Reconcile a reversed pay run
Reconcile a pay run that you paid by direct deposit or check created in Xero, and have since reversed.
When you reverse a pay run, Xero moves the payment from the expense account back to the liability account. If you made the original payment by direct deposit or check in Xero, you need to reconcile the reversal.
- Create a receive money transaction for each check or direct deposit. Code the transactions to the wages payable liability account used for payroll.
- Import a CSV bank statement file into Xero for each check or direct deposit. Include both positive and negative amounts. For example, your CSV file should include an amount for +$1000 and -$1000 if your original net payment was $1000.
- Reconcile the receive money transaction with the pay run payment using Find & Match.