How to set up multi currency support on Xero

intermediate 8 min read Updated 2026-03-18

Quick Answer

Multi currency support in Xero allows you to invoice customers and pay bills in different currencies. You can enable this feature in Settings and add specific currencies for your business transactions.

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Prerequisites

Active Xero subscription
Organization administrator access
Understanding of your base currency
List of currencies you need to support

Step-by-Step Instructions

Access Organization Settings

Log into your Xero organization and click on Settings in the main menu. Then select General Settings from the dropdown menu to access your organization's configuration options.

Make sure you're logged in as an organization administrator to access these settings.

Navigate to Currency Settings

In the General Settings page, locate the Features section on the left sidebar. Click on Currencies to open the multi-currency configuration panel where you can manage all currency settings.

Enable Multi Currency Feature

On the Currencies page, you'll see a toggle switch labeled Multi-currency. Click the toggle to turn it ON. A confirmation dialog will appear explaining that this feature cannot be disabled once activated. Click Continue to proceed.

Consider carefully before enabling as this feature cannot be turned off once activated.

Add Required Currencies

Click the Add Currency button to open the currency selection dialog. Choose currencies from the dropdown list that includes major world currencies like USD, EUR, GBP, etc. Select each currency you need and click Add to include them in your organization.

Only add currencies you actually plan to use to keep your currency list manageable.

Set Exchange Rate Preferences

For each added currency, configure the exchange rate settings. You can choose between Automatic daily rates (updated by Xero) or Manual rates that you update yourself. Click Save after selecting your preferred option for each currency.

Automatic rates are convenient but review them regularly for accuracy, especially for large transactions.

Configure Default Currency for New Contacts

In the currency settings, set your preferred default currency for new customers and suppliers. This will be automatically assigned to new contacts unless you specify otherwise when creating them. Select from your enabled currencies using the dropdown menu.

Test Multi Currency Setup

Create a test invoice or bill to verify the multi-currency functionality. Go to Business > Invoices > New Invoice. Select a contact and notice the currency field now appears, allowing you to choose from your enabled currencies. The exchange rate will be displayed automatically.

Always test with a small amount first to ensure exchange rates and calculations are working correctly.

Common Issues & Troubleshooting

Multi-currency option is not visible in settings

Ensure you have administrator access and your Xero subscription plan supports multi-currency features. Some basic plans may not include this functionality.

Exchange rates are not updating automatically

Check your internet connection and verify that Automatic daily rates is selected in currency settings. You can also manually refresh rates by clicking Update Exchange Rates.

Currency not available in the dropdown list

Xero supports most major world currencies. If a specific currency isn't available, contact Xero support to request it be added to their system.

Existing transactions showing incorrect currency

Multi-currency only affects new transactions. Existing invoices and bills retain their original currency. You cannot convert historical transactions to different currencies.

Prices mentioned in this guide are pulled from current plan data and may change. Always verify on the official Xero website before purchasing.

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