New in Xero Payroll – Employee Self Onboarding
Xero has introduced an employee self onboarding feature within Xero Payroll
designed to streamline how new employees provide their payroll information. Rather than manually collecting and re-keying forms, employers can invite new starters to securely enter their own details online, improving efficiency and accuracy in the onboarding process. [ visit central.xero.com for more information ]
How Xero Employee Self-Onboarding Works
Using the Payroll menu, employers send an onboarding request to a new employee with just their name and email address. The employee completes a secure online form, providing their required details, and submits it back through Xero. Sensitive information remains protected through the process. [ visit central.xero.com for more information ]
Once submitted, the onboarding does not automatically create an employee – Instead, Xero requires a review and approval step:
• You receive an email notification when employee details are ready for review
• You can review, edit, and either “Save and continue” to finalise, or reject the submission
• Only approved data flows through to become an official employee record in Xero Payroll
Important note: While Xero does provide email notifications and an approval workflow, there is no dedicated onboarding status report. Oversight relies on notifications and manual review within the Payroll menu rather than a standalone reporting view.
Information Collected During Self Onboarding
The self onboarding form captures key payroll information required for compliant payroll processing, including:
• Date of birth, gender, address, phone numbers, emergency details
• Tax declarations
• Superannuation nominations
• Bank account details for wage payments
Once approved, this data integrates directly into Xero Payroll, reducing duplication and the risk of transcription errors.
Record Keeping Obligations: A Critical Reminder
While Xero’s self onboarding simplifies data collection, employers remain legally responsible for record keeping.
Under Fair Work legislation, general employment records must be kept for at least seven years. These include employee details, pay records, hours worked, allowances, and leave information. Records must be accessible, legible, and retained even if your systems change. [ visit fairwork.gov.au for more information ]
Our Recommendation
We strongly recommend regularly downloading and securely storing employee records outside of your accounting or payroll software. This ensures:
• Continued access if you change software providers
• Protection if a subscription is closed
• Compliance assurance during audits or Fair Work reviews
Maintaining independent record backups is a simple but vital compliance safeguard for every employer. See our blog post about employee self-onboarding tools here: [ read article ]
If you’d like guidance on implementing Xero’s self onboarding feature or managing compliant payroll record keeping, feel free to get in touch with our team.
Tashly Consulting Xero Bookkeepers Adelaide are Registered BAS Agents #86318001, and we are dedicated to providing seamless, high-quality, transparent bookkeeping services – If you would like any further information please contact us via telephone (08) 8121 4424 or via email to discover how the multi-award-winning team at Tashly Consulting can help you better manage your business bookkeeping.
Tashly Consulting Xero Bookkeepers Adelaide – Not your average Bean Counter!
Disclaimer: All or any advice contained in this blog/newsletter is of a general nature only & may not apply to your individual business circumstances. For specific advice relating to your specific situation, please contact your accountant or other professional adviser for further discussion.
Images by Xero | Edited by @tashlydesign
