Between Xero and MYOB, which accounting software is truly better for an easy business tax return?
Finding an accounting solution for your business can be a tough task. With so many options available, with so many marketing ploys, which software comes out on top?
While we here at TaxReturn.com can’t give a flat out answer for that, we’ve assessed both MYOB and Xero accounting software using four important functions for your benefit.
Having usable accounting software for your business is vital to ensuring your books are well maintained. There’s nothing worse than unfriendly, clunky and illogical software that makes processing your accounts lengthy.
Luckily, it seems both Xero and MYOB have offers to suit even the busiest business.
Xero boasts an impressively lean yet intuitive dashboard on your browser, iPhone or Android device. From the one dashboard, you can complete invoices, quotes, bank reconciliations, inventory tracking, payroll, purchase orders, expense tracking and bill payments. The desaturated, clean colour scheme of grey, white and blues produces a calming effect – whether you’re checking your finances or sorting them out.
With MYOB, it is a little trickier to understand exactly what they offer across the board, rather than granular package features. Generally, MYOB software claims to help manage invoicing, bills, expenses, payroll, manage cashflow, job tracking, inventory, tax tables, GST, PAYG and Business Activity Statement (BAS) capability. MYOB PayDirect Online technology also allows for faster payment processing, and direct card payments from your online invoices. The colour scheme is vibrant, with purples, reds and whites which can be simultaneously appealing and panic-inducing.
Both brands of accounting software allow for optimal bookkeeping that enables an easy tax return.
Value is a critical point to consider when choosing an accounting software. Whether you’re just starting a new business venture, expanding your existing one, or simply selling your wares on the side, there is an accounting software to suit.
MYOB came on to the accounting scene a little earlier than Xero, in the mid-1990s. MYOB has a very accessible cost structure, beginning at $27 per month. Pricing is scalable, and the complexities of accounting software capability grows with the cost.
One of the benefits of MYOB is their Australian roots, especially when it comes to gathering information for your tax return. They operate closely with the Australian Taxation Office (ATO), and have an Australian support team on the phones. They’ve also got a great community help forum, and can connect with over 300 business software apps via the WYOB Addons feature.
Meanwhile, Xero has made serious waves within start-up and small businesses communities since the mid-2000s due to its scalable pricing schemes – with set plans starting at just $25 per month. This makes it a have accessible accounting software for up and comers. The plans are totally scalable, and you can update your account as you grow in sales and size.
In terms of modernity, Xero also implements regular updates every 3-6 weeks based on user feedback. The software also manages to fill any productivity holes by integrating with over 600 smart business apps, to operate seamlessly with time tracking, job tracking, and CRM apps, among others.
Both MYOB and Xero offer trial periods.
MYOB is in line with industry best practices in security, including secure encryption. On the other hand, Xero boasts secure SSL data encryption, alongside two-step authentication on login and a record 99.97% uptime on their software. There’s also the great Xero Security Noticeboard which offers live updates on phishing emails and scams.
Both Xero and MYOB offer similar support for their accounting software. Where Xero offers 24/7 online support, MYOB offers direct LiveChat capability. Where Xero has a vast Help Centre with search functionality, MYOB offers Australian phone support and extensive help section. Both companies have huge community groups to crowdsource support from too.
The best accounting software is the one that suits your type of business. With more and more Australian businesses operating online or outside traditional offices, the mobile app from Xero does come out on top. However, for more traditional workplaces with tighter budgets, MYOB would suit better. Our team at TaxReturn.com.au deal with thousands of Australian businesses every year for their tax return, and we know it’s vital to find an accounting solution that works with you.
If you want to get out of the habit of collecting receipts, invoices and diaries in old shoeboxes – any accounting software is a great step. The most important thing to consider is how your bookkeeping will improve your tax return process, to minimise stress at tax time.
By subscribing to a trusted accounting software and engaging an experienced tax agent like the ones at TaxReturn.com.au, you’re on track for financial freedom.
Let us help you make the most of your money. Contact us today to get started!