Why Bank Reconciliation Matters
Reconciling ensures the balance in QuickBooks equals the balance on your bank or credit-card statement.
It helps you catch missing entries, duplicate transactions, bank fees, and timing issues—keeping financial reports accurate and audit-ready.
Before You Start
Bank/credit-card statement for the period you want to reconcile
QuickBooks Online access with reconciliation permissions
Optional: a connected bank feed for faster matching
Around 20–60 minutes of focused time
Step 1: Open the Reconcile Tool
1. Sign in to QuickBooks Online.
2. From the left menu, go to Accounting → Reconcile (some layouts: Banking → Reconcile).
3. Select the account you need to reconcile.
Step 2: Enter Statement Information
1.Type the Statement Ending Date and Ending Balance exactly as shown on the bank statement.
2.Confirm the Beginning Balance matches the previous reconciliation’s ending balance.
Step 3: Match & Check Off Transactions
1.QuickBooks lists all transactions for the account.
2.Tick ✅each deposit or withdrawal that appears on your bank statement.
3.If using a bank feed, review QuickBooks’ suggested matches before checking them off.
4.Goal: Difference = $0.00 before finishing.
Tips
1.Use search by amount or description for long lists.
2.Outstanding checks stay unchecked until they clear.
3.Record any missing bank fees or interest as expenses or income before finishing.
Step 4: Fix Any Differences
1.If the difference isn’t zero:
2.Re-check beginning and ending balances.
3.Look for missing or duplicate transactions.
4.Verify amounts match the statement.
5.Use QuickBooks’ Reconciliation Discrepancy report to locate edits or deletions.
Step 5: Finish the Reconciliation
1.When the difference is $0.00, click Finish now (or Done).
2.QuickBooks will mark the matched transactions as reconciled.
Step 6: Review or Print the Reconciliation Report
1.Navigate to Accounting → Reconcile → History by account
2.Choose the period and click View Report to print or export the detailed record.
3.Common Issues & Quick Fixes
4.Beginning balance mismatch: Run the Reconciliation Discrepancy report and correct edited/deleted transactions.
5.Rounding errors: Edit transactions entered a few cents off.
6.Old uncleared checks: Review an Uncleared Checks report and void or follow up if needed.
Best Practices
1.Reconcile monthly as soon as you receive the statement.
2.Avoid editing reconciled transactions; document any necessary changes.
3.Use bank rules and feeds to speed matching, but always verify.
Conclusion
Reconciling your bank account in QuickBooks Online is a straightforward yet critical month-end task.
Gather your statement, open the Reconcile tool, match every transaction until the difference is zero, and run a Reconciliation Report for your records.
Regular monthly reconciliations keep your books accurate and make tax time far less stressful.
