Reconcile Bank Account - Cashbook

This option allows you to perform the reconciliation procedure.

Give the cash book account code for this account. The account name is then displayed. You can <Escape> from the cash account prompt back to the menu.

Statement No

This is the statement or page number given on the bank’s statement, and it will be marked on every transaction which is reconciled by this routine. If there is no suitable number, you could add your own number here and write it on the statement too. You can leave it at zero if you wish. This may default to the last statement number plus 1 if configured.

Period Number

The current period number is offered here and can be changed. Its purpose here is only to offer you a date range for the next prompts.You can leave it unchanged.

Statement Date Range

Enter here the first and last transaction dates on the statement you want to reconcile. The purpose of this is to restrict the transactions offered just to those within this date range. You may want to reconcile the statement a page at a time, so this avoids you being slowed down by too wide a range of transactions. All transactions within this range are shown, whether reconciled already or not (subject to parameters below).

Opening Balance

Enter the opening balance from the statement. This may default to the closing balance from the last reconciliation process if configured.

Closing Balance

Enter the closing balance of the statement (if prompted). The bank reconciliation must match this value before you can update the reconciliation.

Include Unreconciled Items Since:

Normally you can leave this blank, particularly if you give a start date for the range a few days earlier than the bank statement start date — there shouldn’t be unreconciled items in your account earlier than that! However, some people may not present your cheques for several weeks, so this allows you to bring these in too. Enter a date earlier than the start date already given to include any unreconciled items in that time.

Exclude Previously Reconciled Items?

Reply ‘Y’ if you only want to show unreconciled items in the date range chosen or ‘N’ if you want to include all items in the date range.

Now you are shown the transactions from which you can reconcile. In the top window you are shown the account details, the opening balance with the number of transactions which have been found for reconciliation, and the balance so far after applying the transactions marked to reconcile.

The lower window shows up to ten of the transactions found. You can scroll this window up and down the transactions with the up and down arrow keys, <Page Up> and <Page Down>, and <Home> to return to the start of the transaction list. Note that the <End> and <Escape> keys are used to exit the reconciliation process.

You can mark a transaction as reconciled by entering ‘Y’ in the ‘Rec?’ column against the transaction, or clear the flag by <Space><Enter>. As you mark and un-mark transactions the Running Balance in the top window changes its value. If any transaction has a comment attached (see below) then the comment shows at the bottom of the screen as you reach that transaction.

Once you have found all the transactions in your account which match to the bank statement, then the running balance should now equal to the closing balance on the bank statement.If it does not, then you have to start some enquiries.

Search <F4–Select>

During the reconciliation process you can use the SEARCH button or the <F4–Select> key to find a specific transaction on its reference number or its value. On selection you are asked:

Reply W (the default) to look in the withdrawal column — in other words, to look for a cheque you’ve drawn or a standing order — or D for deposit. Then enter a reference number and an amount. The reference ignores leading zeroes, so a cheque number of 2154 would find the transaction with a reference of 002154.

If a transaction is found which matches these details, then the computer beeps, and you are told REFERENCE/AMOUNT FOUND OK. The transaction is marked, and the running balance adjusted for this transaction. Use <Enter> if you want to look for another reference, or <Escape> to return to the reconciliation process.

If no matching transaction is found — or if a transaction is found which matches, but is already reconciled — then you are told so, and must press <Enter> to continue.

Comment Using <F7–Options>

You can use the COMMENT button or the <F7–Options> key at any time to bring up a box into which you can post a small comment such as "£159.95, but cleared as £159.59”. Normally you would apply this to a transaction with which there was some dispute, and you would clear the comment once the difficulty had been resolved later.

New Transaction using <F5>

During the reconciliation you may find a transaction you have failed to post. The INSERT-TRANS button or the <F5-New Tx> key allows you to enter this missing transaction.

Once the transaction type has been selected you proceed to enter the transaction as you normally would.After update of the files you are returned to the reconciliation process where you left off, the newly entered transaction is marked as reconciled (provided it wasn’t of a later period than the reconciliation).

Ending Reconciliation

If you have pre-entered a closing balance then once you have agreed the closing balance or if you have gone as far as you can go at this stage, then either press the UPDATE button or the <End> / <Escape> keys

Available only if the running balance on the reconciliation doesn’t match the pre-entered closing balance the EDIT-BALANCE option allows you to amend the closing balance (the assumption being you entered incorrectly initially).

The EDIT ITEMS button returns you to the reconciliation to continue.

The SAVE option, only available based on configuration, allows you to save an unfinished reconciliation and continue next time.

The ABANDON button exits the reconciliation process – losing all changes this time.

If not configured for pre-entry of a closing balance then UPDATE (or <End> / <Esc> key) will prompt:

Select ‘No’ to return to the reconciliation list, ‘Yes’ to update the reconciliation or <ESC> to abandon all changes.