Cloud accounting software is a real game changer when it comes to managing your business. In New Zealand we have two main options; Xero or MYOB.
So, how do you choose the best cloud accounting software for your business?
Here at Kiwitax, we don’t take a ‘one size fits all’ approach to helping you choose the right cloud accounting software option, we are both a Xero Platinum Champion Partner and a MYOB Diamond Partner so you can rest assured that we will help you to make the best decision for your situation.
Read on for some helpful tips, based on specific features around the most common platforms used by our small and medium business clients, MYOB & Xero;
Bank Feeds
Bank feeds are where your bank transactions are automatically uploaded into your accounting software ready for you to reconcile and code them. Both MYOB and Xero have strong bank feed platforms. The main factor here is ensuring your bank is compatible with your chosen software, Credit Unions and Building Societies generally do not offer direct electronic bank feeds.
Here’s a list of Xero supported bank feeds & here are the MYOB supported bank feeds
Payroll
Now that Payday filing is mandatory for all NZ businesses, direct electronic filing is a huge time saver for many small business owners. Both MYOB Business Pro and Xero have this function available in their subscriptions.
Payroll is available as an add on for both MYOB business (lite and pro) packages for $1.50 per employee p/m (max 2 employees on the lite version). Find out more.
Payroll is optional for Xero Grow, Comprehensive and Ultimate plans. Find out more about Xero’s payroll offering.
Xero Payroll Options
The Grow plan includes payroll for 1 person.
The Comprehensive plan allows payroll for up to 5 people.
The Ultimate plan includes payroll for up to 10 people.
Pay $1/month for each additional person, up to a maximum 200 people.
Online GST filing
Both Xero & MYOB provide direct electronic GST filing with the NZ Inland Revenue Department for 1, 2 and 6 Monthly returns.
Mobile App
MYOB offer 2 separate apps; MYOB Invoices for Quoting & Invoicing on the go and MYOB Capture for uploading receipts and documents.
Xero’s mobile app has the ability to Invoice, Quote, Create Bills, Receipts, file uploads, manage contacts/customers & bank reconciliations.
Support
Both MYOB and Xero have an online/email support platform, knowledge base and video tutorials.
MYOB also have phone support, based out of Christchurch & Australia. (Insider tip – call their helpline before 10am to avoid the Australian ‘rush hour’)
Inventory Management
One area both MYOB & Xero differ greatly is inventory management.
Xero’s existing inventory management feature will be perfectly fine for a business with only a few stock items to track but larger businesses, such as retail stores will be best using a third-party app which are available to integrate with your Xero subscription.
MYOB users have 10 items included and can add unlimited inventory for $22 p/m.
Price
The value of accounting software often outweighs the cost, especially for time poor business owners.
MYOB – starting from $32 + GST per month
Xero – starting from $35 + GST per month
Both Xero and MYOB run periodic specials with discounts for a limited time off their normal price.
You’re welcome to contact us directly if you want to chat further about the specific needs of your business, we’ll work with whatever you choose.
About Kiwitax – Award winning business improvement, tax and accounting service
Here’s the thing. As a business, rental property owner or start-up, you get a kick out of having your own gig. But chances are dealing with your tax and accounting leaves you cold. Good news! We love it, so hand it over to Kiwitax and we’ll look after it all for you.
Whether you deal with us online, by phone or drop into our Napier office, you’ll find a friendly, professional hardworking team ready to work with you, however you keep track of your financial information and from wherever you do business. And all for a fixed price. It takes just two minutes to get a quote.
Plus if you’re at a loss to know how to improve aspects of your business – from growth planning to cashflow management, even tax debt and so much more – we’re all over that too. Our Business Improvement advisors can help you make a plan and put it into action.
If you liked this article and want to make improvements in your business, with quarterly coaching sessions specifically tailored to support you to identify and achieve your business goals, lets chat!
