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A guide to employee onboarding software for the UK

Onboarding software uses tools and automations to lighten the admin of setting up new employees. When growing your team can bring complexities, it lets you focus on people, not paperwork. Xero gives you an accounting foundation before you connect third-party HR apps for an all-in-one system.

Woman onboarding to Xero Payroll on a laptop at home

Onboarding software helps with compliance

The more people you hire, the faster you become entangled in admin. Here’s how onboarding software keeps life simple.

  • Tick

    Easier compliance

    Check a candidate’s right to work, follow GDPR rules, and simplify important jobs like pension enrolment.

  • Tick

    A smooth, time-saving system

    Streamline your onboarding workflows to save hours and minimise any mistakes.

  • Tick

    A good experience for new hires

    Welcome people with an easy onboarding process and an employee portal where they can do things like request holidays.

Onboarding software works for you

Forget the rigid systems. Good onboarding software gives you a set of tools and processes that suit your business. Organise jobs how they work best, from your finance director automating pension enrolments to your employees entering their personal details.

  • Included
    Your financial data from apps syncs with your Xero organisation to create a single set of accounting records
  • Included
    Your HR data – like signed contracts and right-to-work records – is stored in the connected apps
  • Included
    Apps like Onfolk handle onboarding, time off, and more – and sends journals to Xero for your payroll
Find onboarding apps in the Xero App Store
A document with a new employee's details on it

Why UK businesses need onboarding software

Onboarding software helps you follow the rules. For example, it can support your compliance with GDPR and make it easier to check an employee’s right to work in the UK. The software can also power your growing business – giving you a slick digital process and online collaboration for remote workers.

  • Included
    Assess, enrol, and manage your team’s pension contributions with Xero Payroll
  • Included
    Automatically generate paperwork including P45 and P60 forms
  • Included
    90% of UK customers agree Xero helps them stay compliant
  • Included
    Apps like HR Partner help with onboarding and info collection, document sharing, and recruitment tracking
Here’s HMRC info on running payroll
Three people at a desk with laptops

What to look for in onboarding software

Must-have features include automated workflows and task management, compliance tracking and digital audit trails, an employee self-service portal like Xero Me, and integrated tax and payroll setup (with RTI submissions to HMRC). Nice-to-haves include mobile access and reporting dashboards.

Xero dashboard product screenshot

Xero Me: your employee self-service portal

Want to empower your employees? Whether they’re new hires or experienced team members, they can use the Xero Me app to access their personal details and timesheets. That’s more control for them and less admin for you!

  • Included
    Employees can use the Xero Me app on their mobile or tablet
  • Included
    They can fill in and submit timesheets, request holidays, update payroll details, and more
  • Included
    Their timesheet and other data flows straight into your Xero records
Here’s more on Xero Me
A tablet showing a customer's personal data collected in line with GDPR guidelines

Plans for growing businesses

Ignite

£1.80 per month excl. VAT

for the first 6 months

Then £18 per month

An easy financial foundation - track cash flow with the essentials.

  • Included
    Send quotes and 20 invoices†
  • Included
    Accept online invoice payments^
  • Included
    MTD for Income Tax ready
  • Included
    Reconcile transactions
  • Included
    Smart document capture
  • Included
    View real-time reports
  • Included
    Enter 10 bills
  • Included
    Submit VAT returns to HMRC
  • Included
    Automate subcontractor CIS calculations and reports
  • Included
    Make online bill and payroll payments (domestic) for £0.20 per payment††
  • Included
    Payroll for £1.50 per person
  • Included
    30 day cash flow forecast
  • Included
    Visualise performance with basic graphs
  • Included
    Company accounts and tax (optional £120 excl. Vat billed annually)

Grow

£3.90 per month excl. VAT

for the first 6 months

Then £39 per month

Go beyond the basics - automate tasks and access performance dashboards.

  • Included
    Send invoices and quotes
  • Included
    Accept online invoice payments^
  • Included
    MTD for Income Tax ready
  • Included
    Reconcile transactions
  • Included
    Smart document capture
  • Included
    View real-time reports
  • Included
    Automate bill entry and track bills
  • Included
    Submit VAT returns to HMRC
  • Included
    Automate subcontractor CIS calculations and reports
  • Included
    Make online bill and payroll payments (domestic) for up to 5 payments
  • Included
    Payroll for 1 person
  • Included
    60 day cash flow forecast
  • Included
    Visualise performance with graphs
  • Included
    Customise performance dashboards
  • Included
    Claim expenses and mileage for 1 user
  • Included
    Company accounts and tax (optional £120 excl. Vat billed annually)

Comprehensive

£5.50 per month excl. VAT

for the first 6 months

Then £55 per month

Optimise profitability - tailor your insights for greater control.

  • Included
    Send invoices and quotes
  • Included
    Accept online invoice payments^
  • Included
    MTD for Income Tax ready
  • Included
    Reconcile transactions
  • Included
    Smart document capture
  • Included
    View real-time reports
  • Included
    Automate bill entry and track bills
  • Included
    Submit VAT returns to HMRC
  • Included
    Automate subcontractor CIS calculations and reports
  • Included
    Make online bill and payroll payments (domestic) for up to 10 payments
  • Included
    Payroll for 5 people
  • Included
    90 day cash flow forecast
  • Included
    Visualise performance with graphs
  • Included
    Customise performance dashboards
  • Included
    Claim expenses and mileage for 5 users
  • Included
    Use multiple currencies
  • Included
    Tailored financial health scorecards
  • Included
    Make online bill payments (International) - Optional add-on
  • Included
    Company accounts and tax (optional £120 excl. Vat billed annually)
  • Included
    Budget with smart suggestions

Ultimate

£7 per month excl. VAT

for the first 6 months

Then £70 per month

Future proof your scaling business - with advanced tools and analytics.

  • Included
    Send invoices and quotes
  • Included
    Accept online invoice payments^
  • Included
    MTD for Income Tax ready
  • Included
    Reconcile transactions
  • Included
    Smart document capture
  • Included
    View real-time reports
  • Included
    Automate bill entry and track bills
  • Included
    Submit VAT returns to HMRC
  • Included
    Automate subcontractor CIS calculations and reports
  • Included
    Make online bill and payroll payments (domestic) for up to 15 payments
  • Included
    Payroll for 10 people
  • Included
    180 day cash flow forecast
  • Included
    Visualise performance with graphs
  • Included
    Customise performance dashboards
  • Included
    Claim expenses and mileage for 10 users
  • Included
    Use multiple currencies
  • Included
    Tailored financial health scorecards
  • Included
    Make online bill payments (International) - Optional add-on
  • Included
    Track time and costs for projects for 10 users
  • Included
    Analyse KPIs and ratios
  • Included
    Benchmark against the industry
  • Included
    Company accounts and tax (optional £120 excl. Vat billed annually)
  • Included
    Budget with smart suggestions

Not VAT registered? See plans for simpler business needs.View plans

How to choose the right onboarding software

There’s no rush – after finding the best software, you’ll save plenty of time and stress later on!

1. Decide your needs

Growing your team? What are your industry-specific needs?

2. Compare features

Check available apps, easy of use, and that the software meets UK compliance rules.

3. Consider setup and support

Is setup easy? Look for a 24/7 support team.

4. Know the total cost

Look for hidden costs, like per-user charges.

Here are Xero’s pricing plans
An interview between employer and potential hire

Why choose Xero for your onboarding

When expanding your team comes with anxieties, Xero gives you confidence in your financial admin. Easily set up employees for payroll and auto enrol them in pension schemes. Let them access the Xero Me app so they can control their timesheets and info. And keep your records in one organised system!

  • Included
    Breeze through pay days with automated tax calculations, P45 and P60 generation, and RTI submissions to HMRC
  • Included
    Invite new hires to use the Xero Me app on their phone or tablet
  • Included
    Add unlimited Xero users at no extra cost
  • Included
    Choose from over 1000 apps – including for HR and onboarding – to customise the software to your needs
Check out Xero Payroll
Xero Payroll product feature image

FAQs on employee onboarding software, UK

New-hire onboarding software speeds up the process of hiring staff with digital tools and automations. For example, you can check an employee’s right to work in the UK and more easily comply with GDPR rules.

Xero accounting software does this by connecting with specialist HR and employee onboarding apps. All the data syncs between apps and Xero, so your financial records stay up to date.

New-hire onboarding software speeds up the process of hiring staff with digital tools and automations. For example, you can check an employee’s right to work in the UK and more easily comply with GDPR rules.

Xero accounting software does this by connecting with specialist HR and employee onboarding apps. All the data syncs between apps and Xero, so your financial records stay up to date.

Typically, employee onboarding platforms cost £3–8 per employee every month for businesses of 1–50 people. There may be hidden costs, too.

Xero has a clear pricing structure with no hidden costs – and you can add unlimited users for free. You pay extra for the third-party apps.

Check out Xero’s pricing plans

Typically, employee onboarding platforms cost £3–8 per employee every month for businesses of 1–50 people. There may be hidden costs, too.

Xero has a clear pricing structure with no hidden costs – and you can add unlimited users for free. You pay extra for the third-party apps.

Check out Xero’s pricing plans

Most likely. All UK businesses must comply with HMRC tax requirements and, as Making Tax Digital rolls out, this will mean using suitable software. More generally, even small businesses can benefit from onboarding software that replaces manual work with smooth digital systems.

Xero is HMRC-recognised and intuitively designed – 80% of small businesses say Xero Payroll is easier than what they used before.

Most likely. All UK businesses must comply with HMRC tax requirements and, as Making Tax Digital rolls out, this will mean using suitable software. More generally, even small businesses can benefit from onboarding software that replaces manual work with smooth digital systems.

Xero is HMRC-recognised and intuitively designed – 80% of small businesses say Xero Payroll is easier than what they used before.

Your onboarding software should help you comply with:

1. Right to Work checks

2. GDPR

3. Pension auto enrolment

4. Payroll and tax reporting

Xero connects with third-party apps that help you with this list. Your data then syncs across the apps and software.

Here’s HMRC info on Right to Work checks

Your onboarding software should help you comply with:

1. Right to Work checks

2. GDPR

3. Pension auto enrolment

4. Payroll and tax reporting

Xero connects with third-party apps that help you with this list. Your data then syncs across the apps and software.

Here’s HMRC info on Right to Work checks

An HRIS (human resources information system) is software that focuses on core HR tasks like onboarding and payroll.

Onboarding software can manage a wider range of tasks, including HR, payroll, and financial admin like tax reporting.

An HRIS (human resources information system) is software that focuses on core HR tasks like onboarding and payroll.

Onboarding software can manage a wider range of tasks, including HR, payroll, and financial admin like tax reporting.

It depends on the size and complexity of your business but Xero gives you support to get started, including a 1:1 conversation with a Xero Coach on things like connecting HR apps and running payroll, for instance. Customer confidence increases by 45% after an onboarding call.

It depends on the size and complexity of your business but Xero gives you support to get started, including a 1:1 conversation with a Xero Coach on things like connecting HR apps and running payroll, for instance. Customer confidence increases by 45% after an onboarding call.

It depends on the features you need for your small business. For example:

- Deel is useful if you have an international team and want help with onboarding

- Onfolk is another option that brings together HR and payroll

Find HR apps in the Xero App Store

It depends on the features you need for your small business. For example:

- Deel is useful if you have an international team and want help with onboarding

- Onfolk is another option that brings together HR and payroll

Find HR apps in the Xero App Store

Handy business guides from Xero

Thinking of growing your team? Here are some helpful resources.

How to set up your payroll

Stay on top of your payroll duties and follow HMRC rules.

Check out the payroll compliance guide

How to hire employees

Things to keep in mind when you’re growing your team.

Here’s the hiring guide

Employee retention strategy

Keep your top talent and build a stronger team.

Read the retention guide

Get one month free

Get started with Xero today.

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