The Bank Reconciliation option
The Bank Reconciliation option allows you to match the bank transactions entered in
Sage Accounts with those on your bank statement.
This article contains the following sections:
•
To check or amend the No Bank Reconciliation option - You can choose
whether or not the Bank Reconciliation option is available for each bank
account. If required, this option can be changed at any time.
•
The Bank Reconciliation option - This section details how to use the Bank
Reconciliation option.
•
The information available within the Bank Reconciliation window - This section
explains how Sage Accounts updates the information on the Bank
Reconciliation window.
•
The transactional information that appears on the Bank Reconciliation window
- This section explains the information that is available for each transaction
on the Bank Reconciliation window.
•
To post an adjustment - This section explains how you can enter adjustments
in the Bank Reconciliation option to account for any transactions you may
have forgotten to enter into Sage Accounts, but appear on your bank
statement.
•
The Find option - To help you locate transactions in the Bank Reconciliation
window, there is a Find option.
•
To view the Bank Reconciliation history - When you save the Bank
Reconciliation all of the information is saved to a PDF file that can be viewed
at any point in the future.
To check or amend the No Bank Reconciliation option
1. Open the Bank module, select the bank account you want to amend then click
Record.
The Bank Record appears displaying the details of the selected bank account.
2. Amend the Bank Record as follows:
If you do not want to reconcile this bank account, select the No Bank
Reconciliation check box.
If you do want to reconcile this bank account, clear the No Bank
Reconciliation check box.
3. To save the changes, click Save.
Tip: If required, to exit without saving, click Discard then click Close.
The changes are saved and the Bank Record window clears.
4. To close the Bank Record window and return to the Bank Accounts window,
click Close.
The Bank Accounts window appears.
If required, repeat this process to amend other bank accounts.
You have now checked or amended the No Bank Reconciliation option.
The Bank Reconciliation option
Tip: If required, you can save the reconciliation at any point and complete it at a
later date. To do this, from within the Bank Reconciliation window, click Save then if
the Save Statement window appears, click OK. To return to a saved reconciliation at
any time, open the Bank module, select the bank account to be reconciled then click
Reconcile. From the Previous Statement window to open the previously saved
reconciliation, click Use Saved. To discard the previously saved statement and start
again, click Discard Saved.
1. Open the Bank module then select the bank account to be reconciled.
The bank account is highlighted.
2. From the Bank Accounts toolbar, click Reconcile then complete the Statement
Summary window as follows:
•
Bank - This box displays the currently selected bank account and cannot be
amended. To reconcile a different bank account, close the Statement
Summary window, select the required bank account then click Reconcile.
•
Statement Reference - To help you to keep a history of your bank
reconciliations, you can enter a statement reference. If required, this can be
the the same reference as shown on your bank statement.
•
Ending Balance - This box automatically displays the balance on the bank
account including all transactions posted, regardless of their date. You should
enter the closing balance from the bank statement you are reconciling here.
Tip: If your account is overdrawn, to record a negative amount enter a minus
(-) at the beginning of the value.
•
Statement Date - Automatically displays the current program date. To show
only those transactions up to and including the statement end date, change
this to the date on your bank statement.
Interest Earned
•
Amount - If you have received interest on your bank account, enter the
relevant amount here. When the reconciliation is complete this amount
appears as a bank receipt.
•
Date - Enter the date the interest was received.
•
NC - From the drop-down list choose the required nominal code for the
interest.
Account Charges
•
Amount - If any bank charges have been applied to your account, enter the
relevant amount here. When the reconciliation is complete this amount
appears as a bank payment.
•
Date - Enter the date the charges were made.
•
NC - From the drop-down list choose the required nominal code for the
charges.
Tip: If required, to amend any of this information from within the Bank
Reconciliation window, click Edit, make the required changes then click OK.
3. To accept the Statement Summary information and proceed to the Bank
Reconciliation window, click OK.
The Bank Reconciliation window for the selected bank account appears.
Tip: The bank account nominal code and name appear on the Title Bar of the
Bank Reconciliation window.
4. Complete the Bank Reconciliation window as follows:
•
From the Unmatched items pane, select the transactions to be reconciled. To
do this, either double-click each transaction or select the transactions then
click Match Transaction.
Tip: The transactions appear in the Matched Against Statement pane in the
order that they were selected in the Unmatched items pane. To change the
order of transactions in the Matched Against Statement pane, select the
required transaction then click the up or down arrow as required.
•
To reverse a transaction that you have matched in error, from the Matched
Against Statement pane select the relevant transactions then click Unmatch
Transaction.
Note: Any Account Charges or Interest Earned entered in the Statement
Summary window appear in the Matched Against Statement pane and cannot
be unmatched. These transactions do not appear on the audit trail until the
account is reconciled.
As the selected transactions are moved to the Matched Against Statement
pane the Payments, Receipts, Matched Balance and Difference boxes are
updated.
•
To post an adjustment for transactions that are on your bank statement, but
not on the Bank Reconciliation window, please refer to the section To post an
adjustment later in this article.
•
To locate a transaction using the Find option, please refer to the section The
Find option later in this article.
5. When you are ready to reconcile the selected transactions, click Reconcile.
If the value of the matched transactions is not the same as the statement end
balance the Reconciliation Difference window appears, allowing you to either:
•
Add Adjustment - To activate the Adjustment window, click Add Adjustment.
For further information about this, please refer to the section To post an
adjustment later in this article.
•
Ignore Difference - This option flags all of the transactions in the Matched
Against Statement pane as reconciled.
•
Cancel - To return to the Bank Reconciliation window, click Cancel.
The selected transactions are reconciled and the Bank Accounts window appears.
You have now reconciled your bank account. The information from this reconciliation
is saved as a PDF file and can be viewed at a later date, if required. For further
information about this, please refer to the section To view the Bank Reconciliation
history
The information available within the Bank Reconciliation
window
Tip: To add or remove the columns that appear in the Unmatched items pane, rightclick any of the column heading then select the columns that you want to include.
For example, to include the transaction number, right-click any column heading then
click Trans Number.
The following information automatically appears on the Bank Reconciliation window:
Reference
This is the reference entered on the Statement
Summary window. To amend this either type in the
required information or click Edit and amend the
Statement Summary window as required.
End Date
This is the date entered on the Statement Summary
window. Only transactions up to and including this
date appear on the Bank Reconciliation window.
To amend this either type in the required
information or click Edit and amend the Statement
Summary window as required.
End
Balance
This is the end balance entered on the Statement
Summary window and is the balance to which you
are reconciling the bank statement.
To amend this either type in the required
information or click Edit and amend the Statement
Summary window as required.
Totals area
Payments
By default, this box is zero. The value of any bank
charges entered in the Statement Summary window
and any payments moved to the Matched Against
Statement pane automatically update this box.
Receipts
By default, this box is zero. The value of any bank
interest received entered in the Statement Summary
window and any receipts moved to the Matched
Against Statement pane automatically update this
box.
Matched
Balance
Initially, this box displays the opening balance
figure. That is the current reconciled balance from
the last time you reconciled the bank account.
It updates automatically by the value of each
transaction you move to the Matched Against
Statement pane. As you work through your bank
statement reconciling each line, this value should
change to match the balance shown by your bank
statement.
Before you save the reconciliation, this balance
should be the same as the closing balance on your
bank statement.
Statement
Balance
This is the end balance entered on the Statement
Summary window and is the balance to which you
are reconciling the bank statement.
To amend this either type in the required
information in the End Balance box or click Edit and
amend the Statement Summary window as required.
Difference
The Difference box displays the difference between
the value in the Matched Balance box, and the
Statement Balance box.
When you have selected all of the transactions to be
reconciled and entered any relevant adjustments,
this box should display zero.
The transactional information that appears on the Bank
Reconciliation window
Tip: To add or remove the columns that appear in the Unmatched items pane, rightclick any of the column heading then select the columns that you want to include.
For example, to include the transaction number, right-click any column heading then
click Trans Number. To change the order of transactions in the Unmatched items
pane, click the column heading you want to sort by.
The following information appears by default for each of the transactions on the Bank
Reconciliation window.
Unmatched Items pane
Date
The date entered for the transaction.
Reference The reference entered for the transaction.
Details
The transaction details.
Payments
The value of the transaction if it took money out of the
bank.
Receipts
The value of the transaction if it put money into the
bank.
Matched Against Statement pane
Date
The date entered for the transaction.
Type
The transaction type.
Reference The reference entered for the transaction.
Details
The transaction details.
Payments
The value of the transaction if it took money out of the
bank.
Receipts
The value of the transaction if it put money into the
bank.
Balance
This column displays the running balance of the
selected transactions.
To post an adjustment
Note: The Adjustment option posts bank receipt and bank payment transaction
types. Any transactions posted here do not affect either the Customers or Suppliers
modules.
1. From within the Bank Reconciliation window, click Add Adjustment.
The Adjustment window appears.
2. Enter the Adjustment details into the boxes provided, for example:
•
Nominal Code - Enter the nominal code to be updated by the adjustment
transaction details. The bank account you are reconciling is automatically
updated with the value you enter for this adjustment.
•
Date - Enter the date for the adjustment.
•
Reference - Enter a reference for the adjustment.
•
Department - If required, enter a department for the transaction.
•
Details - If required, enter a description for the adjustment.
•
Tax Code - From the drop-down list, choose a VAT code for the adjustment.
The value you enter as a payment or receipt should include the VAT.
•
Payment - If you are recording withdrawals from your bank account, for
example, bank charges paid, enter a payment value.
•
Receipt - If you have received money into the bank, for example, bank
interest received, enter a receipt value.
Note: Each adjustment you make must be entered separately. For example, if
both a bank charge and an interest payment appear on your bank statement,
you must make two adjustments.
3. To save the adjustment, click Save.
Tip: If required, to clear the Adjustment window, click Discard.
The Adjustment is saved and the Adjustment window clears.
4. To close the Adjustment window and return to the Bank Reconciliation, click
Close.
The Bank Reconciliation window appears and the adjustment is automatically
added to the Matched Against Statement pane.
You have now posted an adjustment onto your Bank Reconciliation window.
The Find option
1. From the Bank Reconciliation window, click Find.
The Find window appears.
2. Complete the Find window, as follows:
•
Find What - Enter the text for which you want to search, for example an
account reference.
•
Search In - Choose the field you want search in. For example, to look for a
transaction number, from the drop-down list choose Transaction Number.
•
Match - Choose how your search is to match the data. The following options
are available:
Any - Finds all of the transactions that contain the details you have entered,
anywhere in the field being searched on.
Whole - Finds any transaction that matches the exact details you have
entered, in the field being searched on.
Start - Finds all of the transactions that contain the details you have
entered at the beginning of the field being searched on.
•
Case Sensitive - To make the Find option case sensitive, select this check
box.
3. To find the first occurrence of your search, click Find first.
The first match is located.
Tip: If no matches are found a message appears informing you of this.
4. To continue with the search, click Find Next.
The next match is located.
Repeat this step until you have located all of the transactions that match your
search.
5. To close the Find window, and return to the Bank Reconciliation window, click
Close.
The Find window closes and the last found transaction is selected.
You have now completed your search of the transactions on the Bank Reconciliation
window.
To view the Bank Reconciliation history
1. Open the Bank module then select the bank account for which you want to
view the reconciliation file.
The bank account is highlighted.
2. From the Bank Accounts toolbar click Reconcile then on the Statement
Summary window click OK.
The Bank Reconciliation window appears.
3. From the Bank Reconciliation window, click View History.
The relevant Statement folder for the selected bank account appears showing
PDF files for each statement.
4. Double-click the required PDF file.
Your saved Bank Reconciliation information appears in your PDF viewer.
You have now viewed the saved Bank Reconciliation.
Author:
Product & Version:
Revision Date:
Publication Number:
Sage 50 Support Team
Instant V15, V16. Sage 50 V2009, V2010
July 2010