The Business Advisory Blog

The Business Advisory Blog

Insight, news and updates from Alliott NZ Chartered Accountants, Auckland New Zealand. The views expressed here are the views of the author and should be discussed in further detail should an article be relevant to your individual circumstances.

While every effort has been made to provide valuable, useful information in this publication, this firm and any related suppliers or associated companies accept no responsibility or any form of liability from reliance upon or use of its contents. Any suggestions should be considered carefully within your own particular circumstances, as they are intended as general information only.

Natalie Allan
Published on

Do you dread that day of the week? Going through which clients haven’t paid, sending each and every one an overdue notice.

paid-655Xero can automatically email reminders to your customers without you having to lift a finger.

You can select one of Xero’s pre-determined options of 7, 14 or 21 days overdue. Or you can customise your own to suit your business needs. It’s that simple.

To help, here are some common questions and answers before you look setting up the functionality in Xero:

“Some customers have outstanding bills so small it would not be a good look to be seen as nagging for such a small amount”

Don’t worry, you can set a minimum balance so if it is under that amount, no reminder will go out.

“Does this mean I am going to get emails from customers asking for copies of the overdue invoices?”

Don’t worry, you can select to have the invoice attached as a PDF in the email.

“Can I direct any replies regarding the overdue invoices to go to my accounts team?”

Don’t worry, you can select which email address you would like any replies to be sent to.

Can Xero get it wrong? I don’t want customers spammed with reminders when they don’t actually have any overdue invoices.”

Don’t worry, Xero will get it right! However it is up to you to ensure your debtors are correct. Make sure you do regular checks of accounts receivables. Ensure your repeat invoices are correct. Check that any credit notes are issued and up to date.

How do I set it up?

Follow these quick clicks in Xero:

  1. Settings - General settings - Invoice settings - Invoice reminders
  2. Select which options best suit you.
  3. Save

TIP: make sure your Xero coding is up to date. You don’t want reminders being sent to those customers that have already paid!

Contact Alliotts in Auckland today for a free trial and to speak to one of our Xero certified advisors about how to get the most out of Xero for your business.

Topics: debtors invoices managing debtors receivables reduce paperwork Xero