Softwr

Accounting · head to head

Avalara vs Microsoft Excel

Avalara logo

Avalara

Accounting

Tax compliance done right

From
$29/month
Rated
-
Microsoft Excel logo

Microsoft Excel

Accounting

Spreadsheet software for data analysis and visualization

From
Free
Rated
-

The short version

  • Only Microsoft Excel has a free tier, so it costs nothing to try first.
  • Each has a real cost: Avalara pricing varies significantly based on products, integrations, transaction volume, and jurisdictions; Microsoft Excel free tier limited to 5 GB cloud storage and web-only access
  • They diverge on capability: Avalara covers Tax calculation, Microsoft Excel covers Advanced formulas.

Where they differ

Only the attributes on which Avalara and Microsoft Excel actually diverge.

Attributes where Avalara and Microsoft Excel differ
AttributeAvalaraMicrosoft Excel
Starting price$29/monthFree
Pricing modelsubscriptionfreemium
Free tierNoYes
PlatformsWeb, ApiWindows, Macos, Web, Ios, Android
Founded20041975

Identical on both: user rating (Not yet rated), category (Accounting).

What each one covers

Drawn from each product's published feature list. An absence here means we hold no record of it - not that the product lacks it.

Only in Avalara

  • Tax calculation
  • Returns filing
  • Exemption management
  • Document management
  • Real-time rates
  • QuickBooks
  • NetSuite
  • Shopify

Only in Microsoft Excel

  • Advanced formulas
  • Pivot tables
  • Data visualization
  • Charts and graphs
  • Conditional formatting
  • Data analysis tools
  • Macro automation
  • Collaboration features

What people use each for

The jobs each tool is most often brought in to do.

Avalara

  • Real-time sales tax calculation at checkoutnot Microsoft Excel
  • Multi-state and multi-jurisdiction tax determinationnot Microsoft Excel
  • VAT, lodging, communications and excise tax calculationnot Microsoft Excel
  • Feeding tax results into an ERP or ecommerce platform through the APInot Microsoft Excel

Microsoft Excel

  • Financial modelingnot Avalara
  • Data analysisnot Avalara
  • Budget planningnot Avalara
  • Reportingnot Avalara
  • Business intelligencenot Avalara
  • Statistical analysisnot Avalara

Where each one falls short

Documented limitations, not opinions. Every one is a constraint you would hit in normal use.

Avalara

  • Pricing varies significantly based on products, integrations, transaction volume, and jurisdictions
  • No free tier or trial period published
  • Enterprise sales model requires contacting sales specialists for customized quotes

Microsoft Excel

  • Free tier limited to 5 GB cloud storage and web-only access
  • Paid plans have per-user costs increasing significantly with more users
  • AI features like Copilot limited or unavailable on lower-tier plans

Pricing, plan by plan

Avalara

$29/month
  • AvaTax$50/month
    • Tax calculation
    • Exemption certificates
    • Returns filing

Microsoft Excel

Free
  • Microsoft Excel (Free)Free
    • Excel for the web
    • Real-time collaboration
    • 5 GB cloud storage
  • Microsoft 365 Personal$9.99/month
    • Desktop Excel app
    • 1 TB cloud storage
    • Single user on up to 5 devices
  • Microsoft 365 Family$12.99/month
    • 1-6 users (AI features for subscription owner)
    • Up to 6 TB cloud storage (1 TB per person)
    • Each user up to 5 devices
  • Microsoft 365 Premium$19.99/month
    • 1-6 users
    • Extensive Copilot feature access
    • Exclusive advanced AI capabilities

Which should you pick?

Choose Avalara if

  • You need tax calculation.
  • You work on Web, Api.
  • You also want returns filing.

Choose Microsoft Excel if

  • You need advanced formulas.
  • You want to start without paying.
  • You work on Windows, Macos, Web, Ios, Android.
  • You also want pivot tables.

Questions people ask

Is Avalara or Microsoft Excel better?
Neither clearly leads. Avalara starts at $29/month and Microsoft Excel at Free, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Avalara or Microsoft Excel?
Microsoft Excel has a free tier; the other does not. Paid plans start at $29/month for Avalara and Free for Microsoft Excel.
Does Avalara or Microsoft Excel run on more platforms?
Avalara runs on Web, Api. Microsoft Excel runs on Windows, Macos, Web, Ios, Android.
Can I use Microsoft Excel for free?
Yes. Microsoft Excel has a free tier, so you can try it without paying. Avalara starts at $29/month.
What is Avalara best used for?
Avalara is most often used for real-time sales tax calculation at checkout, multi-state and multi-jurisdiction tax determination, vat, lodging, communications and excise tax calculation, feeding tax results into an erp or ecommerce platform through the api. Of those, real-time sales tax calculation at checkout and multi-state and multi-jurisdiction tax determination are not what Microsoft Excel is typically brought in for.
What can Avalara do that Microsoft Excel cannot?
Avalara covers Tax calculation, Returns filing, Exemption management, Document management. Microsoft Excel covers Advanced formulas, Pivot tables, Data visualization, Charts and graphs.

Answered from the vendors’ own pages

Avalara: What are the starting prices for Avalara services?

Avalara Tax Calculation and Returns Compliance Package starts at $699. License Guidance is available for as low as $119. Sales Tax Registration costs $403 per location.

Source
Microsoft Excel: How much does Microsoft Excel cost?

Microsoft Excel is free as a web app with 5 GB storage. Paid options include Microsoft 365 Personal at $9.99/month for desktop apps and 1 TB storage, Family at $12.99/month for 1-6 users with 6 TB total storage, and Premium at $19.99/month with extended Copilot access.

Source
Avalara: How does Avalara's pricing scale?

Avalara uses volume-based pricing that varies based on the number of integrated business applications, volume of monthly sales transactions, number of states or jurisdictions for tax collection, and Streamlined Sales Tax enrollment. Pricing scales with business growth and transaction volume.

Source
Microsoft Excel: Is there a free version of Excel?

Yes, Excel for the web is free and includes sharing, real-time collaboration, and 5 GB cloud storage accessible on web, iOS, and Android without subscription.

Source
Microsoft Excel: What is the difference between Microsoft 365 Family and Premium tiers?

Family tier at $12.99/month supports 1-6 users with 6 TB total storage and standard features. Premium tier at $19.99/month allows extensive Copilot feature access and exclusive advanced AI capabilities including image creation and audio generation.

Source
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