Batch Payments

With Xero, paying monthly invoices is as simple as a few clicks of the mouse.

If you are on Xero Business Edition, you have the ability to enter monthly purchase invoices into Xero. In addition, you also have the ability to create batch payments which allows you to pay all your invoices in one bulk payment in conjunction with your online banking.

The process is very simple and can cut down the time spent on paying creditors (sometimes individually) each month.

The first step is to ensure that within Xero Contacts you have included each supplier’s bank account details. These can be entered at the bottom of the page when you edit a contact. As per below, there is a special section for batch payment details.

The second step is to go to purchases and bills that are awaiting payment. From here, you can select the bills you want to pay and click on the batch payment button at the top.

From the next screen you will need to select the payment date you want the invoices to be paid (bearing in mind that the date doesn’t fall on the weekend), the bank account that they will be paid from and the details that you want to appear on your bank statement.

Here you also have the option to add any details that you need to include for the supplier’s reference or if you don’t have a bank account already loaded for the contact, you can still include this at this stage.

The next screen will then allow you to “Export Batch File” which will download it into a format to be imported into your online banking. You also you have the ability to send a remittance to your supplier.

From here, you will need to login to your internet banking and set up a bulk payment by uploading the file you have exported from Xero.

Here are some instructions for processing your batch through the ANZ and ASB Banks:

ANZ = Sign in, select Batches up the top of page – Create New – Bulk load Domestic Payments – find where you saved your batch on your desktop and import – Enter the Due date, A/c number, Charges to A/c number, and select single Debit/Multiple credit line (this will show the suppliers invoices due as one line per supplier and will automatically reconcile as batch payment), approve batch. Move batch to the frozen section to print off and get the directors to put their net code and signatures. Once you have this, select batch and authorise, enter details.

ASB = Sign in, select payments up the top of the page – Creditors down left hand side – Import down bottom – choose file – import - Check and save batch. Email the client or Directors and advise that batch is ready for them to approve.

Each bank has a different batch payments process so if you need help, either call your WK advisor or your local bank.

Once the batch payment has been made through internet banking and the transaction comes through Xero live feeds, it will match with the batch payment you created in Xero and all you need to do is click OK!

For more information, watch this Xero video or give the team at WK a call and they will be more than happy to assist.