Which accounts in Xero are affected by transactions from Unleashed?
FollowWhilst connected with Xero, when a transaction is completed in Unleashed the integration will trigger the export of a matching transaction to update your Xero accounts accordingly, keeping both platforms aligned.
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Purchase Orders will update the "Stock on Hand/Current Asset" account in Xero, except for items categorized under the "Never Diminishing Product Type," which will update a specified Purchase Account.
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Sales Invoices will update the "Sales Revenue Account."
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Sales Shipments & Adjustments will update both the "Stock on Hand/Current Asset" and "Cost of Goods Sold" (COGS).
The core principle is that stock purchased from suppliers is considered a Current Asset until it is sold. Once sold, the cost of the product is then accounted for as Cost of Goods Sold.
The below tables have outlined how each transaction update performed in Unleashed will affect your accounts in Xero, if that option is enabled in your configuration's settings. For more details on configuring your Xero integration, see Xero Integration Setup.
Purchases
A Bill to Pay transaction will be created in Xero as and when a Purchase Order is updated to Receipted or Completed status in Unleashed. Separate Bill to Pay's will be created in Xero for each Supplier and Cost Date included on a Purchase Order in Unleashed (see Xero integration FAQs), and will update the following accounts in Xero:
Transaction in Unleashed | Unleashed update | Transaction in Xero | Xero accounts |
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Purchase Order Receipted |
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Creates a Bill to Pay. |
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Purchase Order Completed (no additional costs) | No change to the receipted stock's quantity or value | No transaction is exported to Xero. | No changes to Xero accounts. |
Purchase Order Completed (includes additional costs) |
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Creates a Bill to Pay. |
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Supplier Return Completed |
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Creates a Bill to Pay (credit). |
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NOTE: If Using Receipted Goods on Assemblies is enabled in your Company Settings, be advised that additional costs added to receipted component stock will not create a recost journal in Xero and as such will result in a variance with Xero's Stock on Hand account. To re-align Unleashed's total Stock Value with Xero's Stock on hand total create a manual stock adjustment in Xero for the value difference.
Sales
To provide flexibility for your inventory management whilst maintaining accuracy with your financial accounting, each Sales Order's progress is managed in two parts; Invoices and Shipments. Invoices manage the pricing and generated revenue of your Sales Orders and as such will integrate with your Sales account in Xero. Whereas Shipments manage the stock movements and the impact the dispatched stock's value has on your current inventory and business's performance. When dispatched, Shipments will therefore remove value from the Stock on Hand account in Xero and add it to your Cost of Goods Sold (COGS) account.
Transaction in Unleashed | Unleashed update | Transaction in Xero | Xero accounts |
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Sales Invoice Completed | Sales Revenue increases |
Creates a Sales Invoice. |
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Shipment Dispatched |
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Creates a shipment journal. |
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Credit Note Completed (Return unticked) | Sales Revenue decreases |
Creates a Credit Invoice. |
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Credit Note Completed (Return ticked) |
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Production
Any time your inventory's total stock value changes based on an internally completed transaction, such as; Assemblies, Stock Adjustments or Stock Counts, a matching journal will be created in Xero to update the Stock on Hand account accordingly.
If an Assembly or Disassembly is completed in Unleashed that does not include any Never Diminishing Product (NDP) components or Supplier Costs, no journal will be exported to Xero as there has been no change made to your total stock value.
Transaction in Unleashed | Unleashed update | Transaction in Xero | Xero accounts |
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Assembly Completed (no NDP components or Supplier Costs) |
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No transaction is exported to Xero. | No change to Xero accounts. |
Disassembly Completed (no NDP components or Supplier Costs) |
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No transaction is exported to Xero. | No change to Xero accounts. |
Assembly Completed (including NDP components) |
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Creates an Assembly journal. |
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Disassembly Completed (including NDP components) |
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Creates an disassembly journal. |
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Assembly Completed (including Supplier Costs) |
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Creates a Bill to Pay. |
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Stock Adjustment Completed (quantity and value) |
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Creates an Adjustment journal. |
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Stock Adjustment Completed (quantity only) |
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No transaction is exported to Xero. | No change to Xero accounts. |
Stock Adjustment Completed (value only) |
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Creates an Adjustment journal. |
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Stock Revaluation Completed |
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Creates an Adjustment journal. |
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Stock Count Completed |
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Creates an Adjustment journal. |
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