Reconciliation is the process of matching transactions you entered in QuickBooks with your bank or credit card company’s records. It is highly recommended that you reconcile your bank/credit card accounts in QuickBooks on a regular basis to ensure accuracy of your accounting records. More specifically, reconciliation helps ensure that:

  • All your transactions such as payments, deposits, and bank fees are accounted for in QuickBooks.
  • All transactions in your QuickBooks bank register, as well as its ending balance, match what you have in your actual bank account.

Before you start reconciling the account, make sure you have:

  • Backed up your QuickBooks company file.
  • Set up the bank or credit card account in QuickBooks with the correct beginning balance.
  • Entered all uncleared transactions for the statement period.
  • Received a copy of your bank or credit card statement.

The Reconciliation Process

You will come across two main screens as you start and complete the reconciliation process.

Reconciliation discrepancies

You may encounter discrepancies as you reconcile your bank or credit card account. Discrepancies are mismatches caused by transactions in the account that don’t agree with your printed statement. Below are two of the available resources dealing with mismatches and other reconciliation issues.