Guide ยท Xero

Can you set reorder points in Xero?

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Not in core Xero. Tracked inventory items record quantity on hand and value, but there is no reorder point field and no low stock list. Xero Inventory Plus, a separate US-only add-on, lets you set reorder points. Otherwise, keep reorder points in a spreadsheet and compare them with the Inventory Item List report.

This guide follows Xero's own help and product pages as published on 2026-10-01. Menu names can differ slightly between regions and as Xero updates its navigation.

What does core Xero track for inventory?

Xero has two kinds of inventory item. A tracked item records the quantity and value of stock you have available, and Xero records the cost of goods sold when you sell it. An untracked item is a saved description and price for things you buy or sell, with no quantity on hand.

For a tracked item, quantity, average cost and total value update from the purchase and sales transactions you approve. Items live under Sales, then Products and services.

What core Xero does not have is anything that acts on those quantities: no reorder point, no minimum or maximum stock level, no low stock alert and no suggested order. Xero's own inventory page lists reorder points as a feature of Xero Inventory Plus, not of Xero itself.

What does Xero Inventory Plus add?

Xero Inventory Plus is a separate app that connects to Xero and to sales channels such as Shopify and Amazon. Xero describes it as letting you "set reorder points so that if your stocks dips below a certain level, you know about it and can reorder straight away."

The app listing also says you can view products to reorder, create purchase orders, manage delivery and accept partial receipts of goods. Two limits matter before you plan around it:

  • It is US-only. The Xero App Store lists it as an add-on for Xero subscriptions in the United States. Users in other countries have an open Xero Product Ideas request asking for it to be rolled out more widely.
  • The reorder point is still a number you choose. Xero's materials describe setting the level and being told when stock falls below it. They do not describe the app working out the level from your sales history.

How do you track reorder points in a spreadsheet instead?

If you are outside the US, or do not want another app, a simple sheet does the same job as a low stock list.

  1. Go to Accounting, then Reports, and open the Inventory Item List report. Set the date to today and click Update.
  2. Click Export and choose Excel.
  3. In the sheet, add a Reorder point column next to each tracked item's quantity.
  4. Add a Status column with a formula such as =IF(H2<=I2,"Reorder","OK"), where H2 is the quantity and I2 the reorder point; use your own cell references.
  5. Filter to Reorder, subtract anything already on an open purchase order, and order the rest.

Keep the reorder points in a master sheet and paste each new export beside them, matched on item code, so you do not retype them every week. Xero's report help notes that some formula amounts can show as 0.00 until you click Enable Editing in Excel.

How do you choose the reorder point number?

Use average daily sales times the supplier's lead time, plus a cushion. Here is an example with made-up data. Brightline Supply sells about 3 units a day of a cordless drill battery from Ironwell Tools, which takes 12 days to deliver. Brightline wants 6 days of cushion.

Reorder point = 3 x (12 + 6) = 54 units. When the Inventory Item List shows 54 or fewer on hand, and nothing is already on order, it is time to order.

To get daily sales, export the Inventory Item Details report for the last 12 months and total the units sold per item. Our Xero demand forecasting guide shows the full method.

What mistakes should you avoid?

  • Counting untracked items. Untracked items have no quantity on hand, so a reorder point cannot work for them. Convert the ones you stock to tracked.
  • Forgetting open purchase orders. Tracked stock goes up when the supplier's bill is approved, not when you raise a purchase order, so goods on order are not in the quantity. Check your Approved purchase orders before you order again.
  • Setting it once. Sales and lead times change. Revisit reorder points for fast movers every quarter.
  • Stale quantities. The sheet is only as good as the bills and invoices in Xero. Unentered bills make stock look lower than it is.

Can something work out what to reorder for you?

Yes. ReorderOwl reads the Inventory Item List and Inventory Item Details exports and works out what to order and how much from each item's sales history, with nothing to connect in Xero. It works in ChatGPT today, and Claude setup is coming shortly.

When you ask, it builds the purchase order with the items and quantities, and nothing is sent to your supplier. See ReorderOwl for Xero for the exports and how it works.

Frequently asked questions

Does Xero have a reorder point field?

Not in core Xero. Tracked items record quantity on hand and value, but Xero lists reorder points as a feature of the Xero Inventory Plus add-on.

Is Xero Inventory Plus available outside the US?

The Xero App Store lists it for Xero subscriptions in the United States only. Users elsewhere have asked Xero to roll it out to more countries.

Can Xero send a low stock alert?

Core Xero has no low stock alert. Xero Inventory Plus lets you know when stock dips below the reorder point you set.

Which report shows quantity on hand in Xero?

The Inventory Item List report shows the quantity and value of your tracked inventory on hand. Export it to Excel to compare against your reorder points.

Does Xero calculate reorder points for me?

No. Neither core Xero nor the Inventory Plus materials describe calculating a reorder point from sales. You choose the number.

Sources

  1. Strengthen your inventory and purchasing with Xero, Xero, accessed 2026-10-01
  2. Xero Inventory Plus, Xero App Store, accessed 2026-10-01
  3. About tracked inventory in Xero, Xero Central, accessed 2026-10-01
  4. Inventory Item List report, Xero Central, accessed 2026-10-01
  5. Export and print a report, Xero Central, accessed 2026-10-01
  6. Roll out Xero Inventory Plus to all countries, Xero Product Ideas, accessed 2026-10-01