Following best practices around data entry, configuration, reporting, and validation is critical for accurate, compliant payroll in Xero. For businesses that bill employees’ time to clients, Xero offers Timesheet Categories for precise hour tracking. Submit payroll and confirm the batch payment details. When it’s time to run payroll, confirm all timesheets are entered and approved. This centralized hub keeps all key employee details neatly organized in Xero for easy reference and management.
- Xero offers a built-in payroll system as part of its cloud-based accounting software.
- These records are needed to meet federal rules and to help with daily staff tasks.
- Complete your pay run and file with HMRC in 3 simple steps.
Payroll Payments directly from Xero will connect pay runs and payments in one seamless flow. Learn how to add your employees’ basic details while you’re processing a pay run, and more. With Timesheet Categories, businesses gain greater insight into how employee hours are spent. This enhances payroll accuracy while supporting client accounting needs. To get started, open the employee’s details and select the Employment tab. Next to Attach Documents, click Add to upload files from your computer.
Simplify paying your employees
Instead, you have a clear view of what’s happening with every pay run and every submission. This can save valuable time – in fact, 86% of accountants and bookkeepers agree having accounting and payroll in one place saves significant time. And with flexible working patterns now built in, you can accommodate the new world of work without the administrative burden. You’re not just processing payroll faster, you’re doing it with complete confidence that everything’s been set up correctly from day one.
Import statements automatically
You can create pay templates with default settings like pay rates and super contributions. Assign the templates to new employees to quickly set them up. Managing payroll can become a time-heavy task for businesses of all sizes.
Reasons to come and visit Xero at Accountex London 2025
You can now get started with or switch to Xero Payroll in 6 simple steps. This course is for small business owners, accountants, and bookkeepers who want to become Xero Payroll experts. Learn how to set up and streamline payroll to pay employees accurately, save time, and meet all payroll obligations. When you connect a payroll app to Xero, your employee pay data automatically flows into your accounting records. You get a totally clear view of your finances to speed up reconciliations and a better understanding of your cash flow and expenses.
Have a current view of your finances with your bank transactions flowing into Xero automatically. Overall, the document attachment feature simplifies payroll compliance and keeps sensitive employee information secure. Recheck tax rates in Xero whenever tax laws change or at the start of a new fiscal year.
Keeping payroll data current through regular system reviews and updates ensures smooth payroll processing, happy employees, and continued legal compliance. Make any corrections or adjustments in a timely manner by processing pay reversals or additional payments. Xero connects with third-party apps to give you a powerful digital system for your small business.
However, there may be times when troubleshooting begins in your pay run. Complete this self-paced course to learn at a time that best suits you. Boost your understanding of payroll with these essential guides, written in plain English. We recommend working with your accountant to bring account balances from your old system into Xero as conversion balances.
- Following these steps will have Xero payroll running smoothly.
- Payroll is no longer just about processing payslips.
- Following best practices around data entry, configuration, reporting, and validation is critical for accurate, compliant payroll in Xero.
- It’s about giving businesses confidence, empowering teams, and unlocking insights that drive smarter decisions.
Cloud-Based and Safe
From setup to ongoing payroll processing, our expert team ensures everything runs smoothly and stays compliant. Let us handle your payroll so you can focus on growing your business with peace of mind. Once your payroll process is completed and the payment to your employees has been made, you must reconcile your payroll system. A statement line of your current payroll run will be stated in your bank account in Xero. You will be required to add through the spend money transaction tab. A payroll system ensures that staff are paid on time and that the business follows legal rules.
You’ll have all the information you need to get payroll up and running smoothly in Xero. Choose a payroll app that lets your employees fill in and submit timesheets for your approval. Using Payroll in Xero makes it simple to manage pay, tax, leave, and compliance. Once set up right, it can save hours of manual work. If you’re wondering how to do payroll in Xero, follow these simple steps and avoid common errors. With clear records, auto reports, and cloud access, Xero is a smart payroll solution.
Popular features
You need to integrate a third-party payroll app with your Xero organisation. These apps help you manage your pay and tax calculations, deductions, and reporting without any errors. This data then syncs with your Xero books so you have accurate, detailed records for your compliance. Xero offers several useful features to enhance payroll management beyond basic salary payments. These additional capabilities help streamline administrative tasks and provide greater visibility into employee data. Following these steps will have Xero payroll running smoothly.
Send online invoices and give customers easy online payment options that encourage them to pay there and then. The Attach Documents tool allows you to upload files directly to an employee’s profile in Xero payroll. This keeps all their essential paperwork organized in one central location.
The Xero App Store: where your business grows
With some time invested upfront in setup, Xero payroll can save businesses effort while also improving compliance and transparency. Taking the time to customize these settings helps ensure payroll processes run smoothly. Soon, real-time National Minimum Wage alerts will help ensure compliance is never in doubt. Calculation transparency how to get started with payroll in xero will help you understand the ‘how’ behind the numbers.
A business managing one payroll system is tough enough, but for accountants and bookkeepers, the reality is managing multiple client payrolls. Every calculation is verified, and every compliance requirement is handled automatically. You can use the Xero Me app to manage payslips and timesheets. Payroll is a list of your employees and the total amount of money you pay them.