What is JAX?

JAX is Xero’s AI-powered reconciliation assistant that helps automate bank reconciliation tasks by learning how transactions have been matched historically and suggesting reconciliations for similar transactions.

Rather than waiting for a team member to manually code and reconcile every bank line, JAX:

• Suggests matches based on historic reconciliation patterns.

• Learns and improves as you review and confirm or correct its suggestions.

• Leaves anything it cannot confidently match for a person to review.

• Does not automatically reconcile anything without your review.

This means that nothing gets reconciled without a team member checking it - it assists rather than replaces human oversight.

The changes to the previous manual process:

To transition from manual reconciliation towards a reconciliation workflow using JAX.

The global team have previously been the ones who do the most of the reconciling, so the global team will now:

1. Review all JAX proposed reconciliations

2. Adjusts or corrects them as needed

3. Completes reconciliations JAX leaves outstanding

4. Flags anything complex to the Head VA.

Key Things to Know About JAX

• It doesn’t automatically attach receipts or documents — if a transaction requires a receipt and none is attached, JAX won’t reconcile it until reviewed. 

• It learns from how things have been done previously — the better and more consistent the historical reconciliation, the better its suggestions.

• You will always see which transactions JAX has suggested for reconciliation and can accept, correct, or retrain the AI.

• Anything that is unusual, inconsistent, or complex will be left for a person to reconcile manually.

Step-by-Step Process - Review & Reconcile With JAX

1. Login & Open Reconciliation

Go to Xero → Accounting → Bank accounts → Reconcile.

2. Activate / Confirm JAX Is On

• If JAX isn’t already active for that file, ask your Head VA before turning it on.

• Once JAX is active the next time you log in it will show you a list of transactions it has reconciled or suggested matches for.

3. Review JAX Suggested Matches

For each transaction JAX has proposed:

1. Check the match — is it correct based on the transaction description and documentation?

2. If correct → Accept the match.

3. If incorrect → Correct it — selecting the right account/contact/etc.

4. If consistently incorrect → Train JAX by correcting it so it “learns” for next time.

Tip: The more consistently you correct to the right account/contact, the better JAX becomes.

4. Handle Transactions Without Suggestions

If JAX has not suggested a match:

1. Check for a receipt or supporting document.

2. Attach the receipt or correct document to the transaction in Xero.

3. Reconcile it manually if required.

4. If you do not have the documentation → leave it unreconciled and note it for the Head VA or for client follow-up.

5. Complex or Unusual Items

If a transaction:

• Is unusual or doesn’t fit normal patterns,

• Requires judgement or client confirmation,

• Or you’re not confident how to code it …

Flag to Head VA with an explanation and await direction before reconciling.

6. Mark as Reviewed

Once you have finished:

• Ensure all suggested JAX matches have been reviewed and accepted or corrected.

• Ensure any unreconciled transactions are either:

1. Reconciled manually, or

2. Assigned for further clarification.