How to Switch from QuickBooks to Xero (Step-by-Step 2026 Guide)

Q: Can I automatically import QuickBooks data into Xero?

Xero offers a QuickBooks conversion service that can import your chart of accounts, contacts, invoices, bills, and opening balances. For QuickBooks Online, you can authorize Xero to pull data directly. For QuickBooks Desktop, you export as IIF files and import via the conversion tool.

Q: Should I switch accounting software at year-end?

Yes, the best time to switch is at the start of a new financial year. This gives you a clean cutover date. You start Xero with opening balances as of the year-end date and keep QuickBooks as the historical record. Mid-year switches are possible but require more careful reconciliation.

Q: Will my accountant need to learn Xero?

Most accountants are familiar with both platforms. Xero is particularly popular with accounting firms due to its multi-user access and advisor dashboard. If your accountant only knows QuickBooks, Xero offers free Xero Advisor Certification training that takes about 4 hours to complete.

By ToolVS Research Team · Last Updated April 2026

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Moderate4-8 hoursAccounting

Migration takes 4-8 hours, ideally at your fiscal year-end. Xero has a built-in QuickBooks conversion tool that pulls chart of accounts, contacts, and opening balances. The trickiest part is reconciling opening balances and reconnecting bank feeds. Switch at year-end for the cleanest transition.

Migration Checklist

Step 1: Export Data from QuickBooks

Reconcile all bank accounts and close your current period
QuickBooks Online: Go to Settings → Export Data and select all reports
QuickBooks Desktop: Go to File → Utilities → Export → Lists to IIF Files
Export: Chart of Accounts, Customer List, Vendor List, Item List
Run and save a Trial Balance report as of your cutover date
Export Aged Receivables and Aged Payables reports as CSV

Step 2: Reconcile and Close Period

Complete all bank reconciliations in QuickBooks
Process any outstanding invoices or bills
Run a final Profit & Loss and Balance Sheet report
Set a firm cutover date (ideally month-end or year-end)
After cutover date: no new transactions in QuickBooks

Step 3: Set Up Xero

Create your Xero account at xero.com
Go to Settings → General Settings → Financial Settings and set your fiscal year
Set your conversion date (the day before your Xero start date)
Set up your Chart of Accounts: Accounting → Chart of Accounts
Match your QuickBooks account names and numbers
Configure tax settings and default tax rates

Step 4: Import Data to Xero

Import Contacts: Contacts → Import → upload Customer and Vendor CSV
Enter opening balances: Settings → Conversion Balances
Match Trial Balance totals from QuickBooks to Xero opening balances
Import outstanding invoices: Business → Invoices → Import
Import outstanding bills: Business → Bills to Pay → Import

Tip: Xero also offers a free QuickBooks Online conversion tool at Settings → Convert from QuickBooks that automates much of this process.

Step 5: Connect Bank Feeds

Go to Accounting → Bank Accounts → Add Bank Account
Search for your bank and authorize the connection
Xero will start pulling transactions from your cutover date forward
Set up bank rules for recurring transactions

Step 6: Test and Reconcile

Run a Trial Balance in Xero and compare to QuickBooks
Verify all account balances match
Reconcile the first week of bank transactions in Xero
Create a test invoice and verify the workflow
Test payroll if applicable (Xero has built-in payroll in some regions)

Step 7: Notify Your Accountant

Add your accountant as an Advisor user: Settings → Users → Invite
Share your conversion date and opening balance reports
Walk through the chart of accounts mapping together

Step 8: Run Parallel for 1-2 Months

Keep QuickBooks accessible (read-only) for at least one full month-end close cycle in Xero. Compare Xero reports against QuickBooks to catch any discrepancies. Once your first month-end closes cleanly in Xero, you can confidently cancel QuickBooks.

Step 9: Deactivate QuickBooks

Download a final backup of all QuickBooks data
Export all reports as PDF for your records (required for tax purposes)
Go to Settings → Account and Settings → Cancel Subscription
Keep your QuickBooks data archive for at least 7 years for tax compliance

What You Will Lose

Transaction history — only opening balances transfer, not individual historical transactions
QuickBooks-specific reports — custom report formats need to be rebuilt
Class tracking — QuickBooks Classes map to Xero Tracking Categories differently
Payroll history — payroll records stay in QuickBooks (keep for tax filings)
US-centric features — QuickBooks has deeper US tax integration (1099s, state taxes)

What You Will Gain

Unlimited users — Xero includes unlimited users on all plans (QuickBooks charges per user)
Better bank reconciliation — Xero bank matching is faster and more intuitive
Cleaner interface — modern, easier to navigate dashboard
Multi-currency — included on all plans (QuickBooks charges extra)
800+ integrations — strong ecosystem including Stripe, Shopify, and HubSpot

Gotchas and Common Mistakes

Opening balance mismatch: The most common issue. If your Trial Balance does not match between QuickBooks and Xero, stop and fix it before processing any new transactions.
Tax period overlap: Make sure your conversion date does not fall in the middle of a tax period. This creates reporting headaches during tax season.
Bank feed gaps: When you connect bank feeds in Xero, there may be a gap between your cutover date and when the feed starts. Import any missing transactions manually as CSV.
Inventory tracking: Xero inventory tracking is simpler than QuickBooks. If you have complex inventory, you may need a third-party add-on like DEAR Inventory.

Data Export Formats

Data Type	QuickBooks Export	Xero Import
Chart of Accounts	IIF / CSV	CSV import or conversion tool
Contacts	CSV	CSV import
Invoices	CSV	CSV import (outstanding only)
Bank transactions	QBO / CSV	Bank feed or CSV import
Reports	PDF / Excel	Keep as archive

Migration Timeline

When	Task	Time Needed
Day 1	Reconcile QuickBooks + export data	2 hours
Day 1-2	Set up Xero + import data	3-4 hours
Day 2	Connect bank feeds + verify balances	1-2 hours
Day 3	Test invoicing + notify accountant	1 hour
Month 1-2	Run parallel	Monitoring
Month 2	Cancel QuickBooks	15 min

Frequently Asked Questions

Can I automatically import QuickBooks data into Xero?

Yes. Xero offers a QuickBooks conversion tool that imports chart of accounts, contacts, invoices, bills, and opening balances. For QBO, you can authorize direct data pull. For QuickBooks Desktop, export as IIF files first.

Should I switch accounting software at year-end?

Absolutely. Year-end is the cleanest cutover point. You start Xero with opening balances as of your fiscal year-end and keep QuickBooks as the historical record. Mid-year switches are possible but require more reconciliation work.

Will my accountant need to learn Xero?

Most accountants know both platforms. Xero is popular with accounting firms due to multi-user access and the advisor dashboard. If your accountant is new to Xero, the free Xero Advisor Certification takes about 4 hours.

Not sure yet? Read our full QuickBooks vs Xero comparison to see pricing, features, and which accounting tool fits your business better.

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Last updated: April 9, 2026. All steps verified.