Employment Hero vs FreeAgent
A head-to-head comparison to help you pick the right tool
Last updated: April 30, 2026
Employment Hero
Employment Hero is an all-in-one HR, payroll, and benefits platform with a strong presence in Australia and New Zealand. It offers a free HR plan alongside paid payroll and benefits modules, making it accessible for businesses at any stage. Employment Hero also operates a job marketplace called Swag for employees.
FreeAgent
FreeAgent is a cloud accounting platform designed specifically for freelancers, contractors, and small businesses in the UK. It offers automatic bank feeds, invoicing, expense management, and self-assessment tax return preparation. FreeAgent is particularly popular with UK freelancers and contractors for its excellent handling of UK tax requirements including Self Assessment and VAT returns.
Pros
- ✓Free HR plan available with core employee management features
- ✓Strong compliance tools for Australian and NZ employment law
- ✓All-in-one platform covering HR, payroll, and benefits
- ✓Employee benefits marketplace with discounts and perks
Cons
- ✗Payroll module costs extra and is best suited for AU/NZ companies
- ✗Limited support and compliance coverage outside Australia and New Zealand
- ✗Some users report the platform can feel complex to navigate
Pros
- ✓Excellent UK tax compliance including Self Assessment and VAT returns
- ✓Designed specifically for freelancers and contractors
- ✓Clean and easy to use interface
- ✓Automatic bank feeds save significant time
Cons
- ✗Primarily suited for UK market — limited value for non-UK businesses
- ✗Less feature-rich than QuickBooks for complex business needs
- ✗Smaller integration ecosystem than larger competitors
- ✗Not suitable for larger businesses with complex accounting needs
Employment Hero vs FreeAgent: Side by Side
| Factor | Employment Hero | FreeAgent |
|---|---|---|
| User Rating | N/A | N/A |
| Category | HR Software | Accounting Software |
| Pricing Model | Freemium | Paid |
| Starting Price | Free | $12/mo |
| Best For | Australian and NZ businesses needing full HR suite | UK freelancers and contractors wanting simple accounting with strong Self Assessment and VAT tools |
| Our Pick | — | — |
Employment Hero Features
- ✓HR management
- ✓payroll
- ✓benefits
- ✓recruitment
- ✓learning
- ✓employee engagement
FreeAgent Features
- ✓Invoicing
- ✓expense management
- ✓bank feeds
- ✓time tracking
- ✓project management
- ✓self-assessment tax returns
- ✓VAT returns
- ✓payroll
- ✓financial reporting
- ✓mobile app
Pricing Comparison
Our Take
Choose Employment Hero if australian and nz businesses needing full hr suite. Choose FreeAgent if uk freelancers and contractors wanting simple accounting with strong self assessment and vat tools.
Best For
Australian and NZ businesses needing full HR suite
Best For
UK freelancers and contractors wanting simple accounting with strong Self Assessment and VAT tools
Also Consider
If neither Employment Hero nor FreeAgent is the right fit, Justworks is worth evaluating.
Justworks
Small businesses wanting Fortune 500 benefits
From $59/employee/mo
Frequently Asked Questions
What is the difference between Employment Hero and FreeAgent?
Employment Hero is best for australian and nz businesses needing full hr suite. FreeAgent is best for uk freelancers and contractors wanting simple accounting with strong self assessment and vat tools.
Which is better, Employment Hero or FreeAgent?
Choose Employment Hero if australian and nz businesses needing full hr suite. Choose FreeAgent if uk freelancers and contractors wanting simple accounting with strong self assessment and vat tools.
How much does Employment Hero cost?
Employment Hero starts at Free. Pricing model: Freemium.
How much does FreeAgent cost?
FreeAgent starts at $12/mo. Pricing model: Paid.
Who should use Employment Hero?
Australian and NZ businesses needing full HR suite
Who should use FreeAgent?
UK freelancers and contractors wanting simple accounting with strong Self Assessment and VAT tools