Bank Reconciliation

Use the Bank Reconciliation feature to reconcile your bank statements and general ledger closing balances for all bank accounts each month.  Reconciling bank accounts involves clearing checks and deposits that have cleared the bank, entering adjustments to the general ledger, and printing a detailed reconciliation worksheet that compares the adjusted bank balance with the adjusted general ledger balance.  When the reconciliation is complete, you can automatically enter adjustments such as bank service charges to the general ledger.  You can also save reconciliations to work on later.

 Steps:

1. Before starting with the bank reconciliation, make sure you do not have anything in the Make Deposits window for that bank for the month for which you are doing reconciliation.
2. Click on Banking & Reconciliation > Reconcile Bank Accounts.
3. Select the bank account you want to reconcile.
4. In the statement date, select the date of the bank statement which is last day of the month.
5. If the bank statement date is the first date of next month, the reconciliation should be done till the last day of the current month.
6. Select the G/L period date range from first date of the month till the last date of the month.
7. Type in the bank statement ending balance (Balance reflecting on the bank statement on the last date of the month).
8. Click on Proceed.
9. On the top left hand side of the screen the bank account will be displayed.
10. On the left side of the screen, the cheques which are issued or posted in Unity® Accounting will be displayed.
11. You have to match these cheques with the withdrawals (debit amounts) in the bank statement.
12. Clear only those cheques which have got cleared as per the bank statement.
13. Make sure that the total of cheques (amount) cleared reflected on the above screen should match the total withdrawals (amount) on the bank statement.
14. On the right-hand side, all the deposits posted in Unity® Accounting will be displayed.
15. Clear the deposits that have been cleared as per the bank statement.
16. The total deposits and other credits (amount) cleared as reflected on the above screen should be equal to the total the deposits (amount) as per the bank statement.
17. The worksheet adjustments are the temporary adjustments which should be cleared or deleted within one or two months.
18. The Posting Adjustments are the journal entries which are posted to the General Ledger after you click on the Post Adjustments tab besides Close.
19. You can post the bank or service charges reflected on the bank statement by posting the journal entry in your books. Alternatively, you can use the Write General Cheques feature to post any bank or service charges.
20. The recurring adjustments are the adjustments posted to G/L every month.
21. You can enter NSF (Non-Sufficient Funds).
22. After the difference is zero and all the amounts in the formula matches, you can print the worksheet.
23. Print Worksheet will print all the reports like outstanding cheques, outstanding deposits and any worksheet adjustments you made.
24. For reopening the previous month bank reconciliation, un-reconcile everything in the current month and then reopen the previous month.