Starting from 28 September 2018, Xero subscribers will see a price hike on all plans apart for those on standard, starter, and partner plans.
Premium plans will see the biggest change in price, rising from $100 to $150 from Premium 100, and $90 to $125 for Premium 50.
The fee hikes will begin at the Premium 5 plan, rising to $65 from $60, Premium 10 rising to $75 from $70 and Premium 20 at $90, up from $80.
According to Xero managing director Trent Innes, the price change “reflects a rising cost to serve larger employers on a per-employee basis.”
“We believe our pricing remains reasonable in this market,” said Mr Innes.
“Since early 2016, we’ve devoted almost $250 million to research and development including new regulatory compliance such as Single Touch Payroll.
“We don’t adjust prices often, but we do revisit them from time to time to ensure they’re aligned with the value we’re delivering.”
Xero has also announced that chief operating and financial officer Sankar Narayan will leave his position at the end of 2018.
Former PwC partner and current Xero chief accounting officer, Kirsty Godfrey-Billy, will be appointed as chief financial officer as of 1 October 2018.
“Sankar joined Xero at an important phase in Xero’s global journey, and the growth initiatives and operational disciplines he has implemented have been key to delivering excellent results over the past few years. I’d like to thank Sankar for his important contribution to Xero and wish him well in his new endeavours,” said Xero chief executive Steve Vamos.
"Kirsty has played an important role in Xero’s progress by helping to implement strong financial discipline and has demonstrated the capabilities needed to take on the responsibilities of chief financial officer.
“Kirsty will work closely with Sankar to ensure a smooth transition and I look forward to working with her in her new role.”
Jotham Lian is the news editor of Accountants Daily, the leading source of breaking news, analysis and insight for Australian accounting professionals.
Before joining the team in 2017, Jotham wrote for a range of national mastheads including the Sydney Morning Herald, and Channel NewsAsia.