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A stepwise guide to Reconcile Bank Accounts in QuickBooks

QuickBooks has made the reconciliation of bank accounts super quick and it also provides a summarized report of the reconciliation. To reconcile bank accounts in QuickBooks is a very important part of the accounting process. Through this article, we will tell you how to reconcile bank accounts in QuickBooks.

If you want an expert’s assistance to reconcile bank accounts in QuickBooks then contact us at our TFN (855)-526-5749

What is Reconciliation of bank accounts in QuickBooks

Bank accounts are reconciled to check the health of the company’s accounts and to streamline the transactions. You should reconcile bank account in QuickBooks monthly. The balance at the end of the previous month should match the balance at the beginning of the new month.

Steps to Reconcile Bank Accounts in QuickBooks

It is very easy to perform the reconciliation process in QuickBooks and it can be done very quickly. Here are the detailed steps to reconcile bank accounts in QuickBooks.

  1. Go to the ‘Accounting’ section in your QuickBooks window and then click on the ‘Reconcile’ option, or click on the gear icon, press ‘Tools’ and then the ‘Reconcile’ option. Through both ways, you will reach the Reconcile windows.
  2. Now you have to select the account from the drop-down menu that you want to Reconcile.
  3. Enter the ‘Ending Date’ for the last date of the previous month. ‘Ending Balance’ as the balance on that date and the ‘Beginning balance’ column will get filled automatically.
  4. Click on the ‘Start Reconciling’ button.
  5. You’ll reach the page to check your transaction. Match it with the transactions in your bank statement and check off the transactions that are the same in both.
  6. The difference between the Ending balance and the Cleared balance keeps decreasing as you check off transactions
  7. You can apply filters to find the transactions as there are a lot of them.
  8. When all the transactions have been checked off and the difference becomes ‘Zero (0)’ then a message will pop up saying “Success! You reconciled your account.”

You can view the reconciliation report after this by clicking “View Report” and then press ‘Done’.

Hurdles to Reconcile Bank accounts in QuickBooks

It is a very easy process but it is advised to be performed by your accountants as you might face some problems while reconciling bank accounts in QuickBooks.

  1. You can get a “Hold on! Your account is not ready to get reconciled yet” message if you have either deleted or modified a previously reconciled transaction.
  2. If you have changed the date or source account of a previously reconciled transaction then you can get an issue while reconciling.

Through this article, we explained to you the process to reconcile bank accounts in QuickBooks. If you need our help in performing this then contact us at our TFN (855)-526-5749

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Alena YadisAlena Yadis
Joined: August 28th, 2020
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