> For the complete documentation index, see [llms.txt](https://help.tahua.io/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.tahua.io/knowledge-base/administrator-help-guides/payments/payment-integrations/milestone-payments-using-a-xero-integration.md).

# Milestone Payments Using a Xero Integration

<figure><img src="/files/GJad2wMTWMTnA0rYazJy" alt=""><figcaption></figcaption></figure>

**Step 1 — Applicant submits milestone**\
The applicant completes their milestone and submits it for review via Tahua.

**Step 2 — Admin reviews milestone**\
An admin reviews the submission in Tahua to assess whether it meets the required criteria.

**Step 3 — Admin approves milestone**\
Once satisfied, the admin approves the milestone. This triggers two parallel tracks: the payment batch process and the Xero billing process.

**Step 4 — Payment Batch is created**\
A Payment Batch is created in Tahua and the approved milestone is assigned to it.

**Step 5 — Admin exports Batch Payment**\
The admin exports the Batch Payment file from Tahua, which is then imported by Finance and sent to the Bank for processing.

**Step 5b–5c — Bank processes payments**\
Finance imports the batch into the banking system. The Bank processes the individual payments to applicants.

**Step 6a — Contact created in Xero**\
In parallel with the batch process, a Contact record is created in Xero for the applicant (if one doesn't already exist).

**Step 6b — Bill created in Xero**\
A Bill is created in Xero for the milestone.

**Step 7 — Xero imports payment info from Bank Feeds**\
Once the Bank has processed the payment, Xero automatically pulls in the transaction data via Bank Feeds.

**Step 8 — Finance reconciles payment against Bill**\
Finance matches the incoming bank transaction to the open Bill in Xero, completing the reconciliation.

**Step 9 — Payment created against milestone in Tahua**\
Following reconciliation, a payment record is created against the milestone in Tahua.

**Step 10 — Applicant notified and milestone updated**\
The applicant receives a payment notification email and the milestone status is updated in Tahua. The process is complete.


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