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finance139
Level 2

Transaction never reconciled

When we (a church) released our paid bookkeeper three months ago, the register for our bank account was found to be reconciled; that is, the closing balance of her last reconciliation matched the starting balance of the next bank statement that we received. We have now discovered, however, that before then the bookkeeper had been doing some “creative” work and there was one check, which cleared the bank four months ago, that was omitted entirely from her final reconciliation three months ago. Is there some simple, quick way to correct for that, without having to try and figure out how she managed to reconcile while at the same time omitting a check from the process?

Solved
Best answer February 05, 2021

Best Answers
JamesDuanT
Moderator

Transaction never reconciled

Let's see what happened here, finance139.

 

There's a possibility that your bookkeeper created an adjusting entry while reconciling the affected month. Hence, you still got the correct starting balance on the next bank statement.

 

There are different ways to correct this without affecting the following month's reconciliation. Before that, I'd recommend reviewing the affected month's reconciliation report.

  1. Click Accounting on the left menu and go to the Reconcile tab.
  2. Click Summary in the upper-right corner and select reconciliation report of the affected period.
  3. In the reconciliation report, look for Adjustment and make sure the amount is the same with the omitted check that you mentioned.

If the amounts of  the Adjustment in the reconciliation report and the omitted check are the same, we can proceed to these steps:

  1. Go back to the reconciliation report and click the amount associated to the Adjustment.
  2. This will open a transaction window. Click More at the bottom.
  3. Select Delete and click Yes to confirm the action.

After that, we can go to the account register and reconcile the check manually.

  1. Click Accounting on the left menu and go to the Chart of Accounts tab.
  2. Look for the affected account and click View register.
  3. Look for the check and change the transaction status from blank or Cleared (C) to Reconciled (R).
  4. Click Save and select Yes to confirm the action.

If the amounts of the omitted check and the Adjustment are not the same, you might need to undo the reconciliation of the affected period. You'll have to do this one transaction at a time. You can use this link for reference: Undo or remove transactions from reconciliations in QuickBooks Online.

 

You can also invite your accountant to make it easier. They have an option to undo the period at once. From there, the can reconcile the period again and include the check you mentioned.

 

Note that we are always here to further assist you in managing your data in QuickBooks Online. Have a great day!

View solution in original post

1 Comment 1
JamesDuanT
Moderator

Transaction never reconciled

Let's see what happened here, finance139.

 

There's a possibility that your bookkeeper created an adjusting entry while reconciling the affected month. Hence, you still got the correct starting balance on the next bank statement.

 

There are different ways to correct this without affecting the following month's reconciliation. Before that, I'd recommend reviewing the affected month's reconciliation report.

  1. Click Accounting on the left menu and go to the Reconcile tab.
  2. Click Summary in the upper-right corner and select reconciliation report of the affected period.
  3. In the reconciliation report, look for Adjustment and make sure the amount is the same with the omitted check that you mentioned.

If the amounts of  the Adjustment in the reconciliation report and the omitted check are the same, we can proceed to these steps:

  1. Go back to the reconciliation report and click the amount associated to the Adjustment.
  2. This will open a transaction window. Click More at the bottom.
  3. Select Delete and click Yes to confirm the action.

After that, we can go to the account register and reconcile the check manually.

  1. Click Accounting on the left menu and go to the Chart of Accounts tab.
  2. Look for the affected account and click View register.
  3. Look for the check and change the transaction status from blank or Cleared (C) to Reconciled (R).
  4. Click Save and select Yes to confirm the action.

If the amounts of the omitted check and the Adjustment are not the same, you might need to undo the reconciliation of the affected period. You'll have to do this one transaction at a time. You can use this link for reference: Undo or remove transactions from reconciliations in QuickBooks Online.

 

You can also invite your accountant to make it easier. They have an option to undo the period at once. From there, the can reconcile the period again and include the check you mentioned.

 

Note that we are always here to further assist you in managing your data in QuickBooks Online. Have a great day!

View solution in original post

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