Xero wins on more features overall (9 vs 4, 6 tied). Below is the full feature-by-feature breakdown.
| Feature | Square Invoices | Xero |
|---|---|---|
| Free plan |
✓ Yes
Free creation; 2.2% on payments
|
✗ No
30-day trial only
|
| Entry paid plan |
✓ Yes
Per-transaction fees only
|
— Paid add-on
AU$35/mo Starter, AU$70/mo Standard
|
| Download PDF without signup |
✗ No
|
✗ No
|
| Feature | Square Invoices | Xero |
|---|---|---|
| Unlimited invoices |
— Limited
|
— Limited
Ignite caps at 20 invoices/month — unlimited requires Grow at AU$78
|
| Custom logo & branding |
✓ Yes
|
✓ Yes
|
| Recurring invoices |
✓ Yes
|
✓ Yes
|
| Email invoices to clients |
✓ Yes
|
✓ Yes
|
| Multi-currency |
✓ Yes
|
— Paid add-on
Premium plan only
|
| Client management |
✓ Yes
|
✓ Yes
|
| Feature | Square Invoices | Xero |
|---|---|---|
| ATO-compliant GST invoices |
— Limited
|
✓ Yes
|
| ABN field built in |
✗ No
|
✓ Yes
|
| Australian-focused support |
— Limited
|
✓ Yes
|
| Feature | Square Invoices | Xero |
|---|---|---|
| Bank reconciliation |
✗ No
|
✓ Yes
|
| Expense tracking |
— Limited
|
✓ Yes
|
| Payroll |
✗ No
|
— Paid add-on
+AU$10/mo per employee
|
| Inventory tracking |
✗ No
|
✓ Yes
|
| Feature | Square Invoices | Xero |
|---|---|---|
| Stripe payments |
✗ No
Square payments only
|
✓ Yes
|
| Mobile app |
— Limited
|
✓ Yes
|
| Feature | Square Invoices | Xero |
|---|---|---|
| Setup time |
— Limited
Account signup required
|
✗ No
Days — requires chart of accounts setup
|
Neither tool fits your invoicing-only workflow? Try InvoiceSonic — free for unlimited ATO-compliant tax invoices, no signup required.
Create a free invoice now →Square Invoices starts at Free (2.2% per paid invoice); Xero starts at AU$37/mo (Ignite — 20 invoices). Square Invoices offers free to create — fees on card payments. Xero offers 30-day free trial.
For ATO-compliant GST: Square Invoices = limited, Xero = yes. For native ABN field: Square Invoices = no, Xero = yes. If you operate in Australia and either tool falls short here, InvoiceSonic handles both natively — and it's free.
Most freelancers want fast invoicing without paying for full accounting. Between these two, Xero wins more categories overall. But if you're a freelancer who just wants ATO-compliant tax invoices for free, InvoiceSonic is purpose-built for that workflow.
Do not assume a one-click migration. Confirm each product's current export and import formats, then test contacts, opening balances, unpaid invoices, tax codes, attachments and reconciliations before cancelling the old account. Keep statutory records outside both systems.
Both tools include more than invoicing. If invoicing is your only need, a dedicated generator can be faster and more focused than a full accounting subscription.
Yes — InvoiceSonic lets you create and download an invoice without signup. Its account plans have separate limits and pricing, so compare current official plans before deciding.