LedgerOptic is designed to fit into real accounting workflows. It sits alongside your Xero file and your existing workpaper suite, giving you clarity before workpapers are built and before WIP is committed.
Rather than changing how firms work, it changes when analysis happens.
Below is how it works in practice.
Step 1. Sync your Xero file (one step, full coverage)
LedgerOptic integrates directly with Xero. Once the file is synced, no uploads or exports are required.
From that single sync:
- Every transaction in the general ledger is analysed
- Every account in the trial balance is reviewed
- Both P&L and balance sheet activity are included
This is a full-file review completed in minutes, not sampling or spot checking.
Step 2. Instant, file-wide analysis (accounting + tax)
As soon as the Xero file is synced, LedgerOptic performs a complete analysis across transactions and accounts.
It flags clear, high-confidence issues such as:
- Transactions where the description does not align with the account they are allocated to
- GST issues, including GST claimed on GST-free or input-taxed items
- Expenses that appear non-deductible, capital in nature or subject to FBT
- Repairs and maintenance transactions that are more likely capital
- Transactions indicating private or mixed-use expenditure
- Items that require tax reconciliation adjustments under tax law
It also surfaces complex tax and structuring risk areas, including:
- Potential Division 7A loan exposure
- Unpaid present entitlements (UPEs) to corporate beneficiaries
- Intercompany and related-party loan balances
- Trust distribution patterns that may give rise to section 100A risk
This analysis happens almost immediately, allowing key issues to be identified and actioned before time is spent building workpapers.
Step 3. Issues are structured and prioritised
Findings are grouped into clear, practical categories so teams know what matters first.
Common categories include:
- Transaction-level allocation and GST issues
- Non-deductible, FBT and tax-sensitive items
- Balance sheet accounts requiring reconciliation
- Tax reconciliation and adjustment items
- Complex tax and structuring risk areas
This gives everyone working on the job the same shared understanding of the file.
Step 4. Queries and internal actions happen early
One of the biggest drivers of budget blowouts is starting work before all issues are known.
With LedgerOptic:
- Analysis is completed first
- Client queries are sent early where information is missing
- Internal actions are taken to fix accounting issues already identified
This occurs within the first 5-10% of the job budget, before meaningful processing begins.
Step 5. The file is fully actioned and ready to complete
A LedgerOptic job is not “done” just because queries have been sent.
The file is only considered ready when:
- All accounting issues flagged by LedgerOptic have been reviewed and actioned
- Required reclassifications, reconciliations and adjustments have been completed
- Tax reconciliation items have been identified and allowed for
- Client queries have been resolved where relevant
At this point, discovery work is finished.
Only then are workpapers prepared. From there, the job can move straight through to:
- Final workpaper preparation
- Income tax return preparation
- Financial statements drafting
Without back-and-forth, re-analysis or repeated review cycles.
Step 6. Real insight into job progress (not just a status)
Traditional job statuses like In Progress, Client Queries or Review do not show real progress.
LedgerOptic provides meaningful visibility by showing:
- What accounting and tax issues have been identified
- Which issues have been resolved
- What remains outstanding before the job can move forward
Partners and managers can see the true state of a job in seconds, without opening the file or chasing updates. Oversight is based on substance, not labels.
Step 7. Clear guidance for juniors and offshore staff
LedgerOptic provides a clear framework for what matters in the file, not just how to process it.
This helps junior and offshore staff:
- Understand what requires attention and why
- Progress higher-quality work independently
- Reduce repeated review points
Senior staff spend less time fixing basic issues and more time reviewing judgement and outcomes.
In summary
LedgerOptic integrates directly with Xero, analyses the entire file in one pass, and flags accounting and tax issues instantly.
Once those issues are actioned by the accountant and any required client queries are resolved, the file is genuinely ready. Workpapers, tax returns and financial statements can then be prepared cleanly and efficiently, without rework, dead WIP or last-minute surprises.
