Back to Resource Center
Accounting

Best PSG-Approved AI Accounting Software for Singapore SMEs (2026)

Transform your business with the best PSG-approved AI accounting software for Singapore SMEs in 2026. Leverage government grants and tax incentives to automate tasks, gain real-time insights, and drive growth.

22 January 20268 min read

Best PSG-Approved AI Accounting Software for Singapore SMEs (2026)

Singapore's small and medium-sized enterprises (SMEs) are increasingly turning to artificial intelligence to streamline their financial operations. With the Productivity Solutions Grant (PSG) offering up to 50% funding support and the Enterprise Innovation Scheme (EIS) providing a 400% tax deduction, there has never been a better time to adopt PSG approved AI accounting software in Singapore for 2026. This comprehensive guide reviews the top solutions available and shows you how to maximise your savings.

Why AI Accounting Software Matters for Singapore SMEs

Traditional accounting processes are time-consuming, error-prone, and expensive. AI-powered accounting software automates repetitive tasks like invoice processing, bank reconciliation, and GST filing, freeing up your team to focus on strategic decision-making. For businesses seeking accounting automation for businesses in Jurong East and across Singapore, these tools represent a significant productivity leap.

The key benefits include automated GST calculations and IRAS-compliant reporting, real-time cash flow visibility across multiple entities, AI-powered expense categorisation that learns from your patterns, and seamless integration with Singapore banking systems for automatic bank feeds.

Top PSG-Approved AI Accounting Solutions

1. Xero with AI Add-ons

Xero remains one of the most popular cloud accounting platforms in Singapore. Its AI capabilities include smart invoice matching, automated bank reconciliation, and predictive cash flow forecasting. As a PSG pre-approved solution, SMEs can claim up to 50% funding support.

2. QuickBooks Online

QuickBooks Online offers robust AI features including automated receipt scanning, intelligent expense categorisation, and GST-ready reporting. The platform is particularly well-suited for AI bookkeeping for Tanjong Pagar startups looking for an affordable entry point into automated accounting.

3. Volopay

Volopay combines corporate card management with AI-powered expense tracking. Its machine learning algorithms automatically categorise expenses, detect anomalies, and generate real-time spending reports. The platform integrates seamlessly with existing accounting software.

4. Hashy AI

Hashy AI is a Singapore-developed solution that uses artificial intelligence to automate bookkeeping, invoice processing, and financial reporting. Its deep understanding of Singapore's regulatory environment makes it particularly effective for local compliance.

5. AutoCount

AutoCount offers comprehensive accounting with AI-enhanced features including automated data entry, intelligent reporting, and multi-currency support. It is PSG pre-approved and widely used by Singapore SMEs.

Comparison Table: AI Accounting Software at a Glance

SoftwarePSG ApprovedAI FeaturesStarting PriceBest For
XeroYesSmart matching, cash flow forecastingS$35/monthGrowing SMEs
QuickBooksYesReceipt scanning, auto-categorisationS$28/monthStartups
VolopayYesExpense AI, anomaly detectionCustom pricingMulti-entity firms
Hashy AIYesFull automation, SG complianceS$49/monthLocal compliance focus
AutoCountYesAuto data entry, smart reportsS$30/monthTraditional businesses

Case Study: F&B Chain in Jurong East Saves S$17,700

To demonstrate the financial impact of adopting PSG approved AI accounting software Singapore 2026, consider this hypothetical case study of a food and beverage chain operating five outlets in Jurong East.

The Challenge

The F&B chain was spending over 40 hours per month on manual bookkeeping across its five outlets. Each outlet generated hundreds of transactions daily, and consolidating financial data was a nightmare. The finance team of three was overwhelmed, and month-end closing took over two weeks.

The Solution

The business adopted an AI-powered accounting platform at a total cost of S$15,000 for the annual enterprise license covering all five outlets.

The Financial Impact

DescriptionAmount
Total Software CostS$15,000
PSG Grant (50%)-S$7,500
Out-of-Pocket CostS$7,500
EIS 400% Deduction (S$7,500 x 4)S$30,000
Tax Savings (17% of S$30,000)-S$5,100
Effective Net CostS$2,400
Total Savings (PSG + EIS)S$12,600
Beyond the direct financial savings, the chain reported a 75% reduction in bookkeeping time, from 40 hours to just 10 hours per month. Month-end closing was reduced from two weeks to three days, and the AI system caught several duplicate payments that would have gone unnoticed.

How to Apply for PSG Funding

The application process is straightforward. First, select a pre-approved solution from the GoBusiness Gov Assist portal. Then, obtain a quotation from the vendor and submit your application through the Business Grants Portal (BGP) using your Corppass. Remember that you must apply before making any payment to the vendor, as retrospective applications are not accepted.

Maximising Savings with the EIS

After securing your PSG grant, you can further reduce costs through the Enterprise Innovation Scheme. The EIS allows a 400% tax deduction on up to S$50,000 of qualifying AI expenditure per Year of Assessment (YA 2025-2028). This means your remaining out-of-pocket cost after the PSG grant can generate significant additional tax savings.

Conclusion: Start Your AI Accounting Journey Today

The combination of PSG approved AI accounting software Singapore 2026 incentives and the EIS tax deduction makes this the most affordable time to modernise your accounting operations. Whether you are a startup in Tanjong Pagar or an established F&B chain in Jurong East, there is an AI accounting solution that fits your needs and budget.

Ready to find the right solution? Visit SGAI Finder to browse our curated directory of PSG-approved AI accounting tools and calculate your potential savings.

References

[1] Enterprise Singapore. (2026). Productivity Solutions Grant (PSG). Retrieved from https://www.enterprisesg.gov.sg/financial-support/productivity-solutions-grant

[2] Inland Revenue Authority of Singapore. (2026). Enterprise Innovation Scheme (EIS). Retrieved from https://www.iras.gov.sg/schemes/disbursement-schemes/enterprise-innovation-scheme-(eis)

[3] GoBusiness. (2026). IT Solutions and Equipment List. Retrieved from https://www.gobusiness.gov.sg/it-solutions-and-equipment-list/

Frequently Asked Questions

Can I apply for both the PSG and EIS for the same accounting software?

Yes, you can. The PSG grant reduces the initial cash outlay for the software, and the remaining amount, along with the grant amount, can be claimed as a qualifying expenditure under the EIS for a 400% tax deduction.

Are all AI accounting software pre-approved for the PSG?

No, only solutions that have been reviewed and approved by Enterprise Singapore are listed on the GoBusiness Gov Assist portal. It is essential to choose a software from this list to be eligible for the PSG.

How long does the PSG application process take?

According to Enterprise Singapore, each complete application usually takes about 6 weeks to process. You can track the status of your application on the Business Grants Portal.

What happens if I purchase the software before my PSG application is approved?

Retrospective applications are not supported. You must not have made any payment or deposit to the vendor before your grant application is submitted. Doing so will render your application ineligible.

Is the EIS cash payout option better than the tax deduction?

This depends on your company's financial situation. The cash payout option is designed to help small, growing businesses with their cash flow. However, if your company is profitable, the 400% tax deduction will likely result in greater overall savings.

Related Articles

Accounting

Top AI Expense Management Tools for Singapore SMEs (2026 Review)

Read article