Xero setup – basic guidelines and example

This is not the documentation on how to link Client Diary to Xero. For that information please follow this link. How To Apply Xero To Client Diary This document discusses some options when setting up Xero.  Please note this is a general guide and your book keeper / accountant should be consulted and help you setup Xero properly.

For Client Diary to link to Xero you will need three accounts setup in Xero:

  • A Sales Account (usually a bank account)
  • An Asset Account
  • A Liability Account to record Gift Voucher sales and usage.

Here is an example of our three accounts setup in Xero:

When linking to Client Diary, they would link like in this example:

 

Example using Gift Voucher

To see Client Diary interacting with Xero, let’s look at how this will work with a Gift Voucher sale and redemption.

Let’s imagine we sell a Gift Voucher today.  It’s for $100.

After processing the sale, the report below shows the Gift Voucher sale has been processed.

 

  • After the day has finished.  We perform an END of DAY to send the data to Xero.

The below image shows the data in Xero after the End of Day is complete.

The following day a client comes in and redeems the voucher we sold.

  • Let’s imagine they have $150 worth of services.
  • They use the $100 voucher
  • They also use $50 cash
  • After the day has finished.  We perform an END of DAY to send the data to Xero.

The below image shows the data in Xero after the End of Day is complete.

Note: The Vouchers / Liability account is now showing $0.   This is because the voucher has been redeemed and applied to the account making it balance.
Note: The Bank Account shows $136 which is the $150 minus tax .

This small example should help you and your accountant / book keeper understand the integration and setup.  If you need further help, just let us know.