Author Archives: Michelle Ruddick

How do I set up a new employee in Xero?

Bringing in a new hire is an exciting time for a business. Your team, profits, customer pool, and business in general are all growing. So let’s start by saying congratulations! With all this exciting progress, it’s important not to lose sight of the details. Setting up a new employee in Xero is an important step…

Claiming the employment allowance in 2021/2022

Claiming employment allowance means reducing your annual National Insurance liability as a business owner or employer by up to £4,000. Since April 2020, receiving employment allowance is now reliant on you making what’s known as a de minimis State Aid declaration. This may sound daunting, but we’ll break down exactly how you can do this…

The New Super-deduction – tax relief for capital expenditure

What is the new Super-deduction? As set out in the March 2021 budget, companies will be allowed to claim a new 130% capital allowance deduction on most new plant and machinery purchased between 1 April 2021 and 31 March 2023, and there is no limit as to how much can be claimed.   Any contracts for…

Extended loss carry back

The government has announced a temporary extension to the loss carry back rules for trading losses of both companies and unincorporated businesses. For accounting periods ending between 1 April 2020 and 31 March 2022 losses can be carried back 3 years, capped at £2m per year for the extended 2 years. Extended loss carry back…

Where do I code income I’ve received that isn’t sales in Xero?

The coding process in Xero allows you to group each item of income in your business – like putting money into different pots. By doing this, you’re able to see a more detailed picture of your company finances and analyse where your money is coming from.  So, as you can imagine – when you can…

My bank in Xero doesn’t balance with my bank statement – what do I do?

It’s important to regularly compare the statement balance in Xero to your actual bank balance. If the bank balance isn’t matching, you’ll want to fix the issue fast because it means you’re reading the wrong numbers and could be making decisions based on incorrect data.  Though bank feeds import your transactions daily, and do work…

Filing accounts at Companies House – what to do if you think you are going to miss your deadline

deadlines

Company law requires limited companies to file their accounts with Companies House within 9 months of their year-end.  Failure to do so will result in penalties being issued. Due to the Coronavirus outbreak and the advice to self-isolate, Companies House have said they will give an automatic 2 month extension to the filing deadline for…