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Software · head to head

Workday vs Xero

Workday logo

Workday

Software

Enterprise cloud applications for finance and HR

From
On request
Rated
-
Full reviewWebsite
Xero logo

Xero

Software

Beautiful accounting software

From
$13/month
Rated
-
Full reviewWebsite

The short version

  • Each has a real cost: Workday high implementation costs equal to or exceeding annual software fees; Xero the Early plan caps you at 20 invoices and 5 bills per month, and the invoice limit counts both approving and sending
  • They diverge on capability: Workday covers Human capital management, Xero covers Bank reconciliation.

Where they differ

Only the attributes on which Workday and Xero actually diverge.

Attributes where Workday and Xero differ
AttributeWorkdayXero
Starting priceOn request$13/month
Pricing modelquotesubscription
PlatformsCloud/WebWeb, Ios, Android, Api
Founded20052006

Identical on both: free tier (No), user rating (Not yet rated), category (Unknown).

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 Workday

  • Human capital management
  • Financial management
  • Planning
  • Analytics
  • Payroll
  • Time tracking
  • Talent management
  • Procurement

Only in Xero

  • Bank reconciliation
  • Invoicing
  • Bill payment
  • Expense claims
  • Financial reporting
  • Inventory tracking
  • Project tracking
  • Mobile apps

Both cover

  • SOC2
  • ISO27001

What people use each for

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

Workday

  • HR managementnot Xero
  • Financial planningnot Xero
  • Workforce planningnot Xero
  • Compliancenot Xero
  • Analyticsnot Xero

Xero

  • Small business bookkeeping, invoicing and bank reconciliationnot Workday
  • Bill payment and purchase order managementnot Workday
  • Sharing books with an accountant or bookkeepernot Workday

Where each one falls short

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

Workday

  • High implementation costs equal to or exceeding annual software fees
  • Long deployment timelines (12-18 months standard) before ROI
  • Steep per-employee pricing at enterprise scale ($408-504 PEPM)
  • Limited pre-built templates and customization; often requires extensive configuration
  • Requires significant IT and change management resources during implementation

Xero

  • The Early plan caps you at 20 invoices and 5 bills per month, and the invoice limit counts both approving and sending
  • Invoices created by connected app partners count against the Early plan invoice limit
  • Multiple currencies, project time and cost tracking, employee expense and mileage claims and industry benchmarking are restricted to the top Established plan at $90 per month
  • Cash flow forecasting is capped at 30 days on Early and 60 days on Growing, with 180 days only on Established
  • Payroll is not included in any plan and costs an extra $36 a month plus $6 per employee or contractor through Gusto
  • Inventory Plus is a paid optional add-on rather than part of any plan
  • The advertised 90% off applies only to the first 6 months, after which the regular $25, $55 or $90 monthly price auto-renews
  • The introductory discount excludes add-ons, usage charges and payment fees
  • Payment fees apply to online invoice payments and to bill payments other than standard domestic ACH, and are billed on top of the subscription
  • Subscriptions are billed monthly with no annual payment option, and after upgrading you must wait one month before downgrading to a cheaper plan
  • Xero states subscription prices are increasing from October 1, 2026

Pricing, plan by plan

Workday

On request
  • Small Business$undefined/month
    • Core HR
    • Payroll
    • Time tracking
  • Medium Enterprise$undefined/month
    • Full HCM suite
    • Financial management
    • Advanced analytics
  • Large Enterprise$undefined/month
    • Complete platform
    • Custom configurations
    • Dedicated support

Xero

$13/month
  • Early$13/month
    • Send 20 invoices
    • Enter 5 bills
    • Reconcile bank transactions
  • Growing$37/month
    • Unlimited invoices & bills
    • Bulk reconcile transactions
    • Short-term cash flow
  • Established$70/month
    • Everything in Growing
    • Use multiple currencies
    • Track projects

Which should you pick?

Choose Workday if

  • You need human capital management.
  • You work on Cloud/Web.
  • You also want financial management.
Workday review

Choose Xero if

  • You need bank reconciliation.
  • You work on Web, Ios, Android, Api.
  • You also want invoicing.
Xero review

Questions people ask

Is Workday or Xero better?
Neither clearly leads. Workday starts at On request and Xero at $13/month, and user ratings are close enough to be indistinguishable. Choose on capability and platform support.
Which is cheaper, Workday or Xero?
Workday starts at On request and Xero at $13/month.
Does Workday or Xero run on more platforms?
Workday runs on Cloud/Web. Xero runs on Web, Ios, Android, Api.
What is Workday best used for?
Workday is most often used for hr management, financial planning, workforce planning, compliance. Of those, hr management and financial planning are not what Xero is typically brought in for.
What can Workday do that Xero cannot?
Workday covers Human capital management, Financial management, Planning, Analytics. Xero covers Bank reconciliation, Invoicing, Bill payment, Expense claims. Both handle SOC2, ISO27001.

Answered from the vendors’ own pages

Workday: What is Workday GO and what market is it designed for?

Workday GO is a product designed for small and midsize organizations, bringing together HR and finance solutions with transparent pricing and fast activation in 30 to 60 days. It includes HCM, benefits, payroll, talent, and more at a lower price point than standard Workday.

Source
Workday: What is Workday Skills Cloud and how does it fit into HCM?

Workday Skills Cloud is an intelligent skills foundation built into Workday HCM. It is described as the world's most open intelligent skills foundation and fuels data-driven talent strategies across recruiting, learning, and workforce planning.

Source
Workday: Does Workday include payroll and benefits management?

Yes. Workday HCM includes benefits administration and payroll capabilities as part of its core suite. Global payroll processing is available across multiple countries and tax jurisdictions.

Source
Workday: What is the typical pricing model for Workday HCM?

Workday HCM uses per-employee (PEPM) annual subscription pricing. Companies at scale typically pay $34-42 PEPM. Enterprise organizations with 5,000+ employees typically pay $408-504 per employee annually. Pricing decreases with larger commitments and longer contract terms.

Source
Workday: How long does Workday implementation typically take?

Standard implementations are lengthy, often taking 12-18 months. Workday GO promises faster activation in 30-60 days. Implementation costs typically equal 100-150% of the first year's software subscription fees.

Source
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Related pages

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