Keeping track of your financial data on a spreadsheet? Or maybe an outdated software or possibly even by annotating your bank statements? It’s time for an upgrade – let me introduce you to Xero. When Xero is used well it can be a real game-changer when it comes to tracking your finances. Let’s run through some key tips and tricks that can help you take your financial health to the next level.
1. Keeping up to date
When you treat a patient, you don’t just say ‘see you in a year’ and hope for the best. You emphasise ongoing care to prevent problems before they start. The same principle applies to your financial data.. Keeping on top of your Xero reconciliation either by spending 5 minutes a day or 20 minutes at the end of the week to clear what’s outstanding will massively help to reduce and avoid the unwanted stress of unforeseen issues, much like flossing everyday helps your patients avoid issues.
2. Automate the day to day
When routine tasks are tedious, they get delayed—or worse, ignored. Luckily, Xero has built in Artificial Intelligence (AI) which will learn how you regularly record recurring income and expenses and prepopulate the data to save time. If you prefer, you can also create bank rules which will refer to key criteria that you have selected and record the data with codes of your choice.
3. Use tracking categories strategically
Xero’s tracking feature is vastly underused. Want to understand profitability by clinic type, associate, or location? You can simply use tracking categories to add an extra layer of detail, enabling you to segregate your lab fee by clinician rather than having to set up individual codes for each.
4. Integrating with Xero
Xero has a suite of external app providers which can greatly help to streamline systems further, particularly if you keep a payable ledger. We have previously written a blog about creating your perfect ‘App Stack’ Take for example Hubdoc, which, once set up, can be used to scan a copy of your Xero and prepopulate the invoice in Xero rather than manually entering the information yourself.
6. Transform reports into insights, not just numbers
Standard profit & loss statements are fine—but are they being used to make the best choices? Hive emphasises moving beyond just the numbers: understanding the context behind the numbers is vital to outlining the correct ‘treatment plan’ so make sure to use the large suite of built in reports within Xero to help demystify the numbers.
7. Don’t underestimate training
Xero updates frequently. Refresher training doesn’t just prevent mistakes—it surfaces features you’re not yet using. Even a 15‑minute monthly session can unearth tools and shortcuts you didn’t know existed. It pays off.
A truly effective Xero process doesn’t come from chasing data. It comes from consistency and curiosity. Just like running a successful business, it requires steady effort, not quick wins. Put regular habits in place, insist on accountability, and avoid falling into the “later” trap. Do that, and Xero bookkeeping tool, it turns into the financial backbone of your business..
If you’d like to know how hive can help you integrate Xero or if we can help in any other way please don’t hesitate to contact us.
