Nonprofit Tools
GustovsXero

Gusto vs Xero for nonprofits

Choose Gusto if…

Small US nonprofits that employ staff and want payroll handled online

Not ideal for: Organisations outside the US

Choose Xero if…

Small and medium charities that want a widely supported, accountant-friendly system

Not ideal for: Organisations that need true fund accounting with built-in restricted-fund reports

GustoXero
Our rating●●●●○●●●●●
PriceFrom US$49/month plus US$6 per person (Simple)From US$27/month (UK: £18/month ex VAT)
Nonprofit offerNone foundRegistered not-for-profits get 25% off Xero's business pricing plans (confirmed on the UK page; Xero describes the discount as global).
TypeSpecialistSpecialist
SuitsSmall, MediumVolunteer-run, Small, Medium
Available in🇺🇸 United States onlyUS payroll only🌍 Anywhere
Strengths
  • Easy to use for non-specialists
  • Handles tax filings automatically
  • Wide accounting integrations
  • Very widely used, so accountants and bookkeepers know it
  • Local editions for UK, Australia, New Zealand and US
  • Large marketplace of connected apps
Watch out for
  • US only
  • Per-employee costs rise as you grow
  • Pricing not confirmed on vendor page this session
  • No built-in fund accounting; funds are handled with tracking categories
  • Plans limit invoices and bills on the cheapest tier
  • Not-for-profit discount must be requested within 31 days of subscribing
Key features
  • Full-service payroll and tax filing
  • Benefits administration
  • Employee onboarding
  • Bank feeds and automatic reconciliation
  • Invoices, bills and quotes
  • Tracking categories to report by programme or grant

Our ratings: Gusto: Well-liked US payroll and HR for small organisations. Xero: Popular cloud accounting with a nonprofit discount in many countries.

General information, not professional advice. Prices and nonprofit offers change and our research is AI-assisted, so confirm with the vendor before you buy. Names and logos belong to their owners. Full disclaimer

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