@MaryGraceS
Please Learn from this input. This is Wrong: "The account balance should match with your monthly bank statements."
@amyebirchard
Start with Perspective. The Client's data is the Client's Perspective. They enter their inflow and outflow, to keep an eye on Available Funds.
So, for this question: "should the checking account balance on the BS (current Assets) at the end of each period"
No.
"or EOY tie to the ending balance on the end of each period"
No.
"or EOY bank statement?"
No.
None of that.
You use the statements to Reconcile against, as the outside source of reference. You are verifying that what your client has for Activity and what the bank has for Activity, are an Exact Match. But your Client will have info that bank doesn't have. Example: You pay me in Nov, and I don't take that to my bank and cash it until Jan. Your clients needs that entered for their November activity, and to keep an eye on their bank balance, because until I cash that check, the Bank seems to think they have More Available funds; but your Client has Promised me that check will clear when I finally cash it. And it shows in the Jan Statement; so the Nov and Dec reconciliations means you Skip this entry and let it show again, and again, until you the Bank finally processed it.
"For example, should the checking account balance on the Dec 31st 2018 tie to the BS"
You compare the Running Balance in QB against the Balance Sheet for that same As Of Date, because the one is the source of the other, unless there is data corruption. Nothing here needs to match anything the Bank provides. That is a Different comparison task.
"OR will this amount move based on items that cleared at a later date (i.e. in Jan 2019)...?"
No, nothing ever Moves.
Here is what goes Wrong: "So, if the transaction was recorded in December but posted in your bank on January, that transaction will be reconciled on January"
People wait for the Banking download, and then Add to the File. That January date is not your Client's date, but is the Banking Perspective. If that entry wasn't done when it happened and dated when it applies, then waiting for the Banking Download means you are supposed to change the date on the downloaded transaction.
And that is why Intuit has a problem telling everyone to Wait until they get the download. The IRS is going to pick up on this issue, at some point.
Only Debit and Credit Card, ACH and EFT and other Electronic transactions take place Timely = within one or two dates. Everyone else is doing their Bookkeeping using Wrong Dates, if they wait for the Download.
