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Getting Started
To get started, select “Set up Xero”under Accounting integrations at the top of the Invoices page. From there, you can see our Xero Settings page.
The first step will be to directly connect your Xero account. By clicking “Connect to Xero”, you’ll be prompted to log in to your Xero account.
After signing in, you’ll receive a confirmation from Xero asking if you’d like to authorize Justworks to connect to your Xero account.
Mapping
After connecting Xero to Justworks, you will need to create company-level mapping for both your payroll bank account and transaction types to an account in your Xero Chart of Accounts.
The “Bank Account” should be mapped to the account you have linked to Justworks for payroll processing.
Now that you’ve set up your bank account mapping, you’ll need to map each pay type in Justworks to an account or sub-account from your Chart of Accounts in Xero.
Each payment type is grouped in a category with similar payment types. You can use the drop down next to the category name to assign a default Xero account to any blank payment types. If necessary, you can use the drop down next to each individual payment type to specify a separate Xero account.
Certain payment types can be expanded by clicking the caret “⌄” to the right. This allows you to assign Xero accounts on a granular level
Keep in mind here that you’ll have to link every pay type to an account in order to complete setting up your integration. This includes items you may not yet utilize such as contractor and vendor payments. However, you can link multiple Justworks pay types to the same Xero account from your Chart of Accounts.
If you have account numbers enabled in Xero, these will automatically be visible with the account name in the drop down.
Department Mapping Overrides
If you’d like to track payroll expenses by department, you have the option to do so as well. Once you’ve set up your pay default company mappings you’ll see the option to override account mappings by department in Justworks to their own accounts in Xero.
Choose the department that you’d like to assign account overrides to and click the “Edit” button to the right hand side. This will take you to a screen where you can assign individual transaction types allocated to a department to a specific account within Xero.
Unlike in the company-level defaults, you will not need to assign an account override to each department or for each pay type within a department. Any pay type not mapped on the department level will still reflect under the Xero account mapping for that pay type listed in the company-level settings.
Tracking Categories Mapping
Justworks Xero integration allows for tracking categories mapping by department. Similar to department overrides, this option will be available once you have set up your pay default company mappings.
Sending Invoices to Xero
After your payments process and invoices are created in Justworks, you will be able to send each invoice over to Xero with the click of a button.
From the Invoices tab, you’ll see the option to ‘Send to Xero’ next to each invoice.
If you don’t see "Send to Xero" next to each invoice, return to the “Set up Xero” page to make sure you have all pay types mapped to an account.
Once sent, each Justworks invoice will be saved as a draft in the Bills section of the Xero account. You can view details by selecting ‘edit’ the bill.
Auto Sync
You can opt to have data automatically sync to your Xero integration after each payroll has been processed or manually sync the data at your convenience.
You can enable auto-sync in the Xero Settings page found in Justworks. Even if auto-sync is enabled, you can still manually send individual invoices to Xero as needed or turn it off at any time.
For more information on the Justworks-Xero integration, click here.
Disclaimer
This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for, legal or tax advice. If you have any legal or tax questions regarding this content or related issues, then you should consult with your professional legal or tax advisor.