Xero vs Wave

Xero and Wave are both accounting options. Xero lists 8 features across 3 platforms; Wave lists 8 features across 3 platforms — see the full breakdown below, sourced from each vendor's own site rather than ratings or reviews.

Side-by-side summary

ComparingXeroWave

CategoryAccountingAccounting

Alternatives tracked44

PlatformsWeb, iOS, AndroidWeb, iOS, Android

Pricing modelpaidfreemium

Best for Xero

Small businesses that want lower-cost accounting software with unlimited user seats and work closely with an accountant or bookkeeper who already uses Xero.

Best for Wave

Solopreneurs, freelancers, contractors, and micro-businesses seeking zero-subscription invoicing and basic double-entry bookkeeping.

Feature comparison

Every feature listed here comes directly from each vendor's own official site.

Xero

Invoicing and online payment collection
Bank feed reconciliation
Expense claims
Multi-currency accounting
Inventory tracking
Project time and cost tracking
Unlimited users on every plan
Large third-party app marketplace

Wave

Unlimited customizable invoicing with payment links and recurring schedules
Double-entry bookkeeping with income statements, balance sheets, and cash flow reports
Credit card and bank payment processing (2.9% + $0.60 per card, 1% per ACH)
Income and expense tracking with sales tax calculation
Automated bank feeds and automated transaction import (Pro tier)
Mobile receipt scanning with automatic line-item parsing (Pro tier)
Collaborator access for accountants and business partners (Pro tier)
Optional payroll add-on for employee and contractor direct deposits

Pros and cons

Xero

Pros

Invoicing and online payment collection
Bank feed reconciliation
Expense claims
Multi-currency accounting
Inventory tracking
Project time and cost tracking
Unlimited users on every plan
Large third-party app marketplace

Cons

We don't publish a "cons" list for either product. No vendor's official site documents its own product's weaknesses, so there's no sourced basis for one — and we'd rather say that plainly than invent one.

Wave

Pros

Unlimited customizable invoicing with payment links and recurring schedules
Double-entry bookkeeping with income statements, balance sheets, and cash flow reports
Credit card and bank payment processing (2.9% + $0.60 per card, 1% per ACH)
Income and expense tracking with sales tax calculation
Automated bank feeds and automated transaction import (Pro tier)
Mobile receipt scanning with automatic line-item parsing (Pro tier)
Collaborator access for accountants and business partners (Pro tier)
Optional payroll add-on for employee and contractor direct deposits

Cons

Key differences

Xero lists Invoicing and online payment collection, Bank feed reconciliation, Expense claims, Multi-currency accounting, Inventory tracking, Project time and cost tracking, Unlimited users on every plan, Large third-party app marketplace that Wave doesn't list.
Wave lists Unlimited customizable invoicing with payment links and recurring schedules, Double-entry bookkeeping with income statements, balance sheets, and cash flow reports, Credit card and bank payment processing (2.9% + $0.60 per card, 1% per ACH), Income and expense tracking with sales tax calculation, Automated bank feeds and automated transaction import (Pro tier), Mobile receipt scanning with automatic line-item parsing (Pro tier), Collaborator access for accountants and business partners (Pro tier), Optional payroll add-on for employee and contractor direct deposits that Xero doesn't list.

Choose Xero if…

Choose Xero if this fits: Small businesses that want lower-cost accounting software with unlimited user seats and work closely with an accountant or bookkeeper who already uses Xero.

Visit Xero

Choose Wave if…

Choose Wave if this fits: Solopreneurs, freelancers, contractors, and micro-businesses seeking zero-subscription invoicing and basic double-entry bookkeeping.

Visit Wave

Facts on this page are sourced from each vendor's official site (linked below), not from ratings or reviews. Products change — verify anything that matters to your decision directly on the vendor's own site before switching. See our Disclaimer and Sources Policy.