Reconcile bank transactions

Once you have successfully set up bank feeds and or imported your bank statement, you need to ensure invoices, bills and payroll are set up before you start reconciling.

The oldest transactions will show up first and will need to be matched to outstanding bills and invoices that you have already recorded in Xero.

To start reconciling select the account on the dashboard page.

For each transaction there will be 4 options:

• Match – use this to search Xero for invoices or bills relating to the transaction. You can select multiple items if they and reconcile it to the one transaction.
• Create – if there no bill or invoice in Xero relating to this transaction, you can create the transaction by mapping it to where it needs to go.
• Transfer – if you have multiple bank accounts and transfer funds from one account to another, use this function to record the transfer. When you go to reconcile the corresponding account the transfer will appear in green ready to match.
• Discuss – if we do your bookkeeping, you can use this function to help us reconcile the transaction by noting what the transaction relates to. If you do your own bookkeeping and aren’t sure where to code the transaction, you can leave comments letting us know you need help, and information about the transaction.