XERO is one of the world’s leaders of accounting software. Every Cryptio client can now automatically connect their XERO account to Cryptio so that they can push transaction data automatically saving both time and money on the accounting process.
STEP 1: Connect Xero to Cryptio
Go to the Settings section on the Cryptio platform and select ‘Account Integration.’ There you will see a blue button which says ‘Sign in to your XERO account’, click this.
XERO will automatically open and ask you to log in. Once logged in XERO will request your consent for data transferability between Cryptio and XERO. Select the account you want to connect, then click ‘Allow Access’.
STEP 2: Import your Xero Chart of Accounts
The Classification section on Cryptio will automatically open, and the option to sync your Chart Of Accounts to XERO will appear. Click on the blue button titled ‘Sync Chart Of Accounts With XERO’.
A pop-up window will appear, and here you can import automatically through the API the Accounts from the XERO Chart Of Accounts. Select the accounts you want to import that is linked to your crypto activity click ‘Save’.
STEP 3: Map your Defaults accounts & Assets with accounts
1) Below the Chart Of Accounts section, we have a dedicated section for ‘Default Accounts’ that is an automation tool that can be applied to most used accounts that have frequent transactions.
- The ‘Gains’ part allows users to connect all transactions that are classified as gains to a default Chart of Accounts e.g. 496 - Gains & Losses.
- The ‘Losses’ part allows users to connect all transactions that are classified as losses to a default Chart of Accounts e.g. 496 - Gains & Losses.
- Lastly, the ‘Fees’ allows users to connect all transactions that included fees to a default Chart of Accounts e.g. 404 - Bank Fees.
2) Once the accounts are imported, map the accounts that are related to a single asset. For instance, map all the asset accounts that are linked to a single asset (BTC Asset Account to BTC, ETH Asset Account to ETH…).
This will help the system recognize which account should be credited and debited in case of a trade. (If you have 2 assets accounts for a specific trade and you do not tell the system which account is linked to which asset, the system will be unable to produce the entry!).
Great, you have successfully synced your Chart Of Accounts, and now the Cryptio system can use them to create Journal Entries. You should see all the Accounts you have imported, their code, name, type, and description as well mapped assets.
STEP 4: Map transactions with their related accounts
Now what you need to do is to navigate to the transaction section, and start assigning the relevant transactions to their respective accounts.
How to map income and expense accounts?
Income and expense accounts are represented by labels: consulting revenue, staking rewards, employee expenses...
To learn more about how to label transactions click here.
Use the Filter button to select all the transactions associated with a specific Label, for example, ‘Consulting Revenue’. So the intention here is to push all transactions that are labelled ‘Consulting Revenue’ to the appropriate Accounts in XERO.
All transactions that have been labelled “Consulting Revenue’ will appear. By looking at the ‘Status’ column, you can see whether or not the transaction has synced to XERO.
To do so, at the top of the page select ‘All’ transactions, click on the ‘Chart of Accounts’ dropdown menu and select the two related accounts e.g. BTC Asset Account and Other Revenue Account, then click ‘Apply’.
How to map assets (current assets, banks...)?
Asset accounts are here to keep track of crypto assets movements. Usually, companies chose to have 1 asset account per coin: one BTC Asset Account, one ETH Asset account...
Use the Incoming/Outgoing Asset Filter button to select all the transactions associated with a specific asset, for example, ‘BTC’. So the intention here is to push all transactions that are labelled ‘Consulting Revenue’ to the appropriate Chart of Accounts in XERO. To learn more about how to label transactions click here.
To do so, at the top of the page select ‘All’ transactions, click on the ‘Chart of Accounts’ dropdown menu and select the related account e.g. BTC Asset Account , then click ‘Apply’.
STEP 5: Push journal entries to Xero
Once you've mapped the accounts with transactions, double-check transactions have connected to the right account by double-clicking on a transaction and view the ‘Chart of accounts’ box. If both pre-chosen accounts appear, the transactions are ready. Click on the ‘SYNC TRANSACTIONS WITH XERO’ button located on the top right of the page to push the transactions to XERO as a manual journal.
Notice the status change of the status icon. It should have a green tick indicating the transactions have synced successfully. If an ‘Error’ prompt occurs double-check, you have selected the right two accounts two.
Lastly, verify on Xero:
The final step requires you to go first to the ‘Journal Reports’ section on XERO, found through the ‘Accounting’ tab. Once at Journal report click on the ‘Manual Journal’ under ‘Drafts’ this allows you to verify all the imports from Cryptio into XERO, click on each one, double-check the right accounts been credited/debited and click ‘Post’ and you are done!
If you have any questions, feel free to reach out to us!