A Quick Guide on How to Reconcile Bank Account in QuickBooks

1. A Quick Guide on How to Reconcile Bank Account in QuickBooks The process of updating bank account by entering transactions, expenses, deposits, bill payments, invoices and matching each transaction to the bank with the QuickBooks in known as Reconciliation. The user needs to reconcile bank accounts and credit cards linked to QuickBooks on a monthly basis. It helps to check the balance and accuracy of accounts. However, sometimes the bank statement does not match the transactions entered in QuickBooks, which leads to QuickBooks reconciliation discrepancies. To get detailed information on how to reconcile in QuickBooks online 2019, read the blog until the end.

2. Step 1. Check your opening balance Here’s How to Reconcile in QuickBooks Online 2019? You need to match the bank account balance if you’re reconciling an account for the first time in QuickBooks. If the bank or credit card accounts are connected to online banking, QuickBooks downloads the transactions automatically till a certain date. If the accounts are not connected, you need to enter the transactions manually. Here’s how: First, enter the amount for the opening balance. Click on the Settings icon. Next, choose Chart of Accounts. Choose New. Name the account and choose an account type. Fill up the required fields. Select a date to which you want to start tracking the finances. After that, hover over the Balance field and enter the amount. Enter the date to start the tracking. You can enter today’s date to start tracking immediately. Once completed, click on Save and Close. Follow the steps given below to reconcile bank account in QuickBooks:

3. Step 2. Initiate Reconciliation The user can begin with the reconciliation process after having the monthly bank or credit card statements. Match and categorize the downloaded transactions if the bank or credit card accounts are connected to online banking. Open QuickBooks Online. Click on Settings and then Reconcile. Click on Get Started if you are reconciling for the first time. Click on the Account drop-down menu and choose the account you are reconciling. The beginning balance of the selected account should match the one on the statement. Give an ending balance and ending date on the statement. Check the last ending statement date. Click on Start reconciling once you’re ready.

4. Step 3. Match Statement with QuickBooks Compare the transactions with QuickBooks. The right transactions should have the right transactions in QuickBooks. Step 4. Run a reconciliation report to view past reconciliations Click on the Accounting menu. Choose Reconcile. Click on History by account. Select the account and date using the drop-down menu.

5. Conclusion Hopefully, the steps discussed above help you reconcile bank account in QuickBooks. If you still have any queries, get in touch with the QuickBooks support team by calling us on our customer care number (855)-526-5749.