Wave vs Xero

Wave offers a robust STARTER plan completely free for unlimited bookkeeping and unlimited invoicing. The paid PRO plan is only $19 monthly for added features. Xero uses tiered subscription pricing with limits on lower plans for core functions like invoicing. Xero costs more, but the subscription includes broader support and ecosystem access. The value depends on your needs: Wave saves maximum money, but Xero provides guaranteed features and scalable stability. Wave's free tools let micro-businesses start instantly for $0. Xero includes essential services like 90-day onboarding assistance in its paid model that Wave charges extra for via Advisors.

Wave’s free plan requires manual entry for bank transactions and receipts. The PRO Plan ($19/month) unlocks auto-importing, categorization, and receipt capture. Xero heavily features strong, automated bank reconciliation across its paid tiers from the start. Hubdoc integrates seamlessly to pull in bills and receipts automatically for a paperless system. Xero makes automation central to its offering, which saves growing teams significantly more administrative time. Wave’s automation is an optional upgrade from the basic free functionality. If you have high transaction volume, Xero will pay for itself faster by saving you hours every week on data entry.

Wave support is restricted to live chat and email during limited weekday business hours. External reviews consistently report finding Wave's support non-existent and highly frustrating. Xero provides robust 24/7 online support to its users, solving issues whenever they arise. They also offer onboarding specialists to guide setup for the crucial first 90 days. This customer service difference is significant for managing critical financial software. You can rely on Xero support if your business needs help at 3 AM. Wave's lack of responsive support, especially around complex payment issues, poses a severe risk to your cash flow management.

Wave supports payments directly via credit card, bank transfer, and Apple Pay within its system. The PRO Plan discounts fees for the first 10 monthly transactions. Xero uses third-party integrations like Stripe for integrated payments, often offering promotional transaction fee waivers. Xero payment processing proves reliable and predictable. Wave’s user reviews frequently detail catastrophic outcomes: funds held for up to 65 days and accounts shut down immediately after initial payments. If getting paid without hassle is your priority, using Xero and its stable third-party ecosystem is the crucial, safer business decision.

Wave is purpose-built for the single person or smallest micro-business, offering professional basics cheaply. The platform structure is less flexible as a business expands past a few people. Xero offers tiered plans (Early, Growing, Established) explicitly designed to support team expansion and increasing transaction volume. Xero handles collaboration effortlessly. Xero’s features are tailored for industries like construction and retail, demonstrating depth for varied business needs. Wave provides a generic, excellent set of tools for everyone. If you expect to hire employees or manage specific industry-based needs within two years, choose Xero for its long-term structure.

Wave offers its STARTER plan for free, but if you need help moving data from another platform, you must use Wave Advisors. This service starts at $199 per month. Xero provides onboarding specialists included with the paid subscription fee for the first 90 days. They guide you through setup, bank connections, and initial data flow. Xero recognizes that switching accounting systems is complex and builds expert help into its standard offering. Wave treats migration support as a premium, highly paid service. Xero ensures rapid and correct initial setup, minimizing headaches and allowing you to start fast.