11-03-2025

Smartly Payroll vs Xero Payroll

Looking for a better way to manage payroll while using Xero for your accounting?
S
Two people talking to each other

Managing payroll accurately and efficiently is crucial for Kiwi businesses to stay compliant and keep employees happy. While Xero is a great choice for all your accounting needs, payroll requires a specialised solution. That’s where Smartly comes in.

This article explores the benefits of choosing Smartly Payroll as your payroll solution, highlighting its seamless integration with Xero. Discover why Smartly Payroll might be a better fit for your business compared to using Xero Payroll alone.

Why Smartly Payroll is the Smart Choice for NZ Businesses.

Smartly is purpose-built for payroll, whereas Xero is primarily an accounting platform. With over 22,000 Kiwi businesses using Smartly, it’s a trusted payroll system designed to make payday easy, accurate, and compliant. In the last 12 months alone, over 280 businesses have switched from Xero Payroll to Smartly. That’s almost five per week!*

Automated Payments and Payday Filing

Smartly handles payroll end-to-end, from calculating pays and PAYE, to making payments and automatically filing with IRD.

✔ No manual uploads or separate bank transfers 

✔ Employees get paid on time, every time 

✔ IRD compliance is fully automated 

Xero Payroll requires manual payment processing via online banking. That’s extra work that Smartly eliminates!

Streamlined Payroll integration with Xero

Smartly integrates with Xero in just a few clicks, ensuring payroll data flows straight into your accounting software. This means:

✔ No manual data entry or reconciliation 

✔ Instant payroll cost tracking in Xero 

✔ Less admin, fewer errors 

Best-in-Class Payroll Support**

When it comes to payroll issues, having real human support when you need it matters.  

✔ Smartly is backed by New Zealand-based payroll specialists who are just a phone call away. If you need help, our team is available Monday to Friday, 8 am – 6 pm.

Xero Payroll offers email-based support only.

Smartly vs Xero Payroll: Feature Comparison

Feature
Automated Payroll Payments
Automated IRD Payday Filing
Employee Self-Service
Mobile App
Labour Costing
Advanced Reporting
Phone Support (Weekdays 8am-6pm)
Free Onboarding and Training
People Management Add-On
Smartly Payroll
Xero Payroll
Basic Reporting

Pricing: What’s the Best Value for Your Business?

  • Smartly Payroll: Starts at $50 per month, plus $2.50 per employee per pay run. No contracts. No onboarding costs.

  • Xero Payroll: Included in the $75 per month Xero plan for one employee. Extra employees increase costs.

Final Verdict: Why Smartly is the Better Payroll Solution

If you’re using Xero for accounting, it makes sense to pair it with a specialised payroll solution that integrates seamlessly, like Smartly Payroll.

✔ Fully automated payroll & PAYE payments 

✔ No manual banking uploads 

✔ Better support with real payroll experts  

✔ Flexible plans to suit your needs 

✔ Seamless Xero integration

Switching is easy, and we’ve got a range of helpful resources to help get started on the right foot! Get started today and experience stress-free payroll with Smartly.

Book a demo

*According to our internal analysis, over 280 professionals transitioned from Xero to Smartly from Feb 2024 – Feb 2025.

**According to a 2022 consumer survey conducted by an independent research agency.