FlexiTime integrates with Xero, an online accounting system designed for small businesses and their accountants.
By integrating FlexiTime with Xero you can:
- automatically create draft accounts payable invoices in Xero for Payroll transactions
- automatically create draft accounts receivable invoices in Xero for Billing invoices
- assign Payroll and Billing costs to Xero Tracking Categories.
- import your Xero contacts to create clients in FlexiTime
For more information about Xero, see the Xero website.
Set Up Xero Integration
First, you must authorise FlexiTime to access your Xero account information.
To authorise FlexiTime go to Setup > Company Settings > Connect and click the Authorise button beside Xero Access.
This will open a Xero login window so make sure you have allowed pop-ups in your browser; you may be given a message at the top of the browser window asking if you want to allow pop-ups. Log into your Xero account as you would normally. You will then be asked which organisation to authorise FlexiTime to access.
Select your Xero organisation and click Authorise. After a few seconds the window will close and you will be returned to FlexiTime and given the message that your company settings have been saved.
You are now set up to transfer data between FlexiTime and Xero.
Once you have authorised your FlexiTime company to Xero, you can select whether you want to send Draft or Approved invoices to Xero. We recommend using the Draft Invoice Status initially, as it means that invoices will still be sent even if you have not set all your Xero accounts in FlexiTime.
You can also tick Consolidate Invoices if you would prefer to send a single invoice through to Xero for all employees in the pay run.
If at anytime you want to delink FlexiTime from Xero, just click Disconnect.
If Xero loses your FlexiTime authorisation, the Authorise button will show on the Connect screen.
Set Up Account Codes
If you have changed the default account codes in Xero's Chart of Accounts you will need to set these up in FlexiTime so that invoice lines are posted to the correct accounts. Account codes can be specified in the following areas of FlexiTime:
Payroll Account Codes
When a pay is finalised, FlexiTime will create accounts payable invoices in Xero. Each pay line can be applied to a separate Xero account in your Chart of Accounts. See this article for information on how to split your wages into different accounts for each employee, or by pay code.
Billing Account Codes
If you are using Billing, FlexiTime will create accounts receivable invoices in Xero. You can use the Setup > Charge Types screen to specify the Xero account to be used.
Set Up Tracking Categories
(Optional) FlexiTime can send tracking categories through to Xero if you use them. Please see this article for more information.
Import Xero Clients into FlexiTime
You can import your clients from Xero into FlexiTime.
Go to Setup > Clients. If your company is linked to a Xero account, the Import Xero Customers option will be available.
Click Import Xero Customers. A warning message will be displayed.
Click Yes to automatically import your clients from Xero. Changes to Client records in Xero will update any existing records in FlexiTime for the same client. Changes made in Client records in FlexiTime will be sent to Xero when invoices are sent to Xero on finalising an invoice.
FlexiTime will automatically create draft accounts payable invoices in Xero for the wages and PAYE payments when you finalise a pay.
On the Pay History tab, select the Pay you wish to finalise and click edit. Finalised Pays will not have the Edit option, you can only View these.
Check the details and then click Finalise Pay. A warning box will be displayed - click Yes to finalise the Pay.
FlexiTime will also automatically send a Credit Note through to Xero if you reverse an employee out of a finalised pay run.
If you have already finalised a pay but wish to resend the payroll invoices to Xero for any reason, simply View the pay, click the Options dropdown and select Resend to Xero.
FlexiTime can export a copy of Billing invoices into Xero. You must be authorised with Xero in your FlexiTime Company Setup, and the appropriate Xero Account Code must be entered on the Charge Types associated with the Work used in this invoice. When the invoice is finalised in FlexiTime, a corresponding draft accounts receivable invoice will be automatically created in Xero.
To send an invoice to Xero, open the Actions pane on the Billing screen.
Select the invoice(s) required and tick Create Xero Invoices.
Click OK and your invoices will be sent to Xero.