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Account Reconciliation

Match your accounting records with bank statements to ensure accuracy.

Reconciliation Process

  1. Start Reconciliation:
    • Go to Accounting → Reconcile
    • Select account to reconcile
    • Enter statement ending date and balance
  2. Match Transactions:
    • Check off cleared transactions
    • SyncBooks auto-matches imported transactions
    • Add missing transactions
  3. Resolve Differences:
    • Investigate unmatched items
    • Correct errors or duplicates
    • Add bank fees or interest
  4. Complete Reconciliation:
    • Verify difference is $0.00
    • Save and lock reconciliation
    • Generate reconciliation report

Reconciliation Example

Business Checking Account - January 2024

SyncBooks Balance

Beginning Balance$25,430.00
+ Deposits$15,200.00
- Payments-$12,850.00
Ending Balance$27,780.00

Bank Statement

Beginning Balance$25,430.00
+ Deposits$15,200.00
- Checks/Debits-$12,875.00
Ending Balance$27,755.00

Difference: $25.00

SyncBooks shows $27,780.00 but bank shows $27,755.00

Investigation:

✓ Found: Bank service fee of $25.00 not recorded in SyncBooks

✓ Action: Add bank fee transaction

Debit: Bank Fees $25.00 | Credit: Checking $25.00

✓ Reconciled!

New SyncBooks balance: $27,755.00 matches bank statement

Common Reconciliation Issues

Outstanding Checks

Checks written but not yet cashed

Solution: Mark as uncleared, will reconcile next month

Deposits in Transit

Deposits recorded but not yet in bank

Solution: Mark as uncleared, will appear on next statement

Bank Fees

Service charges, wire fees, overdraft fees

Solution: Add as expense transaction

Interest Income

Interest earned on account

Solution: Add as income transaction

Duplicate Entries

Same transaction recorded twice

Solution: Delete or void duplicate transaction

Reconciliation Frequency

  • Bank Accounts: Monthly (required)
  • Credit Cards: Monthly (recommended)
  • Loan Accounts: Monthly or quarterly
  • Investment Accounts: Quarterly

Reconciliation Tips

  • Reconcile within 10 days of receiving statement
  • Start with largest transactions first
  • Look for transposed numbers (e.g., $123 vs $132)
  • Check for missing decimal points
  • Review previous month's outstanding items
  • Save reconciliation reports for audit trail

Best Practice: Reconcile accounts within 10 days of receiving statements for accurate financial reporting.