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Intuit
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Fix issues when you're reconciling accounts in QuickBooks Online

Learn what to do if your account in QuickBooks Online doesn't match your bank statement at the end of a reconciliation.

When you reconcile an account, you compare transactions in QuickBooks with the ones on your bank statements. In the end, the difference between the two records should be $0.00.

If it's not, don't worry. Here's how to find and fix issues so you can finish reconciling.

New to reconciling? Start with our reconcile guide.

Make sure you review your opening balance before checking your beginning and ending balances.

  • Someone entered an incorrect ending balance at the start of the reconciliation.
  • There are missing or duplicate transactions in QuickBooks.
  • Someone entered transactions into QuickBooks that hasn't cleared your bank yet.
  • If you disconnect and reconnect an account from online banking, QuickBooks may download duplicate transactions. If you already reconciled the original transactions, QuickBooks will count them twice.

Step 1: Review the opening and beginning balance

If you haven't already, review your opening and beginning balances. When you know they're accurate, you move on to Step 2.

Step 2: Check the ending balance you entered

When you start a reconciliation, you enter the ending balance from your bank statement. QuickBooks checks against it for accuracy.

  1. While you're reconciling an account, in the Reconciliation window, select Edit info.Check
  2. Review the Ending balance and Ending date. Make sure they match your bank statement.
  3. Make edits as needed.
  4. When you're done, select Save.

If there's still a difference in QuickBooks, move on to Step 3.

Step 3: Combine multiple transactions into a single transaction

If your bank recorded several payments as a single record, you should do the same in QuickBooks.

If you enter the payments into QuickBooks as individual transactions, put them into the Undeposited Funds account. Then make a Bank Deposit to combine them into a single record.

If there's still a difference in QuickBooks, move on to Step 4.

Step 4: Narrow your search and eliminate what you know is correct

Now that you have an accurate ending balance, we can quickly narrow down which transactions are causing problems.

Physically mark the transactions on your bank statement that match QuickBooks. These aren't the source of the issue. You know they're correct. This gives you a much shorter list to work with. Move on to Step 5.

Step 5: Enter transactions that aren't in QuickBooks

Let's make sure you entered everything into QuickBooks.

If your accounts are connected to online banking, review and categorize all of your downloaded transactions. You can't reconcile them until you do.

Then review the list of transactions in the Reconciliation window. If you see any transactions on your bank statement that aren't in QuickBooks:

  1. In QuickBooks, go to the Sales or Expenses menu.
  2. Search for transactions you see on your bank statement but not in QuickBooks. If you find any in QuickBooks, select and open it.
  3. Check the Deposit to or Payment account. Make sure the transactions are in the correct account. Select a different account if you need to. CheckCheck

Now that you've reviewed everything in QuickBooks, you can safely create new transactions and not worry about duplication. Enter transactions you see on your bank statement but not in QuickBooks as new sales receipts or expenses.

When you're done, move on to Step 6.

Step 6: Find transactions that aren't on your bank statement

Now let's handle transactions you see in the Reconciliation window but aren't on your bank statement. There are a few reasons why this can happen.  You may have missed a transaction on a past reconciliation or created duplicates by mistake.

If you see any transactions in QuickBooks that aren't on your bank statement, write them down.

  1. Check the transaction date and review your bank statements for those dates.
  2. Run a past reconciliation report for those dates.

If any transactions were on a previous bank statement but weren't on the reconciliation for those dates, you can add it manually.

  1. Go to the Accounting menu. Then select Chart of Accounts.
  2. Find the account you’re reconciling and select View register.
  3. Find the transaction and select it to expand the view.
  4. If there's already an R in the checkmark column, leave it alone. This transaction may be a duplicate.Review
  5. If there isn't an R,  make sure the transaction is accurate.
  6. Select the box in the checkmark column until you see the letter R.
  7. When you're done, select Save.

Next, look for any duplicate transactions. Go to the Sales or Expenses menu. Sort the lists by date, customer, vendor, or amount. If you find obvious duplicates, you can safely delete them. Note: Only delete transactions if you're absolutely certain it's a duplicate or error. If you aren't totally sure, talk to your bookkeeper:

  1. Go to the Accounting menu. Then select Chart of Accounts.
  2. Find the account you’re reconciling and select View register.
  3. Find the transaction and select it to expand the view.
  4. Select Delete and then Yes to confirm.

When you're done, move on to Step 7.

Step 7: Handle transactions that are slightly off

If a transaction in QuickBooks almost matches the one on your bank statement but the amount is slightly off, reach out to your accountant. You shouldn't edit transactions, like invoices, that you've already sent and were paid for by customers.

On the other hand, if the bank added fees that weren't included when you first entered the transaction into QuickBooks, that can throw the numbers off. Check your bank statement. If fees were added:

  1. Select the + New button.
  2. Select Bank Deposit.
  3. Follow the steps to add a bank or processing fee to the account you're reconciling.
  4. In the Memo section, add a note about which transaction it's tied to.

Financial institution mistakes

If you can't find errors or in QuickBooks Online, there may be an error with the bank or credit card company. See Fix mistakes on your bank or credit card statement.

Next Steps: Finish reconciling 

Now that your accounts are balanced, you can finish reconciling. If you need complete steps, check out our reconcile guide.

Your books done right - guaranteed.

Get a QuickBooks-certified bookkeeper to categorize transactions and reconcile your bank statements every month so your books are always 100% accurate. Learn more about QuickBooks Live Bookkeeping.

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