Choose cash or accrual for Xero
Set the accounting method that a Xero statement source uses for the profit and loss.
A Xero source reads your profit and loss (P&L) and your balance sheet. You choose the accounting method for the P&L when you create the source. The method changes which P&L amounts land in each month.
Use Accrual to plan from the standard Xero P&L. Use Cash to plan from the money that came in and went out.
What each method reads
| Method | Profit and loss | Balance sheet |
|---|---|---|
| Accrual (default) | The standard Xero P&L report | Accrual basis |
| Cash | The Xero P&L report with the payments-only option | Accrual basis |
The cash basis applies to the P&L only. Eigenn reads the balance sheet on an accrual basis for both methods.
Choose the method
- Go to Scenario planning → Data.
- Select New, then select Xero.
- Complete Choose a connection and check Select a dataset.
- Under Select an accounting method, select Accrual or Cash.
- Set the Advanced configuration fields.
- Select Create data source.
Put the method in the Source label, for example "Xero P&L (cash)". The Data page and the model panels show the label, not the method.
The method stays with the source
You cannot change the method of a source after you create it. To use the other method, create a second Xero source. Then link each variable to the source that you want. To compare the two methods, link one variable to each source.
The Add Xero source button in a model's Statement actuals section always creates an Accrual source.
Other sources
Only Xero statement sources have an accounting method. The other sources follow fixed rules:
| Source | Which date sets the month |
|---|---|
| Bank transactions and CSV import | The transaction date |
| Stripe, QuickBooks, and Eigenn invoices | The invoice issue date |