Why Add Your Accountant to Xero?

Before we dive into the how-to, let's understand why adding your accountant to Xero is beneficial:

1. Real-time collaboration: Your accountant can view and work on your financials in real-time, providing timely advice and support.
2. Improved accuracy: With direct access, your accountant can spot and correct errors quickly, ensuring your financial records are accurate.
3. Efficient tax preparation: Direct access to your Xero account streamlines the tax preparation process.
4. Better financial insights: Your accountant can generate and analyze reports directly from your Xero data, offering valuable business insights.
5. Time-saving: Eliminates the need to manually share financial reports or grant access to your account repeatedly.

Step-by-Step Guide to Adding Your Accountant to Xero

Follow these detailed steps to add your accountant to your Xero account:

Step 1: Log in to Your Xero Account

1. Open your web browser and go to the Xero login page (https://login.xero.com/).
2. Enter your email address and password.
3. Click "Log in" to access your Xero dashboard.

Step 2: Navigate to User Management

1. Once logged in, look for your organization's name in the top left corner of the screen.
2. Click on your organization's name to open a dropdown menu.
3. Select "Settings" from this dropdown menu.
4. In the Settings menu, under the "General" heading, click on "Users."

Step 3: Initiate the Invite Process

1. On the Users page, look for a button labeled "Invite a user" or "Add user" (the exact wording may vary).
2. Click this button to start the process of adding a new user to your Xero account.

Step 4: Enter Your Accountant's Details

1. In the invitation form, enter your accountant's details:some text
   • First Name
   • Last Name
   • Email Address (ensure this is correct as the invitation will be sent here)
2. Double-check the email address to avoid any typos that could prevent your accountant from receiving the invitation.

Step 5: Set User Permissions

1. Under the "Give them access to" section, you'll see various options for user roles and permissions.
2. For an accountant, you typically want to select the following:some text
   • Tick "Business and accounting"
   • Select "Advisor" role
3. After selecting "Advisor," ensure you tick all empty boxes under this role. This typically includes:some text
   • Manage users
   • Manage bank accounts
   • Manage chart of accounts
   • Manage fixed assets
   • Manage tracking categories
   • Manage inventory items
   • Manage quotes
   • Manage contacts
   • Manage bills
   • Manage sales invoices
   • Manage bank account reconciliation
   • Manage expense claims
   • Manage budgets
   • Manage reports
   • Manage accounting periods
   • Manage manual journals
   • Manage expected payments
   • File tax returns
4. If your Xero subscription includes Payroll, you may also want to tick "Payroll admin" to give your accountant access to payroll functions.

Step 6: Review and Send Invitation

1. Review all the details and permissions you've set to ensure they're correct.
2. If you wish, you can add a personal message to your accountant in the invitation.
3. Once you're satisfied with the settings, click "Send invite" or "Invite user."

Step 7: Accountant Accepts Invitation

1. Your accountant will receive an email invitation to join your Xero organization.
2. They need to click on the link in the email and follow the prompts to accept the invitation.
3. If your accountant already has a Xero account, they can add your organization to their existing account.
4. If they don't have a Xero account, they'll need to create one to accept the invitation.

What Happens After Your Accountant Accepts the Invitation?

Once your accountant accepts the invitation:

1. They will have immediate access to your Xero organization with the permissions you've granted.
2. They can log in to Xero and switch between different client organizations they have access to.
3. You'll see your accountant listed as a user in your Xero organization.
4. Your accountant can start working on your financials, reviewing transactions, and providing advice.

Best Practices for Managing Accountant Access in Xero

To ensure a smooth and secure collaboration with your accountant in Xero:

1. Regular communication: Establish clear communication channels with your accountant about how you'll use Xero together.
2. Review permissions periodically: Regularly review the permissions granted to ensure they're still appropriate.
3. Use Xero's activity log: Familiarize yourself with Xero's activity log to monitor actions taken within your account.
4. Secure your account: Ensure you and your accountant use strong, unique passwords and enable two-factor authentication for added security.
5. Educate your team: If you have other team members using Xero, ensure they understand the role of your accountant and the importance of maintaining data integrity.

Common Questions and Concerns

Q: Is it safe to give my accountant access to my Xero account?

A: Yes, it's safe when done correctly. Xero is designed with multiple user access in mind, allowing you to control exactly what your accountant can see and do. The advisor role is specifically designed for accountants and bookkeepers, providing them with the necessary access while maintaining appropriate boundaries.

Q: Can I restrict my accountant's access to certain parts of my Xero account?

A: Yes, you can customize the permissions granted to your accountant. While the advisor role typically grants comprehensive access, you can modify individual permissions if needed. However, restricting access too much may limit your accountant's ability to provide comprehensive services.

Q: What if I want to remove my accountant's access in the future?

A: You can easily remove or change your accountant's access at any time. Simply go to the Users section in your Xero settings, find your accountant's user profile, and either modify their permissions or remove their access entirely.

Q: Can my accountant access my Xero account after our professional relationship ends?

A: Once you remove their access, your accountant will no longer be able to log into your Xero organization. However, any data they may have downloaded or reports they generated while they had access will still be in their possession, so it's important to have clear agreements about data handling.

Q: Will adding my accountant to Xero cost extra?

A: Generally, adding your accountant as a user to your Xero account doesn't incur additional costs from Xero. However, your accountant may charge for their services, including time spent working in your Xero account.

Troubleshooting Common Issues

Issue: Accountant Didn't Receive the Invitation

1. Check if the email address was entered correctly.
2. Ask your accountant to check their spam or junk folder.
3. Resend the invitation from the Users section in Xero settings.

Issue: Accountant Can't Access Certain Features

1. Review the permissions granted to ensure all necessary boxes are ticked.
2. Ensure your Xero subscription includes the features your accountant needs access to.

Issue: Multiple Accountants or Changing Accountants

1. You can add multiple accountants to your Xero account if needed.
2. When changing accountants, remove access for the old accountant before adding the new one.

Maximizing the Benefits of Accountant Access in Xero

To get the most out of having your accountant on Xero:

1. Regular check-ins: Schedule regular meetings with your accountant to review your financials and discuss any issues or opportunities they've identified.
2. Utilize Xero's collaboration features: Take advantage of Xero's notes and discussion features to communicate about specific transactions or reports directly within the platform.
3. Seek proactive advice: Encourage your accountant to use their access to provide proactive financial advice and insights.
4. Leverage reporting capabilities: Work with your accountant to set up custom reports that provide valuable insights for your business.
5. Continuous learning: Use this collaboration as an opportunity to learn more about your finances and how to better use Xero for your business.

Conclusion

Adding your accountant to your Xero account is a straightforward process that can significantly enhance your financial management and decision-making. By following the steps outlined in this guide and adhering to best practices, you can establish a secure and efficient collaboration with your accountant through Xero.

Remember, the key to a successful partnership with your accountant on Xero lies in clear communication, appropriate access management, and leveraging the platform's features to their fullest. With your accountant seamlessly integrated into your Xero workflow, you're well-positioned to maintain accurate financial records, gain valuable insights, and make informed business decisions.

By embracing this collaborative approach to financial management, you're not just streamlining your accounting processes – you're setting your business up for greater financial clarity and success. So, take the step to add your accountant to Xero today, and unlock the full potential of this powerful accounting platform for your business.

Citations: [1] https://vintti.com/blog/how-to-set-up-users-in-xero-managing-access-and-permissions/ [2] https://www.youtube.com/watch?v=n9mG18Ik34c [3] https://www.youtube.com/watch?v=i3jGNHk8O7A [4] https://www.saasant.com/blog/comprehensive-guide-to-user-roles-and-permissions-in-xero/ [5] https://www.process.st/how-to/add-user-in-xero/ [6] https://bizally.com.au/how-do-i-give-my-accountant-access-xero