Setting up your Xero account is the most important step in making sure that everything will be synced from Cliniko to where it should be in Xero. We strongly recommend you seek your accountant's or bookkeeper's input when setting up your Xero account and the connection with Cliniko.

To avoid invoice and payment data ending up in the wrong place in Xero, you will want to make sure that you have the appropriate sales and payment (clearing) accounts set up before connecting the integration.

This article will cover the following:

Once connected, you can connect Cliniko items to specific areas in Xero (optional):


Setting up sales accounts for invoices

Xero is super helpful and already has a sales account set up. This is account number 200. That account will be enough in most cases, and can be safely used with Cliniko!

However, if you have invoice items and products that do not have GST charged on them, then you will have to set up a secondary sales account for GST-free sales. Here's the steps to do so:

In Xero, head to Settings, and then Chart Of Accounts:

Click Add Account:

Select Sales in the Account Type drop-down menu:

Select a unique code (we suggest something near 200):

Enter a name and a short description for your clearing account (such as Sales - Non-Taxable):

While optional, the description will help your bookkeeper or accountant to understand your use of this account.

Select GST Free Income or BAS Excluded in the Tax field, depending on what is appropriate for your business (please seek your accountant's input here):

Or:

Hit Save to finish creating the account:

That should be all you need to do for your sales accounts to be ready for your reporting! 🎉

However, you can take it further—you could choose to create a sales account for your products, or create a sales account for each service/billable item within your Cliniko account.


Setting up clearing accounts for payments

We push across the payments from Cliniko to Xero on a one-by-one basis, once they are allocated to invoices in Cliniko. You may want to set up a clearing account for each payment type that you are expecting bank deposits from.

Having a clearing account is integral if you want to reconcile your payments entered into Cliniko against your bank feed in Xero. As an example, you might want a clearing account for HICAPS, EFTPOS, cash deposits, your online payment provider, and direct deposits. Here's how to set up a new clearing account in Xero.

In Xero, head to Settings, and then Chart of Accounts:

Click Add Account:

Select Current Asset in the Account Type drop-down menu:

Select a unique code (we suggest something between 611 and 619, for ease of reference):

Enter a name and a short description for your clearing account (such as Clearing Account - EFTPOS):

While optional, the description will help your bookkeeper or accountant to understand your use of this account.

Select BAS Excluded in the Tax field:

Finally, tick Enable payments to this account:

After making sure that everything looks set up correctly, hit Save to finish creating the account:

Done! 🙌 You've now set up your first clearing account in Xero. You will need to follow these steps for each subsequent clearing account that you want to create.


Connecting your bank account to Xero

Xero has some great support articles on this one, and it's pretty straightforward! Here's Xero's article on how to connect a bank feed.

With all of the above in place, it's now time to connect Cliniko and Xero together—head over here to learn how!


Link Cliniko with specific Xero accounts

☝️ Note: This portion of the tutorial requires that you first integrate Cliniko with Xero. Once that's done, follow the steps below!

Connecting your payment types to your clearing accounts in Xero

After you've connected Xero and Cliniko together, there may still be some work to be completed before you can start using the integration. Setting up your defaults may be all that you need to do for your payments.

However, if you've set up more clearing accounts for your payment types, you'll need to make sure your different payment types are linked to the relevant clearing accounts you've set up in Xero. Here's how:

Head to Settings, and then Payment types:

Click on a payment type (e.g. EFTPOS) and select the relevant clearing account from the drop-down menu under Xero account for payments:

Click the Update payment type button, and you'll be set!

You'll need to repeat this process for all payment types that you want connected to their relevant clearing accounts.


Connecting billable items to your sales accounts in Xero

Setting up your defaults may be all that you need to do for your billable items. You would have set up and selected your default account for sales when connecting the integration between Cliniko and Xero. However, if you need to separate items into different accounts (e.g. for non-taxable services or items), here's how!

Head to Settings, and then Billable items:

Click on a billable item and then select the appropriate Xero account code from the drop-down menu:

Click Update billable item, and you're all done!


Connecting products to your sales accounts in Xero

By default, all products will be pushed to the set default sales account. The same process from the billable item steps above will apply to any products you would like to push anywhere other than your default sales account.

Head to Products, and click on the product you wish to work with. Edit the product, and select the appropriate Xero account code in the drop-down menu:

Hit the Update product button, and that's done! 🙌


Having the right set up for your sales and payment accounts is integral to having an accurate Business Activity Statement in Xero. Let us know if you need any help with this. We are easiest reached from within Cliniko by clicking Help on the blue sidebar, and clicking Chat with us!

Once set up, you can begin reconciling. Reconciling is a tricky business, but with Cliniko and Xero, we make things easy. Follow this link to find out how you can use this set up to reconcile correctly.

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