Process Spotlight: Bank Reconciliation

From the Main Menu, select Reports → Banking → Reconciliation List. The list will be blank. If you want to see past reconciliations, apply the appropriate filter criteria. If you want a new reconciliation, select “New” from the Hamburger Menu.

Select the Bank Account you want to reconcile and press continue. In order to be seen in the Bank Value List and be reconcilable, the Account Type must be listed as “Bank” in the Chart of Accounts. Enter in the reconciliation date, start and end statement dates, and the ending balance (your start balance will automatically be calculated based on the reconciliations of the previous period).

You should now see the portal populate with all open transactions.

You can use the Hide Later/Show Later buttons to remove or include any transactions that happened after the statement end date.

To add a transaction to the reconciliation, check the checkbox in the bottom portal and it will move it to the reconciled portal. To remove it from the reconciliation, uncheck to box in the top portal and it will move it to the bottom portal.

The Select All/Deselect All buttons can be found in the Hamburger Menu and used accordingly. The + buttons next to the Check, Deposits, and Journal Entry fields can be used to add new transactions while remaining on the reconciliation. Once all transactions are reconciled, you can find a Print and Export option in the Hamburger Menu.

Fixing Reconciliation Discrepancies

For a Positive Difference

Create a Journal Entry using the + button and set the date to the end date of your reconciliation period.

Create a line with the same Account as your Bank. In the Credit field, enter the variance amount from the reconciliation.

Next, create a line to the account you would like the reconciliation discrepancy to go to. In the Debit field, enter the variance amount from the reconciliation.

You can add notes if desired and then close the Journal Entry. Add the Journal Entry to the Reconciliation so your difference is now $0.00.

Troubleshooting Incorrect Starting Balance

If the previous Reconciliation discrepancies were not reconciled, please use the steps above to create a Journal Entry to reconcile the variances.

If your dates overlap or if you have two reconciliations for one period, this will cause an error in your starting balances and thus in your difference calculation.

• If an incorrect date was entered in error, correct the date.
• If multiple reconciliations were made, then combine them into a single reconciliation.
• Delete any duplicate reconciliations to leave only a single reconciliation within each period.

Verify the date of the transaction and that the Hide Later button is not activated.