Guide Categories
Bank Reconciliations
Verify that your recorded transactions accurately match your bank statements.
Overview
Bank reconciliations help you verify that all transactions recorded in your bank account within the software accurately reflect the transactions on your bank statement. Regular reconciliation ensures your financial records remain precise and reliable.
Note
Start your reconciliation process by gathering your most recent bank statement and ensuring all transactions have been entered before beginning.
Creating a Bank Reconciliation
To create a new bank reconciliation:
- Navigate to the Bank Reconciliations tab
- Click the New Bank Reconciliation button
- Select the bank account to reconcile
- Enter the statement end date and closing balance
- Mark transactions as cleared or pending
- Resolve any discrepancies
- Save the reconciliation
Key Information Fields
| Field | Description |
|---|---|
| Date | The date on which the reconciliation is performed |
| Bank Account | The bank account currently being reconciled |
| Statement Balance | The closing balance from your bank statement |
| Discrepancy | Difference between statement balance and cleared transactions |
| Status | Reconciled (zero discrepancy) or Not reconciled |
Warning
If you see a discrepancy that doesn't resolve after careful review, it may indicate missing transactions, duplicate entries, or data entry errors that need investigation.
Best Practices
- Reconcile your bank accounts monthly when you receive bank statements
- Enter all transactions before starting the reconciliation
- Check for duplicate transactions or data entry errors
- Verify outstanding checks and deposits in transit
- Investigate and resolve discrepancies promptly
- Keep supporting documentation for your reconciliations