Accounting · Head to head
ERPNext vs Xero: which is better?
Short answer
ERPNext costs less in the first year ($60 vs $324). Pick ERPNext for open-source ERP with accounting; pick Xero for unlimited-user cloud accounting.
| Fact | ERPNext | Xero | Edge |
|---|---|---|---|
| Best for | Open-source ERP with accounting | Unlimited-user cloud accounting | — |
| Free plan | Yes, open source, self-hosted | No, 30-day trial | ERPNext |
| Entry plan | Frappe Cloud Sites: $5 / mo | Early: $27 / mo | ERPNext |
| Mid plan | Frappe Cloud Servers: $20 / mo | Growing: $59 / mo | ERPNext |
| Top plan | Frappe Cloud Servers: $20 / mo | Established: $97 / mo | ERPNext |
| 1st year | $60 | $324 | ERPNext |
| Platforms | Web, iOS, Android | Web, iOS, Android | Tie |
Edge = the better published number or limit; we do not test the tools hands-on.
Which is cheaper, ERPNext or Xero?
ERPNext costs less in the first year ($60 vs $324).
| 1st year | ERPNext | Xero |
|---|---|---|
| Entry | $60 | $324 |
| Mid | $240 | $708 |
| Top | $240 | $1,164 |
Which has the better free plan, ERPNext or Xero?
ERPNext: Yes, open source, self-hosted.
Should you pick ERPNext or Xero?
Pick ERPNext if
- you want open-source ERP with accounting
- the free plan is enough (open source, self-hosted)
Pick Xero if
- you want unlimited-user cloud accounting
- you can pay $27 / mo from day one
Sources
| Vendor page | URL | Checked |
|---|---|---|
| ERPNext pricing | frappe.io/erpnext/pricing | 27 Oct 2026 |
| Xero pricing | xero.com/us/pricing/ | 27 Oct 2026 |
Prices in USD as published by each vendor, billed yearly where offered. How we compare