Xero Bookkeeping tips

1. Set Up Bank Feeds ASAP

• Link your business bank accounts and credit cards so transactions flow in automatically.

• Saves heaps of time on manual data entry and keeps everything up to date.

📌 2. Reconcile Weekly (Or More Often)

• Don’t wait until EOFY or BAS time.

• Match your bank transactions to invoices, bills, and expenses regularly — Xero makes it super quick with smart suggestions.

📤 3. Use Xero for Invoicing

• Create and send quotes/invoices directly from Xero.

• Add your logo, set payment terms, and track who’s paid (and who needs a nudge).

• You can even send invoices on your phone with the Xero app — perfect for tradies on the go.

📷 4. Snap Receipts with Hubdoc

• Hubdoc is included with Xero and lets you:

  • Snap photos of receipts/invoices

  • Email bills directly to Xero

  • Auto-extract info and store everything for compliance

This means less paper, fewer lost receipts, and ATO-ready records.

💸 5. Track Expenses by Job or Client (Use “Tracking Categories”)

• Set up tracking for different jobs, vehicles, or team members.

• Helps you see what jobs are profitable, and where the money's going.

🧮 6. Stay on Top of BAS & GST

• If you’re GST-registered, Xero helps you:

  • Automatically calculate GST

  • Generate your BAS

  • File directly with the ATO (if linked)

Make sure your tax codes are right when entering expenses — this affects your GST reporting.

👷 7. Set Up Payroll Properly

• If you’ve got employees or apprentices:

  • Use Xero Payroll to run pays, calculate super, and stay STP (Single Touch Payroll) compliant.

  • Xero automatically reports payroll info to the ATO.

🧮 8. Use Reports to Know Your Numbers

• Check your Profit & Loss and Cash Flow reports regularly.

• Look at outstanding invoices and upcoming bills to manage cash flow better.

🧑‍💼 9. Invite Your Accountant/Bookkeeper

• Let your accountant access your Xero file — no more emailing spreadsheets or receipts.

• They can help with BAS, tax planning, and tidy-ups throughout the year.

📱 10. Use the Mobile App

• Xero’s mobile app is perfect for tradies:

  • Send quotes/invoices on-site

  • Upload receipts

  • Reconcile transactions in real-time

Bonus Tip:

💡 Automate regular transactions like recurring bills or invoices. Set and forget.