Reconcile a payroll payment paid by direct deposit or check

Reconcile a bank statement line representing a payroll transaction paid by direct deposit (electronic transfer) or check (created in Xero).

To reconcile a statement line that includes a payroll payment:

  1. Find the bank statement line that represents the payroll payment you're reconciling.
  2. If the transaction matches automatically and is correct, click OK.

    Image showing bank rec match.

  3. If the payment doesn't match click Find & Match or Other Possible Matches Found to find the matching payroll transaction.
  4. Find the payment and select the checkbox next to it.
  5. Click Reconcile.
Set up bank rules to code the payroll payments for you.