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Bills, bills, bills. No fun to keep them organised and sometimes they catch you out. Like when
you thought you had plenty of cash in the bank but you suddenly remember that supplier
you need to pay
Managing your bills in Xero will help you stay organized, keep on top of your cashflow
and pay your suppliers on time with ease.
Just enter the bill and attach a pdf copy for record keeping if you want. Then when
your bills are due you can pay them in batches and issue the remittance advices to your suppliers.
And don't forget..if your supplier uses Xero you can even save the bill directly into your
Xero organisation with the click of a button.
So lets see how it's done.
From the Accounts menu go to purchases and here we have our purchases dashboard where
we can see the status of our bills like the ones that are due for payment for example.
And our graph here tells us what's we should expect to be paying our suppliers over the
coming weeks and months.
We can enter a bill by clicking on new. We can also create repeating bills great for
those standard bills we get every week or month.
I'm going to create a bill. So we put in things like the date a supplier invoice number, we
can attach a pdf of the bill for record keeping and then a brief description of what it was
for and so on. If it's a standard product or service I can use Items from this drop
down. Then I can save the bill as a draft or submit it for approval first. For this
one I'm just going to approve.
Alternatively if your supplier is on Xero and they have sent you an online invoice you
can save it as bill directly into your Xero organisation as a draft.
That brings us to paying bills. From the awaiting payment tab select the bills you want to pay
and click batch payment. Just before we do it's worth noting that we can use these Planned
Date column here to add dates we plan to pay the bills which will also update our graphs
on the dashboard so we can see when we expect this money to be paid out. This will help
you stay on top of cashflow and keep a track on which bills to select when creating a batch
payment.
Ok once we select Batch Payment, Xero will guide you from here to create an electronic
batch payment file that you can upload into your internet banking or print off a batch
of cheques which is available in our US edition of Xero.
Let Xero take the pain out of managing your bills which will help you plan your cash flow,
giving you peace of mind.
Easy.