how to invoice in xero

3 min read

How to invoice in Xero

Check out our quick guide on e-invoicing in Xero. Learn more about types of invoices and their creation in Xero accounting software.

Liudmyla Savina
Liudmyla Savina

Xero is a comprehensive platform for accounting process optimization. It helps SMBs worldwide automate bookkeeping operations, manage corporate finance, track projects, generate insightful reports on business spending, and much more.

Among all options mentioned above, Xero allows you to manage the company's payment process using the invoice module. Let's figure out what is e-invoices in Xero and how to generate these financial documents.

What is e-invoicing in Xero?

An e-invoice is an electronic financial document used by the seller (vendor) and the buyer to record transactions. It's a digital form of billing that confirms an agreement between both parties. Usually, it contains the following information:

  • Invoice ID
  • Issue date and due date
  • Overall information of both seller and buyer (company's name, address, and additional contacts)
  • Payment terms and conditions
  • A list of provided goods or services
  • The total amount, including tax
  • Additional notes

Types of invoices in Xero you can create

There are two variants of invoices in Xero: classic and new. Both of them represent the usual invoice with all the required fields such as ID, issue and due dates, contact information, etc. The difference is in the number of features related to invoice operations.

New invoicing in Xero allows adjusting a one-step approval process, setting up customer credit limits, adding a delivery address, and more. Besides, they simplify and speed up the process of invoice creation even further.

In the case of new invoicing, you don't need to fill in all information while adding a new contact. All data will be displayed and saved automatically. With classic invoicing, you should do it manually.

How to create the invoice in Xero?

Xero classic invoicing

1. Click the "Business" button in the header and select the "Invoices" module.

xero classic invoicing step 1

2. Select whether you want to create the one-time or repeating invoice.

xero classic invoicing step 2

3. Fill in all the required details.

xero classic invoicing step 3

4. Select how you want to save the created invoice.

xero classic invoicing step 4

5. Attach additional files you want to include with the invoice.

xero classic invoicing step 5

6. Assign items to the project if it's necessary.

xero classic invoicing step 6

7. Select the suitable approval option.

xero classic invoicing step 7

Xero new invoicing

  1. Click the "Business" button in the header and select the "Invoices" module.
  2. Select whether you want to create the one-time or repeating invoice.
  3. Click on the "Switch to new invoicing" to change the invoice version.
xero new invoicing step 3

4. Enter the contact name in the "To" field.

xero new invoicing step 4

5. Click on the empty field to add required items from the list.

xero new invoicing step 5

6. Select whether you want to save or approve & email your invoice in the upper right corner.

xero new invoicing step 6

Automated invoicing and faster documents approval with Precoro Integration

Invoicing is just one part of the whole purchasing process. To make it as smooth as possible, it's essential to sync finance and procurement teams.

Direct Precoro integration with Xero is designed to optimize your purchasing workflow, improve spending visibility, and prevent bottlenecks in communication between departments.

Eliminate manual data entry by creating financial documents in Precoro and syncing them with your Xero account in mere minutes. Import chart of accounts, tracking categories, suppliers, items, and tax rates anytime.

Check out other benefits of direct Precoro integration with Xero, or contact your dedicated customer success manager for more information.

Integration Tips

Liudmyla Savina

Content Marketer in Precoro