Add employee opening balances

Add your employees year-to-date earnings and taxes you've paid during this fiscal year so their pay history imports into Xero. If you are switching to payroll in Xero in the middle of a quarter, you'll need to run an unscheduled pay run so their pay history records for the current quarter.

When to enter opening balances

Paid employee in fiscal year before moving to Xero?Opening balance dateEnter year-to-date balance for wages and taxes?Run a pay run for an employee's opening balances
YJanuary 1NY
YApril 1YY
YJuly 1YY
YOctober 1YY

Set opening balance date

  1. In the Settings menu, select General Settings.
  2. Under Features, click Payroll Settings.
  3. On the Organization tab, select the date you want to start using payroll from Opening Balances Date.
  4. Click Save.
You can't change the opening balances date after running a pay run.

Add employee opening balance

  1. In the Payroll menu, select Employees.
  2. Click the name of the employee you want to set an opening balance for.
  3. Click the Opening Balances tab.
  4. Click the Add buttons and enter the relevant details for each opening balance. For example, click Add Earnings Line to add an earnings balance.
  5. Click Save.

What if I switch to payroll in the middle of a quarter?

If you switch to payroll in the middle of a quarter, you'll need to add opening balances for year-to-date pay history and run an unscheduled pay run for current quarter opening balances.

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