Set up your organisation's financial details

Your financial settings include information used to produce your reports, invoices and bills. If you're unsure about the information asked for, you might like to consult your accountant or bookkeeper.

You'll need the Standard or Adviser user role to set and change financial settings.

Main financial settings

Choose your financial year-end

Xero sets a default financial year-end for your organisation: March for a financial year that runs from 1 April to 31 March.

Most organisations set their financial year-end to align with their tax year-end.

Changing your financial year-end date impacts your balances, reports and fixed assets. Avoid changing it if you’ve already set Xero up for your organisation and entered your conversion and comparative balances.

Changing your financial year-end date has considerable impact on fixed assets. If you use fixed assets in Xero, you'll need to take extra steps before changing the date.
  1. From the Settings menu, select General Settings.
  2. Under Organisation, click Financial Settings.
  3. Under Financial Year End, click Change.

    Image of thr 'Change financial year end dialog'.

  4. Choose your financial year-end date.
  5. Click Done.

Choose your GST period, basis and GST number

Complete your GST information before you run the GST Return and other GST Reports.

GST Period – choose the frequency you submit your GST Return. When entered, the Xero GST report will automatically generate the GST amount to pay based on this period. You need to complete this so Xero can generate GST reports.

GST Basis – choose Payments or Invoice basis as appropriate if your organisation is registered for GST. You need to complete this so you can run GST reports in Xero. Your choice will determine which transaction dates Xero uses for populating your GST Return.

If you aren't registered for GST, select 'None' for your GST basis. Xero will use the accrual basis for your reporting, except those reports which are run on the cash basis only.

Organisation’s GST Number – required to display on outgoing invoices and financial reports (although you can change your invoice branding so that it doesn't show on customer invoices if you prefer).

Use lock dates to close off your accounts for a period or year end

Lock dates stop any changes to data entered before that date. Only users with the Adviser user role can view, set and change lock dates.

Time zone setting in Xero

The time zone setting in Xero determines the date and time shown for those items that are time-tracked. For example, when a user logs in. Xero also uses the time zone setting for time-stamping all actions recorded in History & Notes.

Xero uses your computer's clock to determine what the current date is when entering any transactions or running reports that default to today's date. For example, entering the date on an invoice, or running the Balance Sheet report as at today's date.

The time zone is set for New Zealand by default but you can change it.