Is MYOB or Xero Better for Australian Small Businesses?

MYOB vs Xero: Which accounting software is better for Aussie businesses? Compare features, pricing, and usability to help you choose the right fit.

Choosing between MYOB and Xero? Both are big names in Australian accounting, but they cater to different business needs. Here’s how they stack up so you can pick the one that suits your setup best.

Is MYOB or Xero Better for Australian Small Businesses?
Is MYOB or Xero Better for Australian Small Businesses?

When it comes to accounting software in Australia, MYOB and Xero are two of the biggest names in the game. Both offer powerful tools for invoicing, payroll, BAS lodgement, and expense tracking—but each takes a slightly different approach. So which one is better for your business? It depends on what you need, how you work, and how tech-savvy you are.

Xero is the newer, cloud-first player and has quickly become the go-to choice for many Australian sole traders and small businesses. It’s known for its clean interface, easy collaboration with bookkeepers and accountants, and strong ATO integration for BAS, GST, and Single Touch Payroll. Its cloud-based model means you can log in from anywhere, share access with your accountant, and easily integrate with over 1,000 apps—from inventory systems to CRMs.

MYOB, on the other hand, has been around longer and built its reputation on desktop software before shifting to the cloud. These days, MYOB offers a suite of online products like MYOB Business and AccountRight. It’s especially popular with businesses that need payroll, job tracking, and more advanced inventory features built in. Some users prefer MYOB’s more detailed reporting and offline access for legacy setups or specific compliance needs.

In terms of pricing, Xero starts at around $32/month for its entry-level plan, which includes invoicing, bank reconciliation, and some payroll functionality. MYOB’s pricing is competitive, with plans starting at around $30/month. Both offer free trials, so you can test drive the platforms before committing.

When it comes to usability, Xero is often considered more intuitive and beginner-friendly. MYOB can have a steeper learning curve, particularly for those unfamiliar with accounting workflows, but it also offers more in-depth tools for businesses with complex needs.

Local support matters too. Both MYOB and Xero provide Australian-based support and plenty of online resources. However, many accountants and advisors—especially those working with smaller businesses—tend to prefer Xero because it simplifies collaboration and reduces paperwork during tax time.

So, is MYOB or Xero better? If you're a sole trader, freelancer, or small business looking for a modern, easy-to-use platform with strong local compliance, Xero is likely the better choice. If your business has more complex payroll, inventory, or job management needs and you’re okay with a bit more setup, MYOB might suit you better.

Still unsure which one to go with? At Future Advisory, we help Aussie businesses pick the right accounting tools based on their size, industry, and goals. Book a chat and we’ll steer you in the right direction—without the jargon, just straight-up advice.

Location: Level 2/65 Dover St, Cremorne VIC 3121, Australia

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