How to record purchase invoices in Xero

Xero is one of today’s most widely used and effective pieces of accounting software. Its extensive list of features allows everything from simple bookkeeping to full financial management for businesses of all sizes. When using Xero software, one regular task you will need to complete is processing your purchase invoices. 

Continue reading for details on how your business can benefit from recording purchase invoices with Xero. 

The benefits of using HUBDOC with Xero to upload your purchase invoices 

Gone are the days of manually inputting details of your business purchases and filing stacks of paperwork away in your records. Nowadays, business owners have many options when it comes to invoice software. Hubdoc is a data capture tool which extracts key data from documents and then creates transactions in Xero. You can: 

• Email bills and receipts straight into your Hubdoc organisation 
• Use the mobile app to upload a photo 
• Set up direct connections so that every time you get a bill from a particular supplier it goes straight into Hubdoc 

As soon as Hubdoc receives a document, it extracts the key data such as contact, date and amount. When you publish the document, Xero creates the invoice, bill, credit note, or spend money transaction with a copy of the document attached. You therefore have all the necessary information in one place, which can then be placed in digital storage. 

You can set up Hubdoc to automate every step for maximum efficiency. All you need to do is reconcile the transaction against your bank statement line in Xero, with the interface having buttons clearly labelled ‘Find & Match’. This is particularly useful if you get regular bills from the same supplier. 

Hubdoc also stores documents, so you don’t need to keep paper copies of bills and receipts. You can organise the documents in Hubdoc using tags and folders or send them to another cloud storage system your business might use, such as BILL or Dropbox. This means you can set up an organised storage system by integrating HUBDOC and Xero into your business’s existing infrastructure. 

 Jan McDermott Chartered Accountants offers professional Xero implementation and training so your business can access these benefits and many more.