Welcome
At AHX Advisors, we believe clarity starts with strong foundations. That’s why we’ve created the Xero Health Checklist — a free, practical tool to help you review your books, spot any gaps, and make sure your accounting system is supporting your business, not slowing it down.
Why This Matters
Even well‑run businesses can miss small details that snowball into bigger issues. Regular health checks help you:
- ✅ Catch errors early (before they cost time or money)
- ✅ Stay compliant with BAS, GST, and payroll obligations
- ✅ Keep cash flow visible and under control
- ✅ Protect sensitive data with the right user access settings
The 10‑Point Health Check
Work through each section step by step:
Bank Reconciliation
- Are all bank and credit card feeds connected and automatically updating?
- Are all transactions matched, coded correctly, and supported with clear descriptions or attachments?
- Are incoming payments properly applied to the correct invoices?
- Are supplier bills attached and matched to the corresponding expense transactions?
- Are there any unreconciled, uncleared, or duplicate transactions?
- Does the Xero bank balance match your actual bank statement at the end of every month?
Accounts Receivable
- Are all sales properly invoiced and recorded in Xero?
- Are overdue invoices clearly flagged and followed up on a regular schedule?
- Are credit notes, bad debts, and adjustments reviewed and handled promptly?
- Are customer details (contact info, credit terms, and ABNs where relevant) kept up to date?
- Do you have a clear view of your debtor days and aging report?
Accounts Payable
- Are all supplier bills entered promptly with correct coding and GST treatment?
- Are supplier records complete with accurate contact details and ABNs?
- Are payments scheduled and made on time to avoid late fees?
- Are recurring expenses (rent, subscriptions, software) set up correctly?
- Do you regularly review the payable aging report?
BAS & GST Checks
- Is GST correctly coded on all sales and purchases?
- Are BAS lodgements prepared and submitted on time every quarter/month?
- Have you reviewed and reconciled the GST control account?
- Are there any uncoded, incorrectly coded, or suspicious tax transactions?
- Is your GST reporting basis (cash or accruals) set correctly for your business?
Payroll Review
- Are all pay runs processed accurately with correct tax withheld?
- Are superannuation contributions calculated and paid on time?
- Are employee leave balances (annual, sick, long service) up to date and correct?
- Are new starters, terminations, and changes processed correctly in Xero?
- Have you checked Single Touch Payroll (STP) reporting is submitting without errors?
Chart of Accounts & Tracking
- Is your chart of accounts clean, logical, and free of unused or duplicated accounts?
- Are account codes and names meaningful and easy to understand for reporting?
- Are tracking categories (departments, projects, locations, or funds/programs for NFPs) set up and used consistently?
- Are income and expense accounts grouped sensibly?
- For NFPs: Can you easily separate and report on restricted vs unrestricted funds or specific programs/grants?
Custom Reports & Insights
- Do your management reports (Profit & Loss, Balance Sheet, Cash Flow) show the key information you actually need?
- Are your custom reports set up to track important KPIs (gross profit %, cash flow, program spending for NFPs)?
- Are reports being generated and reviewed on a regular basis?
- Do you have useful dashboards or saved searches for quick insights?
- Are there any large unexplained balances in suspense, rounding, or clearing accounts?
Xero Add-ons & Integrations
- Are all connected add-ons (inventory, CRM, payment gateways, receipt capture) syncing correctly?
- Are there any failed, stuck, or outdated syncs that need attention?
- Are you using the right add-ons for your business or NFP needs?
- Have you reviewed the cost versus benefit of each integration?
User Access, Permissions & Security
- Are user roles and permissions set correctly (admin, advisor, standard, etc.)?
- Have you removed access for any ex-employees or old contractors?
- Is two-factor authentication (2FA) enabled for all users?
- Are bank feeds and sensitive areas properly restricted?
- Are personal and business expenses kept completely separate?
Automation, Documentation & Overall Integrity
- Are bank rules set up and working to automatically code recurring transactions?
- Are rules regularly reviewed and updated as your business changes?
- Are important adjustments, journal entries, and key decisions properly documented with notes?
- Is the audit trail being reviewed periodically for unusual activity?
- Are supplier invoices/receipts consistently attached and stored for easy audit access?
- Are fixed assets or inventory (if applicable) properly recorded and reviewed?
Ready to go deeper?
If you’d like a professional set of eyes on your Xero file, we offer a completely free Xero Health Check. We’ll review your bank reconciliations, GST coding, payroll journals, and overall setup — then give you a clear, no-jargon summary of what’s working well and where you can improve. No pressure, just honest insights to help you make better financial decisions.
Start your free Xero Health Check here:
https://www.ahxadvisors.com.au/xero-review
Simply complete the quick onboarding form and grant us secure access — we’ll take it from there.