Xero
Xero Compensation & Benefits
Frequently Asked Questions
Xero takes a market-based approach to compensation, combining competitive salaries, performance incentives and equity with regular benchmarking against global technology companies. The company states that its remuneration philosophy is designed to attract, retain and reward talent while aligning employee rewards with individual performance, company success and long-term value creation.
- Market benchmarking: Xero regularly benchmarks compensation against comparable technology companies to help ensure pay remains competitive. Because it competes for talent globally, particularly in the SaaS industry, the company compares compensation with peer technology companies in both the U.S. and Australia. Xero reviews these peer groups annually to ensure they continue to reflect the company's size, geographic footprint, stage of growth and talent market. The company notes that compensation decisions consider an employee's performance, the scope and criticality of their role, and their location.
- Performance-based incentives: Xero links a portion of compensation to performance through short- and long-term incentive plans. Annual incentives recognize both company and individual performance, while long-term equity rewards are designed to encourage sustained business growth and align employees with long-term company performance. The company also maintains governance practices such as Board oversight, malus provisions (reducing unvested awards when appropriate), clawback provisions (recovering incentive compensation in certain circumstances), and performance-based vesting for incentive programs help align rewards with long-term performance.
- Employee ownership: Eligible employees can participate in Xero's Employee Share Plan, giving them the opportunity to become shareholders and share in the company's long-term success. By extending equity broadly across the organization, Xero encourages an ownership mindset while aligning employees with the company's future growth.
- Strong governance and regular review: Xero's People and Remuneration Committee oversees remuneration policies, incentive plans and material employee benefits while using external market data and independent advisers to help inform compensation decisions. The committee also reviews remuneration frameworks to ensure they remain aligned with Xero's strategy, purpose and talent needs.
- Employee perspectives: Employees frequently describe Xero's overall compensation and benefits package as competitive, with reviewers highlighting the combination of salary, equity, flexibility and wellbeing benefits as contributing to a strong total rewards experience.
- External signals:
- Top compensation ratings: Employees Xero an A+ Compensation rating, placing the company among the Top 5% of similarly sized companies for employee satisfaction with pay and total rewards. (Comparably)
- Positive employee sentiment: Employees frequently cite competitive pay, equity opportunities and comprehensive benefits as strengths of Xero's employee value proposition. (Indeed; Glassdoor)
Bottom line: Xero seeks to keep compensation competitive through ongoing market benchmarking, performance-based incentives, equity participation and regular governance oversight. Rather than relying on salary alone, the company combines cash compensation, long-term ownership opportunities and comprehensive benefits into a total rewards strategy designed to attract and retain talent.
Xero's Candidate Tradeoffs
If you’re weighing whether Xero is the right fit, these are the core tradeoffs to consider.
- Xero offers equity so employees share directly in long-term company growth and wealth creation, but returns scale with overall company success.
Xero Employee Perspectives
Xero's total rewards package extends beyond traditional compensation by offering flexible work benefits that help employees balance their professional and personal lives. Through its flexible working policy, hybrid work options and the ability to work from anywhere for up to 90 days, the company provides employees with greater autonomy while supporting collaboration across teams, time zones and regions.
“Xero’s flexible working policy gives us the best of all worlds and allows employees to balance their work and personal life and choose where, when and how they work, including the ability to collaborate in person or do focus work at home. Flexible/hybrid work helps us maintain inclusive and diverse practices respective of time zones, regions and cultures. To acknowledge the travel that our teams seek and life requires, Xeros can work from anywhere for up to 90 days.”
Xero’s benefits extend beyond traditional healthcare by offering employees flexible wellness reimbursements that support a wide range of healthy lifestyles. Through its Thrivepass program, employees can use wellness stipends toward activities, memberships and equipment that align with their individual interests and well-being goals.
“Through our Thrivepass account, Xero reimburses employees for almost anything that falls under the health and wellness category. I most recently used my Thrivepass stipend to pay for half of my ski pass this year. Whether you’re an Orange Theory enthusiast or a mountain climber who needs new climbing gear, Thrivepass is a great perk.”
What People Are Saying About Xero
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Leave & Time Off Breadth: U.S. materials cite about 21 days PTO, 10 wellbeing days, five Xtra days, a volunteer day, and 12 paid holidays, plus an end‑of‑year shutdown. Company descriptions position this package toward the upper tier among midsize/large tech employers in the U.S. market.
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Parental & Family Support: Primary caregivers are described as eligible for up to 26 weeks of fully paid parental leave, with partner leave in some markets. Family‑forming support via Carrot and access to Modern Health for employees and immediate family reinforce depth in this area.
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Wellbeing & Lifestyle Benefits: Access to Modern Health, a funded ThrivePass wellbeing account (U.S.), and flexible/hybrid work are emphasized as part of a broader wellbeing strategy alongside ERGs and “Boost Day” events. Feedback suggests these programs contribute meaningfully to work‑life balance.
Xero's Benefits
Geographic pay differences are clearly defined and explained
Offers company equity
All Xero employees are granted Restricted Stock Units at a certain percentage of their base salary which vests over a 3 year period
Offers competitive compensation and rewards package
Promotion-related pay increases clearly defined
Offers generous parental leave
26 weeks paid parental leave.
Provides a post-parental leave return-to-work program
Provides adoption assistance
We partner with Carrot for fertility and adoption assistance.
Provides family medical leave
Provides fertility benefits
Offers dental insurance
Cigna dental PPO plan
Offers Flexible Spending Account (FSA)
Xero allows employees to set aside pre-tax dollars for medical and dependent care expenses. $2,650 annual limit for healthcare FSA
Offers health insurance
Xero offers a variety of health plans including Cigna HSA, Cigna PPO, and Kaiser HMO for Colorado and California employees
Offers immediate health care coverage on employee start date
Offers mental health benefits
Concern EAP benefits for all employees
Offers pet insurance
Offers vision insurance
VSP vision plan
Offers 401(K)
Offers disability insurance
Xero's long and short term disability plans provide income protection at 60% of annual base salary
Offers life insurance
Provided to Xero employees at no cost. Coverage for each employee of 2x annual base salary up to $500,000
Offers supplemental life insurance
Provides 401(K) matching
Xero will match 100% on the first 3% contributions plus 50% match on next 2% of contributions
Provides free access to retirement planning tools
