The problem
An eBay payout is sales minus fees, ad charges, refunds and postage labels, so it never matches a single sale. If a VAT-registered reseller with 180 orders a month spends 5 hours matching payouts and fees in Xero, that's 5 hours a month of work that is easy to get wrong before a VAT return.
What the AI does
Link My Books connects your eBay store to Xero or QuickBooks Online. Its pricing page lists automatic posting of settlements, payout reconciliation, VAT reporting, product grouping for goods at different VAT rates, cost of goods tracking and profit and loss by channel. It's priced by orders a month and sales channels: the calculator shows $24£18€21A$35C$34 a month excluding VAT for 200 orders on one channel. Your accountant can be added as a user at no charge. Set it up with your accountant, check the first months' entries against eBay's own reports, and let it post each payout after that.
A worked example
A reseller in Sheffield, registered as a business seller, lists second-hand branded clothing and homeware and has about 300 live listings, sends about 180 orders a month, is VAT-registered and already pays for Xero Grow ($52£39€46A$75C$73 a month).
Before
About 5 hours a month matching eBay payouts, fees and refunds in Xero
After
About 1 hour a month checking the entries Link My Books posts
What it's worth
About 4 hours a month saved, worth around $133£100€119A$192C$188 if your time is worth $33£25€30A$48C$47 an hour. Link My Books is $24£18€21A$35C$34 a month excluding VAT for up to 200 orders on one channel, about $29£22€26A$42C$41 with VAT. Xero Grow at $52£39€46A$75C$73 is assumed already paid; without accounting software you'd need that too.
How to set it up
- Ask your accountant whether they already use Link My Books and how they want eBay income, fees and VAT coded.
- Start the 14-day free trial, which needs no card, and connect your eBay store and Xero.
- Run the setup wizard for VAT with your accountant; tell them if you use the margin scheme for second-hand goods.
- Compare the first three months of posted payouts with eBay's payout reports before you trust it.
- Each month, check the entries and reconcile the bank line for each payout.
What goes wrong
- The page doesn't mention the VAT margin scheme that many second-hand sellers use; confirm with your accountant how it handles your sales before relying on its VAT figures.
- The plan is set by your rolling average orders; Link My Books says it upgrades you automatically 7 days after emailing if you go over, so a busy Christmas can raise the price.
- Link My Books says it doesn't give tax or accounting advice; the VAT return is still your or your accountant's responsibility.
- Xero Ignite is limited to 20 invoices and 10 bills a month, so check your Xero plan can take the entries.