Each month you receive statements from your bank, you need to review each of the transactions and verify that match your records.
Usually, the final balance reported by the bank is very different from the balance in your records so a reconciliation of both balances necessary.
The difference occurs because there is registered in your books that have not been made by the bank to the closing date, as in the case of outstanding checks that have been drawn but uncollected transactions.
Another reason is the bank transactions that have not been recorded in your books, as in the case of bank service charges or interest payments.
This process also allows to identify errors whether committed by the bank or your person, as well as verify the actual balance with you accounts to avoid overdrafts or penalties for returned checks.
The bank reconciliation is a very simple process and just follow the steps siguentes
• First you must have registered all transactions have taken place during the month as deposits, cash withdrawals, payments with debit card, checks written, to determine the balance in your book.
• Check each trasacciones in the statement and compare them with those in your records. Brand with a nod every transaction that matches both in the statement and in your registration.
• Transactions that have not scored in the statement are those that are missing in your records. If the transactions are valid, then you register them in your checkbook. These transactions may be withdrawals or purchases that may have forgotten to register, and bank charges and interest that might appear to the closing date of the statement.
• Once you’ve added the missing transactions in your checkbook and done the arithmetic, adding and subtracting credits debits, will have a new balance in your checkbook. So far, beam completed the first part of the settlement.
• Now, usually in the back of the statement, there is a format bank reconciliation, and it starts writing the final balance stated in the statement. If your bank does not provide this format, you can do it on a blank sheet.
• In addition, sum all deposits or credits that do not appear in the statement, these are transactions that do not marcastes (the approval) in your checkbook, and determines the total.
• Also, make a list of all checks that have been drawn, but do not appear in the statement. These will also be those who have not been marked in your checkbook, and determines the total.
• Subtract the total uncashed checks written and final balance of the bank, adding the total deposits that do not appear in the statement, as follows
Closing balance of the bank – and uncashed checks written + Deposits not recorded by the bank
The resulting balance is the actual balance and should coincider with the new balance in your checkbook.
• If the balances do not match, and the difference persists, then you should review transactions, amounts, and recalculate.
As mentioned above, the bank reconciliation identifies errors in the statement made by the bank, and if this is the case should contact the bank as soon as possible, since you have within 60 days of the date of issuance the statement to the claim.