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- Sep 9, 2010
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Hi all, as you will soon see, im not an accountant 
but rather a small business owner. Im having a few problems using Xero, well not with the software itself but rather my ability to use it properly and am looking for some advice.
Example: Rent: I receive no invoice for my rent and pay it by check at the end of every month, however, due to cash flow restrictions i may not pay it until say the 15th of the following month.
As I dont receive an invoice, I dont create an invoice in Xero and so the only other way to enter the payment is to create a "spend money" transaction from my bank account. I would do this for the date that i paid the money. Looks great from a cash flow perspective but kinda messes up my P&L as it would be shown for the wrong month, so e.g if i paid one month late and the following month on time, my P&L would show double payment for one month and zero for the previous.
Im probably making this into a bigger problem than it is, but how would anybody recommend fixing this? Just enter an accounts receivable invoice? even though no such document exists?
Hope i explained the problem ok as this is really bugging me
Any help appreciated
G
but rather a small business owner. Im having a few problems using Xero, well not with the software itself but rather my ability to use it properly and am looking for some advice.Example: Rent: I receive no invoice for my rent and pay it by check at the end of every month, however, due to cash flow restrictions i may not pay it until say the 15th of the following month.
As I dont receive an invoice, I dont create an invoice in Xero and so the only other way to enter the payment is to create a "spend money" transaction from my bank account. I would do this for the date that i paid the money. Looks great from a cash flow perspective but kinda messes up my P&L as it would be shown for the wrong month, so e.g if i paid one month late and the following month on time, my P&L would show double payment for one month and zero for the previous.
Im probably making this into a bigger problem than it is, but how would anybody recommend fixing this? Just enter an accounts receivable invoice? even though no such document exists?
Hope i explained the problem ok as this is really bugging me
Any help appreciated
G