Payroll software · Australia · Head-to-head
Reckon vs Xero Payroll (AU)
Two Australia payroll software options, compared side by side for Australia trades.
Which should you choose?
Reckon and Xero Payroll (AU) are both Tier S: our check found each one's prices published on its own website, so you can compare their costs before talking to sales. The tier is not a quality ranking: weigh the pros, cons, pricing and Australia-specific notes below against your trade and region.
Reckon
Tier S · Published pricesAustralian payroll app and Reckon One payroll: STP Phase 2 and Payday Super, from $16 a month
Reckon is an ASX-listed Australian software company founded in 1987 by Greg Wilkinson. Its Reckon One cloud software offers accounting and payroll plans, and the standalone Reckon Payroll App runs pay runs on phone or web. It suits a sole trader or small crew that needs pay runs, super and STP reporting without paying for a full accounting suite.
Pros
- + STP Phase 2 and Payday Super compliance stated for its payroll
- + Built-in SuperStream to calculate, lodge and pay super, Reckon says
- + Low entry price: Payroll Essentials $16 a month for up to 4 employees
- + Payroll App on iOS, Android and web, plus the Reckon Mate employee app for payslips and leave
Cons
- − Award interpretation is not mentioned on its payroll pages
- − Priced by employee band (up to 4, up to 10, unlimited), so a growing crew moves up a plan
- − No rostering or time clock mentioned; employees submit timesheets for approval
- − Introductory offers last 6 months: the $1 Reckon One offer closes on 31 October 2026 and the $0.99 in-app Payroll App offer on 31 December 2026
Australia note
Reckon says its payroll is fully ATO registered, Single Touch Payroll Phase 2 compliant and Payday Super compliant, with built-in SuperStream to calculate, lodge and pay super. Its Payroll App page says data is hosted in Australia.
Xero Payroll (AU)
Tier S · Published pricesPayroll built into Xero's Australian plans: STP Phase 2 reporting and super payments, with payroll for 2, 5 or 10 people by plan
Xero Payroll is built into Xero's Australian accounting plans rather than sold as a separate add-on: Grow includes payroll for 2 people, Comprehensive for 5 and Ultimate 10 for 10, with larger Ultimate tiers. Xero, headquartered in Wellington, New Zealand, says 5 million customers use its software worldwide. Its Australian head office is in Melbourne, with offices in Brisbane and Sydney.
Pros
- + Payroll included in the plan price, with no separate payroll subscription
- + STP Phase 2 reporting to the ATO each payday
- + Super calculated and paid from each pay run for Payday Super
- + Xero Me app for payslips, leave requests and timesheets
Cons
- − Payroll headcount is capped by plan: 2 on Grow, 5 on Comprehensive, 10 on Ultimate 10
- − Extra charges may apply above the included number of people, and they are not listed on the pricing page
- − No award-interpretation feature described; Xero points users to the Fair Work Ombudsman
- − Payroll requires a Xero accounting plan
Australia note
Xero says its payroll handles Single Touch Payroll Phase 2 reporting to the ATO each payday and calculates and pays super in each pay run for Payday Super, which started on 1 July 2026, at no extra cost. For award obligations it points users to a payroll specialist or the Fair Work Ombudsman rather than automating award rules.
More Australia options
See all Australia payroll software vendors and the rest of the Australia directory.