An important part of keeping accurate, up-to-date financial records is ensuring that the transactions you record in QuickBooks match the records of your financial institution. Instead of manually "balancing your checkbook" you can use the Reconcile feature of QuickBooks to quickly reconcile your bank, credit card, or loan account. The following steps show how to perform an account reconciliation.This feature works the same in versions 2011–2016 of QuickBooks.
- Review your bank statement to confirm the period of the reconciliation.
- From the Home page, in the Banking section, click Reconcile.
- From the Account drop-down list, select the account to reconcile.
- In the Statement Date field, type or select the ending date of the bank statement you are reconciling.
- In the Beginning Balance field, compare the amount shown to the opening balance amount from your bank statement.
- In the Ending Balance field, type the ending balance shown on your bank statement.
- In the Service Charge field, type the amount and date of any unrecorded service charges from your bank statement.
- From the Account drop-down list, select the account for the service charge.
- In the Interest Earned field, type the amount and date of any unrecorded interest from your bank statement.
- From the Account drop-down list, select the account for the interest earned.
- Verify that the amounts from the Begin Reconciliation window match the amounts from your bank statement, then click Continue.
- In the Reconcile window, click the transactions that are listed on the bank statement you are reconciling to mark them as cleared. When the ending balance equals the cleared balance, the difference will show 0.00. Verify the account is reconciled and that the information is correct, then click Reconcile Now.
- In the Select Reconciliation Report dialog box, select the type of reconciliation report to display or print and click the output option you desire.
Printing both reconciliation reports for your records is recommended.
The Reconcile window is used to reconcile the individual transactions from your account statement. In this window, payments and deductions from your account are listed on the left side and deposits and credits to your account are listed on the right side. Transactions in this window are sorted by date in ascending order. Transactions can be sorted by another field by clicking the field column heading. An up arrow indicates the column is sorted in ascending order (smallest to largest). A down arrow indicates the column is sorted in descending order (largest to smallest).
Reconciliation reports can be printed each time you reconcile an account. Reconciliation reports can be saved in PDF format or you can print a hard copy in case any account discrepancies occur during the next reconciliation.
QuickBooks updates your transactions in the Reconcile window as soon as you record or save changes. If you notice an error, you can double-click to zoom in to a transaction or you can record a transaction using the normal methods in QuickBooks.
If you realize that, as part of the reconciliation, you've incorrectly entered the service charge, interest earned, ending balance, or any other information, click the Modify button. QuickBooks redisplays the Begin Reconciliation dialog box. Update the amount and then click Continue to return to the Reconciliation window.