BANK RECONCILIATION Bank reconciliation is needed to reconcile

§ BANK RECONCILIATION § Bank reconciliation is needed to reconcile your system bank position with your real bank position at a certain date. § Discrepancies between the two can arise because of unforeseen Bank Charges, Interest Rate Changes, Errors, Refused Payments, unanticipated Receipts or inbound Transfers, and so on, hence the need for periodic Reconciliations. To perform a bank reconciliation, from the top menu, select Bank> Bank Reconciliation. 1. Bank: Select a bank account from the list 2. Reference: Type in a reference for the bank reconciliation. 3. To: Select a date up to which the system bank is to be reconcile against the bank statement. 4. Opening: Populated automatically from the Closing value of previous bank reconciliation which in fact is the opening balance in your bank statement. If it is a first ever bank reconciliation, type in the opening balance in the statement. If a journal has been entered for the opening balance, enter 0. 5. Closing: Type in the Closing Balance in your bank statement. 6. View Transactions: Click to view transactions which have been recorded in the system ( up to the selected date). 7. Balance as at: System balance as at ‘To’ date. 8. Unreconciled Receipts: Sum of receipts/lodgements recorded in the system but has not gone through your bank account. 9. Unreconciled Payments: Sum of payments recorded in the system but has not gone through your bank account. 12 10. Record Notes: Click to add notes. 11. Tick off every transactions that are common to both statement and the system. 12. Create Transactions: Create transactions that are in the statement but not recorded in the system. 1 2 4 5 3 7 8 9 6 10 11

BANK RECONCILIATION CONTINUED…. . What do I need to keep in mind? accounts. IQ also has the facility to import in the bank files to speed up the reconciliation process. See ‘Bank Import’ help on how to import your bank files. 12. Difference: This is the total un-reconciled movement (receipts & payments) yet to be reconciled for this Bank reconciliation. The reconciliation would be completed once this amount is zero. 13. Save: Click to save the reconciliation. 14. Reconcile: Once the ‘Difference’ is 0, the reconcile button becomes active. Click to Reconcile. 15. Print Reconciliation Report: Click to print a reconciliation report. THINGS TO KEEP IN MIND: § If there are unreconciled receipts and unreconciled payments after the bank has been reconciled, then those outstanding transactions will be moved forward to next reconciliation. § Closing balance of the statement should equal the system balance plus unreconciled receipts minus unreconciled payments. § The Match All button helps you to select or unselect transactions on one or multiple pages. 12 14 13 15