One of the last steps when using WorkGuru for the first time is entering your first stock take. This is important as it sets the starting stock on hand counts AND stock value that the subsequent transactions in WorkGuru will adjust and journal through to Xero:
- Purchases in,
- COGS out,
- Adjustments either way.
As this process is setting the starting SoH value in WorkGuru, it is EXTREMELY important that this value is reflected in Xero at the same time. Due to this important requirement, it is important to treat the first stocktake a little differently than you subsequent ones:
- Apply your initial stocktake per warehouse as per the standard stocktake process. It is useful use the stocktake name to identify the first/initial stock count.
- On the stock take dashboard, for each of the initial stock takes, click the Sent button(s) in the Send to Accounting column to prevent WorkGuru from sending these adjustment journals to Xero.
- Get the current SoH value from Reports -> Stock -> Stock on Hand. Click Run Report for the current date to display the current SoH value. This should match the value of your stocktake sheets.
- The current SoH value is the value that your Xero SoH account you set as your inventory account needs to be journaled to IN XERO. If unsure how to do this, either ask your accountant or book keeper or pass the value to them to complete for you. It is important that Xero is journaled to this value on the same date.
If you have not aligned the starting SoH value from WorkGuru in Xero, the subsequent journals WorkGuru sends to Xero, purchases, COGS, adjustments, which will be correct, are journaling a different value in Xero. An analogy is if two people are in a high rise building, one on the 2nd floor and one on the 3rd and both go up 5 floors and then down 2 floors, they have both travelled the same, correct amount but still end up on different floors. Essentially the process aligning the starting SoH between WorkGuru and Xero, is to ensure both people are together at the same time so the subsequent lift movements (the purchases, COGS and journals) are from the same floor.