MonicaG
Level 3

Reconciling: checks dated after statement end date

This is a bit complicated so I hope I explain it correctly, and I apologize in advance if I don't.

 

I recently started working at a new place and have been bringing the bank recs up to date. The procedure for recording payroll is as follows:  Direct deposits are initiated at the bank on a Thursday but are entered into the QB payroll account with the following Monday's date. A transfer of funds is also initiated that same Thursday, from the operating account to the payroll account to cover all paychecks.

 

The complicated part: while the paycheck/direct deposits are actually funded from the payroll account (a totally separate bank account and QB company file), they are recorded in QB in the operating account (for informational purposes I imagine). The problem is they don't actually clear from the operating account. What shows on our bank statement is the total funds transfer, which corresponds to all the paychecks entered, so it's a wash.

 

Here's the more complicated part... there was a funds transfer on January 31st, and it covered the payroll which was entered into QB as 02/04/19. The statement closes on 1/31/19; so the transfer appears, but there's nothing to apply against it and I won't be able to reconcile. 
Is it just a matter of having to change the paychecks' dates? I can't reconcile items dated after the statement closing date, can I?