Software Tips - Xero

Software Tips - Xero

Last week our Business Services Manager, Kate Jones, shared her experiences of Xero Online Accounting Software. From this video, and our past articles, the benefits of Xero Online Accounting Software are clear.

This week we want to take a deep dive into Xero and share with you our top tips to ensure that users are obtaining the most out of Xero.

  1. Customise the dashboard so the information you want to see is readily available. The dashboard displays all the most important financial information, including money coming in and going out, invoices owed to you and bills you need to pay. You can also set up a ‘watch list’ of accounts you want to keep an eye on and enable a VAT update, so you know exactly when your next return is due.
  2. Activate bank feeds for all bank accounts including credit cards. Live bank feeds connect directly to your bank to automatically download bank transactions on a daily basis.
  3. Set up bank rules for all recurring non-ledger items. Bank rules allow you to set up specific rules for any non-ledger transactions, such as bank fees or salary payments, so Xero can automatically create the relevant accounting entry for you.
  4. Send all sales invoices direct to customers from Xero. When sending invoices direct, as a link and not a PDF, you can see when your customer has received and opened the invoice.
  5. Turn on automatic invoice reminders to remind customers of invoices before they fall due.
  6. Enable the Pay Now button to appear on sales invoices. The Pay Now button will give customers a quick and easy way to pay and is available with PayPal, GoCardless and Stripe to name a few.
  7. Confirm your settings. The optimum automation is achieved when you can rely on the information contained within Xero. Be sure to check that all contact information is up to date, all default tax rates are correct and all default account codes are still relevant. It is also good practise to check your Xero users every once in a while.
  8. Review your settings and processes annually, at least. Cloud accounting software is constantly updating and new features are released on a regular basis. You need to make sure you are making the most of new features as and when they become available. There is no better way to do this than having a review of your settings and processes each year.

These top tips focus on Xero Online Accounting Software itself. As we know, Xero can be connected to other apps to create a fully connected accounting system. Watch our videos for a recap of our Top Digital Tools and Top Real Time Tools and, for more information on what can be achieved, you can visit our guides here.

In the coming weeks we will be sharing our top tips on getting the most out of Sage Business Cloud and Sage 50.

In the meantime, if you would like a review of your processes or would like to chat through how we can help you with your cloud accounting needs then please get in touch:

Sarah Smith
Digital Services Manager
direct dial: 01942 292527