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Learning Xero

Book Description

Learn to use Xero to make bookkeeping tasks simple and gain valuable business insights effortlessly

About This Book

  • Explore the process of setting up and using Xero

  • Concise step-by-step instructions to teach you best practice bookkeeping

  • Discover performance enhancing add-ons to reduce your daily work

  • Who This Book Is For

    Intended for those who want to learn how to use Xero to get better insights from their business data and learn the best practices of bookkeeping using Xero. Perhaps you have never used Xero, or perhaps you want to migrate from an existing accounting application to Xero. In either case, this book will get you up and running quickly. It would be useful to have a bit of familiarity with basic bookkeeping concepts, but no prior experience of Xero is required.

    What You Will Learn

  • Configure Xero from scratch and fine-tune it ready for use

  • Set up bank feeds and automate the bank reconciliation process

  • Create workflows and segregation of duties for sales and purchases

  • Run payrolls, giving employees the ability to request time off and generate their own payslips

  • Produce reports to gain a better understanding of your business data and make better quality decisions

  • Import and export data ready for analysis

  • Use the power of a mobile device to run your business from the palm of your hand

  • Manage your inventory with fully automated transaction processing

  • In Detail

    The book begins by tackling the initial set up of Xero to ensure optimum configuration for success. From there, the next logical step is to set up the automated bank feeds, which is the best innovation in bookkeeping in years. Now that your bank data is ready for importing, we will tackle the most common transactional items, being sales invoices and purchase bills. Despite these being largely transactional, we will work through ways to automate the process where possible, save time, and avoid potential human errors along the way. Then we will start checking reports and analyze what is working or not and make changes to workflows and setups. The end result is that you will have a fully configured system ready to use and years of experience offering best practice solutions to what have been, for years, unnecessary roadblocks in your business.

    Style and approach

    This book contains easy-to-follow, step-by-step examples, explaining from start to finish how to set up and use Xero while implementing best practices of bookkeeping.

    Downloading the example code for this book. You can download the example code files for all Packt books you have purchased from your account at http://www.PacktPub.com. If you purchased this book elsewhere, you can visit http://www.PacktPub.com/support and register to have the code file.

    Table of Contents

    1. Learning Xero
      1. Learning Xero
      2. Credits
      3. Foreword
      4. About the Author
      5. About the Reviewer
      6. www.PacktPub.com
        1. Why subscribe?
        2. Free access for Packt account holders
      7. Preface
        1. What this book covers
        2. What you need for this book
        3. Who this book is for
        4. Conventions
        5. Reader feedback
        6. Customer support
          1. Downloading the color images of this book 
          2. Errata
          3. Piracy
          4. Questions
      8. 1. Setting Up Xero for Success
        1. Initial configuration
        2. Setup Guide
        3. Organization Settings
        4. Financial Settings
          1. Financial Year End
          2. VAT
        5. Invoice Settings
        6. Invite users
          1. Permission levels
          2. Edit permission levels
        7. Currencies
        8. Chart of Accounts
          1. Xero default Chart of Accounts
          2. Add/edit account
          3. Add a bank account
          4. Change tax rate
          5. Import Chart of Accounts
        9. Account balances
          1. Conversion balances
            1. Process
          2. Import invoices
          3. Comparative balances
        10. Summary
      9. 2. Breaking the Bank
        1. Bank overview
          1. Dashboard
          2. Bank feeds
          3. Refresh feed
          4. Import statements
          5. Petty cash
          6. Loan account
        2. Credit cards
          1. Add a card
          2. Common issues
        3. PayPal
          1. Add a feed
        4. Bank rules
          1. Add bank rules
          2. Edit bank rules
          3. Re-order bank rules
        5. Bank reconciliation
          1. Auto Suggest
          2. Find & Match
          3. Create
          4. Bank transfers
          5. Discuss and comments
          6. Reconciliation Report
          7. Manual reconciliation
        6. Common errors and corrections
          1. Account not reconciling
          2. Duplicated statement lines
          3. Missing statement lines
          4. Remove & Redo
          5. Manually marked as reconciled
          6. Understanding reports
        7. Summary
      10. 3. Using Xero to Excel at Sales
        1. Dashboard
          1. Adding a contact
          2. Importing contacts
          3. Generating an invoice – standard
          4. Inventory items
          5. Generating an invoice – repeating
          6. Editing invoices
          7. Groups
          8. E-mail
          9. Xero Network Key
          10. Number sequence
          11. Importing
        2. Invoice branding
          1. Defaults
          2. Contact-specific
          3. Word
        3. Credit notes
          1. Allocation
        4. Summary
      11. 4. Learning Xero Purchases
        1. Dashboard
          1. Add contacts
          2. Import
          3. Edit contacts
        2. Purchasing
          1. Standard bills
          2. Inventory items
          3. Repeating bills
          4. Xero Network Key
          5. Batch payments
        3. Credit notes
          1. Allocation
        4. Summary
      12. 5. Processing Payroll
        1. Basic payroll setup 
          1. Setting up payroll accounts
          2. Setting up Pay Calendars
          3. Setting up Tax Information
          4. Setting up Pay Items
        2. Adding employees
          1. Entering personal details
          2. Entering employment details
          3. Entering tax details
          4. Setting up auto enrolment
          5. Entering opening balances
          6. Creating a Pay Template
          7. My payroll
        3. Payroll overview
        4. Processing payrolls
          1. Approving time off
          2. Process Pay Run 
          3. Processing amendments
          4. Confirming Pay Run 
          5. Making employee payments
          6. Paying HMRC
          7. Issuing payslips
        5. End-of-period reports
          1. Claiming statutory payments
          2. Employment allowance
          3. Sending an FPS – full payment submission
          4. Sending an EPS – employer payment summary
          5. CIS deductions
        6. Summary
      13. 6. Xero Expenses and Xero Touch
        1. Expense Claims
          1. Process
          2. Add Receipt
          3. Edit/delete
          4. Submit
          5. Tabs and statuses
          6. Mileage
        2. Xero Touch
          1. Downloading
          2. Dashboard
          3. Bank reconciliation
          4. Invoicing
          5. Expenses
          6. Contacts
        3. Summary
      14. 7. Managing Inventory
        1. Which inventory
          1. Untracked inventory
          2. Tracked inventory
          3. Changing methods
            1. Untracked to tracked
            2. Tracked to untracked
          4. Add-ons
        2. Inventory items
          1. Import
          2. Opening balances
          3. Troubleshooting
          4. Editing
          5. Exporting
          6. Deleting
        3. Accounting
          1. Inventory
          2. Sales
          3. Cost of goods sold
        4. Monitor inventory
          1. The inventory item details
          2. The inventory items list
          3. Sales by item
          4. The inventory items summary report
        5. Summary
      15. 8. Real-Time Reporting
        1. Report center
          1. Favorites
          2. Draft/Published/Filed/Archived
            1. Draft
            2. Published
            3. Filed with HMRC
            4. Archived
          3. Export
        2. Performance reports
          1. Profit & Loss
          2. Sales by Item
        3. Position reports
          1. Balance Sheet
          2. Aged Receivables
          3. Aged Payables
        4. Budget Manager
          1. Add/Edit
          2. Run scenarios
          3. Import/export
          4. Reporting
            1. Budget summary
            2. Budget Variance
            3. Profit and loss in the current financial year
        5. Detail reports
          1. Account transactions
          2. Trial Balance
        6. Amending reports
          1. Move and group
          2. Common changes
          3. Defaults
        7. Summary
      16. 9. Supercharging Xero with Add-ons
        1. Xero add-ons
          1. The Xero Marketplace
          2. The Xero community
          3. The Xero LinkedIn group
          4. The Xero API and bespoke work
          5. Managing Xero add-ons
          6. Selecting add-ons
        2. Receipt Bank
        3. Float
        4. Satago
        5. Fathom
          1. Financial analysis
          2. Consolidations
          3. Compare and benchmark
        6. Hindsight
        7. Summary
      17. 10. Xero Tips and Tricks
        1. Login
          1. Google Apps
          2. Browser
          3. Password vaults
        2. Help
          1. Demo Company
          2. Help Centre
          3. Contact Xero Support
          4. Ask my adviser
        3. Other tips and tricks
          1. Lock dates
          2. Multiple tabs
          3. Multiple organizations
          4. Search
          5. Shortcut keys
          6. Xero TV and training
            1. Small Business Guides
            2. Xero TV
            3. Xero Training
        4. Summary