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Reconciliation Periods

This guide explains how to start a reconciliation period, how to read the Reconciliation Report, how to complete a period, and how to reopen it.

Overview

A reconciliation period covers the bank transactions up to the end date of a statement. It holds the ending balance that the bank printed on the statement. When every transaction of the period is reconciled or excluded and the balances agree, you mark the period as completed. A completed period locks its transactions, so the work stays as you checked it.

A period can be a month, a week, or any other range. The first period of a bank starts at its start date. Each next period starts the day after the previous end date.

Starting a period

A period can start in two ways:

  • In the Statements tab, open the row menu of a completed file and click New Reconciliation Period from Statement. The end date comes from the last line of the file.
  • In the Reconciliation Periods tab, click New Reconciliation Period.
  1. Check the Period End Date.
  2. Type the Period Ending Balance, as printed on the statement.
  3. Click Save. The period has the status In Progress.
The New Reconciliation Period window with the end date Oct 31, 2026, the ending balance 3,353.85, and a note.
Figure 1. The New Reconciliation Period window.
  1. 1Period End Date.
  2. 2Period Ending Balance.
  3. 3Notes. Optional.
  4. 4Save.
  5. 5Cancel.
FieldRequiredPurpose and rules
Period End DateRequiredAfter the end of the latest completed period, not before the start date of the bank, and different from the end date of every other period.
Period Ending BalanceRequiredThe balance on the statement. For a credit card, the money that is owed is a negative number.
NotesOptionalUp to 1000 characters. The report shows the notes.

The list of the periods

  1. In the left navigation, click Banking.
  2. In the Banks tab, double click the bank. The bank profile opens in its own tab, named after the bank.
  3. Click the inner tab Reconciliation Periods.
The Reconciliation Periods tab with the November period In Progress and the October period Completed.
Figure 2. The Reconciliation Periods tab.
  1. 1New Reconciliation Period.
  2. 2Status. In Progress or Completed.
  3. 3Period. The first day and the end date.
  4. 4Ending Balance. The balance of the statement.
  5. 5In / Out. The reconciled money in and money out.
  6. 6Matched Bank Balance. The balance that the reconciled lines explain.
  7. 7Difference. Green at zero, and red otherwise.
  8. 8Open. The unreconciled lines of the period.
  9. 9Started / Completed By. The user and the time.

A double click on a period in progress opens its lines. A double click on a completed period opens its report.

The row menu of a period in progress with Open, View Report, Edit End Date and Balance, Mark as Completed, Reopen, and Delete.
Figure 3. The row menu of a period.
  1. 1The menu of the row.
ItemWhat it does
OpenOpens the Bank Transactions & Reconcile tab on the period.
View ReportOpens the Reconciliation Report. It works before the completion too.
Edit End Date and Balance…Changes a period in progress.
Mark as CompletedCompletes the period when it is ready.
ReopenReopens the latest completed period.
DeleteDeletes a period in progress. The statement files and the transactions stay.

The Reconciliation Report

The report shows the result of the period. Open it with View Report. It works as a check before you complete the period.

The Reconciliation Report of October with the BOOKS and BANK cards, a difference of 0.00, and the note that the period can be completed.
Figure 4. The Reconciliation Report.
  1. 1Mark as Completed.
  2. 2Print. Opens a page for the printer.
  3. 3Refresh.
  4. 4Close.
  5. 5The bank, the period, and the status.
  6. 6NOTES. The notes of the period.
  7. 7BOOKS. The ledger balance on the end date and the unmatched ledger entries.
  8. 8BANK. The beginning balance, the reconciled money, and the ending balance.
  9. 9DIFFERENCE. The band and its note.
  10. 10Reconciled money in. The lines and their documents. A click on the title hides the list.
The lower part of the report with the lists Reconciled money out, Excluded transactions, and Unmatched ledger entries.
Figure 5. The lists of the report.
  1. 1Reconciled money out.
  2. 2Excluded transactions. They are not counted.
  3. 3Unmatched ledger entries. Here a check that the bank has not paid yet.

The figures of the report

FigureWhat it means
Beginning balanceThe ending balance of the previous period, or the opening balance of the bank.
Reconciled money in and outThe lines of the period that are matched with the books.
Matched bank balanceThe balance that the reconciled lines explain.
Period ending balanceThe balance on the statement, as you typed it.
DifferenceThe gap between the two balances above. It must be 0.00.
Ledger balanceThe balance of the account in the books on the end date.
Unmatched ledger entriesEntries in the books that the bank has not shown yet, for example a check that is not cashed.

In the example, the beginning balance is 0.00, the reconciled money in is 3,947.75, and the reconciled money out is 593.90. The matched bank balance is 3,353.85, the same as the statement. The ledger balance is 3,298.85. The check of 55.00 explains the gap to the bank, so the books agree.

Completing a period

A period can be completed when all of these points are true:

  • Every older period of the bank is completed.
  • No statement file of the bank waits to be read.
  • Every line of the period is reconciled or excluded.
  • The Difference is 0.00.
  • The books agree with the bank.

Click Mark as Completed in the report, in the row menu, or in the Bank Transactions & Reconcile tab, and click Yes.

The question Mark the reconciliation period ending Oct 31, 2026 as completed? Its 13 transactions are locked.
Figure 6. The question of Mark as Completed.
  1. 1The question with the end date and the number of lines.
The report of the completed October period with the note The reconciliation period is completed.
Figure 7. The report of a completed period.
  1. 1The status Completed, and who started and who completed the period.
  2. 2The band says that the period is completed.

A completed period protects its lines. They cannot be changed, deleted, excluded, or unreconciled. Statement lines inside the period are skipped at the import. The start date and the opening balance of the bank are locked too.

Reopening a period

Only the latest completed period can be reopened. Open the row menu of the period, and click Reopen. The lines are unlocked, and they stay reconciled. To reopen an older period, reopen the later periods first.

The row menu of a completed period with View Report and Reopen available.
Figure 8. The row menu of a completed period.
  1. 1The menu of the row.
The question Reopen the reconciliation period ending Oct 31, 2026? Its transactions are unlocked.
Figure 9. The question of Reopen.
  1. 1The question.

Messages and their meaning

MessageCauseWhat to do
The reconciliation period is started successfully.The new period was saved.Reconcile its lines.
The bank has a completed reconciliation period ending .... The period end date must be after it.The end date is inside a completed period.Choose a later date.
The bank has a reconciliation period ending ... already.The end date is in use.Choose another date.
The reconciliation period ending ... is still in progress. Complete it first.An older period is open.Complete the older period first.
A statement file of the bank is still Pending or Processing. Complete the reconciliation period after the import.A file waits to be read.Wait until the file is Completed.
... transaction(s) of the reconciliation period are still unreconciled. Reconcile or exclude them first.Lines wait in the period.Reconcile or exclude the lines.
The difference is .... Check the ending balance, or add the missing transactions.The Difference is not zero.Compare the balance with the statement, and look for a missing line.
The books differ from the bank by .... Check the opening balance of the bank, or look for a post dated outside the period.The bank side agrees, but the books do not.Check the opening balance and the dates of the documents.
The reconciliation period ending ... is completed successfully. ... transaction(s) are locked.The period was completed.Start the next period.
Only the latest completed reconciliation period of the bank can be reopened. Reopen the period ending ... first.A later period is completed.Reopen the later period first.

Questions and answers

What is a reconciliation period?

A range of bank transactions up to the end date of a statement, with the ending balance of the statement.

When can I complete a period?

When every line is reconciled or excluded, the Difference is 0.00, the books agree with the bank, and older periods are completed.

What does a completed period protect?

Its lines cannot be changed, deleted, excluded, or unreconciled. Statement lines inside the period are skipped at the import.

How do I correct a completed period?

Open the row menu of the latest completed period and click Reopen. Its lines are unlocked, and they stay reconciled.

How do I print the reconciliation?

Open the report with View Report, and click Print.