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Xero inventory: items and stocktakes

Xero keeps the products you buy and sell as items and updates their stock levels as bills, invoices and credit notes are approved, with each movement flowing through to your accounts. We set up your items, bring in an existing item list, record your stocktake counts as adjustments and check that quantities move as they should. The details below are from Xero's own page.

What we do with inventory in Xero

  • Set up each product you buy and sell as an item with its description and price, or import your existing list from a CSV file.
  • Check that approved bills, invoices and credit notes move each item's stock level, and follow up any quantity that looks wrong.
  • Record your stocktake counts, and any lost or damaged stock, as adjustments in Xero.
  • Keep an eye on the size of your item list against what Xero manages itself, and tell you when an inventory app from the Xero App Store is worth a look.
  • Show your team how to add saved items to quotes, invoices and purchase orders, and how to record an adjustment.

How we set up inventory in Xero

  1. 01

    List your products

    We go through what you buy and sell and agree which products Xero should track as items.

  2. 02

    Load the items

    We set up each item, or import your list from a CSV file, with its description and price.

  3. 03

    Count and adjust

    After your stocktake, we enter the counts you give us as adjustments, so Xero starts from your actual quantities.

  4. 04

    Train the team

    We show your team how stock moves with each bill and invoice, and how to record the next count.

Xero inventory: what Xero states

Details from Xero's Australian inventory management page. The page's customer reviews and plan offers are not quoted.
What it listsAs published
Most items you can manage natively in Xero4,000 finished items
Stock features beyond the built-in toolsAdded through apps that connect with Xero
When stock levels updateAs you approve bills, invoices and credit notes
How stock links to the accountsEach stock movement flows through to your accounts
After a stocktake or damaged goodsAn item's quantity, average cost and total value can be adjusted
Saved item detailsFill in the price and description on quotes, invoices and purchase orders
Importing and exporting item detailsAs a CSV file

Source: Xero Limited, Inventory Management Software. Checked 16 Oct 2026.

General information

How your stock is valued in the accounts is for your accountant to decide. We set up the items in Xero, record the stocktake counts you give us and check that stock levels move with your bills and invoices. Sources checked 16 October 2026.