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Larry K
February 11, 2022
Question

QBO balance has not matched bank balance for a long time!

  • February 11, 2022
  • 1 reply
  • 0 views

I am sure this question has been asked 1000's of times, but I can't find an answer to fit my circumstance.

My QBO balance shows about $1600 less than my bank balance, and it has been this way for a long time. I believe that the issue arose from when we first set up QBO and it was done incorrectly. There are several uncleared transactions from 2016/17 (although the amounts do not match this discrepancy). 

I would like to get the QB balance to be more inline with what we actually have in the bank so that budgeting and p/l reports better reflect what we have going on. Is there a way to mitigate this issue with a journal, or some other accounting entry that will not mess up reconciliations or anything else of importance?

 

1 reply

R
rvrfrf
February 11, 2022

Thanks for getting in touch with the Community, Larry K.
 

When your bank balance doesn't match what's in QuickBooks, you'll need to check for why they aren't matching to fix the discrepancy.
 

Here's some reasons why balances might not match:

  • Duplicate transactions
  • Outstanding transactions
  • Edited or deleted transactions
  • Credit card (liability) account
  • New transactions for a connected account

 

Initially, you'll want to review your account's opening balance for accuracy. If it's an invalid amount, it affects all following reconciliations.

 

In the event you've confirmed its opening balance is correct, you can move on to checking your bank statement:

  1. In the left navigation bar of QuickBooks, go to Accounting.
  2. Click Reconcile.
  3. Review your Account drop-down to make sure you're reconciling the appropriate one.

 

If your account is connected to online banking, be sure to match and categorize all of its downloaded transactions before reconciling. Everything needs to be categorized to get the final beginning balance.
 

Next, you'll need to review any discrepancy reports for the account. Once you know your beginning balance is accurate, you can start reconciling. If you see issues in the middle of your reconciliation, you can fix them at the end of the reconcile.
 

In the event you've followed everything in our reconciliation guide, but still have questions, I'd recommend working with an accounting professional. If you're in need of one there's an awesome tool on our website called Find an Accountant. All ProAdvisors listed there are QuickBooks-certified and able to provide helpful insights for driving your business's success.
 

I'll be here to help if there's any questions. Have a wonderful day!

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