Reckon
Australian accounting software for small businesses and accountants.
About Reckon
Reckon handles the day-to-day accounting needs Australian small businesses actually face: calculating GST, lodging BAS statements directly to the ATO, running Single Touch Payroll, and processing superannuation contributions. It ships in both desktop and cloud versions, which matters for practices whose clients have unreliable internet or strong preferences about where their data sits. Entry-level plans cover invoicing and basic reporting; payroll and STP compliance sit in mid-tier plans. It fits sole traders, small businesses with up to roughly 20 staff, and the accountants and bookkeepers who manage them. If your client base is Australian-only and compliance is the main pain point — BAS, STP, super — Reckon covers that ground without the overhead of configuring a generic international platform like QuickBooks Online or Xero for local requirements. Where it struggles: the integration library is thin compared to Xero's 1,000-plus app ecosystem. Firms running job management tools like ServiceM8 or inventory platforms like Cin7 will hit walls quickly. There is no free tier, so you cannot evaluate it meaningfully before paying. The desktop product also lags the cloud version on feature updates, and the user community is smaller than Xero or MYOB, which shows up in forum support and third-party training resources.
Best for
Australian small businesses needing accounting with ATO compliance and Single Touch Payroll
Key Features
- Single Touch Payroll (STP) compliance
- Automated BAS lodgement to ATO
- Australian tax and GST calculations
- Payroll processing with superannuation
- Multi-currency accounting for Australian businesses
Pros & Cons
Pros
- BAS lodgement connects directly to the ATO portal, no manual export or re-entry required
- Single Touch Payroll Phase 2 compliant, covering salary sacrifice, disaggregated gross, and closely held payees
- Superannuation payments process through SuperStream without leaving the platform
- Both cloud and desktop versions available, useful for clients with offline or data-sovereignty requirements
- GST and Australian tax rules are built into the chart of accounts defaults, reducing setup time for local firms
- Starts at $11 per month, undercutting Xero's entry plan for basic compliance and invoicing needs
- Accountant partner program provides practice management access and client file switching without separate logins
Cons
- No free trial tier — you pay before evaluating whether the payroll module fits your specific award or EBA structure
- Third-party integrations are sparse; firms using inventory, CRM, or job-costing tools will need manual workarounds or CSV exports
- Desktop version receives slower feature updates than the cloud product, creating capability gaps if clients are on different versions
- Smaller user community than MYOB or Xero means fewer independent training courses, YouTube walkthroughs, and community forum answers
- Reporting is functional but basic — practices needing consolidated group reporting or customised management accounts will outgrow it fast
- Migrating data out of Reckon to another platform is not straightforward; file formats require conversion work
Ledger Brief Take
Built specifically for Australian tax and payroll requirements, this fills the gap between generic international platforms and expensive enterprise solutions. The Single Touch Payroll integration and BAS lodgement capabilities target practices handling compliance-heavy small business clients, though the limited third-party integrations may require workarounds for firms with established tech stacks.
Frequently Asked Questions
Common questions accountants ask about Reckon.
How does Reckon pricing work and what does the entry plan actually include?
Plans start at $11 per month for invoicing, expense tracking, and basic GST reporting. Payroll and Single Touch Payroll require a higher-tier plan, typically from around $30 per month. There is no free tier. Pricing is per business entity, not per user seat at entry level.
How does Reckon compare to Xero for Australian small business accounting?
Xero has a far larger app ecosystem and better third-party integrations. Reckon is cheaper at entry level and offers a desktop option Xero does not. For pure ATO compliance — BAS, STP, super — both cover the requirements. Reckon loses on reporting depth, integrations, and community support resources.
Does Reckon handle Single Touch Payroll Phase 2?
Yes. Reckon is STP Phase 2 compliant, covering disaggregated gross income, salary sacrifice reporting, and closely held payees. Employers with complex award structures should test their specific pay categories before committing, as mapping can require manual configuration.
Can I use Reckon if my clients are not based in Australia?
Reckon is built for Australian tax law and ATO lodgement. It includes multi-currency accounting, but the compliance framework is Australia-specific. If you manage clients in New Zealand or elsewhere, use a platform with dedicated local tax engines for those jurisdictions.
Is Reckon's data stored securely and where are the servers located?
Reckon's cloud product stores data on Australian servers. The desktop version keeps data locally on the client's own machine. For practices with data-residency requirements, the desktop option gives direct control. Reckon publishes its security practices on its website but does not hold ISO 27001 certification as of this listing.
Does Reckon integrate with my existing practice management or job management tools?
Reckon integrates with major Australian banks for bank feeds, major super funds via SuperStream, and the ATO directly. Beyond that, the integration list is short. Tools like WorkflowMax, ServiceM8, or Hubdoc are not natively supported and require CSV-based manual imports or third-party connectors.