How to Reconcile Your Accounts in QuickBooks? – Fix bank reconciliation Problems

The QuickBooks reconciliation is used to match the credit card and bank statements. It is a necessary process in accounting to ensure that the actual money is sent or to perform the match of the account and the remaining money at the end of the fiscal period. It helps monitor fraudulent activity, match the bank accounts in real life, or prevent statement issues. You need to do the reconciliation at regular intervals, like quarterly or monthly. You need to go through a complete guide to reconcile in QuickBooks Desktop so you avoid any issues or QuickBooks Errors later.

Why Do QuickBooks Reconciliations?

Reconciliation is used to create bank statements to compare the transactions with the bank accounts. If the data matches, it specifies the balanced and accurate accounts. Therefore, it is recommended to reconcile the savings, transactions, and credit card accounts monthly. Let’s begin the complete reconciliation guide to get an in-depth view of the workflow.

Before you begin the process, you can find detailed information QuickBooks Bank Transaction Download process.

QuickBooks Online Reconciliation QuickSteps

• Go to Transactions → Reconcile or via the Gear icon → Reconcile.
• Select the account and enter the Ending Balance and Ending Date from your statement. Ensure Beginning Balance matches.
• Manually match and check off each transaction.
• Aim for a $0.00 difference, then click Finish now.
• View or print reconciliation reports anytime via History by Account.

QuickBooks Desktop Reconciliation Steps

• Navigate to Banking → Reconcile.
• Choose your account, enter Statement Date, Beginning Balance, and Ending Balance.
• Include any Service Charges or Interest Earned.
• Compare and check matching transactions.
• If there’s a discrepancy, use Locate Discrepancies or Undo Last Reconciliation to correct it.
• Upon success, click Reconcile now and run the reconciliation report.

How to Reconcile An Account in QuickBooks?

Here is the list of steps you need to follow:

Step 1: Check Opening Balance in QuickBooks

For the first-time reconciliation, you need to check the opening balance and match the real-life account balance that you selected to begin tracking in QuickBooks Desktop. Thus, when linking credit cards and banks to online banking, QuickBooks automates transaction downloads that directly enter the beginning balance. So, in case you forgot to set an opening balance in QuickBooks in the past, then enter the opening balance in the future.

1. Fill in the ending date and ending balance. The ending balance refers to the actual amount in the bank statement on the last date.
2. Once you are prepared then choose to start the reconciling process.

Step 2: Now Start Reconciling in QuickBooks

1. After entering the monthly bank statement and credit cards then begin the reconciliation process. In case you are reconciling multiple months, then start from the existing statement.
2. In case the accounts are linked to online banking, ensure that you match the downloaded transactions and categorize them as well
3. QuickBooks Online users have to choose the Settings tab and then click Reconcile
4. In case you are reconciling the statement for the first time, then hit Get Started to begin
5. Click on the drop-down named Account, then choose the account you need to reconcile.
6. Ensure it’s the same account as in the statement.
7. If you view a message about the existing reconciliation, then choose that we can assist you in resolving it. You are required to resolve this before you begin
8. Check the beginning balance
9. Ensure that the QuickBooks beginning balance is the same as in the statement
10. In case they failed to match
11. Fill in the ending date and ending balance on the statement. Some financial banks call the ending balance a closing balance or a new balance
12. If you view it, check the ending date of the last statement. It acts as the last reconciliation end date
13. Your ongoing bank statement should begin the day further
14. Once you are prepared to begin then click start reconciling

Step 3: Compare Bank Transactions With QuickBooks Statements

1. Initially, compare the transactions on the statement and QuickBooks.
2. Next, click one by one
3. Ensure that you have the correct transactions and dates in QuickBooks to review and match

While you are working with QuickBooks Charts of Accounts that time you need to set up bank and credit card accounts.

Reconcile Linked Online Bank Accounts with QuickBooks

Since the entire transaction data is entered directly from the bank, the reconciliation process should be simple. Here are the steps if there is a balanced account:

1. Initially, use the initial transaction of the statement.
2. At the Reconciliation window, search for the same transaction in QuickBooks.
3. Now start comparing the two transactions and place a mark on the amount field if they match. It is determined as “reconciled”.
4. If the transaction failed to display on the statement, however you view it in QuickBooks, then do not place a tick mark.
5. Start comparing the transactions in QuickBooks and the statement.
6. Once reach the statement and the QuickBooks difference is £0.00.
7. Click Finish now.

Also, further details are embedded in the QuickBooks Enterprise Bank Reconciliation process step by step.

Reconcile in QuickBooks When Online Banking is Not Linked

If the reconciled accounts failed to link to online banking, then?

Here are the steps:

1. Initially, perform the initial transaction on the statement.
2. Discover the same transaction in the window named Reconciliation in QuickBooks.
3. Start comparing the transaction and insert a tick next to the amount if found to match, and it acts as a “reconciled status”.
4. If the transactions failed to display on the statement, however you view it in QuickBooks, then do not insert a tick mark.
5. Start comparing the statement’s transactions and the data in QuickBooks.
6. At the end, make sure the difference between QuickBooks and the statement is $0.00.
7. If done, then choose Finish now.

Further steps: Check the existing reconciliations

For this run, the reconciliation report will be the work with the following steps:

1. Locate the bookkeeping
2. Choose to Reconcile
3. Click the History by Account button
4. Hit on the drop-down option to choose the amount and its date range
5. Now hit Export or print the reconciliation reports if you require sharing them

Edit the completed reconciliations:

You can perform modifications to the previous reconciliations. The changes might unbalance the accounts and other reconciliations. Moreover, it affects the next reconciliation’s beginning balance.

Review the existing reconciliation report.

Common Troubleshooting Tips

• Opening balance mismatch: Make sure it matches the starting point of your first reconciliation.
• Discrepancy not zero: Use QuickBooks tools to locate missing or mismatched entries, or add an adjustment only if everything is correctly recorded.
• For Desktop, use Undo Last Reconciliation if needed.

Conclusion – Smooth and Accurate Bank Reconciliation in QuickBooks

Reconciling your bank and credit card accounts in QuickBooks, whether Online or Desktop, is an essential bookkeeping practice. It ensures your QuickBooks records align perfectly with your real-world balances, helps spot errors or unauthorized entries early, and reinforces financial accuracy month after month. By systematically matching transactions, verifying balances, and addressing discrepancies, reconciliation keeps your financial data clean and audit-ready.

Need help setting up or troubleshooting reconciliation? AccountsPro’s QuickBooks-certified experts are here to assist remotely, efficiently, and with your peace of mind.

Frequently Asked Questions