Before you begin, make sure you:
Ensure all participating companies are connected to GATHER.nexus
Verify Xero integration is active for relevant entities
Have your intercompany account mapping established
Understand which tracking categories (if any) you want to include
Know the reconciliation period you want to analyse
How to access Intercompany Reconciliation
From your GATHER.nexus dashboard, navigate to the Group Financial Control section
Click on the Intercompany Reconciliation tile
You'll be redirected to the main listing screen showing existing reconciliations
Starting a new reconciliation workflow
Click the Perform button in the top right corner to begin creating a new intercompany reconciliation
The system will guide you through a 5-step configuration process:
Name the Reconciliation
Choose the Companies
Choose the Accounts
Choose the Currency
Select the Reconcile Period
Step 1: Name the reconciliation
Purpose: Create a clear identifier for your reconciliation workflow that will help you track and manage multiple reconciliation processes.
Process:
In the "What would you like to call this workflow?" field, enter a descriptive name
Use clear, meaningful names that include the period and scope
Examples:
"Q1 2025 Full Group Reconciliation"
"January 2025 UK-AU Intercompany"
"Monthly Sales Reconciliation - March 2025"
Complete the step:
Enter your reconciliation name
Click Save & Next to proceed to company selection
Click Cancel to abort the process
Step 2: Choose the companies
Selection methods:
From Group (Recommended)
Click the From Group tab (highlighted in green)
Select your group from the "Select the Group" dropdown (e.g., "Demo Nexus")
This streamlines selection by showing only companies within your chosen group
Ideal for managing reconciliations across multiple related companies
Direct Selection
Click the Direct Selection tab for individual company selection
Provides flexibility when reconciling entities across different groups
Shows all available companies regardless of group structure
Company configuration:
From Company Selection:
You can select multiple From companies (entities that originated transactions)
Each company tile displays the company name and currency (e.g., "Demo Nexus UK - Currency: GBP")
Use the search functionality to quickly locate specific entities
To Company Selection:
You can select multiple To companies (entities that received transactions)
Shows available recipient companies with currency information
Essential constraint: You cannot select the same company in both From and To sections
Complete the step:
Select your From companies (transaction originators)
Select your To companies (transaction recipients)
Click Save & Next to proceed to account selection
Step 3: Choose the accounts
Account selection for each company:
The system displays separate account configuration panels for each selected company, showing:
Company name and currency (e.g., "Demo Nexus UK - Currency Code: GBP")
Chart of Accounts dropdown for selecting relevant intercompany accounts
Add new Row functionality for multiple account inclusion
Chart of Accounts configuration:
Click the "Select Chart of Account" dropdown for each company
Choose the relevant intercompany account from your Xero chart of accounts
Examples:
"265 - Intercompany sales" (for sales transactions)
"360 - Intercompany Purchase" (for purchase transactions)
Use "+ Add new Row" to include multiple accounts per company
Tracking Category enhancement:
Purpose: Filter reconciliation to include only transactions with specific tracking categories, enabling more granular reconciliation control.
Configuration process:
Review the Tracking Category / Classes section for each company
Click Enable to activate tracking category filtering
The system explains: "Enhance your intercompany reconciliation by filtering transactions using Xero's Tracking Categories or QuickBooks Online's Classes"
Tracking Category selection:
Once enabled, tracking categories appear below each company's account selection
Select specific tracking categories (e.g., "AU", "CA") using the dropdown selectors
Use the minus (-) button to remove unwanted tracking categories
Click "+ Add new Row" to include additional tracking categories
Use Disable link to turn off tracking category filtering if not needed
Advanced tracking features:
Support for multiple tracking categories per company
Xero integration pulls active tracking categories automatically
QuickBooks Online classes integration for enhanced filtering
Complete the step:
Configure chart of accounts for all selected companies
Enable and configure tracking categories if needed for granular control
Review all account and tracking selections
Click Update & Next to proceed to currency selection
Step 4: Choose the currency
Multi-currency reconciliation management:
Purpose: Define the reporting currency for your reconciliation, especially critical when reconciling entities with different base currencies.
Currency considerations:
Participating companies may have different base currencies
The reconciliation currency determines how all amounts are displayed and compared
Currency conversion is handled automatically by GATHER.nexus
Exchange rate differences are clearly identified and reported
Configuration process:
Review the currencies of your selected companies
Choose the appropriate reconciliation reporting currency
Complete the step:
Select your reconciliation currency
Consider the impact on reporting and analysis
Click Update & Next to proceed to period selection
Step 5: Select the reconcile period
Period configuration:
Purpose: Define the specific timeframe for your intercompany reconciliation analysis.
Date selection:
Start Date: Choose the beginning of your reconciliation period
End Date: Select the end of your reconciliation period
Consider common periods such as:
Monthly reconciliations (e.g., 01/01/2025 to 31/01/2025)
Quarterly reconciliations (e.g., 01/01/2025 to 31/03/2025)
Annual reconciliations (e.g., 01/01/2025 to 31/12/2025)
Custom periods for specific analysis needs
Period planning considerations:
Align with your group reporting calendar
Consider month-end cut-off procedures
Complete the configuration:
Select your start and end dates
Verify the period captures all relevant transactions
Click Update & Next to proceed to the reconciliation analysis
The system will redirect you to the main reconciliation screen
The detailed reconciliation analysis screen
After completing the 5-step configuration, you'll be redirected to the detailed reconciliation screen - the heart of the intercompany reconciliation process where you analyse, match, and resolve transaction discrepancies.
Understanding the reconciliation interface
Two-panel layout:
Left side: From Company transactions (entities that originated transactions)
Right side: To Company transactions (entities that received transactions)
Central reconciliation: Visual matching and balancing between panels
Currency management and viewing options
Dynamic currency switching:
Click "Change" next to the currency display (e.g., "Great British Pound (GBP)")
Select alternative viewing currency (e.g., "United States Dollar (USD)")
The system displays "FOR VIEW PURPOSE ONLY" when switched
All amounts automatically convert using appropriate exchange rates
Important: Currency switching is for display only - you cannot reconcile transactions in a different currency than configured
Period extension functionality:
Click "Extend" next to the Reconcile Period dates
Modify the end date to include additional transactions and click on change to save the extended date.
Extending brings in more transactions that fall within the expanded period
Navigation and filtering controls
Transaction status tabs:
Unreconciled (Active): Shows all pending transactions requiring reconciliation
Reconciled: Displays all successfully matched and reconciled transactions
Exclude: Contains transactions you've intentionally excluded from reconciliation
Transaction Date Range filtering:
Use the date range selector to focus on specific periods
Helps manage large volumes of transactions systematically
Advanced filtering:
Click the "Filters" button to access detailed filtering options
Filter panel includes:
Company selection: Choose specific From and To companies
Chart of Account: Filter by specific account types (e.g., "Intercompany sales 5")
Tracking Category: Filter by tracking categories configured in setup
Configuration logic:
Left side controls From Company filtering
Right side controls To Company filtering
Apply different filters to each side for sophisticated analysis
Transaction analysis and matching
Transaction identification:
Search functionality: Use search bars to locate specific transactions quickly
Visual coding:
Green highlighting: Matching amounts between companies
Orange highlighting: Discrepancies requiring attention (if the amounts are not matching then clicking on the Reconcile will allow you to post the manual adjustment journal and complete the reconcile).
Amount display: Clear debit/credit presentation for each transaction
Detailed transaction information:
Date: Transaction posting date in each company
Description: Transaction reference (e.g., "Accounts Receivable Invoice 73")
Amounts: Debit and credit values in reconciliation currency
Exchange rate details: Applied rates and conversion information
Transaction actions:
View button: Click to redirect to specific transaction in Xero
Selection checkboxes: Choose transactions for reconciliation or exclusion
Transaction matching: Click transactions on both sides to create matches
Exchange rate management
Multi-currency reconciliation options: For companies with different base currencies than the reconciliation currency:
Transaction Date Rate (Txn Date Rate):
Uses exchange rate from original transaction date
Month End Exchange Rate:
Applies month-end rates for period reconciliation
Useful for month-end closing processes
Monthly Average Exchange Rate:
Uses average rates for the month
Matches with approach in the Consolidated P&L
Specific Date Rate:
Allows custom date selection for exchange rate application
Provides flexibility for special circumstances.
Exchange rate controls:
"Change" button: Modify exchange rate selection for each transaction
Rate display: Shows applied exchange rate information
Conversion clarity: Transparent rate application for audit purposes
Creating transactions from reconciliation
Add Transaction functionality:
Click "+ Transaction" button to create new entries
Invoice creation: Generate invoices directly to Xero
Journal entry creation: Create manual journal entries for adjustments
Invoice posting process:
Customer details: Select customer name from dropdown
Transaction details: Configure date, due date, currency
Item configuration: Description, quantity, rate, discount, account, tax rate
Supporting documentation: Add notes and attachments (PDF, PNG, docx, xlsx, JPEG)
File upload: Drag & drop or click to upload (25 MB maximum)
Integration: Direct posting to Xero with "Post to Xero"
Manual journal entry process:
Journal configuration: Narration, date, tracking category, amount treatment
Account selection: Choose appropriate chart of accounts
Debit/Credit entry: Configure balanced journal entries
Multi-line support: Add multiple account lines as needed
Documentation: Notes and attachments for audit trail
Xero integration: Direct posting with "Post to Xero"
Reconciliation workflow management
Transaction matching process:
Select transactions: Use checkboxes to choose matching transactions
Visual confirmation: System highlights matched pairs
Amount validation: Green for matches, orange for discrepancies
Exclusion management:
Exclude transactions: Move unmatched items to "Exclude" tab
Review exclusions: Use "Exclude" tab to review excluded items
Re-include functionality: Move excluded items back to "Unreconciled" if needed
Exclusion rationale: Document reasons for excluding transactions
Completion and finalisation
Save and reconcile options:
"Save and Reconcile Later": Preserve progress and return later
"Finish Now": Complete reconciliation regardless of remaining unmatched transactions
Progress tracking: System maintains reconciliation status and history
Reconciliation validation:
Balance verification: Ensure total debits equal total credits
Match completeness: Review percentage of transactions reconciled
Exception reporting: Document unmatched or excluded items
Audit trail: Maintain complete reconciliation history
Common questions
Q: Can I select the same company as both From and To?
A: No, the system prevents selecting the same company in both sections to avoid circular reconciliation logic.
Q: What happens if companies have different base currencies?
A: GATHER.nexus automatically handles currency conversion using the reconciliation currency you specify. All amounts are converted for consistent comparison.
Q: How do tracking categories improve reconciliation?
A: Tracking categories allow you to filter transactions to specific departments, projects, or business units, enabling more granular and meaningful reconciliation analysis.
Q: Can I modify the configuration after starting?
A: Yes, you can update the configuration, but there are some restrictions:
If any reconciliation work has been undertaken, you cannot deselect existing selections, but you can add companies and ledger codes.
If no reconciliation work has been undertaken, you can add or remove Companies and ledger codes from the configuration.
The reconciliation currency cannot be updated once set.
The start date cannot be edited if any transaction has been reconciled. If no transactions have been reconciled, you can edit the start date.
The end date can always be updated, regardless of the status of the reconciliation work.
Q: What if I don't see the accounts I need?
A: Ensure your Xero integration is active and accounts are properly mapped. The system pulls directly from your connected Xero chart of accounts.