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Comparison · Accounting

QuickBooks vs Xero: Which Should You Choose in 2026?

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Short answer

In our accounting ranking, QuickBooks Online scores 87/100 and Xero scores 86/100. Xero is cheaper at every tier and has no per-user fees; QuickBooks is widely used by US accountants and puts inventory and projects together on Plus.

Pick QuickBooks if…

  • Your accountant or bookkeeper works in QuickBooks
  • You need inventory, project profitability and bill approvals on one plan
  • You're a US business that wants a large app and advisor ecosystem

Pick Xero if…

  • Several people need access and you don't want per-user fees
  • You want lower regular prices
  • You're outside the US or work with an accountant who uses Xero

What it costs

Regular monthly prices × 12, before introductory discounts and taxes.

NeedQuickBooks planQuickBooks per yearXero planXero per year
Entry planSimple Start ($38), 1 user$456Early ($27), 20 invoices and 5 bills a month$324
Unlimited invoicing and more usersEssentials ($85), 3 users$1,020Growing ($59), no per-user fees$708
Projects and growth featuresPlus ($140), 5 users, inventory and projects$1,680Established ($97), projects and multi-currency$1,164

Both vendors advertise steep introductory discounts for new customers; these are the prices after the promotions end. Prices from QuickBooks and Xero pricing pages, checked Oct 26, 2026. Vendors change plans often; confirm before you buy.

Plans and features side by side

FeatureQuickBooksXero
Users1 (Simple Start), 3 (Essentials), 5 (Plus), 25 (Advanced)No per-user license fees on any plan
Invoice and bill limitsNot capped on the pricing pageEarly: 20 invoices and 5 bills a month; unlimited from Growing
InventoryListed from PlusInventory Plus add-on on Growing and Established
Project trackingListed from PlusListed from Established
Multi-currencyNot compared hereListed from Established
PayrollNot compared hereXero Payroll powered by Gusto, $36/mo + $6 per person
Free trial30-day trialIntroductory offer for new customers
G2 user rating4.0/5 (3,894 reviews)4.4/5 (1,844 reviews)
Vettlo score87/10086/100

"Listed from" means the feature first appears on that plan on the vendor's public pricing page.

Where QuickBooks is stronger

  • Ecosystem. It is widely used by US accountants and bookkeepers and has a large app ecosystem.
  • Inventory and projects together. Plus combines inventory tracking and project profitability for up to 5 users.
  • Room to grow. Advanced supports up to 25 users with approval workflows.

Where Xero is stronger

  • Lower prices. Each Xero tier costs less than the comparable QuickBooks plan at regular prices.
  • No per-user fees. You can give your whole team and your accountant access without paying per seat.
  • Higher user rating. Xero is rated 4.4/5 on G2 versus 4.0/5 for QuickBooks Online.

How to decide

  1. Ask your accountant which they prefer; it saves time at every month end.
  2. Count invoices and bills per month to see whether Xero Early's caps fit.
  3. Count users who need access and compare the plan that covers them.
  4. Check that your bank feed connects in both before migrating.

QuickBooks vs Xero FAQ

Is Xero cheaper than QuickBooks?

Yes, at regular prices: Xero Early is $27 a month versus $38 for QuickBooks Simple Start, and Xero Growing is $59 versus $85 for QuickBooks Essentials.

Which is better for a team with several users?

Xero has no per-user fees on any plan, while QuickBooks limits users by plan (1, 3, 5 or 25).

Which do accountants prefer?

It depends on the accountant. QuickBooks is widely used in the US and Xero is widely used internationally, so ask yours before you choose.

Can I try both?

QuickBooks offers a 30-day trial, and Xero runs introductory offers for new customers.

Other options

If neither fits, see our full ranking of 6 accounting tools, with who each one is for and what it costs. Or see our guide to the QuickBooks alternatives.

Vettlo Editorial Team

Researched and written by the Vettlo editorial team using our methodology. Prices and plan details come from each vendor's public pricing page.