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Questioner22
August 2, 2021
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Waiting to finalize bank recons until year end

  • August 2, 2021
  • 1 reply
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Does anyone see a problem or know if there will be anything that is presented wrong if I wait to finalize each month’s bank reconciliations until year end? I have coded & added everything to the register (and balanced each month through current date to match the monthly bank balance).  I just don’t want to have to go to the trouble of undoing recons if I find later that something was coded incorrectly or a payment wasn’t applied appropriately. Will any aspect of reporting be ill-affected by this? Thanks for any information. 

Best answer by john-pero

While there is no harm in waiting until year end to reconcile a single 12 months of activity you admit that you already have balanced the account balances each month - that is reconciling - you just have not done it internally in the software. But waiting til year end means you have more to review at that time.

 

All that reconciliation does is note that the amounts in and out of the account are in balance - where you coded the income and expense has no bearing on the reconciled balance. Only if you change a check's amount or deposit total would you run into an issue down the road.  Changing transaction detail will not affect a reconciliation.

1 reply

john-pero
john-peroAnswer
August 2, 2021

While there is no harm in waiting until year end to reconcile a single 12 months of activity you admit that you already have balanced the account balances each month - that is reconciling - you just have not done it internally in the software. But waiting til year end means you have more to review at that time.

 

All that reconciliation does is note that the amounts in and out of the account are in balance - where you coded the income and expense has no bearing on the reconciled balance. Only if you change a check's amount or deposit total would you run into an issue down the road.  Changing transaction detail will not affect a reconciliation.

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