22 January 2024
2 simple tips you can do now in Xero to avoid double bill payments.
Paying a bill out of Xero involves a combination of the below.
Auto direct debit from your bank account by your supplier/biller; and/or
Manually via export of ABA files; and/or
Manual input of BPAY details into internet banking; and/or
*NEW* Automatically out of Xero (using the 'Planned date' function)
Each method have their own merit and ease but when a mix of different methods are used, the chances of accidentally making double payment increases.
Potential risk of doubling your bill payments:
Issues arise when your supplier/biller list grows and you lose track of which bills are on direct debit and which require manual payments.
e.g. Bills paid via direct debit remains outstanding in Xero which leads to either missed payments or worst, double paying your bills.
But there are some simple ways to organise your Xero to avoid this issue.
Tip 1: Flag your contacts:
Flag your Xero Contact Name to highlight the ones on Direct Debit - refer to screen shot below.
Now when your bills are sitting in the Awaiting Payment queue in Xero, it's clear you don't need to manually pay this bill.
Easy to implement, highly effective. 👇
Easy win.
Tip 2: Use Parakeet to Automate the other bills (*new*):
Once you implemented Tip 1, you can now easily see the bills you need to pay.
You now have 2 options:
Pay it manually (i.e. using ABA files and BPAY via internet banking) or
Pay it automatically out of Xero by using the Planned Date function (via the Parakeet App)
If you are time poor, we recommend automating your bills out of Xero (via the Parakeet app) in combination with your existing direct debit arrangements.
Why automate it?
If you automate your bills out of Xero, you can:
Keep or remove your direct debit arrangements (for better control);
Remove double payment to suppliers;
Remove manual download of ABA files;
Remove manually making BPAY payments from your internet banking;
Centralise your admin by making Xero your one place to manage & pay your bills (both BPAY & EFT suppliers)
This automation works by using the Planned date to control when & how you pay your bills out of Xero. 👇
This gives your business one button to approve and make bill payments, straight out of Xero.
No more jumping in and out of platforms to pay bills.
Remove the risk of doubling payments to suppliers with an easy way to identify what is paid via direct debit.
It simplifies your bills payment processes to just one click of the Planned Date button.
Users feedback:
This automation has been well received by Xero businesses with 5 star reviews in the Xero app store here.
Some feedback...
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Fabulous Product and Services
"I had an amazing experience with this company! The customer service was top-notch, and the product exceeded my expectations. I highly recommend them to anyone looking for quality products and excellent service". - Claire
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Quick AP
“The speed at which Parakeet allows us to pay Bills with Xero has sped up our AP process. No longer having to apply payment, create a batch payment and go through to our bank means we get time back at the end of the week.” - Finance Manager
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Does it suit you?
See how it works and discuss with us first or learn more about it here.
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About Parakeet:
Parakeet is a certified financial services app in the Xero app store that automates bill payments (BPAY & EFT) out of Xero and removes the need for manual uploading of ABA files or BPAY batch files into internet banking.
See Parakeet's Xero App Store listing here.
Learn about Parakeet's automated Bills payment automation (AP) here
For more information, contact: media@helloparakeet.com