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Reconcile with Xero

Learn how reconciliation works between Apron and Xero, including automatic matching and manual steps you might need to take.

Marianna avatar
Written by Marianna
Updated over a week ago

When you pay bills through Apron, we create batch payments in Xero for reconciliation with your bank transactions. Here's how the process works and what you need to do.

How reconciliation works in Xero

Reconciliation in Xero involves matching bank feed transactions with bills or available invoices (Xero transactions). The goal is to always have all bank transactions justified and what they refer to explained.

When you process payments to recipients via Apron, we create a batch payment in Xero that reflects the value of the payment run (the total of all bills paid). This transaction will appear on the right side of the reconciliation screen, whilst the bank transaction (the transfer your company sent to Apron for funding) will appear on the left side.

Steps for reconciliation in Xero

  1. Go to Accounting > Bank Accounts, then click on Reconcile X Items next to the account that needs reconciling

  2. Xero will suggest matches automatically when transactions appear similar (same date and amount)

  3. If a suggestion is accurate, click the OK button to reconcile

  4. If there's no direct match, you can manually search for the correct transaction or create a new entry

  5. When a transaction has multiple parts (multiple invoices) or needs more specific matching, the Find and Match feature allows you to select multiple transactions that add up to the bank transaction amount

Simple reconciliation for same-currency payments

After bills are paid through Apron, the only action you'll need to take is to click OK to complete the reconciliation. This automatic reconciliation only applies if the pay run is in the same currency as all the bills paid within it (GBP bills paid in the GBP-funded payrun, USD bills paid in the USD-funded payrun).

Large payment runs (over 200 invoices)

If your payrun includes more than 200 invoices, we'll create multiple batch transactions in Xero that will require similar reconciliation.

Example:

  • Payrun included 350 invoices, all paid in Apron (total £35,000)

  • Apron creates 2 batch transactions in Xero (right side of the screen) – one for 200 invoices, another for 150 invoices

  • You need to match the bank statement transaction (£35,000) with both batches

Multi-currency payment reconciliation

If your pay run includes invoices in other currencies, you'll need to reconcile manually:

  1. Click Find & Match

  2. Search for the bills by payrun reference

  3. Select the bills until the bank transaction amount on the left matches the value of the paid invoices on the right

  4. Click OK to complete the reconciliation

Payroll payment reconciliation

If you're also processing payroll payments with Apron, you'll need to reconcile these manually. Payroll payments are processed by manually uploading a file, meaning there's no reference in Xero showing who received which transfer.

Common reconciliation issues

If things don't match up:

  • Bank feeds not connected for new accounts

  • Payment amounts changed after creating a payment in Apron

  • Manual changes made in Xero

  • A disconnection of your Apron account

Quick fixes

  • Check your Apron integration is still connected

  • Set up bank feeds for new payment methods

  • Don't change payment amounts in Xero after creating in Apron

  • Contact us if reconciliation stops working

Best practices for smooth reconciliation

  • Keep your Apron connection active

  • Set up bank feeds for all payment methods

  • Avoid modifying synced bills in Xero

  • Check reconciliation monthly

  • Review unmatched transactions regularly

Need help? If you're experiencing reconciliation issues, get in touch via the in-app chat, and we'll help you sort it out.

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