Wave Accounting vs. Xero

Wave is free to use, and they have some premium features you can pay for. For someone just starting out as a small business, freelancer or independent contractor, this is a Godsend. You can look professional, have something easy to manage, and yet also have excellent records come the end of the year. You won't spend a bunch of time having to learn the program, it's very intuitive and you get a host of great features that will make getting paid easy.

Incentivized

I am a massage and physical therapist. We are not a fancy business but business admin can take a lot of time and effort. Xero came recommended to me by colleagues in the sector. You raise invoices, you get paid. and you pay your bills. These are all daily scenarios for most businesses and Xero does this particularly well. Since my accountant can query my records directly, this greatly saves on bookkeeping time when it is time to do the company returns.

Incentivized

• The dashboard provides instant views of month-by month income & expenses for the past 12-24 months, a breakdown of current year expense by category, and net income for the past year and year-to-date.
• Invoicing has easy templated set up has lots of per invoice options such as single/recurring payment options, due dates.
• Year end reports are easy to generate in either pdf or csv format.

Incentivized

• Repeating invoices (most of my business is monthly recurring invoices) - it does these very well.
• Reporting - particularly being able to dig into the different lines of the P&L statement.
• Tracking categories - I assign a category to every line of every invoice so it's easy to see how much has been sold of each type of service every month and year, and compare them to previous periods.

Incentivized

• One area of improvement for Wave would be combining the various mobile applications into one app.
• Another room for improvement would be on the dashboard level. It would be great if they could use more bar graphs and get away from pie charts for things like expenses.
• Some of the other areas from improvement have been addressed by recent updates so I am excited to see what else Wave brings out.

Incentivized

• Multiple addresses for singular contacts.
• Limit unit price decimals to 2 digits, currently shows 3 or more after the decimal on invoices.
• Discounted rates for multiple entities within the same group e.g. if you have a group of 3 or more companies looking to move to Xero, incentivize those clients with discounted monthly rates.
• Easier way to reconcile loan accounts across multiple entities.

Easy to use for clients with no accounting background and the price is right.

In addition to the matters covered in this review, my reason for renewing this product is that Xero's functionality and the constant updates that the company provides, makes the software even more business friendly. The software therefore builds a brand loyalty among customers.

Wave [Accounting] is very simple and easy to use. Minimal training was required for all our users as the interface is very user-friendly, especially for small businesses looking to use something to track their financial data, Invoice and make payments. I loved using Wave [Accounting]. It lookes professional and [has] all the features we were looking for.

As a standalone software, it allows users to fulfill most of the basic functions (e.g. transaction input and report generation) simply and conveniently. It also allows for multiple APIs to help augment various tasks that accounting-adjacent (e.g. claims processing). The cloud based model and portability to mobile devices allows tasks to be carried out in a more convenient way.

WAVE is always available when we need it ! Peter

We have been actively using and 100% Xero based for our ecommerce accounting practice for over 4 years. There has on been one real outage for more than 5 minutes. Xero was open and transparent about the outage, what they were doing to resolve the issue, and provided 15 minute updates. Showing how they care about their customers and partners. Plus, showing that their customers care too, were understanding, and went surfing or in our case took a nap. Couldn't run our business without Xero as a partner.

Wave does tend to slow down when filtering your transactions screen especially by date. This is more of an issue when trying to trouble shoot certain transactions or clean-up a set of books.

The product is pretty stable in performance. However, sometimes the links to bank feeds are not available which can be frustrating if you need to update the application for important transactions. I currently have to manually upload credit card transactions so that is not ideal and makes for manual errors or duplication.

Incentivized

I've only had to reach out to support once and they were quick to respond and offered valuable insight to resolve my issue quickly. The team is knowledgeable and if the person you're dealing with doesn't have an answer for you, they get back to you quickly with an answer. It was clear that the support team is genuinely concerned about users making the most of the software.

Incentivized

Always respond and keep issues open until you are satisfied with the result. Generally good responses, in the past, I had some support responses that were really basic and really annoying. They type where "have your tried restarting your computer" style of answers. Well, of course, I went through all the basics before contacting them. Duh, but I suppose not everyone does. Otherwise, it would be a 10. The last year has shown a marked improvement in the support responses however.

The format was great; someone was there to ask questions or help if you were stuck.

Incentivized

easy to use and east to train on ! Our WAVE clients enjoy the ease of use

All of Xero's training is online and available for anyone (business owner or accountants) to learn and become experts in their system. There is a range of content from product training to real world webinars from their partners. Xero is beautiful accounting software and their training is the same.

If it can be done, time the implementation near a new fiscal year so you can start clean. Otherwise, you have to go back and do historical data from the beginning of the fiscal year, which can be brain draining.

Incentivized

Wave's price point was in line with what my company needed to manage basic accounting (payable and receivable accounts). It made it easy for me to issue monthly invoices to clients and track when invoices were paid. The software makes these tasks easy to manage and inputting data for accurate accounting and invoicing is a breeze. It really offers a lot of flexibility, so you can use the software the way you need it.

Incentivized

MYOB has always seemed well behind in the functionality. We recently discontinued our DEAR subscription due to astronomical increase in subscription fees. While Xero doesn't do as much in terms of inventory management we can manage without that function for the lower price.

Incentivized

Once they out grow what is ability to move up to a more robust system?

I have yet to fully stress test the product given the size of the company where I am using it. I am sure as we scale to more customers, more vendors and more reporting requirements, I will have a better understanding of what it is capable of in terms of bandwidth and processing

Incentivized

• Wave has enabled our accounts payable to maintain a 99% closure rate by leveraging auto reminders through the email system.
• Our quote to invoice process is a single click, saving time and effort. Even minor changes during that transition occur simply and easily.
• Aside from payments, Wave has been free for our usage. Our bottom line is better because we're not investing in software but instead embracing an entire ecosystem.

Incentivized

• Xero is a basic accounting system that performs basic accounting tasks easily and accurately. For that, it provides a positive impact on our day to day accounting operations.
• Because of Xero's basic structure, I feel it lacks some of the sophistication that some users want and need. The ability to create unique custom reports would enhance the impact Xero would have on meeting business objectives by providing current and useful accounting information.
• In my opinion, Xero's lack of focus on their customers - their users - is a real issue with me. In my opinion, those of us that are in the trenches that work with the system on a daily basis have to deal with the shortcomings of the system with the knowledge that Xero support refuses to address the operational issues that make their user's lives difficult. I feel if Xero would focus on truly making their software better from a users point of view, it has the potential to be a great system.