To reconcile our in hand payments in Xero we need to create a transaction between our bank account and the appropriate asset account, this will move the money from your asset account into your bank account, you will have an asset account for each payment type (cash/cards/cheques etc).
When you see the money come into your reconciliation, create a transaction by choosing a contact and the appropriate asset account.
In this example we have banked a cheque for 1000, we then create a transaction which will take the 1000 from our in hand cheque account and transfer it to the bank account.
How this Works
- When an invoice is created and paid by cards, this increases you cards asset accountÂ
- When the payment comes into your bank feed individually or in a lump some, you then reconcile this by doing a create transaction and choosing the cards asset account
- This removes the money from the cards asset account and transfers it into the bank account similar to a banking
Fees
Your merchant provider or bank can charge fees when depositing payments, they can do this as a separate charge or by taking the fee out of the amount you are depositing.
If they take the fee from the amount you are depositing, when you reconcile the account there will be money left over in the in hand asset account, to reduce the account to zero you will need to create a bill for the fee and pay the bill by the in hand asset account reducing it to zero.
Banking in EVOPOS
There is nothing you need to do in EVOPOS with your banking's, all we need to do is reconcile the money in Xero.
Banking Cash & Cheques
Sometimes you might bank cash and cheques at the same time, if you do this you will need to reconcile the incoming money into the appropriate asset accounts by clicking the add details button and adding a line for cash and cheques.