Bank Reconcilation

The Bank Reconciliation module as the name suggests supports the bank reconciliation process.  The bank reconciliation process has four components which are described on this page:

  1. Bank Reconciliation
  2. Ad Hoc Transactions
  3. Re-open an incorrectly cleared item
  4. Bank Reconciliation report

Bank Reconciliation

To launch the Bank Reconciliation module click on Bank Reconciliation menu in the Financial Group.

To commence the bank reconciliation process, complete the Bank Reconciliation Details at the top of the form:

  • Select the bank account from the drop down list
  • Select the reconciliation date from the calendar control
  • Enter the balance from the bank statement as of the reconciliation date

At the bottom of the form, will be a list of items from the general ledger account for the bank account which are uncleared or provisionally cleared (provisionally cleared items are work in progress for the bank reconciliation).

Reconciliation is a step by step process whereby items in the list which have cleared the bank, are changed from Open to Provisonal by right clicking on the line in the list and selecting Set as Provisional. If a line item in the reconciliation is accidentally set to Provisional, it can be changed back to Open by right mouse clicking on the line item and selecting Set as Open.  You can also multi-select rows to Set Has Provisional, by holding down the Crtl key on your keyboard and selecting mulitple rows and then right clicking to set all of the selected items to Provisional.  Provisionally cleared items are indicated by the color of the date being red and by the word Provisional in the Cleared column.

Tip:  The rows in the bank reconciliation can be sorted by the column header.  This feature can be helpful, for example if you are clearing checks and want the list sorted by the dollar value of all of the credits to the bank account (sort on the credit column) or by check number order (sort on the check # column)

Bank reconciliations are often time consuming and cannot be completed in a single session.  No worries, all of your work is saved as it is done.  The only things which have to be re-entered, when you continue are the reconciliation date, te bank acocunt and the bank balance.

The bank account is reconciled when the value of the Unreconciled Balance in the bottom right hand corner of the Bank Reconciliation Details becomes zero.  Once this occurs, to complete the reconciliation process click on the Clear All Provisional Items button  on the Tool Bar,  The reconciliation will be saved and the list of GL Account Transactions will be refreshed, with all cleared items having been removed.

Ad HocTransactions

Often during the reconciliation process, there will be a charge or credit on the bank statement which has not been posted to the general ledger.  A simple option to enter this transaction is click on the + sign on the Tool Bar.

Complete the journal entry using the form above and when the entry is complete and the Transaction Balance at the bottom of the form is zero, click Save to post the transaction.  Upon posting, the entry will be added to the bank reconciliation as a provisionally cleared item.

Note: Each line item is added to the journal entry by clicking on the Complete button.

Re-Open an Incorrectly Cleared Item

On occasion, there are many items in the general ledger with the same value.  This can result in the wrong item being cleared during a bank reconciliation.  To recover from this click on teh Closed Bank Transactions menu in the Financial group.

Select the desired bank account and the to and from dates. A list of cleared transaction will appear.  Right Mouse Click on the transaction to be re-opened and select Set as Open.  Once the confirmation is accepted, the item will now be open on the bank reconciliation form.

Warning:  Re-opening an item will invalidate all bank reconciliations which have been done since and including the one which originally cleared the item which is to be re-opened.  This feature should be used with extreme caution.

Bank Reconciliation Report

To print a bank reconciliation report click on Reports in the Reporting application group.

From the list of Bank Reconciliations on the right, select the reconciliation for which you want a report and the clcik on the Run Report button on the Tool Bar.