Xero is cloud accounting software for small businesses and their accountants. It handles invoicing, bills, bank reconciliation, payroll and reporting, and JAX, Xero’s AI finance partner, helps automate work and keep your books up to date. US plans start at $27 a month, with a free trial.
What is Xero?
Xero is one of the world’s most popular cloud accounting platforms, especially in the UK, Australia and New Zealand. It connects to your bank, matches transactions and keeps invoices, bills and reports in one place.
JAX (Just Ask Xero) is Xero’s AI finance partner. It can help with routine work like reconciliation and invoicing, answer questions about your finances and give you clearer insights. Xero also connects with more than 1,000 apps.
Xero key features
JAX AI
AI finance partner that automates work and answers questions.
Bank reconciliation
Match bank transactions quickly.
Invoicing
Send invoices and get paid online.
Bill pay
Manage and pay bills, including ACH.
Expense claims
Capture receipts and track spending.
Payroll
Run payroll in supported regions.
Reports
Profit and loss, balance sheet and cash flow.
Multi-currency
Handle foreign currency on higher plans.
1,000+ app integrations
Connect with your business tools.
Xero pricing plans (2026)
Xero is paid monthly with a free trial. Plans differ by features like bills, multi-currency and analytics.
Early
For new businesses with basic invoicing and bills.
Growing
More invoices and bills for growing businesses.
Established
Multi-currency, projects and advanced analytics.
US prices checked in October 2026 (USD, excluding tax). Prices vary by country, and Xero often runs discounts for new customers. Confirm on the official Xero pricing page.
How to use Xero
- 1
Go to xero.com and start a free trial.
- 2
Set up your organisation and connect your bank.
- 3
Import contacts, invoices and opening balances.
- 4
Reconcile transactions and let JAX help with routine tasks.
- 5
Send invoices and track cash flow in reports.
Who should use Xero?
Small businesses
Manage books, invoices and bills.
Accountants
Work with clients in one platform.
Bookkeepers
Reconcile accounts quickly.
Global businesses
Handle multiple currencies.
Pros and cons
What we like
- Clean, easy interface
- Strong bank reconciliation
- Large app marketplace
- Popular with accountants
Watch out for
- Prices have increased
- Lower plans have limits
- Payroll varies by country
- Some AI features still rolling out
Best Xero alternatives
Xero is a great cloud accounting choice for small businesses, especially if your accountant already uses it. JAX makes routine work faster. Compare local pricing and use the free trial.
Xero FAQs
Is Xero free?
Xero is not free, but it offers a free trial. US plans start at $27/month.
How much does Xero cost?
In the US, Early is $27, Growing $59 and Established $97 per month.
What is JAX in Xero?
JAX is Xero’s AI finance partner that helps automate work and answer finance questions.
Is Xero better than QuickBooks?
Both are strong. Xero is popular for its clean interface and accountant network, QuickBooks is widely used in the US.
Does Xero do payroll?
Yes, in supported countries, sometimes as an add-on.
Where is Xero based?
Xero was founded in 2006 in Wellington, New Zealand.
