Questions about Xero functionality | AccountingWEB

Questions about Xero functionality

I use QuickBooks 2008 (local PC version) to run my small consultancy business and have found it to be more than capable of meeting our needs. But there is a lot of fuss about Xero (and web based accounting systems generally) in the press so I thought I would evaluate it by signing up for a trial [before Intuit figures out another way to get me to upgrade :) ].

I found Xero very easy to get into, setup and use but I have run into a few 'difficulties' and I wonder if any Accounting Web readers (or Xero!) might be able to tell me where I am going wrong? Many thanks in advance!

I would like a two-level Chart of Accounts so that some accounts are sub-accounts of others. Is this possible?

What is the purpose of the account numbers (e.g. 200 Sales). Why not just have Sales? The numbers do not appear to determine where the account 'sits' in the P&L.

I want to report all P&L transactions for a certain analysis code e.g. Salesman=Fred. I can see the mechanism to categorise transactions (tracking) but none of the transactional reports then allow you to select by tracking code.

If I must have account numbers then I want to be able to report on a range of accounts e.g. accounts 500 to 599. But none of the reports allows filtering / selection of data by a range of accounts. This is related to my question (above) as to the purpose of the account numbers.

Finally, the expense claim facility seems odd to me. My process is to journal the expenses into the relevant expense accounts with the balancing entry as the relevant director's Directors Loan account. We then periodically clear the Directors Loan accounts using a bank to D/L transaction. The expense processing in Xero appears to expect payment in cash to be the clearing mechanism which does not work well for directors who may have numerous entries in their D/L before the account is cleared.

Possibly I am missing the point somewhere, but unless I am missing the point, the functionality and particularly the reporting in Quickbooks (local PC software) seems to be ahead.

Any advice gratefully received.

Happy new Year everyone!





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Let's start with the account

Catherine-Xero |
Catherine-Xero's picture

Thanks for the tips!

Captainblack |
Captainblack's picture