This is one of our most frequently asked questions so we thought we would pop this in here.
Coding bank transfers in Xero can be done easily when both bank accounts are in the Xero file.
Below are the steps for creating transfers from the bank reconciliation screen.
- On the bank reconciliation screen, for the bank statement line you want to reconcile, select the Transfer tab.
- Select the bank account:
- If the statement line shows funds spent, select the bank account or credit card you transferred the money to.
- If the statement line shows funds received, select the bank account you transferred the money from. (Optional)
- Enter a reference for the transfer transaction.
- Click OK. Once you've reconciled the transfer transaction in one bank account, go into the corresponding bank account and reconcile the other side of the transfer transaction. Here's a link to show you more on transfers from Xero.