $78 a month. QuickBooks’ page does not list an invoice cap on Simple Start.
How many users does QuickBooks include?
QuickBooks lists 1 user on Simple Start, 3 on Essentials, 5 on Plus and 25 on Advanced. Xero’s page states expense claims for 1 user on Grow and 5 on Comprehensive, with extra users $5 each.
Do both support BAS?
Yes on the entry plans we checked. Xero Ignite and QuickBooks Simple Start both list GST tracking and BAS lodgement. Confirm the current features when you sign up, and check your accountant works in the same tool.
Which has the better free trial?
QuickBooks lists a 30-day free trial. Xero offers a one-month-free option as an alternative to an 80% discount for the first 3 months. Check which applies to you and write down the price after the offer.
Can I switch between them later?
Both let you cancel without a long contract: Xero lets you move to a cheaper plan one month after upgrading, and QuickBooks lists no contract. Export your records and check what history moves across before you switch.
Update log: 11 November 2026. Prices and plan limits rechecked against each vendor’s Australian pages. Next check: December 2026.
Sources: Xero Australia pricing, QuickBooks Australia pricing, ATO: tax invoices. Prices checked 11 November 2026.