Bookkeeping Tips

What Is Bank Reconciliation?

Reconciliation is the single most important monthly bookkeeping step. Here's what it actually involves.

The Core Idea

Reconciliation compares what your bookkeeping says to what your bank statement says - for every account, every month. If they don't match, something is off and we find it.

Why It Matters

Without reconciliation, your Profit & Loss and Balance Sheet are guesses. A reconciled set of books is the bare minimum standard for trustworthy financial reporting.

What We Look For

Missing transactions, duplicates, miscoded items, uncleared checks that have aged too long, and entries that exist in the books but not the bank (or vice versa).

Need Bookkeeping Help?

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