--- title: Xero Rule - Absorbing merchant fees description: "How to set up reconciliation of Apxium processed\npayments in Xero" --- [Skip to content](https://support.apxium.com/knowledge/xero-rule-absorbing#main-content) English Show submenu for translations ![apxium-logo.png\]](https://support.apxium.com/hs-fs/hubfs/Logos/apxium-logo.png?width=144&height=50&name=apxium-logo.png) Open main navigation Close main navigation - English Show submenu for translations Hello. How can we help you? - There are no suggestions because the search field is empty. 1. [Apxium Help Center](https://support.apxium.com/knowledge?hsLang=en) 2. [Apxium Collect](https://support.apxium.com/knowledge/apxium-collect?hsLang=en) 3. [Integrations](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#integrations) # Xero Rule - Absorbing merchant fees ## How to set up reconciliation of Apxium processed payments in Xero --- Consistent will all banking payments processors, settlements from Apxium arrive in your bank account as two bulk settlements, one for credit card transactions and one for direct debit of bank accounts. In order to accurately account for the allocation of debtor payments and potential transaction fees Apxium programmatically creates two accounts. One called the **Apxium Clearing** Account and another called the **Apxium Fee** Account. Note: Both the account code and account name can be changed to suit your own conventions. ![](https://support.apxium.com/hubfs/image-png-Nov-11-2022-07-13-08-5157-AM.png) To balance the invoice allocation journal entries from the Clearing Account, the Bank Account bulk settlement needs to be journaled from the Bank Account to the Apxium Clearing Account. When this is done on a daily basis, we will also at the same time journal your client’s payments to the relevant invoices in Xero. Therefore, you must create a business rule in Xero to teach the system that Apxium bulk settlements to the Bank Account are always to be applied to the Apxium Clearing Account. You will only need to do this once for credit card settlement and direct debit settlement, hence two rule entries will be needed. You will receive two types of bulk settlements. One for all credit card transactions and one for all direct debits of bank accounts transactions.   Please follow the process below to create the business rule: 1\) Find the Apxium deposit in your Xero settlement Bank Account. The actual deposit will vary in its final form depending on the banking relationships that you have, however they will always remain the same for each type of deposit. Credit card deposits will likely be referenced “Merchant Settlement” or with "Till Payments" / "Till Funding"  (for Till merchants) and Direct Debit transactions from bank accounts will likely be referenced “DD APX-XXXXX”. Click on the “Create Rule” link. You will need to do this twice, once for credit card deposits and once for bank account deposits. This rule also applies to Till Payments/Nuvei merchants who absorb AMEX fees. For Till Payments/Nuvei merchants who pass on AMEX fees, please refer to this [article](https://support.apxium.com/knowledge/xero-rule?hsLang=en). 2\) Key in the business rules as shown. Note that the Apxium bulk settlement must be applied to the Apxium Clearing Account. The Apxium Clearing Account was programmatically created by us the first time we were granted token access. **You do** **not need to create a clearing account!!!**   a. **On your Bank Reconciliation page in Xero, select “Manage Account”. ![1-Sep-20-2023-06-28-04-5878-AM](https://support.apxium.com/hs-fs/hubfs/1-Sep-20-2023-06-28-04-5878-AM.png?width=688&height=214&name=1-Sep-20-2023-06-28-04-5878-AM.png)** b. **Select bank rules from the menu.** **![2-Sep-20-2023-06-29-27-6196-AM](https://support.apxium.com/hs-fs/hubfs/2-Sep-20-2023-06-29-27-6196-AM.png?width=688&height=236&name=2-Sep-20-2023-06-29-27-6196-AM.png)**   c. **Create Rules.** **Note: If you are using Till MID Facility, you can put Till Payments** **![image-png-Sep-20-2023-06-04-51-1406-AM](https://support.apxium.com/hs-fs/hubfs/image-png-Sep-20-2023-06-04-51-1406-AM.png?width=688&height=641&name=image-png-Sep-20-2023-06-04-51-1406-AM.png)** **Value: it applies on both Credit Card and Direct Debit** 3\) Once saved you will need to click “OK” every day for each credit card and direct debit bulk settlement and Xero will know to apply the settlements to the Apxium Clearing Account. The process of journaling funds from the bank account to the clearing account will rebalance the clearing account on a daily basis. 4\) When this is done on a daily basis, we will also at the same time journal your client’s payments to the relevant invoices in Xero.   5\) You are able to review the clearing account and compare it to your settlement report. The Apxium Clearing Account can be accessed via the merchant admin main menu. This will show you the invoice allocations. ![](https://support.apxium.com/hubfs/image-png-Nov-11-2022-07-42-12-1477-AM.png)   **IMPORTANT:** Before removing payments on an invoice in Xero, please check the payment reference field and if it starts with "Apxium-", then please do NOT remove it. Payments starting with "Apxium-" are payments exported from the Apxium system to Xero and represent real money transactions that have fees and associated GST. If there is a pressing need to remove a payment with a reference that starts with "Axpium-", then please contact Apxium support beforehand and we will work with you to find a solution.     - [Article Navigation Guide](https://support.apxium.com/knowledge/article-navigation-guide?hsLang=en#main-content) - [Article Navigation Guide](https://support.apxium.com/knowledge/article-navigation-guide?hsLang=en#article-navigation-guide) - [Apxium Collect](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#main-content) - [General Features](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#general-features) - [Communications](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#communications) - [Client Experience](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#client-experience) - [Payments, Settlements & Reconciliations](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#payments-settlements-reconciliations) - [Engagement / Proposals](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#engagement-proposals) - [APX Auto (Direct Debiting Invoices)](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#apx-auto-direct-debiting-invoices) - [Instalment Agreements (Non-SOR On Balance Sheet Instalments)](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#instalment-agreements-non-sor-on-balance-sheet-instalments) - [Professional Fee Funding (SOR) - Funded Instalments](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#professional-fee-funding-sor-funded-instalments) - [Reports](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#reports) - [Integrations](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#integrations) - [Onboarding Articles & Other Helpful Guides](https://support.apxium.com/knowledge/apxium-collect?hsLang=en#onboarding-articles-other-helpful-guides) - [Apxium Audit Safe](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#main-content) - [General Features](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#general-features) - [Creating Offers/Subscriptions](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#creating-offers-subscriptions) - [Offer Emails and Documentation](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#offer-emails-and-documentation) - [Accepting / Declining Audit Safe Subscription](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#accepting-declining-audit-safe-subscription) - [Active Audit Safe Subscriptions](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#active-audit-safe-subscriptions) - [Audit Safe Renewal / Rollover](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#audit-safe-renewal-rollover) - [Pricing](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#pricing) - [Others](https://support.apxium.com/knowledge/apxium-audit-safe?hsLang=en#others) - [Apxium Pay My Bill](https://support.apxium.com/knowledge/apxium-pay-my-bill?hsLang=en#main-content) - [Pay My Bill](https://support.apxium.com/knowledge/apxium-pay-my-bill?hsLang=en#pay-my-bill) - [Payments and Settlements](https://support.apxium.com/knowledge/apxium-pay-my-bill?hsLang=en#payments-and-settlements) - [Communications](https://support.apxium.com/knowledge/apxium-pay-my-bill?hsLang=en#communications) - [APX Auto (Direct Debiting Invoices)](https://support.apxium.com/knowledge/apxium-pay-my-bill?hsLang=en#apx-auto-direct-debiting-invoices) - [Payrix](https://support.apxium.com/knowledge/apxium-pay-my-bill?hsLang=en#payrix) - [Client POS - Non Integrated \[North America\]](https://support.apxium.com/knowledge/client-pos-non-integrated-north-america?hsLang=en#main-content) - [Client POS - General Features](https://support.apxium.com/knowledge/client-pos-non-integrated-north-america?hsLang=en#client-pos-general-features) - [APX Capital - Tax Pay for Introducers](https://support.apxium.com/knowledge/apx-capital-tax-pay-for-introducers?hsLang=en) - [APX Capital - Tax Pay For Borrowers](https://support.apxium.com/knowledge/apx-capital-tax-pay-for-borrowers?hsLang=en) [![Apxium Advanced Software Solutions for Accountant](https://support.apxium.com/hs-fs/hubfs/Logos/apxium-logo.png?width=144&height=50&name=apxium-logo.png "Apxium Advanced Software Solutions for Accountant")](http://www.apxium.com?hsLang=en) Copyright © 2025, Apxium HQ