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Paychex vs Xero Payroll: Which Payroll Software Is Better?


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Both Paychex and Xero Payroll are leading payroll software solutions, but which one is better for you and your business?

Below we compare Paychex and Xero Payroll across nearly 50 different data points to help you make find the right one.

 

Paychex vs Xero Payroll Reviews

PaychexXero Payroll
Trustpilot Rating1.24.3
Number of Trustpilot Reviews2335747
iPhone App Rating4.84.7
Number of iPhone App Reviews41120026300
Android App Rating3.84.3
Number of Android App Reviews294007410

Paychex vs Xero Payroll Pricing

PaychexXero Payroll
Free Trialn/aYes
Free Trial Lengthn/a1 month
Cheapest Plan NameEssentialsEarly
Cheapest Plan Cost Per Month$By request$9.25
Mid Priced Plan NameSelectGrowing
Mid Priced Plan Cost Per Month$By request$9.25
Top Plan NameProEstablished
Top Plan Cost Per Month$By request$17.5

Paychex vs Xero Payroll Features

FeaturesPaychexXero Payroll
Target Business SizeEnterpriseSmall business
Unlimited Payrolls✘✘
Automated Tax Filing & Payments✔✔
E-sign I-9 & W-4✘✘
Live Customer Support✘✔
Third-Party Integrations✔✔
Ability To Manage Employee Benefits✔✔
Employee Access To Platform✔✔
Direct Deposit✔✔
Expense Reimbursement✘✔
Time Off Accrual✔✔
Pre-Tax Deductions✔✔
Wage Garnishment✔✔
Background Checks✔✘
Check Printing✔✔
Check Delivery✔✘
API✔✔

Paychex Essentials Features

  • Payroll Processing
  • Taxpay® Payroll Tax Administration with W-2/1099
  • Employee Pay Options
  • Garnishment Payment Service
  • Employee Self-Service and Mobile Experience
  • Financial Wellness and Cashflow Assistance
  • Employee Onboarding
  • HR Library
  • Analytics and Reports Center
  • New Hire Reporting
  • Labor Posters

Xero Payroll Early Features

  • Send quotes and 20 invoices†
  • Enter 5 bills
  • Reconcile bank transactions
  • Capture bills and receipts with Hubdoc
  • Short-term cash flow and business snapshot
  • Payroll with Gusto (Optional)

Paychex Pro Features

  • Payroll Processing
  • Taxpay® Payroll Tax Administration with W-2/1099
  • Employee Pay Options
  • Garnishment Payment Service
  • General Ledger Service
  • Employee Self-Service and Mobile Experience
  • Financial Wellness and Cashflow Assistance
  • Learning Management System1
  • Employee Onboarding
  • HR Library
  • Employee Handbook Builder
  • Pre-Employment Screening
  • Analytics and Reports Center
  • New Hire Reporting
  • Labor Posters
  • State Unemployment Insurance Service
  • Workers’ Compensation Payment Service2 or Report Service
  • General Ledger Integrations

Xero Payroll Established Features

  • Send invoices and quotes
  • Enter bills
  • Reconcile bank transactions
  • Capture bills and receipts with Hubdoc
  • Short-term cash flow and business snapshot
  • Bulk reconcile transactions
  • Use multiple currencies
  • Track projects
  • Claim expenses
  • Analytics Plus
  • Payroll with Gusto (Optional)

Paychex vs Xero Payroll Pro & Cons

PaychexXero Payroll
Pros
  • User Friendly
  • Saves Time
  • Customer Service
  • Reporting
  • Easy Processes
  • User Friendly
  • User Interface
  • Integrations
  • Saves Time
  • Management
Cons
  • Not User Friendly
  • Technical Issues
  • Adjustment Issues
  • Slow
  • Customer Service
  • Expensive
  • Not User Friendly
  • Expense Report Issues
  • Technical Issues
  • Room for Improvement

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