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QuickBooks Online vs. Xero Cloud Accounting Software in Malaysia – What to Choose

If you’re thinking about moving to a cloud based accounting software, you must be wondering which software to select. You may have heard of Xero Cloud accounting and QuickBooks Online which are excellent accounting softwares but when compared, both have their own pros and cons.

In Malaysia, there is no one other than 3E Accounting who can provide you with good advices and the most accurate comparison between Quickbooks Online and Xero Cloud Accounting for your consideration. 3E Accounting are the certified advisor for both softwares and are an active user of both softwares. We provide constructive advice which are not biased to either of the software in order to help our client to make a well informed decision and to get the best software needed to meet their needs.

For QuickBooks Online Services in Malaysia, we are listed as QuickBooks ProAdvisors.
QuickBooks ProAdvisors by 3E Accounting Malaysia

For Xero Cloud Accounting Software in Malaysia, we are listed as Xero Certified Advisor.
Xero Certified Advisor by 3E Accounting Malaysia

To begin with, QuickBooks Online can be described as a better version or the online version of QuickBooks Desktop which is all set to compete against Xero cloud accountings software.

The features or functions that you’ll find common in both these software programs are:

  • Bank reconciliation
  • Inventory management
  • Accounts payable and receivable functions
  • Invoicing
  • Payroll and Bill management
  • Financial reporting
  • Document Sharing
  • Bank synchronisation


Pricing – QuickBooks is winner

Both Xero Malaysia and Quickbooks Online Malaysia have different rates depending on the version chosen. Both enjoy unlimited users if you sign up with 3E Accounting.

QuickBooks Online Pricing: Check Out QuickBooks Online Pricing

Xero Cloud Accounting Software Pricing: Check Out Xero Cloud Accounting Software Pricing


Payroll intergration

Both Quickbooks Online and Xero does not support for payroll processing in Malaysia currently. You can only create an employee list via the employees tab and record payroll transactions via using the expense function.


GST Functions – Quickbooks is winner

Quickbooks Online can generate GST reports required by the Custom.

Xero can produce a GST reports through SmartTax third party add on (extra fee apply).


Timesheets – Quickbooks is winner

Quickbooks Online has built-in timesheets functions, which can be re-billed to clients easily.

Xero requires an add-on like Harvest or WorkFlowMax for this which will cost you extra fee of US$12 per month for each user.


Fixed Assets Listings – Xero is winner

Xero has built-in function for Fixed Asset register. QuickBooks Online does not have one currently. However, 3E Accounting can assist to prepare the fixed asset listing for you manually when requested (charges apply).

It will not be a big concern for a small business if you are not frequently in investing in a big fixed assets and most of your assets purchased will be expensed off.


Number of users – Xero is winner

Xero has unlimited number of user currently.

Quickbooks Online Plus support up to 25 users.


Add-Ons – Xero is winner

Quickbooks Online has a total of 12 add-ons for its Malaysia edition currently.

Xero’s has more than hundreds of add-on currently and provide full suite of solution for your business such as CRM system, Google apps, and etc.


Bank reconciliation

However, what makes Xero accounting special is that the reconciling account on Xero is much easier and simple for a layman rather than a conventional way of bank reconciliation process. Xero accounting has a dashboard where all your bank as well as credit accounts are listed. Under each category is a tab that informs you that you need to reconcile x number of your bank transactions. This is a great feature as it serves as a quick reminder, enabling you to quickly reconcile transactions on a daily basis instead of doing it at the end of the month which increases the chances of errors.

Both Quickbooks Online and Xero accounting has the matching transaction function. Quickbooks Online has maintain its conventional way of bank reconciliation as well if you decided to stick with the old method.



Lastly, please find below summary of table for the feature comparison between Xero and Quickbooks Online.

In summary, Quickbooks Online is more cost effective in the long run as most functions are built in. Quickbooks Online has less complicated functions and will suit your need for a simple cloud accounting software which can fullfill your basic needs such as employee expenses claims, timesheet, GST submission, multi-currency and no complicated user roles are required in your organisation.

If you are looking for more functionality and more third party apps integration such as CRM systems, Xero accounting will be the best choice since they have hundreds of add-ons which can assist you to build a comprehensive system which can support your business regardless of whether you are a SME or a MNC. However, please be reminded that each function comes with a cost which may be a crucial consideration point for most of the SMEs in Malaysia.

For more information, please contact our consultant today at for us to better assist you to identify the most suitable software that suits your need. We can assist you to complete the basic bookkeeping if you are busy with your business operations and decided to outsource your bookkeeping function to us. Do contact us today to get a comprehensive quotation from us.

We look forward to building the most advance accounting system for you.


Features Xero Quickbooks Online
Pricing for the top-tier version Xero Cloud Accounting Software Pricing QuickBooks Online Pricing
Migration Required third party add-ons MMC Convert Free support
Payroll functions Supported through HReasily Supported through Gpayroll
Employee expenses claims Supported Supported
Timesheet functions Required third party add on to support with extra fee Supported
Fixed Asset Register Supported Not supported. 3E Accounting can assist to prepare the manual fixed asset register (charges apply)
GST compliances Required third party add-ons SmartTax with extra fee Yes by default
Multi-Currency Supported Supported
Minimum Subscription period No lock in period. No lock in period.
Free Trial available Yes , 30 days Yes , 30 days
Upgrade or downgrade your plan You are allowed to downgrade or upgrade your plan. You can upgrade your plan, but not downgrading
Go mobile App Stores & Google Plays App Stores & Google Plays
Support Contact Form or email Contact Form, Email or livechat
Number of user Unlimited Quickbooks Online Plus support up to 25 users
Rights of user More user roles are available such as payroll, bank transactions, sales, purchases, contact and etc Is available in sales or purchase limited functions