Xero vs Sage: Which Should You Choose in 2026?
Choosing between Xero and Sage comes down to understanding what each tool does best. This comparison breaks down the key differences so you can make an informed decision based on your specific needs, not marketing claims.
By Toolradar Team · Last updated February 28, 2026 · Methodology
Short on time? Here's the quick answer
We've tested both tools. Here's who should pick what:
Xero
Beautiful accounting software
Best for you if:
- • You want the higher-rated option (8.6/10 vs 7.7/10)
- • Xero is cloud accounting software for small businesses
- • It provides invoicing, bank reconciliation, and financial reporting
Sage
Business management software
Best for you if:
- • Sage is a business management suite for accounting and ERP
- • It provides accounting, payroll, and operations software for businesses
| At a Glance |  Xero |  Sage |
|---|---|---|
Price | Paid | Paid |
Best For | Accounting | Accounting |
Rating | 86/100 | 77/100 |
| Feature | Xero | Sage |
|---|---|---|
| Pricing Model | Paid | Paid |
| Editorial Score | 86 | 77 |
| Community Rating | No ratings yet | No ratings yet |
| Total Reviews | 0 | 0 |
| Community Upvotes | 0 | 0 |
| Categories | AccountingInvoicing | AccountingInvoicing |
How Xero and Sage Compare
Xero
Beautiful accounting software
Paid · 86/100 score
Sage
Business management software
Paid · 77/100 score
Who Should Use What?
On a budget?
Both are paid. Compare plans on their websites.
Go with: Xero
Want the highest-rated option?
Xero: 86/100. Sage: 77/100.
Go with: Xero
Value user reviews?
Neither has user reviews yet.
Go with: Xero
3 Questions to Help You Decide
What's your budget?
Both are paid. Pricing won't help you decide here.
What's your use case?
Both are accounting tools. Compare their specific features to decide.
How important are ratings?
Xero scores higher: 86/100 vs 77/100.
Key Takeaways
Xero
- Higher score: 86/100 vs 77
- Our pick for this comparison
Sage
The Bottom Line
Xero (86/100) is our pick.
Frequently Asked Questions
Is Xero or Sage better?
Xero scores 86/100 in our evaluation. Both are paid.
What are Xero and Sage used for?
Xero: Beautiful accounting software. Sage: Business management software.
What does Xero cost vs Sage?
Xero is a paid tool. Sage is a paid tool. Visit their websites for detailed pricing.