Xero Payroll + MyHR integration (NZ)
How the Xero NZ Payroll integration with MyHR works
Contents
What data is pushed from MyHR to Xero NZ
Leave balances and leave requests
Overview
This article provides a comprehensive guide to setting up and using the integration between MyHR and Xero NZ Payroll.
It details how employee records and crucial personal information (like IRD numbers and bank accounts) are synchronised for new hires, and how to manually link existing staff.
Crucially, this article includes important updates on recent changes to how leave balances display in MyHR due to Xero's new NZ leave requirements, and provides guidance on requesting and approving leave in light of these changes.
What the integration does
The integration between MyHR and Xero NZ Payroll has been designed with 2 goals in mind:
- To cut down on duplicate data entry when new employees join your business and when employees apply for leave in MyHR.
- To provide employees and managers with the information and tools they need to request and approve leave without needing to log in to your payroll system.
For new employees
New employee records are automatically created in Xero NZ Payroll when:
- A new employee e-signs their first employment contract in MyHR, or;
- A signed copy of their employment contract is manually uploaded to MyHR.
The employee information entered when the person was added MyHR, along with any relevant personal details the employee entered before signing, such as bank account and IRD number, will be used to populate as many details as possible in Xero NZ Payroll.
This establishes the link between MyHR and Xero NZ Payroll for the employee that allows accurate and up-to-date leave balances from Xero to show in MyHR.
If you are not comfortable with an automatic link being established, the integration also allows you to choose to manually send new employee details from MyHR to Xero NZ Payroll at any time.
For existing employees
For existing employees, the integration process will require the link between both MyHR and Xero NZ Payroll to be established manually.
What data syncs
When a new employee is created, MyHR sends the following to Xero NZ:
- Name, email, phone
- Date of birth, gender
- Address
- Job title
- Start date (and end date for fixed-term employees)
- Employment type
- Hours of work and pay frequency
- Pay rate and pay type (salary or hourly)
- Tax code and IRD number
- Bank account
Ongoing, MyHR sends approved leave requests to Xero and pulls leave balances back for employees to see in MyHR.
For ongoing employee detail updates, see Automatic data updates between MyHR and payrolls.
Connecting the integration
Step 1 — Open integrations
- Select the Settings cog (top-right corner)
- Select Settings, then click the Integrations tab
- Find Xero Payroll NZ and select Get started
Step 2 — Authorise the connection
- Select Authorise MyHR to access Xero
- You'll be redirected to Xero — log in if prompted
- Select the correct Xero organisation and choose Allow access
- You'll be returned to MyHR
Step 3 — Configure your settings
Once connected, configure your integration settings:
- Payroll administrator — who receives integration notifications and error emails
- Automatic employee creation — whether new employees are pushed to Xero when they sign their agreement
- Automatic data updates (Push Updates) — see Automatic data updates between MyHR and payrolls
- Leave balance visibility — management only or self-service
Linking your people
After connecting, you'll need to link existing employee records between MyHR and Xero. For a full guide see Navigating integrations in MyHR.
- Select the Settings cog > Settings > Integrations > Xero NZ > Manage
- In the Manage tab, profiles show with one of these statuses:
- Not linked — exists in one system but not connected to the other
- Connected — successfully linked
- Action required — data issue or sync error needs attention
- Excluded — manually excluded from the integration
- Select the ellipsis menu (..) next to a profile and choose 'Link to an existing payroll profile' or 'Link to an existing MyHR person'
- Select 'View details' to review a side-by-side comparison before confirming
Automatic data updates
MyHR can automatically push employee detail changes to Xero NZ. Turn on Push Updates in your integration settings.
Fixed-term employment type: Changes to fixed-term won't update automatically — update directly in Xero.
See Automatic data updates between MyHR and payrolls for the full list of what gets sent.
Leave balances and leave requests
Once employees are linked, leave approved in MyHR is sent to Xero automatically and employees can see their balances in MyHR.
Always approve leave in MyHR, not directly in Xero. Leave created directly in Xero won't appear in MyHR.
Leave balance display — important context
Xero updated their NZ payroll to comply with the Holidays Act. Leave balances may now display in weeks or days rather than hours. MyHR reflects whatever unit Xero uses for each leave type.
How Xero NZ leave balances display
Xero has updated their payroll requirements for how New Zealand leave must be recorded, to comply better with the Holidays Act.
What you will notice
- Change in units: Leave balances may now show in different units, such as weeks or days, instead of hours. MyHR will reflect whatever Xero uses for your specific leave types.
- Leave requests remain the same: Employees must continue to enter the actual number of hours they plan to take when submitting a leave request in MyHR, just as they do today.
- Xero handles conversion: Xero is responsible for taking the requested hours and handling the conversion to the appropriate deduction unit (days, weeks, or hours) from the employee's available balance.
Recommendations for payroll administrators
We strongly recommend the following steps for the next few pay cycles:
-
Review balances: Double-check your team’s leave balances in MyHR to confirm the new display units look correct.
-
Verify deductions: Carefully check leave calculations and deductions in Xero, especially for requests spanning multiple days or involving irregular work patterns.
-
Adjusting deductions: If Xero’s deduction does not look correct, you can easily adjust the amount that is deducted directly within Xero.
-
Employee reminder: Remind employees to double-check the hours they enter when requesting leave.
Leave request comments
Xero NZ accepts comments of up to 50 characters. Anything longer will be truncated in Xero — the full comment remains visible in MyHR.
To force a balance refresh, go to the person's Leave tab in their MyHR profile.
Known limitations
| Limitation | Detail |
|---|---|
| Fixed-term employment type | Won't update automatically via data push — update directly in Xero |
| Leave comment character limit | Truncated to 50 characters in Xero; full comment visible in MyHR |
| Multiple pay rates | Only the first/main rate updates via automatic push |
Support Options
If you need more help, our HR teams are always here for you! See Payroll integrations — FAQs and Troubleshooting for common issues.
If you have questions, message the MyHR team via the Ask Us chat feature or call us on:
NZ - 0800 69 47 69 (0800 MY HR NZ) or +64 9 887 3345
AU - 02 7908 2240
CA - 1 855 694 7224