Account code suggestions for new invoices and bills

When you add a new invoice or bill, then enter an item description and quantity, Xero automatically suggests an account code. The suggestion is based on how you've coded transactions in the past and what corrections have been made by your accountant or bookkeeper.

How it works

  • Each time you add a new line item, Xero suggests an account code.
  • Xero uses the history of your most recent 100 approved bills or invoices, or 1,000 bill or invoice lines to make suggestions.
  • You can override the suggested account and we’ll take this into account with future suggestions.
  • Any inventory item and contact defaults will still apply.
Xero only starts suggesting account codes for bills once your organization has 150 approved bills. Before this, you will need to manually select the account code for new bills.

Add a transaction and review the account code suggestions

  1. Click the plus icon Image of the plus icon on the Xero Business dashboard and select Invoice or Bill.
  2. Enter the name of the contact, then select the transaction date and due date.
  3. Enter an item description and quantity.
  4. Review the suggested account. You can select another account from the list if required.
  5. (Optional) Enter another item.
  6. Click Approve or Save.

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