Our new Xero Accounting Integration allows you to configure your Kounta to automatically synchronise end of day takings, customer account sales, and even the manage Purchase Orders.
This guide will walk you through the steps of enabling this integration and, through the recommendations with our Accounting Partner, some suggestions around best practise account types to use in your Xero. There are also steps to migrate across to the new integration if you are using our old Xero Integration.
To enable the sync of Purchase orders to your accounting platform, then you can read our guide on Syncing Purchase orders to Xero.
What's in this guide?
Setting up your Default Accounts
Configure Accounting for account sales
Setting up Tax Codes and Clearing Accounts
Setting up Product Specific Mapping
Migration Plan from Old Integration
Before you begin
Setting up your Kounta to integrate with your Xero is easy - first, you will need;
- A current and active Xero subscription (Follow the link to create a Xero Account)
- A Windows or Apple desktop (or Laptop) using the Google Chrome Browser is required to complete the setup and manage the integration (this is not supported on a mobile device like iPhone, iPad & Android at this stage)
Naturally, you will also need your Chart of Accounts set up in Xero and, ideally a working knowledge of which accounts you will be using - your bookkeeper or accountant can help.
(The Xero Support Team will be able to help with this if you require assistance, you can contact them at support@xero.com)
Functionality
Our Accounting Integrations provide a range of functionality for Kounta customers across all of our plans. You can check your site's plan on the Kounta Account page in the back office.
End of Day/Reconciliation Reports Exports - Kounta POS customers
Account Sale Exports and Account Sale Payments - Kounta POS customers
Purchase Order Exports - Kounta Purchase customers
This guide will go through setting up the first two - we’ll talk about setting up purchase order exports in our guide on how to Sync Purchase Orders to Xero.
More details on the accounting integration functionality below.
Enable the Xero Integration
Note - If your Kounta business name has the symbol '&' we recommend changing this in your Site Information to a simple " and " as we have noticed some errors occurring when invoices are exported.
1. From the Add-ons Page in Kounta back office, find the Xero Integration
2. Enable this integration by selecting the orange Enable Xero button
3. Select Connect to Xero
4. This will now launch the familiar Xero login page -log in with your Xero username & password.
When prompted, you will need to confirm the integration between Kounta and Xero
5. Your connection should now see a green tick
Setting up your Default Accounts
Now we really are diving into the accounting side of things.
Make sure you have your accounting/bookkeeper on hand, seat up and tray table stowed.
This is not our forté either, so the below suggestions and Best Practise recommendations are from our Accounting Partners.
Note - If you require further clarification on any of the Account Type terms or which accounts these should be mapped to in Xero, the Xero Support Team are best placed to assist support@xero.com
Your Default Accounts are the accounts that Kounta will send your sales data to when there are no Advanced Account (Product Specific) Mapping details present.
1. To begin mapping your Default Accounts, select the Manage tab.
2. Check the box next to For each taking and account sale in Kounta, create an invoice in Xero
You will now see all of the options to map your Kounta data to your specific Xero Accounts.
As mentioned above, this integration will give you recommended accounts for each account type based on the accounts you have listed in your chart of accounts. We have included a brief description of each field and account type below.
Create Xero Invoices
3. Tracking Code 1 & Tracking Code 2
" Xero uses tracking instead of department codes or cost centers[sic]. This keeps your chart of accounts manageable and makes reporting on different departments very easy. " - Xero
Eg: Managing your Kounta sites separately under the same Xero account.
4. Invoice Number Prefix
This will allow you to place a prefix at the start of any invoices that arrive in Xero from Kounta to assist in which invoices belong to which export type (this one specifically for Reconciliation Exports).
5. Select whether you want your data to appear as either Draft or Approved Invoices;
Draft - Reports as a $0 draft invoice with the accounts written as a line item on the invoice which needed to be approved before any data was written to the accounts.
Many of our customers use this feature for;
- Assigning Tracking Codes
- Fixing up reconciliation errors before the invoices are approved
Approved - If you check your numbers in Kounta first, then bypass the drafting step and write your data directly to your P&L and save yourself the time.
When you set your data to appear as a Draft in Xero, you will also need to assign Clearing Accounts for your payment types - like you would for assigning clearing accounts for approved invoices or account sales below.
6. All of the below accounts will need to be mapped even if you are not using them (ie Gift Cards) in order to 'complete' the integration setup.
Configure Accounting for account sales
Invoice Number Prefix
This will allow you to place a prefix at the start of any invoices that arrive in Xero from Kounta to assist in which invoices belong to which export type (this one specifically for Account Sales).
Deposit Sales into Account
| Kounta Account Type | Description | Xero Recommended Account Type | Xero Tax Code |
|
Deposit Sales into Account |
This is the default income account where Kounta will export all of your finalised sales from Account Sales. |
Income, Revenue, Sales |
Based on Sales type
|
Setting up Tax Codes and Clearing Accounts
Once the Default Accounts have been mapped you will need to then select the Xero Tax Type mapping for your Kounta tax codes - you can find out more about adding and managing your taxes in your Kounta Account here.
The Integration will give you the recommended tax codes from your Xero Accounting Program for these tax types. If you don't see the option here but you use this Tax Type in Kounta, you will need to create the corresponding tax code in Xero.
Setting up Clearing Accounts for Kounta Payments
You will now have the option of selecting your Xero Clearing Accounts for any payments that have been made in Kounta (These are all of your payment methods eg: Cash, EFTPOS, Albert, Mint Payments & Tyro)
You will now come to an option that looks like the screenshot below. This will give you 2 options, to set the payments from Kounta to Xero and the payments from Xero to Kounta.
Payments from Kounta to Xero
This account represents the default account for all of your payment types in Kounta, if you select ONLY this option, all of your payment methods used in Kounta will be sent to this account.
Payments from Xero to Kounta
This option represents the payment method that will be used when any payments are made to an Account Sale Invoice in Xero.
When Xero sends the payment back to Kounta it will write the payment using this payment method. Ideally, you will have a hidden Bank Deposit payment type for this purpose. You can read more about this in our Account Sales add-on guide.
Advanced Options for Clearing Accounts
If you select the Advanced Options shown in the screenshot above, that will drop down a listing of all of your Kounta Payment Methods along with options to map those payment methods to specific accounts in Xero.
Eg: Cash goes to a Cash Clearing account, while your Integrated EFTPOS payment types (in the below scenario we have Albert, Mint Payments and, Tyro) could go to an EFTPOS Clearing account.
Don't Forget - Once the above mapping has been completed, select Save to save the account mapping.
Setting up Product Level (Product Specific) Mapping
Once you have completed the above and you have selected Save, you will then be presented with an option box that looks like the one below.
This will now give you the option to select specific Income Accounts at a product level, this will tell Kounta to look at these settings first when we export to Xero before using the Default Income Account.
1. Select the link Click here to configure individual Accounts for each of the Products.
This will now present you with a new page with two columns of drop-down boxes, you will now be able to select the following options for each product.
Selling Account - This will be the account that represents all of the Income (Sales) from that product.
Buying Account - This will be the account that represents all of the Cost (Purchase Cost) associated with that product.
Once you have configured the mapping for all of your products, just simply select Save. Kounta will then utilise those settings on the next Reconciliation Export.
Pro Tip - If you leave these boxes blank, the default account (set up earlier) will apply for the product.
Synchronisation Settings
The Integration will be able to perform a sync of your data between Kounta at automatic intervals interval.
You will be able to see these options by selecting the Sync tab in the Integration.
Synchronisation Settings
Account Timezone - This will allow you to configure your sites timezone (just to make sure the times & dates match). If this is wrong by default, you may also want to confirm you have set yourself up in the correct time zone from the Site Information settings.
Integration Start Date - What date do you want to start synchronising data to Xero from? You can backdate this date by 30 days max.
Synchronisation
Automatic synchronisation is currently - Turn on or off the sync here
Next automatic sync in - These are set to 60-minute intervals., however, you can select the Sync Now button to manually trigger a synchronisation now (this can be helpful if you are waiting on an Account Sale to come through).
Integration Functionality
The functionality that the Integration is able to provide will differ depending on whether you are already using the functionality in Kounta or if they are being performed in Xero.
Kounta
Reconciliation Exports
- All of your Reconciliation Exports will be exported directly to the accounts specified in the Integration setup each day after you have completed your Takings.
- You are able to export to your Default Accounts or select Payment and Product specific accounts.
Account Sales
- An Account Sale is able to be created in Kounta, and we will then push an Account Sale Invoice into Xero. The Invoice will be created in the Awaiting Payments section in Xero.
- You are able to make payments to Account Sale which will then sync those payments from Kounta and apply those payments to that Invoice in Xero.
- You are able to finalise an Account Sale in Kounta and those finalised payments will sync through to Xero and finalise the Invoice in Xero.
- If you add a contact to an Account Sale in Kounta, the Integration will create that contact in Xero as part of the Invoice sync.
- You are able to perform discounts/adjustments onto Account Sale and these will automatically adjust the line items of those products when the invoice is created in Xero.
Purchase Order Invoices
- All of your Purchase orders will be exported to the accounts specified in the Integration setup once the order has been marked as received in Kounta back office.
- You default accounts and product-specific mapping work for Purchase Orders too.
Xero
Reconciliation Exports
- All of your Reconciliation Exports will be exported directly to the accounts specified in the Integration setup each day after you have completed your Takings.
Account Sales
- Xero will be able to apply payments to an Account Sale Invoice and those payments will sync back to that same order in Kounta.
- Xero is not able to create invoices which will then create an Account Sale in Kounta, the Account Sale invoices are only able to be created in Kounta
- Xero is not able to make amendments to invoices as these changes will not sync back to Kounta and will cause the invoice to be over/underpaid.
Purchase Order Invoices
- Once a Purchase order has been received in Kounta, it will create this as a Purchase Invoice in Xero - ready for your Accounts team to pay - nice and easy.
Note - If you want to know how to sync Kounta purchase data with Xero, you should read our guide on how to Sync Purchase Orders to Xero.
Migration Plan from Old Integration to New Integration
Our new Integration has been completely re-written from the ground up, that means the way that we send and receive information along with the ways that we communicate with orders both in Kounta and in Xero is different.
Because of this, there needs to be a migration plan for customers using the Old Integration and moving to the New Integration, as we are not able to communicate with Account Sales created using the Old Integration we have come up with the below steps to ensure a smooth transition.
1. Disable the Old Integration
You will need to disable the Old Integration, this will ensure that no information is sent through to Xero while you are finalising the remaining Account Sales.
2. Create a Manual Payment to close Account Sales
You may need to create a Manual Payment Type (eg: Xero Offline), this will allow you to close off these Account Sales in Kounta, for more information on how to create payment types - we have a guide ready for you.
3. Go to the POS
You will need to log in to your Kounta POS and we will now need to close off ALL Account Sales that have been created, these will need to be closed off with the Manual Payment button (this will allow you to close those orders in Kounta and not be included in your normal payment clearing amounts)
4. Any Invoice created BEFORE the Integration start date will need to be managed in Xero
As we are not able to communicate with pre-existing Account Sales you will not be able to apply payments to those Account Sales and have them sync those payments to Xero. You will either need to manage those Account Sales entirely in Xero or create new Account Sales once you re-enable the Integration.
Frequently Asked Questions
How do I also sync my purchase data with Xero?
If you are already using Kounta Purchase, syncing purchase data with Xero is a breeze. Check out our guide on how to Sync Purchase Orders to Xero.
Do I have to pay anything extra for Xero integration?
No. Certain integrations are only available on certain plans - for example, Account Sales are only available in the Manage Plan, however, if you decide to integrate your Kounta with Xero, you’ll have to subscribe to their services as well as ours.
Which account should I link to?
This is a bit of a choose your own adventure - we recommend you bring your bookkeeper or Accountant along for the journey too. With the help of our Integration Partner, we have made some suggestions for the types of accounts to use and you can see them below in the Setting up your default accounts section below.
Where does my data go in Xero?
Now, this depends on which accounts you have selected in the Default Accounts section below. We have also written a guide on Where does my data export? which goes into a little more detail just in case.
I'm not in Australia or New Zealand - can I still Integrate my Kounta to Xero?
Honestly, this will depend on where exactly you are. First, you should check that you are in a Kounta supported region. Then, you can reach out to our 24-Hour Support Team to confirm that your integration will work.
How does Kounta Sync my Customers to Xero?
For Account Sales, we match the Kounta Customer Name field to the Xero field Contact Name as a unique identifier.
What's my next step?
If you already use Kounta Purchase, you can sync your purchase data with your accounting package so that every purchase you make creates an invoice on your accounting package.
Finalising your takings with Integrated EFTPOS in the mix is now super easy - our walkthrough on finalising your end of day takings will show you the steps.
Have you already got your Integrated EFTPOS connected to your Kounta POS yet? Our guide on Taking EFTPOS Payments with Kounta POS will put you on the right path.
We also spoke a lot about Account Sales in this guide? Not sure how they work? Or, want to learn more? Our guide on Account Sales from Kounta POS will answer your questions.