Comparison

Hour Cap vs Kimai

Kimai is an open-source, self-hosted time tracker with local invoicing. Hour Cap is a managed SaaS that pushes invoices directly to Xero. The difference shows up the moment you bill a client through Xero.

Side-by-side comparison

Both tools track time and generate invoices. The difference is what happens after the invoice is created.

Feature Hour Cap Kimai
Xero integration Native, full workflow
Invoice delivery Push to Xero Download PDF/DOCX
Hosting Managed SaaS Self-hosted or cloud
Invoice grouping Entry, project, date, member Template-based
Xero tracking categories 3-level cascade
Retainer management Dedicated retainers Plugin required
Timesheet approvals Full workflow Free plugin
Open source
Setup required Sign up and go Server, PHP, MySQL
Key difference

Invoices in Xero, not on your hard drive

Kimai generates invoices as downloadable files (PDF, DOCX, XLSX). You then need to manually upload or recreate them in Xero. There is no connection between the two systems, so invoice status, payments, and contact data are all managed separately.

Hour Cap creates invoices directly in Xero as drafts for review. Line items, tracking categories, account codes, and tax rates are all set before the invoice lands in Xero. No manual re-entry required.

Hour Cap workflow
1. Select time entries In Hour Cap
2. Configure grouping In Hour Cap
3. Invoice created Directly in Xero
Kimai workflow
1. Generate invoice in Kimai
2. Download PDF/DOCX file
3. Manually recreate in Xero
No connection between systems
Hour Cap
Setup Sign up, start tracking
Hosting Fully managed
Updates Automatic
Kimai (self-hosted)
Requires PHP 8.2+, MySQL/MariaDB, web server, SSL
Manual backups, security patches, updates
Cloud option available from €2.99/user/mo
Key difference

Managed SaaS vs self-hosted

Self-hosting Kimai means managing your own server, database, backups, SSL certificates, and security patches. Updates are a manual process via Git. Plugins for features like recurring budgets and expense tracking are paid add-ons.

Hour Cap is fully managed. Sign up, connect Xero, and start tracking. Updates happen automatically, and features like retainers, approvals, and activity logging are built in.

Hour Cap also bills fixed-fee projects at the agreed remaining balance and fixed-fee retainers at a fee per started period. Logged time measures delivery effort against the budget; it is not added to those fees as another hourly charge. The four time-entry grouping modes apply to hourly billing, while fixed fees use a project or period line.

What Kimai is built for

Kimai does things Hour Cap doesn't.

Open source and self-hosted

Kimai is fully open source (AGPL-3.0 license). You can host it on your own infrastructure for complete data sovereignty and audit the code yourself.

European e-invoicing

Kimai supports ZUGFeRD, XRechnung, and Factur-X formats via a plugin, which is important for businesses that need to comply with EU e-invoicing regulations.

Extensive plugin system

Kimai has a large plugin ecosystem covering kiosk mode, LDAP/SAML authentication, custom fields, expense tracking, and HR features like vacation and overtime management.

Pricing at a glance

Hour Cap

Built for Xero
Free (1 user) $0 forever
Team (2 users + Xero, annual) $10/mo
Business (4 users + approvals, annual) $30/mo
Xero integration Included

Prices in USD, per month billed annually. Monthly billing: Team $12 for two users, Business $36 for four; extra users $6 on Team or $9 on Business. Xero and retainers require Team or above; approvals and activity logging require Business.

Kimai

Self-hosted (open source) €0
Cloud Standard €2.99/user/mo
Cloud Professional €3.99/user/mo
Xero integration Not available

Prices in EUR (annual). Plugins for budgets, expenses, etc. cost extra. Confirmed mid-2026, re-check current details.

Kimai's self-hosted option is free, but features like recurring budgets, expense tracking, and audit logs are paid plugins (recurring budgets alone is €149/year). And there is still no Xero integration.
Hour Cap Team includes retainers and Xero invoicing from $10/month billed annually ($12 billed monthly). Business adds approvals and activity logging from $30/month billed annually ($36 billed monthly).

Ready to switch?

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Common questions

Does Kimai integrate with Xero?

Kimai can generate invoices itself but does not natively push them into Xero. Hour Cap pushes draft invoices straight into Xero, where you review them before sending.

Is Kimai free?

Kimai is open source (AGPL-3.0) and free to self-host. Its managed cloud is around EUR 2.99 to EUR 3.99 per user per month (confirmed mid-2026), and some features such as recurring budgets are paid plugins. Hour Cap is fully hosted, with a free plan and a $10 per month billed annually ($12 billed monthly) Team plan. Re-check current vendor pricing before relying on these figures.

Kimai or Hour Cap?

If you want to self-host and customise, Kimai is appealing. If you want a managed tool that turns tracked time into Xero draft invoices, with retainers and approvals built in, Hour Cap is the better fit.

Do I need technical skills to run Kimai?

Self-hosting Kimai means running and maintaining your own server, PHP and database. Hour Cap is fully managed, so there is nothing to host, secure or update.

Comparison note: competitor features and pricing were researched on a best-effort basis in June 2026 and can change at any time. We aim to be accurate and fair, but details may be out of date, so always confirm the latest information on the vendor's own website before making a decision. Hour Cap capabilities on these comparison pages were reviewed on 6 September 2026. Plan requirements apply; prices shown as annual equivalents require annual billing.