Reconciliation is the month-end process of checking your Cashbook against your bank statements. You will compare and ensure that transactions in the Cashbook match the transactions appearing on your bank statement.
During reconciliation, you can add monthly bank fees to the Cashbook and correct any data errors. Reconciliation also gives you a system for finding charges that you need to contact your bank for a correction or dispute.
All accounts must be reconciled for the months in a BAS period before the BAS process can be started.
- Click on Home.
- Click on Cashbook.
- Click on Reconciliation.
- Click on the Bank Account name to select the Bank Account you are going to work with.
- Enter the Bank Statement Closing Balance from the printed bank statement use a positive number for a Savings or Cheque Account.
- Enter a negative number for a loan, overdraft balance or credit card balance owed.
Click on the Reconcile This Account button. Or, press the Enter key twice.
- The Reconciliation window will open.
Line matches in Cashbook account and Bank Statement
Click in the OS column An asterisk * will mark the item
Expense, interest charge or monthly bank fee needs to be added
Click on Add New Transaction
Enter the details of the fee or payment For example, Code use Bank Fees for monthly bank fees or Debit Interest for loan interest Enter the Amount (as a positive number)
Add a missing payment from cheque or savings to loan or credit
Click on Add New Cash Transfer
Enter the Amount, Account From, Account To
Optional, add a tracking or cheque number
At the message, ‘Clear transfer?’ click Yes
Click on Close
Item in the account needs to be corrected
Click on the row (on the transaction detail) Click on Edit Highlighted
After making the changes click Save
At the message, ‘The TOTAL of this transaction has changed from $... Is this OK?” click Yes complete
Click on Close
Duplicate item or wrong item in the account
Click on the row (on the transaction detail) Click Delete Highlighted
A message appears, ‘Erase highlighted record?’
WARNING this cannot be undone
Click Yes to delete
To reconcile all other entries entered into the Cashbook against the Bank Statement e.g. deposits, direct debits and bank charges, click in the OS field with your mouse, an asterisk ( * ) will appear when the item is marked off/cleared/presented. Make sure you have cleared all items that appear on your bank statement.
- Continue to verify transactions and watch the Difference.
- When there is a 0.00 difference, click on X to close.
- Repeat the steps for the next Bank Account until all accounts have 0.00 difference.
Once all accounts have been reconciled to a zero balance.
- Click on Monthly Report.
- Click the green tick.
- Click on Print.
- Click on X to close to return to the Monthly Report window.
- Click on X to close to return to the Reconciliation window.
If you have a Budget linked to the Cashbook, click on Budget Comparison Report.
For an overview of your accounts including unprinted cheques and invoices, click on Cashbook Summary.
If you need to do a Business Activity Statement (BAS) process for this period, click on Tax Reports.
- Click on Close Month.
- At the Close Month message click Yes.
- Click to X to close.