In this article we discuss 6 time-saving Xero tips for builders and contractors and how to get up and running quickly.
The time spent running a construction business means balancing site work, subcontractors, suppliers, and tight project deadlines, all while keeping an eye on cash flow.
It’s no surprise that the admin work feels like the most gruelling or rewarding and often falls to the bottom of the to do list. However, Xero has become one of the most popular cloud-based accounting tools because of its ease of use and intuitive user interface. But the truth is, when people open it for the first time, it can be overwhelming and many construction companies don’t take advantage of everything Xero can do.
In this article, we’ll share six powerful time-saving Xero tips, tailored for users within the construction industry. Whether you’re a sole trader running small building jobs or a contractor managing multiple projects, these tips will help you run your business more smoothly and stay profitable.
1. Create Custom Roles for Your Team
Construction is a team effort, and that includes how you manage finances. One of Xero’s most useful features is the ability to set up custom user roles. This allows you to give site managers access to the tools they need, such as raising purchase orders or sending invoices, without exposing sensitive financial information like payroll or management reports. The office team, meanwhile, can take care of bank reconciliations and reporting. This simple setup keeps your data safe while making sure everyone has the tools they need to get their job done without unnecessary back and forth.
2. Correct Mistakes Quickly with Find & Recode
The second of our Xero tips is for anyone in construction who knows how easy it is to miscode a supplier invoice to the wrong project or apply the wrong VAT rate across a batch of transactions. Fixing those errors manually is time-consuming and frustrating. Xero’s Find & Recode tool solves that problem by allowing you to update multiple transactions in bulk. In practice, this means you can fix an entire batch of invoices in minutes rather than hours, ensuring that your project costs are accurate and your accounts stay compliant. For businesses that run multiple jobs at once, this tool alone can save days of wasted admin each year.
3. Automate Invoice Reminders
Cash flow is the lifeblood of construction businesses, yet chasing late payments is one of the most common headaches contractors face. Xero allows you to set up automated invoice reminders so that your clients get a polite nudge before payments become overdue. Better still, you can customise the messages to suit your tone of voice, meaning they feel personal rather than robotic. This feature improves cash flow, reduces awkward chasing, and helps keep client relationships on good terms.
4. Save Time with Repeating Invoices and Bills
If you’re running contracts that involve the same monthly expenses or services, such as equipment hire, scaffolding rental, or ongoing subcontractor fees, Xero’s repeating invoices and bills feature is a real time-saver. Instead of entering the same details month after month, you can set them up once and let Xero handle it automatically. This not only saves hours of admin each year but also ensures that nothing slips through the cracks, keeping both suppliers and clients happy.
5. Protect Your Accounts with Lock Dates
Once a reporting period is finished or a project’s books are closed, the last thing you want is accidental edits that throw off your numbers. Xero’s Lock Dates feature prevents past transactions from being changed, giving you greater confidence in the accuracy of your reports. For contractors who work with accountants or external bookkeepers, this also avoids discrepancies and keeps everyone working from the same version of the truth. In an industry where profit margins can be tight, having reliable numbers is essential.
6. Export Data into Google Sheets for Deeper Analysis
Some contractors and finance managers like to dig deeper into the numbers, especially when preparing forecasts or board reports. Xero integrates directly with Google Sheets, allowing you to export reports and budgets for further analysis. This is ideal if you want to build custom dashboards, track KPIs, or create visual reports that give stakeholders a clear picture of business performance. It combines the best of both worlds: accurate data from Xero with the flexibility of spreadsheets.
Bonus Tip: Take Xero on Site with the Mobile App
Construction doesn’t happen behind a desk. The Xero mobile app gives you the freedom to send invoices, reconcile payments, and capture receipts wherever you are. Whether you’re visiting a site or meeting suppliers, you can keep your accounts moving without waiting until you’re back at the office. For busy contractors, this convenience makes a huge difference to staying organised and keeping cash flow on track.
What do you think?
Construction is fast-paced, and your accounting needs to keep up. By making the most of these time-saving Xero tips, builders and contractors can reduce admin, improve accuracy, and get a clearer picture of their finances. Even if you start with just one or two features, the impact can be significant. Over time, you’ll find that the hours saved add up, giving you more space to focus on the projects that matter and the clients who keep your business moving.
