Overview
RentalTide integrates with Xero to automatically sync your daily transactions, making your accounting workflow seamless and accurate.
Key Benefits
Automated daily sync - No manual data entry required
Accurate bookkeeping - Double-entry accounting ensures balanced books
Deferred revenue tracking - Properly accounts for advance bookings
Multi-currency support - Handles Stripe settlements in different currencies
Real-time invoice creation - Account charge transactions become Xero invoices
Getting Started
Step 1: Connect Xero
Navigate to Settings → Integrations
Find the Xero integration card
Click Connect to Xero
Authorize RentalTide to access your Xero organization
Select your Xero organization (if you have multiple)
Step 2: Configure Account Mappings
After connecting, you'll need to map RentalTide accounts to your Xero Chart of Accounts:
Required Mappings
Bank Account
Where daily cash deposits are recorded
Example: "Operating Account" or "Cash at Bank"
Deferred Revenue Account
Liability account for advance booking payments
Example: "Deferred Revenue" or "Advance Payments"
Account Type: CURRENT LIABILITY
Revenue Clearing Account
Temporary holding account for booking deposits
Example: "Revenue Clearing" or "Deposit Clearing"
Account Type: CURRENT ASSET (NOT Bank type)
Why needed: Xero manual journals cannot use bank accounts
Important: The Revenue Clearing Account must be a CURRENT ASSET or CURRENT account type. DO NOT use a BANK type account, as Xero's API will reject manual journals that include bank accounts.
Step 3: Configure GL Codes
RentalTide supports two methods for GL codes:
Method 1: Direct Xero Codes (Recommended)
Configure your inventory and tax codes to match your Xero account names directly:
For Inventory Revenue Accounts:
Go to Operations → Inventory (or Business → Inventory)
Edit each boat/item
Set GL Code to match your Xero revenue account name
Example: "Boats", "Kayak Rentals", "Equipment Sales"
For Tax Accounts:
Go to Admin → Locations (or Settings → Locations)
Edit your location
Under Tax Settings, set each tax rate's GL code to match your Xero tax account names
Example: "GST", "PST", "Sales Tax"
For A/R Account:
In Location settings under Details or Accounting
Set A/R GL Code to match your Xero accounts receivable account
Example: "A/R", "Accounts Receivable", "Trade Debtors"
Benefits:
No manual mapping required
Codes sync directly to Xero
Easier to understand in reports
Method 2: Numeric Code Mappings (Legacy)
If you're using RentalTide's numeric internal codes (e.g., "6545", "3055"), you'll need to map them:
Go to Settings → Integrations → Xero
Click Manage GL Code Mappings
Map each numeric code to your Xero account code
Example: Map "6545" → "Boats", "3055" → "GST"
How Syncing Works
Daily Cashout Sync
At the end of each day:
Go to POS → Cashout
Select your date range
Review the daily summary
Click Sync to Xero
RentalTide will create ONE manual journal in Xero containing all transactions for that day, aggregated by account type.
What gets synced:
Cash sales
Credit card sales
POS retail sales
Tips collected
Check-in transactions (revenue recognition)
What doesn't get synced in cashout:
Booking deposits (synced automatically when booking is made)
Online booking payments (synced automatically)
Transactions already synced as manual journals
Booking & Check-in Accounting
RentalTide uses deferred revenue accounting for bookings:
When Customer Books
What happens:
Customer pays deposit online or at POS
Creates a manual journal in Xero automatically (synced when payment is recorded):
Debit: Revenue Clearing Account
Credit: Deferred Revenue (liability)
NO revenue recognized yet (service not rendered)
NO tax recorded yet (accrual basis)
In your books:
Deferred Revenue shows as a liability
Money is in Revenue Clearing Account
Note: This sync happens automatically when the payment transaction is created, not at cashout time.
When Customer Checks In
What happens:
Customer arrives and checks in
Creates a manual journal in Xero automatically:
Debit: Deferred Revenue (clears the liability)
Credit: Revenue account (e.g., "Boats")
Credit: Tax accounts (e.g., "GST")
Debit: A/R (if balance owed)
Revenue is recognized (service rendered)
Tax liabilities created (accrual basis)
In your books:
Deferred Revenue liability is cleared
Revenue appears in income statement
Tax liabilities created
Account Charge Invoices
When a customer purchases on their account:
What happens:
Transaction creates an invoice in Xero automatically
Invoice is assigned to the customer's Xero contact
Creates A/R entry for the amount owed
Customer pays down account:
Creates a payment against the invoice
Clears A/R
Revenue Clearing Account Explained
Why is this needed?
Xero's API has a restriction: Manual journals cannot include bank-type accounts. This means when we receive a booking deposit, we cannot directly post it to your bank account in a manual journal.
The solution:
Booking deposit → Goes to Revenue Clearing Account (CURRENT ASSET)
Later → You move funds from Revenue Clearing to Bank (via bank transaction or invoice)
Think of it as:
A temporary holding pen for deposits
Tracks money received but not yet "banked" in Xero
Cleared regularly by reconciling to actual bank deposits
Best Practice:
Reconcile Revenue Clearing Account weekly
Create bank transactions to move funds: DR Bank, CR Revenue Clearing
Or use Xero's bank feed to match deposits
Common Questions
Why don't I see my booking deposits in the cashout?
Booking deposits are automatically synced as manual journals when the booking is made. They are filtered out of the cashout to prevent duplicate entries in Xero.
You'll see them in:
Xero → Manual Journals → Look for "Booking deposit" entries
Deferred Revenue account balance
What if a transaction fails to sync?
Check for these common issues:
"Unmapped GL codes"
Some account codes need to be mapped
Go to Settings → Integrations → Xero → GL Mappings
Map the codes mentioned in the error
"Xero connection expired"
Reconnect to Xero: Settings → Integrations → Xero → Reconnect
This happens periodically for security
"Transaction unbalanced"
Contact support - this indicates a calculation error
Provide the transaction ID from the error message
How do I handle refunds?
Refunds create negative journal entries that offset the original transaction. When you sync your daily summary, the refund amounts are included and balanced properly.
Can I sync multiple days at once?
Yes! On the Cashout page, select a date range (e.g., last week) and RentalTide will create one aggregated manual journal for the entire period.
What happens to tips?
Tips are tracked separately and posted to a Tips Payable account (liability), representing money you owe to staff.
When you pay out tips to staff, create a transaction in Xero:
Debit: Tips Payable
Credit: Bank Account (or Cash)
Troubleshooting
Issue: "Account code not found in Xero"
Cause: The GL code mapped doesn't exist in your Xero chart of accounts
Solution:
Go to Xero → Settings → Chart of Accounts
Create the missing account
Or update your mapping to use an existing account code
Issue: Manual journal doesn't balance
Cause: Rare calculation error or timing issue
Solution:
Check the transaction details in RentalTide
Verify tax calculations are correct
Contact support with the transaction ID
Issue: Duplicate entries appearing
Cause: Transaction synced both automatically and in daily cashout
Solution:
This should be filtered automatically
If you see duplicates, contact support
Provide the date range and transaction IDs
Issue: Revenue Clearing Account has a large balance
Cause: Booking deposits accumulating without being moved to bank account
Solution:
Check your Revenue Clearing Account in Xero
Create bank transactions to move funds to your actual bank account:
DR: Bank Account
CR: Revenue Clearing
Or use Xero's bank feed to match deposits
Aim to clear this account weekly
Best Practices
Sync daily - Don't let transactions pile up. Sync at end of each business day.
Review before syncing - Check the cashout summary for accuracy before clicking Sync.
Reconcile Revenue Clearing - Weekly reconciliation keeps this account clean.
Use direct GL codes - Configure inventory and tax codes to match Xero account names directly (Method 1 above).
Check Deferred Revenue - Monitor your Deferred Revenue account balance to see advance bookings liability.
Keep Xero connected - If you see "reconnection required", reconnect immediately to avoid sync gaps.