Reconciliation¶
This is a special facility to help reconcile your G/L with your bank account. This requires a little set up on our part including setting up a method to load monthly downloads from your bank or other institution. Once ready you can go into each month and enter the G/L journal entry corresponding to the statement item. Once everything balances the pages will be clean and you will know that everything has been accounted for.
You are not limited to one bank. If you have more than one then each one can be specified in the system. If there is more than one then you will be prompted for the bank that you want to work in.
While we say “bank” you can reconcile other things as well. For example you can reconcile Paypal or even crypto currencies as long as they are tracked in the G/L.
Monthly reconciliation¶
Each line of the monthly reconciliation consists of the following fields:
Bank ID: Unique ID supplied by the bank. This is used to make sure that there are no duplicates.
Timestamp: The timestamp provided by the bank.
Track: Which month this item is tracked in if not the current one. This field can be modified. See below for further discussion.
Description: The item description as provided by the bank.
Amount: The amount of this transaction as provided by the bank.
G/L Journal: Enter the journal number that this item is tracked in.
Comment: You can enter any details that you may like to remember about this transaction
Diff: If the G/L is filled in then the system will add all bank transactions for that G/L and show the difference if any.
The tracking field can help reconcile a statement by specifying what year and month the transaction is actually tracked in in the G/L. If blank, the default, then it is assumed to be tracked in the same period as the bank statement. The drop down lets you specify another period, usually one before or after the statement period. If the period you need to specify is outside the range of the drop down then make a request to a sysadmin to enter it manually. However, if you keep the reconciliation current that should never be required.
At the bottom of the report there is a line that shows the total debits and credits that month.
Review reconciliation¶
Once everything is balanced you can go to the main page for that bank and see the health of your G/L. Here are the columns on that report:
Date: The year and month. Click this to go into the monthly report.
Statement: This is the closing balance. Enter this directly from your bank statemenmt.
Adjusted: The statement balance adjusted after your corrections as described above.
Balance: The balance of the G/L entries adjusted as above.
Difference: The difference between the adjusted statement balance and our system balance. We want this to be zero.
Open: The number of transactions with no G/L number added.
The idea is to make sure that every G/L transaction is assigned to a bank transaction, that every bank transaction has a G/L assigned and that there are no balances. Once you do that you can be sure that the G/L is in balance with the bank.
There is also a link on that page labelled “Unassigned” which pops up a window with all of the G/L entries relating to that bank which have not yet been assigned to a bank transaction.