NZ Payroll - Generate invoices from pay runs
Automatically generate payment invoices when creating payroll.
The current help article suggests creating spent money entries on the fly when reconciling.
It would be better to be able to generate accurate payment and separate code tax invoices when the payday is filed.
The advantages are that:
- the payment is reconciled to where it is created ensuring it is correct,
- the invoices are easily selectable into batch payments from payable invoices which correctly connects to bank batch payments,
- payments to IRD could be raised to different contacts for each payment type allowing the right references to be attached to payments to IRD.
- contacts and accounts are consistent for the payable invoices,
- At tax time the tax invoices can be easily selected and paid as a batch payment,
- Reports correctly show tax liabilities between raising and paying,
- Cashflow analysis system is more accurate.
It could be added to the pay employees option drop down as 'generate invoices' or be a setting that allows these to be created automatically when the payroll is filed. While you are at it you could do the same thing for the GST payments.
Tim Broadbent
shared this idea
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Nicholas Northam
commented
It seems strange that nearly a year after this was raised there has been no apparent movement from Xero, especially in light of the announced increases in costs for Xero payroll.
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Matt Ellingham
commented
Both of the external payroll systems I used prior to Xero had this functionality. It's honestly pretty weird that these externals provided a better end-to-end payroll processing experience while integrating with Xero, than Xero does itself. I'm going to have to switch back to Pay Hero if there aren't significant improvements to both this and the timesheet approval workflows.