Don’t Be Afraid of Heights
The reporting is different (better) so all the accounts may not look the same.
There will be some information that we can’t convert and some information will look different when converted.
You can be confident, however, that your financial data will be accurate overall.
Expand any of the topics marked with “+” to read more about them.
Data which includes foreign currencies will be converted in the same way as other data. However, all foreign currency amounts will be translated to the home currency values.
Specific factors that are beyond our control, usually mean the conversion result is not completely accurate. We cannot therefore support fixing your conversion and you will need to accept the conversion results “as is”.
For more information please refer to our Foreign Currency post-conversion task.
Causes of complications
Please be aware that it may cause complications (we’re unable to fix) with your conversion if your source software contains in excess of any of the following in the conversion period:
40,000 combined invoices, bills and credits
40,000 bank transactions
2,500 credit notes allocated to invoices
600 chart of account codes
What data will be converted?
We will transfer the following data to Xero:
Chart of accounts
Individual transactions as requested
Stock/Inventory Items (Opening balances)
Best attempts will be made for matching fields between software systems when converting to Xero. Some Sage fields will not be converted eg. Supplier and Customer Bank Account Names where Xero’s API does not provide the means to do so.
What data won't be converted?
We only currently convert the core accounting information and not the following types of data:
Classes / Projects
Sub-account structure of the chart of accounts (Xero has no sub-accounts)
Fixed Asset Registers
Sales and Purchase Orders – Coming soon
Quotes/Estimates/Draft invoices or bills – Coming Soon
Default nominal codes, payment terms or tax rates
Custom VAT rates (see workarounds used)
Invoice and other Templates
Payroll and Employee Records
Deleted or cancelled transactions
Nil value invoice line items
EMEA conversions (Organisations not based in South Africa)
We developed our conversion tools specifically for South Africa but we can do conversions for organisations based in other territories as well. There is only one extra work around that we need to use to get the data across to Xero. When we do conversions for organisations outside of South Africa a 0% sales tax rate will be used. Please note the sales tax movement will reflect on documents but it will be shown as a 0% sales tax rate.
When uploading the conversion request please select the “other” option for base currency. Then please mention the preferred currency and country of operation in the comments section at the bottom of the form.
Transaction types we can't convert
There are certain transaction types that Xero does not allow us to convert. We try to create transactions in Xero that match as closely as possible the transaction in the original software, although sometimes we have to use a different transaction type. For example, we have to use transaction types Spend and Receive Money for Bank transfers.
Bank and Credit Card
Bank transfers are entered as Spend / Receive money transactions posted through the P&L account.
Transactions with custom VAT rates, EC VAT or unusual VAT transactions will be converted as closely as possible but are likely to be different. We may use a standard rate of VAT or No VAT and then add an adjustment to correct the VAT amount if necessary. This could result in some invoice line item VAT amounts being incorrect even if the Balance Sheet amount to be paid or refunded is correct.
Please note that we highly recommend to refer to the previous accounting system for vat reports relating to converted transactions.
Receivables and Payables
In certain scenarios over payments in the previous system will be converted as credit notes. This can be allocated as normal.
Please note that payments and credit notes against invoices/bills will be allocated according to the in First in First Out (FIFO) method. Depending on how invoices was allocated in the previous system open invoices may reflect differently in Xero post conversion.
Things you may need to tidy post-conversion
We do provide details of our recommended post-conversion tasks but below is a summary. If performing a foreign currency conversion there may be additional tasks you wish to complete. Please refer to the foreign currency section above for more information.
Foreign Currency adjustments
We are currently unable to convert foreign currency transactions, as mentioned above all foreign currency transactions will be converted using the base currency as standard. This means that you will need to adjust the balances of foreign currency bank accounts and foreign currency customers and suppliers.
We advise you do the following:
Bank accounts: Create a new bank account using the correct applicable currency. Transfer the balance of the converted bank account to the newly created foreign currency bank account by using the correct currency ratio. NB remember to make sure the balance in Xero of the new foreign currency bank account reconciles to the physical bank statement.
Contacts: Create a new (foreign currency) contact account. You will now need to move the balance of the converted contact to the newly created foreign currency contact. You can do this by creating a Invoice/Bill/Credit note to a suspense account for the entire balance of the base currency contact. Then you need to move the balance of the suspense account again to the newly created foreign currency contact. You can do this by creating a Invoice/Bill/Credit note to a suspense account for the entire balance in the required currency using the appropriate currency rate contact.
Filing VAT Returns
As mentioned above, due to certain workarounds used the VAT report in Xero may not reflect correctly as it was in the previous system. We therefor strongly recommend to refer to the previous system when generating VAT reports for submission purposes.
Allocating payments to invoices or bills
Payments and credit notes against invoices bills will be allocated on a First In First Out (FIFO) basis. Furthermore due to some of the above mentioned workarounds and restrictions it may be that we’ve been unable to allocate payments to all invoices or bills. Balances owing by customers or owing to suppliers will be correct despite the possibility of some invoices not showing as paid. A transaction with journals equivalent of the payment will have been entered but not allocated.