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Field List

Clear Bank Errors

Clear Deposit Errors

Reconciling a Bank Account

Before you start

  1. Post all transactions in the subledgers that affect the bank account for the fiscal period you are reconciling .
  2. Gather your bank statements.

To reconcile a downloaded (OFX) bank statement, you:

  1. Use the Import OFX Statements window (Payroll > Processes > Import OFX Statements)to import the statement into Sage HRMS Payroll.
  2. Use the Reconcile OFX Statements (Payroll > Processes > Reconcile OFX Statements) window to match transactions, enter bank transactions, and manually clear or write off any unmatched transactions.
  3. Use the Reconcile Statements window to ensure that the bank account is reconciled, as described in this topic.

To reconcile a bank account

  1. From the Navigation Pane, select Payroll > Processes >Reconcile Statements.
  2. In the Reconciliation Description field, type a description for the current reconciliation.
  3. Select the code for the bank account that you are going to reconcile.
  4. On the Summary tab, complete the following:
    • Statement Date. Type the bank statement date, or click the Calendar Calendar button Calendar button to select the date.
    • Statement Balance. Enter the balance from the bank statement.
    • Reconciliation Date. Select the date to which to post the reconciliation. You can reconcile outstanding transactions posted up to and including this date.
  5. Click the Calculate button to update the amounts displayed on the Summary tab. The Calculate button is available if the Adjusted Bank Balance and the Adjusted Book Balance are not equal.
  6. Click Save.

    7. Note: At this point in a reconciliation, the Out Of Balance By field normally displays a non-zero amount that you need to reconcile. Use the Reconciliation tab to reconcile the balances and record adjustments.

    There are several reasons your account may not balance.

    • The statement ending balance is incorrect.
    • A transaction that your bank assigned to the bank account is missing from the bank statement.
    • A check or deposit cleared the bank with an amount different than that recorded in Bank Services, but you have not changed the Reconciliation Cleared Amount accordingly.
    • A check, deposit, or return has the wrong status. Either the item has cleared the bank but still has the status Outstanding or In Transit, or the item has not cleared the bank yet but is marked Cleared.
    • A bank entry was made for the wrong amount.
    • A check or deposit that appears on the bank statement has not yet been posted.
  7. Click the Reconciliation tab.

    Tip: Use the Display, Transaction Type, and Sort By fields to filter outstanding deposits or withdrawals, and sort them by date or transaction number. You can save your selections for these fieldsClosed(if you select Save Settings As Defaults on the Settings menu) so they appear automatically the next time you use the window.

    1. Use the reconciliation table to clear individual deposits and withdrawals, and reverse withdrawals.
    2. Click the Quick Clearing button if you want to clear entire ranges of withdrawals or deposits that your bank has processed.
    3. Click the Bank Entry button to record and post a bank transaction that does not exist in Sage HRMS Payroll .
    4. Click the Details button to see the receipts for a selected deposit that has multiple receipts, and drill down to the original entries.
  8. Click Save and then click the Summary tab.

    9. If the amount in the Out Of Balance field is not zero:

    1. Print the Reconciliation Status report. (Click Print on the File menu.)  
    2. Compare the report to the bank statement, looking for the reasons for the Out Of Balance amount.
    3. Make any necessary corrections, then click Calculate again.

    When the Out Of Balance field displays zero, the adjusted bank balance and the adjusted book balance are equal. This means that the bank account is reconciled, and you can post the bank reconciliation.

  9. Compare the bank balance to the G/L account balance, to ensure that they reconcile.
  10. Click Save and then click Close.

After reconciling a bank statement

  1. Print the Withdrawal Status and Deposit Status reports, which are not available after you post the bank reconciliation.
  2. Post the reconciliation (using the Post Reconciliation window).
  3. Print the Bank Reconciliation report.
  4. Do a data integrity check, and make a backup of your company records.

Additional information

The Reconcile Statements window uses the processing date as the default reconciliation posting date when you change the reconciliation status.