Bank reconciliation unresolved amount

Sage 50 Accounting - Canadian Edition

Sage 50 Accounting - Canadian Edition
Solutions are just a click away as you share, learn and network with other small business owners, bookkeepers, and accountants. Sage 50 Accounting support specialists and knowledgeable fellow users are ready to help!

Bank reconciliation unresolved amount

  • Bank rec for September almost complete but has three withdrawals which our cheques that do not show in the banking statement sent by the bank. They show up in the bank statement for the next month but Im wondering how to factor this in and post the current bank rec without screwing the system up because year end is at the end of this month.

    The three cheques add up to 4757.41 and when I write the closing balance in simply which is on the bank statement and try to post in the bank rec it has a pop up of an additonal adjustement of -295.33 will be posted.

    Is there a way to do this bank rec and not screw up the accounts going forward?

     

  • Hi Zeke,

    As per your description, if you have 3 cheques written in September and they do not show up in your Setpember bank statment,  it means they are not cleared and will be carried over to your October bank reconciliation as outstanding cheques.  If they show up in your October bank statament, you can then put check marks for these 3 cheques in your October bank reconciliation to clear them out.  This is the procedure of outstanding cheques carried over from last month. 

    I assume you are still doing your September bank reconcilation, when you post it, if you have a message saying adjustment, it means you have an unresolved amount.  In your case, it will credit 295.33 from your bank account to satisfy the unresolved amount equation below:

    Statement Ending Balance + Outstanding = Book Ending Balance (if there is a difference, the difference is the unresolved, which is -295.33 in your case). 

    If you test this forumla by putting in your statment ending balance + outstadning - book ending balancse as of month end and you still have -295.33.  it means the result is valid and please check the following 4 points:

    1, Wrong statement end balance
    2. Not enough (or too many) cleared (or uncleared) transactions
    3. Missing transaction or transaction is posed in the wrong month
    4. Mistake/typo in transaction amount

    Usually, you can better accomplish the job above by doing a manul bank reconcilation.  You can print the GL report of the bank account as of month end and put it side by side with your bank statement to do a comparision.  

    If the unresolved equation above gives you an invalid result, which is not equal to -295.33 when you plug in numbers to the equation.  You will have to reset your bank reconcilation.  Please do a backup before you reset.  You can find the step by step instruction of resetting bank rec from the link below

    Reset Bank Reconciliation

    Hope this helps