Xero Bank Reconciliation

Automated Xero bank reconciliation is a great example of how your Flow cloud accountant can help you streamline your business processes, saving your business valuable time and money.

Flow accountants are experts in quickly integrating Xero with your business bank account. This creates an automated process, which imports your bank statements and instantly categorises them. All statement lines will be automatically matched with the transactions you create in Xero – all you need to do is click ‘okay’ to reconcile. You will be notified of any unexplained transactions too, so you can quickly check and link them.

With Flow cloud accountants and Xero keeping your accounts up to date will be effortless.

What is bank reconciliation with Xero?
Bank reconciliation in Xero is the process that explains the difference between the bank balance and transactions on your bank statement (as supplied by the bank) and the corresponding amount in your accounting records.

Reconciling your bank statements can be an incredibly time-consuming process, but can be almost entirely automated with cloud accounting. At Flow, we use our expertise in cloud accountancy to help you correctly link your Xero account with your bank and to help you understand how to manage your automated bank reconciliation processes.

Why use Flow and Xero to reconcile your bank?
Sound financial management is perhaps the most essential ingredient for business success. Using Flow’s expert cloud accountants and Xero enables you to understand and monitor your business cash flow accurately in real-time. This allows you to make informed decisions quickly, giving you a huge competitive advantage.

Xero supports more than 5,000 bank feeds across the world, including all of the major UK banks. This includes banks that require more than a username and password to access the accounts, including secure keys, secret questions and CAPTCHAs.

Here are some of the supported banks in UK:

Xero Bank Reconciliation with HSBC
Flow’s expert cloud accountants can help you link Xero to your HSBC account quickly and seamlessly. This will create an automated business process that imports your HSBC bank statements and automatically matches statement lines with the transactions you create in Xero.

Setting up your HSBC account couldn’t be easier:

  • Check your account types are eligible
  • Request the HSBC authority form

Alternatively Flow’s expert cloud accountants can link Xero with your HSBC account. We will advise you of the fastest and quickest way to set up, complete all of the necessary paperwork, and manually manage your bank transactions until the automated feed starts. There is no monthly charge (usually £3.00 per HSBC account) when you use Flow to manage your Xero account and HSBC account integration.

How long does it take?
The process takes up to 4x weeks. You may need to import bank transactions manually for the period before feeds start.

Is there a monthly fee?
If you do not use Flow there will be a £3.00 fee (excluding VAT) per month per account.

Xero Bank Reconciliation Barclays
Linking a Barclays account to Xero is widely acknowledged to be a complicated task. At Flow, our experienced cloud accountants can help you link your account with ease so that you can access your bank feed anywhere, any time.

We will advise you on everything from registering with Barclays DataService to authorise them to send your transaction data to Xero, to setting up multiple accounts and importing your transaction history.

How long does the process take?
While the process may take up to four weeks to complete, our qualified accountants will be able to offer expert advice on how best to manually manage your bank transactions until your automated feed in Xero begins.

Xero Bank Reconciliation Lloyds
You can link your Lloyds account to Xero, which ensure your bank transactions are sent electronically to your Xero account. By doing so, you can let Xero do the hard work and take care of the reconciliation process, leaving you with more time to spend on more important aspects of business.

Xero Bank Reconciliation NatWest
You can link your NatWest account to Xero by firstly checking that your account types are eligible, and then requesting a NatWest authority form. Alternatively, you can save time and energy by using our team of cloud accounting experts. Flow can quickly and efficiently link your bank account with Xero and provide specialist advice on how best to manually manage your bank transactions until the automated feed begins.

How long does it take?
Setup can take from 10 days to four weeks, and you, therefore, may need to manually import bank transactions until your feed begins.

Is there a monthly fee?
If you do not use Flow, there is a £3.50 fee (excluding VAT) per month per NatWest account linked to Xero.

Xero Bank Reconciliation Other Banks
Xero now supports over 5,000 bank feeds worldwide. By teaming up with Flow, we can help streamline your day-to-day business, saving time, money and effort. Linking your bank account to Xero is easy with a Flow cloud accountant by your side, and we’ll make sure that your accounts are linked correctly and efficiently.

Journal entry with Xero
When accounts or bookkeepers work directly with general ledgers to perform tasks such as recording completed work yet to be invoiced or accumulated expenses, it is routine for them to use journals when doing so.

With Xero, you can post single or multiple journals manually using an import template, and set up recurring manual journals. While it is not yet possible to post a manual journal directly to a bank account in Xero, our expert cloud accountants can help you achieve the same effect by doing the following:

  • Use spend or receive money
  • Use a suspense account
  • Set up bank account as current asset

Make the most of Xero’s bank reconcialiation feature with Flow
If you’re unsure whether your bank or financial institution can be linked with Xero, get in touch with us today and we’ll look into it for you. If your bank cannot be linked to Xero, our expert cloud accountants can recommend the best software solutions for your business needs for every task from bank feeds and corporate and personal tax calculation to RTI payroll and VAT returns.

We can make Xero work for you and your business. With a specialist Flow account manager at your side, we’re always on hand to answer any questions or queries you may have when posting journals to Xero.