Xero vs QuickBooks Online: Features Comparison, Pros, Cons

Since Dataswitcher does not convert Sales Tax to prevent differences best church accounting software between the conversions (and loss of information), you need to turn on Sales Tax.

AR and AP transactions

Otherwise, you’ll have to bump up your subscription or consider QuickBooks Online plans. Can support larger small businesses with dozens of employees; all three plans include an unlimited number of users. The links provided in the steps above include spreadsheet examples and more in-depth details for each section of the importing process. With your Xero data exported, it’s time to set up your QuickBooks Online account. This step involves configuring your company settings and preparing QBO for data import.

If you’re located in the United States, though, there’s a better chance your accountant is familiar with QuickBooks Online than Xero. QuickBooks Online is an industry standard with more than 5 million users worldwide. If you count QuickBooks Desktop users, that number rises to 8 million. With more than 3 million users worldwide, Xero is popular but not as ubiquitous as QuickBooks Online. Xero’s Early plan, recommended for self-employed people or brand-new businesses, allows 20 invoices per year. If you only send out an invoice or two each month, the Early plan is an affordable option at $15 per month.

How can I Export the Accounting Data from Xero?

This step will save you time and headaches later in the process. At this time, when migrating your data from Sage 50 (US Edition) to QuickBooks Online, Intuit will cover the cost to transfer the last 2 years of data through the Dataswitcher tool. 5 2 prepare a post Dataswitcher charges nominal fees to transfer extras such as additional years of data, Classes, Company Info, etc. Xero keeps a very detailed journal history for all operations. This means that older period reports might not represent the correct balance at that time, even if all the current and outstanding balances are fine.

1. Our partners cannot pay us to guarantee favorable reviews of their products or services.
2. Renaming the normal balance sheet accounts in Xero has no such implications though.
3. If you only send out an invoice or two each month, the Early plan is an affordable option at $15 per month.
4. Rest assured, we will be here to help you every step of the way with importing the data into QuickBooks.
5. Yet, based on the different accounting requirements of the company, the platform to manage their finances changes.

The process of inventory turnover calculating transferring data takes, on average, up to 72 hours from the time your data is uploaded into the Dataswitcher tool. After your conversion has completed, follow some essential steps to verify your data in QuickBooks Online. Extract data from Xero and keep it in a safe location for tax auditing purposes because not all data is converted to the new system when switching between different accounting systems. Sales tax is converted as a line item in QuickBooks Online.

Is there any tool available for converting Xero to QBDT or QBO?

Current inventory, purchase, and sales price are also posted. You may reach out to our support team if the transfer has been longer than 72 hours. Also in some cases, if your ranges were incorrect in the source system, we brought balance accounts over as Profit and Loss accounts. This might have affected the retained earnings of previous years.

Converting Data from Xero to QuickBooks Online

It is important that you export reports from Xero and save them in a safe location even after the conversion is done for the tax or financial audits. Please seek advice from your accountant and/or tax advisor. Since every system varies in how they handle accounting, it is important you take time to understand what the conversion entails, its limitations, and recognize the risk of data error. Both accounting software are built on a similar platform and intended for similar audiences i.e., small and medium-sized businesses.