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Why should I use Employment Hero when my business already uses Xero (or MYOB/QBO) that has a Payroll Module?

When working with businesses that have more than 20 employees, or pay their employees based on an Award, we will use Employment Hero. Employment Hero is a cloud-based HR, payroll, and employee management software that provides numerous benefits to businesses. Here are some of the benefits of using Employment Hero: 

  1. Simplifies HR tasks: Employment Hero automates and streamlines HR tasks such as onboarding, employee data management, and performance management, which saves time and reduces errors. 
  2. Enhances employee engagement: Employment Hero has features that allow businesses to communicate with their employees effectively, recognize their achievements, and provide them with the tools they need to manage their careers. 
  3. Improves compliance: Employment Hero ensures that businesses stay up to date with employment laws and regulations, reducing the risk of costly legal issues. 
  4. Enables efficient payroll management: Employment Hero has built-in payroll features that automate payroll calculations, reducing errors and saving time. 
  5. Offers cost-effective pricing: Employment Hero offers flexible pricing plans, which are based on the number of active employees in each month which makes it an affordable solution for businesses of all sizes.  
  6. Increases productivity: Employment Hero helps businesses save time on administrative tasks, enabling them to focus on core business activities and improving overall productivity. 


Overall, Employment Hero provides numerous benefits that can help businesses save time and money, reduce the risk of compliance issues, and improve employee engagement and productivity.  

A question that we are commonly asked by the businesses that we work with is: “Why should I use Employment Hero when my business already uses Xero (or MYOB/QBO) that has a Payroll Module?” 

Employment Hero, Xero, and QuickBooks are all cloud-based software solutions that offer different functionalities for businesses. While all three platforms provide some level of HR, payroll, and accounting features, here are some reasons why Employment Hero may be better suited for businesses compared to Xero or QuickBooks:

  1. HR-focused: Employment Hero is specifically designed for HR and employee management, which means it offers more comprehensive HR features than Xero or QuickBooks. Employment Hero includes features such as onboarding, performance management, and employee engagement tools, which can help businesses improve employee satisfaction and retention.
  2. Compliance-driven: Employment Hero places a significant emphasis on compliance, ensuring businesses stay up to date with employment laws and regulations. One of our favourite features of Employment Hero is that it has the Award Wage Pay Tables built into the software and can interpret them when processing timesheets. This is a manual process within Xero and MYOB which means that it is time consuming to process, and fraught with the risk of paying employees incorrectly.
  3. Payroll features: While all three platforms offer payroll features, Employment Hero’s payroll features are more comprehensive, including tools for employee self-service, leave management, and superannuation. This can help businesses save time on payroll processing and reduce errors.
  4. Pricing: Employment Hero offers flexible pricing plans based on the number of employees within your pay run, including a free plan for small businesses. While Xero and QuickBooks also offer pricing plans, Employment Hero’s pricing may be more affordable for businesses with limited budgets.
  5. Integrations: Employment Hero offers integrations with other HR and payroll software solutions, such as Xero and MYOB, which can help businesses streamline their HR and payroll processes. 

Overall, while Xero and QuickBooks offer powerful accounting features, Employment Hero’s HR-specific features and compliance focus make it a better option for businesses looking for comprehensive HR, payroll, and employee management tools. However, the choice depends on the unique needs and priorities of each business. 

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