What's a reconciliation?

Learn what reconciling is and how reconciliations keep your QuickBooks accounts accurate.

When you reconcile, you compare two related accounts make sure everything is accurate and matches. Just like balancing your chequebook, you need to do this review in QuickBooks. You should reconcile your bank and credit card accounts in QuickBooks frequently to make sure they match your real-life bank accounts.

How it works

When you reconcile, you compare your bank statement to what’s in QuickBooks for a specific period of time. Your task is to make sure everything matches. In the end, the difference between QuickBooks and your bank accounts should be A$0.00, although processing payments can sometimes cause a small gap.

When to reconcile

It’s a good idea to reconcile your accounts every month. You’ll learn more about your business each time, and rest easy knowing your info in QuickBooks is 100% accurate. Reconciliations also help you:

• Know your business' net worth in real-time.
• Catch errors (which makes tax time much easier).
• Have better conversations with your accountant.

Start reconciling your accounts

Learn how to reconcile your accounts in QuickBooks Online.