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Jane47
July 28, 2020
Question

Bank reconciliation

  • July 28, 2020
  • 1 reply
  • 0 views

Hello everyone, 

 

I am working for a company (freelancing) and the companies accountants have asked me to do the reconciliation.  Which I am happy to do, the problem is they do it a different way as what I normally do, and which I thought was the only right way to do it,  going to the reconciliation tab via the accountant tab or cog putting the end balance of the bank statement and date, then reconcile and produce a reconciliation report.   They do it by clearing transactions via the bank register, and when I look at the bank reconciliation report there is nothing there ( I thought these reports were essential for auditing purposes)   This goes back to 2016!   Is it ok doing this way?  totally not what I have been taught.  Would appreciate any help on this, thank you. 

1 reply

J
JonpriL
July 28, 2020

Hello there, @Jane47!

 

When reconciling an account in the system, we'll have to make sure that all your transactions do match with what is listed on your bank statement. Doing it this way, it won't mess up the balance of your bank account every time you reconcile it.

 

You're on the right track, a reconciliation always starts with entering the ending balance and ending date base on your bank statement to create accurate reporting. You can read this article to learn more: What to do if you didn't enter an opening balance in QuickBooks Online?

 

Lastly, here's an article you can read for ideas in case you'll bump into error with reconciliation: Fix beginning balance issues during your first reconciliation in QuickBooks Online.

 

Keep me updated in the comments if you have any other questions. I'll be here to lend a hand.

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