Stripe allows you to accept payment from your customers via credit card or debit card.
Setting up Stripe as a payment method in your Xero file is super simple. The bonus is that you can also set up your Stripe account as a bank feed in Xero, so you can automatically import all of your transactions into Xero to either match against invoices generated within Xero or to record as sales.
So, how do you get started? It’s simple to integrate Stripe with Xero.
How Does It All Work?
There are several things to consider before getting started with Stripe and Xero.
- You will need a standard role or advisor role in Xero to add a new payment service.
- You will be able to accept credit cards and debit cards as a form of payment once you add Stripe as a payment method/service in Xero.
- If you accept payments worldwide, this will be useful for you as you can then accept those payments, and the currency will be received as the currency of your bank account.
- The Payment Services screen in Xero will also allow you to add multiple Stripe accounts.
- If you have a Stripe account in Australia, you’ll be able to accept Apple Pay.
- When a customer pays an invoice, Xero will be able to manage your Stripe fees for you. Xero will automatically create a spend money transaction for the Stripe fee.
- Alternatively, you can set-up Xero to charge the customer the Stripe fee. The fee will be added to the payment total when they pay online.
Set Up Stripe As A Payment Service In Xero
If you already have a Stripe account, it’s easy to connect your current Stripe account to Xero.
And if you don’t have a Stripe account yet, you can open one as part of the process by following the steps below but selecting ‘No I don’t have an account.’
- Go to “Settings” and then ‘Payment Services.”
- Next to Credit Card, select the title “Get Started”.
- Select “Yes, I have an account.”
- Sign in to your Stripe account to get connected
- Select the bank account where payments are to be deposited
- Select the account in Xero where the Stripe fee should appear
- When you have completed the details, select “Done” in Xero.
A Pay Now button will be added to your next online invoice making it simple for your clients and customers to pay online using a credit or debit card.
How To Set Up Your Stripe Feed Within Xero
This is the step that those with Stripe accounts regularly miss. Once you have linked your Stripe account to your Xero file, you need to set up your Stripe bank feed within Xero.
If you are receiving payments via Stripe – and even if it is not connected as a payment service in Xero – we still recommend connecting your Stripe feed with Xero to easily account for the Stripe fees and your sales. Once this is connected, the most recent payout will appear in Xero. For older transactions, you will need to import them in Xero manually.
- From the Accounting menu in Xero, select “Bank accounts.”
- Select “Add Bank Account”
- You can easily select Stripe by starting to type in “Stripe” to find it from the list.
- Select “Login & Connect Accounts”
- Enter your Stripe login details and sign in to your account
- From here, you can connect your Stripe account
- A bank feed is also created for each currency you select. Select the applicable currencies and import the feeds into Xero.
- If any currencies are selected that do not apply to your business, you can deselect them to remove them from your Stripe feeds.
- Click on “Finish” to save the details.
Once set up, you will see bank feeds for Stripe have been activated at the top of your Bank accounts page in Xero. You will need to ensure that this reconciles back to $0 each month. Don’t forget to check your bank reconciliation report each month to ensure the account is reconciled correctly.
Stripe Makes Invoicing Easy
There are many features in the pipeline with Xero that can help you get paid easier and quicker with Stripe. There is a Beta trial to set up and receive recurring card payments for repeat transactions.
If you want to know more about Stripe, need help setting up Stripe within your Xero file or need some advice on reconciling Stripe payments, have a chat with Diverse today.