Xero For Dummies. Heather Smith

FixedAssetsImport

The conversion from your existing computerised accounting system to Xero is an exciting and immensely satisfying challenge. In the following sections, I provide information about the conversion process that can be applied to all conversions, regardless of what system you’re converting from. Once data has been exported and prepared from your old accounting system, the process for importing that data into Xero is the same — see the section ‘Importing Data into Xero’, later in this chapter, for more.

      

If you know Xero will be connected to another business solution, research how the app syncs with Xero and establish if you need to be aware of any peculiarities. For example, when the commercial property management solution Re-Leased syncs with Xero, your contacts’ information is pushed into Xero, so the optimal Xero–Re-Leased set-up involves entering your contacts’ details into Re-Leased first and not entering them into Xero, and so avoiding duplication of work. For more information on app solutions, see Chapter 16.

      Getting ready to convert

      Before starting a conversion, you need to prepare yourself to ensure the process runs smoothly and you stay organised. The areas you need to understand initially are how to set up your file directories and how to access Xero templates. The following sections take you through these areas.

Before starting your data conversion, work through Chapter 2 and create a Xero file the data can be imported into. When you get to the point where you’re ready to import your own chart of accounts, you can jump back to this chapter.

      Setting up file directories

      Lots of files are created and used during the conversion process. Keep track of them by creating a simple file directory system that works for you. For example, you could create a high-level file directory called ‘CONVERSION-BusinessName’ and three sub-folders called ‘DataReadyForImporting’ ‘ExportedData’ ‘XeroTemplates’. You can then save all files used during the conversion to the relevant subdirectory.

      

When working with virtual teams, using an online storage solution makes it easy for all members of the team to access the conversion files. Simply set up a specific online storage folder and save a link to the folder in the ‘CONVERSION-BusinessName’ file. Online storage options include Dropbox, Google Drive and SugarSync.

      

I tend not to add spaces to folder names because sometimes the spaces mean the folder names don’t work across platforms, and these procedures are to be applied universally. If you prefer to add spaces or use different names, feel free to; however, I have used space-free examples throughout this chapter.

      

Keeping a copy of the original and converted data files can be useful if you need to review data at a later date.

      Downloading Xero templates

      Xero has a number of downloadable templates to assist with converting your files. By entering data from the old accounting system into these templates, and matching unaltered column headings, you can organise your data in a format that’s easily imported into Xero.

      Access the Xero downloadable templates by following these steps:

      1 From the Xero Dashboard, click on the relevant directions for the data you need to download, as provided in Table 3-2.For example, to access the Xero Contacts template from the Xero Dashboard, click on Contacts → All Contacts.

      2 Click the blue Import button for the required template and then on the Download Template File link.TABLE 3-2 Downloadable Template InformationDataDirectionsCSV File NameChart of AccountsAccounting → Advanced → Chart of Accounts → Import → Chart of Accounts CSV fileChartOfAcountsContactsContacts → All Contacts → Import → Download template fileContactsBank StatementsDashboard → three dot menu (on right of bank account name) → Import a Statement → Download Our CSV templateStatementImportTemplateInventoryBusiness → Products and Services → Import → Items → Download template fileInventoryItemsSalesBusiness → Invoices → Import → Download template fileSalesInvoiceTemplatePurchasesBusiness → Bills to Pay → Import → Download template fileBillTemplateManual JournalsAccounting → Advanced → Manual Journals → Import → Download template fileManualJournalFixed AssetsAccounting → Advanced → Fixed Assets → Download template file^*FixedAssets* Before being able to download the template for fixed assets, you will need to set up a Start Date for your register.

      3 Save the template to your file directory.For example, you could save the template within your ‘XeroTemplates’ folder within the ‘CONVERSION-BusinessName’ folder.

      4 Repeat the three preceding steps until you’ve downloaded all required templates.

      As well as using the downloadable template for bank statements, you can create your own Excel template for importing bank statement information. Before doing this, however, see Chapter 4, which covers exporting bank statement information from your actual bank account. To create a bank statement template, list the following bank statement fields at the top of an Excel spreadsheet as column headers:

       Transaction Date

       Transaction Amount

       Payee

       Description

       Reference

       Cheque No.

      Note: Only Transaction Date and Transaction Amount from the preceding list are mandatory for the import, but the other fields help with reconciliation.

      Populate the Excel spreadsheet with the relevant data and save the file in a CSV (comma delimited, for PC users) format.

      

On the CSV downloaded templates, the asterisks (*) at the left of the column header name indicate the field is mandatory.

      

When preparing the data for importing, sit your two Excel files side by side and carefully copy the data from the original file into the Xero template file, to ensure you’re copying data across to the correct fields.

      

Don’t ever change the header row of the template file — it must remain unchanged for fields to align correctly during importing. You can change the header row in your bank statement imports (and map these changes to the field you want), but I recommend leaving everything as is here as well, for simplicity and consistency with the other imports.

      Converting exported CSV files into Excel