wave vs xero: Which Is Better? [Comparison]
Wave is a free accounting software designed for small businesses and freelancers. Its primary purpose is to provide essential financial management tools, such as invoicing and expense tracking.
Quick Comparison
| Feature | Wave | Xero |
|---|---|---|
| Pricing | Free for basic features | Subscription-based |
| Invoicing | Yes | Yes |
| Payroll | Limited (US only) | Yes |
| Multi-currency support | No | Yes |
| Integrations | Limited | Extensive |
| User interface | Simple | More complex |
| Customer support | Email only | 24/7 support |
What is Wave?
Wave is a free accounting software designed for small businesses and freelancers. Its primary purpose is to provide essential financial management tools, such as invoicing and expense tracking.
What is Xero?
Xero is a cloud-based accounting software aimed at small to medium-sized businesses. Its primary purpose is to offer comprehensive financial management features, including invoicing, payroll, and multi-currency support.
Key Differences
- Pricing: Wave offers free services, while Xero requires a monthly subscription.
- Payroll: Wave has limited payroll capabilities, available only in the US, whereas Xero provides full payroll services in multiple regions.
- Multi-currency support: Wave does not support transactions in multiple currencies, while Xero does.
- Integrations: Xero has a wider range of integrations with third-party applications compared to Wave.
- User interface: Wave has a simpler interface, while Xero's interface is more feature-rich but may require a learning curve.
Which Should You Choose?
- Choose Wave if you are a freelancer or a small business with basic accounting needs and prefer a free solution.
- Choose Xero if you require advanced features such as payroll, multi-currency transactions, or extensive integrations with other software.
Frequently Asked Questions
Is Wave really free?
Yes, Wave offers free access to its basic accounting features, although some services may incur fees.
Can Xero handle multiple currencies?
Yes, Xero supports transactions in multiple currencies, making it suitable for businesses that operate internationally.
Does Wave offer customer support?
Wave provides customer support primarily through email, with limited options for direct assistance.
Is Xero suitable for larger businesses?
Yes, Xero is designed to accommodate small to medium-sized businesses and can scale as business needs grow.
Conclusion
Wave and Xero serve different user needs, with Wave focusing on free, basic accounting features and Xero offering a more comprehensive suite of tools for a subscription fee. The choice between them depends on the specific requirements of your business.