Last Updated: 2026-05-14
Which Accounting & Finance tool is right for your business in 2026? We compared 18 features across pricing, integrations, ease of use, and more.
"Xero is a cloud-based accounting software for small to medium-sized businesses, offering features like invoicing, bank reconciliation, and financial reporting."
"Wave is free accounting software designed for small businesses, including invoicing, transaction management, and financial reporting."
View Comparison For
🏆 Winner for Small Business
Xero
Xero is the clear winner for small businesses due to advanced features and strong support.
🏆 Winner for Mid Market
Xero
Xero excels in the mid-market segment with superior features and integrations.
🏆 Winner for Enterprise
Xero
Xero leads the enterprise segment by offering advanced compliance and customization.
18 features compared across 10 categories
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Monthly Subscription Cost | $15 | $0 | Wave |
| Transaction Fees | None | None | Xero |
Xero
$15
Wave
$0
Xero
None
Wave
None
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Invoicing | Advanced | Basic | Xero |
| Expense Tracking | Integrated | Manual Entry Required | Xero |
| Multi-Currency Support | Yes | No | Xero |
| Reporting Features | Comprehensive | Limited | Xero |
| Integrations | 700+ integrations | 50+ integrations | Xero |
| Tax Calculation | Automated | Manual | Xero |
| Payroll Processing | Included | Add-On Required | Xero |
Xero
Advanced
Wave
Basic
Xero
Integrated
Wave
Manual Entry Required
Xero
Yes
Wave
No
Xero
Comprehensive
Wave
Limited
Xero
700+ integrations
Wave
50+ integrations
Xero
Automated
Wave
Manual
Xero
Included
Wave
Add-On Required
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Ease of Use | User-Friendly | Moderate Complexity | Xero |
Xero
User-Friendly
Wave
Moderate Complexity
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Response Time | 24/7 Support | Business Hours Only | Xero |
| Support Channels | Phone, Email, Chat | Email, Chat Only | Xero |
Xero
24/7 Support
Wave
Business Hours Only
Xero
Phone, Email, Chat
Wave
Email, Chat Only
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Data Encryption | TLS 1.2 | TLS 1.0 | Xero |
Xero
TLS 1.2
Wave
TLS 1.0
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Mobile Application | Fully Featured | Basic Functionality | Xero |
Xero
Fully Featured
Wave
Basic Functionality
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| User Limit | Unlimited Users | Up to 10 Users | Xero |
Xero
Unlimited Users
Wave
Up to 10 Users
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Real-Time Analytics | Yes | No | Xero |
Xero
Yes
Wave
No
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| GDPR Compliance | Yes | Partial | Xero |
Xero
Yes
Wave
Partial
| Feature | Xero | Wave | Winner |
|---|---|---|---|
| Customization Options | Extensive | Limited | Xero |
Xero
Extensive
Wave
Limited
Wave has a free tier available, whereas Xero begins at $25/month.
Xero is highly recommended for businesses that specifically need: advanced invoicing capabilities, comprehensive reporting features, 24/7 customer support.
Wave is the better choice if your primary focus is: free subscription model, basic accounting needs, simplicity for sole proprietors.
Xero is the clear winner for small businesses due to advanced features and strong support.
See how Xero and Wave stack up against other top tools.
We've compiled the ultimate buyer's guides comparing the top tools across every major B2B category. See how these platforms rank against the entire market.