Posting Direct-To-Club Payments To Xero
In some instances, members' money will not be handled by Majestri. They go directly from the member to the club bank account. This is common with EFT payments and cash paid at the club.
As long as these payments are receipted correctly into Majestri, then we are able to post transactions directly into Xero that you can then match against the bank statement.
Step 1 - Selecting Manual Payments to Post
Depending on the type of payments you selected from the Xero Summary screen, the next screen will show all of the payments of that type that require posting to Xero.
It will depend on the type of payments you've receipted as to how many payments you'll want to batch together for creation in Xero.
Example 1: After a sign-on day, you might have a bunch of POS payments receipted into Majestri that were paid in person by some members. In your bank statement, there will be a single deposit which represents the settlement of all that single-day POS activity.
Example 2: If you allow your members to pay fees via EFT deposits into the club bank account, then you are going to have a separate entry in the bank statement for each deposit made, and these need to be reconciled individually.
Example 3: If you still allow members to pay you directly in cash, then somebody in the committee will have banked that cash at the local branch. Cash is hard to track, but if you're diligent, the amount of cash banked will equal the amount of cash receipted from members during the time-frame you're looking at.
Regardless of payment method, all of these individual member payments will have been receipted into Majestri, and the system would have asked at receipt time for allocation information across debt components if it wasn't a payment for the full amount of outstanding debt. This control over payment allocation gives Majestri all the information it needs to be able to roll those revenue amounts up into Xero.
Step 2 - Select Account Numbers and Confirm Posting
Let's take a look at the screen for this type of posting and have a walk-through of each setting involved in the process so you can understand what's going on.
Member Deposits Contact
To avoid unnecessary noise in your Xero contacts sheet, we recommend a single contact that represents all direct deposits made to the club bank account. While you could technically create a new contact for each member that paid you money directly, you can't use multiple contacts for every member that paid you cash anyway, so our advice is to keep things tight.
Bank Account
This should be set up in Xero and represent the bank account where members deposit money directly.
Event Registration Revenue Accounts
There will be an opportunity to enter a revenue account for each event that collected money during the Majestri week. If you don't have any special registration reporting requirements, then you can just use the same account number for each event. If you like to see a bit of sophistication in your revenue reporting, then you can use different account numbers for different types of revenue.
Online Shop Revenue Account
Our recommendation (and really the only way this will work) is to have a single and separate revenue account set up that reports income generated from your club's online shop.
Effective Date
By default, this will set to the current date. Whatever date it is set to is the date that the bank transaction will be created with on the Xero side. Some clubs love how accurate our posting to Xero is so much that they would like to go back through time and post historical revenue against previous bank deposits. This date gives the ability to match the historical bank statement item by setting an effective date back into the past.
Batch Narration
It is very useful to have a simple text narration that can be used to give context to people coming after you. This setting is mainly for historical record on the Majestri side, but is extremely useful to jog your memory down the track.
GST
If you are eligible for GST, then this should be switched on and left on. GST will be automatically created and posted on all revenue transactions.
Step 3 - Verifying the Outcome in Xero
If all went well, you should be returned to the Xero Summary screen with a nice confirmation message that all posted well into Xero.
Let's log into Xero now so we can verify that everything was created as expected.
To verify that everything worked as expected, we'll navigate to the bank transaction we created. This is what you're going to be eventually reconciling with the unreconciled deposit on the bank statement. As you can see the posting from Majestri has created an 'unreconciled' Receive Money bank transaction. Note that the date of this transaction was the effective date specified in Majestri.
If we drill down into that bank transaction, we'll see the recognition of the revenue that we specified back in Majestri. Because we also switched on GST, you can also see that reflected in this transaction.
FAQ
If you've got a specific question about our integration into Xero, chances are that somebody has asked it before you.
Please head over to our Xero Integration FAQ to get the information you need.