Square + Xero Setup Guide

Pamela Calilung
Customer success manager Request support
Square + Xero integration is 100% free of charge!

Overview

United States
Australia, UK, Ireland and Canada

*Any reference to GST in the video above is intended as VAT for UK customers.

Connect Square and Xero to start syncing your daily sales transactions and add Square as a payment service to your Xero account. The integration offers two sync options:
  • Sales
    • On a daily basis, the integration will sync a summary of your previous day’s sales data from Square into Xero generating an invoice.
    • You can customise your preferred sales summary view choosing from a wide array of formats.
    • Capture all payment transactions including gift cards, tips, tax and Square fees.
    • Easily reconcile Square sales and payments in Xero.
  • Payment service
    • Add Square as a Xero payment service and enable your Xero invoices to be paid via Square.

Before you start

  • Sign up for a Square account and a Xero account (if you haven’t already).
  • The Square + Xero integration is available in Australia, United Kingdom, Ireland, Canada and United States.

How to setup the integration

  1. Browse the integration setup page to get started.
  2. Sign in to your Square account and click allow to grant all relevant permissions.
  3. Authenticate your Xero account by clicking the Connect new account button.
  4. Choose the Xero organisation you want to connect, then click Allow access.
  5. Click Save + Continue to accept Amaka’s terms and conditions.
  6. Follow the wizard to choose your preferred setup method, invoice breakdown, invoice format, mapping and scheduler options to complete the setup of the integration.
  7. Click Save + Continue to finish and activate the integration.
After completing the setup, the new integration will be listed on the app dashboard where you can edit it or start a new one.
Express setup
Every day, an invoice with your daily sales summary will be created into Xero.

The integration will automatically map sales and payments from Square into Xero by creating the following default accounts:

Account and code mapping
Square Transaction Type Account Code Account Name Account Type Tax Type (AU) Tax Type (UK) Tax Type (CA)/(IE) Tax Type (US)
Sales SQ-200000 Square Sales Revenue GST on Income 20% VAT on Income Tax on Sales Tax Exempt (NONE)
Discounts SQ-200001 Square Discounts Revenue GST on Income 20% VAT on Income Tax on Sales Tax Exempt (NONE)
Shipping/Delivery Fees SQ-200002 Square Shipping/Delivery Fees Revenue GST Free Income Zero Rated Income Tax Exempt Tax Exempt (NONE)
Service Charges SQ-200003 Square Service Charges Current Liability GST on Income 20% VAT on Income Tax on Sales Tax Exempt (NONE)
Square Fees SQ-300000 Square Fees Expense GST on Expenses No VAT Tax Exempt Tax on Purchases
Square Chargebacks SQ-300001 Square Chargebacks Expense GST on Expenses 20% VAT on Expenses Tax on Purchases Tax Exempt (NONE)
Tips SQ-800000 Square Tips Current Liability BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Gift Cards SQ-800001 Square Gift Cards Current Liability BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Adjustments SQ-200000 Square Sales Revenue GST on Income 20% VAT on Income Tax on Sales Tax Exempt (NONE)
Square Balance Adjustments SQ-600001 Square Balance Adjustments Current Asset BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Square Card SQ-00001 Square Card Bank Tax Exempt (NONE)
Account and code mapping
Square Payment Type Account Code Account Name Account Type Tax Type (AU) Tax Type (UK) Tax Type (CA)/(IE) Tax Type (US)
Card Payments SQ-000000 Square Balance Bank Account BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Cash SQ-600000 Square Cash Clearing Current Asset BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Gift Cards SQ-800001 Square Gift Cards Current Liability BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Bank Transfers SQ-600002 Square Other Payments Clearing Current Asset BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Third Party Cards SQ-60002 Square Other Payments Clearing Current Asset BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Square Card SQ-600002 Square Other Payments Clearing Current Asset BAS Excluded No VAT Tax Exempt
Exchange Credit SQ-800002 Square Exchange Credit Clearing Current Liability BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
All Other Payment Types SQ-600002 Square Other Payments Clearing Current Asset BAS Excluded No VAT Tax Exempt Tax Exempt (NONE)
Advanced setup
The advanced setup will allow you to choose your own custom mapping in relation to sales and payments in Square.
Recommended for professional bookkeepers and accountants.
Guided setup
Schedule a call with one of our integration experts that will guide you through the setup. Schedule a call now

Setup mapping tips

Payments
PropertyDescription
CashIt is recommended to use a Clearing Account with an account type Current Asset.
Square Gift CardIt is recommended to use a Clearing Account with an account type Current Liability. This should match the account previously selected for gift card sales.
All other payment typesIt is recommended to use a Clearing Account with an account type Current Asset.
Settlements
PropertyDescription
Square settlementsDeposits will be synced as Bank Transfers from Square Settlement to the mapped bank account. Select the bank account where Square deposits the payments.

FAQ

Yes, Square + Xero integration is currently available for Xero customers in Australia, United Kingdom, Ireland, Canada and United States.
The integration has been built in partnership with Square and Xero and it is 100% free of charge.
Of course! If you would like to request a walkthrough or discuss the capabilities of the integration in more detail, you may schedule a support session with one of our integration experts.
Unfortunately at the moment, this feature is not supported, but it is something we are considering for a future release. As an alternative solution, you can manually add a line in the invoice to charge a credit card surcharge.
Go to the Business Tab in Xero and select Bills to Pay. Square Fees sync when Square deposits the payments to your bank account. Bills related to Square Fees have a reference format [Location Name] Square Fees [Date].
Sure, you can select the date that you wish the data to be synced from through the integration scheduler.
Square Balance bank account is a clearing account for the Credit Card takings processed through Square. Be aware that when the Square Balance is deleted or edited from the chart of accounts, the daily sync may fail.
In case you have revoked the access or changed credentials of an account used for an integration, you can easily reconnect it by expanding the options menu and cliking the Reconnect (or Edit) button in the Connected accounts page.
At any time, you can access your Amaka dashboard and disable an integration by either turning it OFF or deleting it entirely. You can follow the instructions here.

Troubleshooting

Browse our troubleshooting page, in case your integration is not working as expected.

What’s next?

Need any help?
Need help? Visit our Help desk or Schedule a support session.