A bank reconciliation is the process of confirming that all the transactions in your bank accounts are recorded in your business accounting records.
The more accurate and up to date your bank reconciliation, the better visibility you will have of your cash flows. We recommend that you reconcile weekly, at a minimum you should reconcile at least monthly.
Videos made by Dan (Accolution):
- Import bank file of transactions (2 mins): used if bank feeds not activated or transactions missing from bank feed
- Manually enter bank transactions (2 mins): used if bank feeds are not activated and/or transactions don't download in bank files to bulk import.
- Reconcile bank deposits & Windcave undeposited funds: (9 mins (updated 11.09.2024) includes review of the undeposited funds account in Xero (NB: please refer to notes further below on which Windcave payments should be matched against the undeposited funds account & which Windcave payments need to be matched against specific invoices)
- Reconcile supplier bills & spend money transactions (5 mins)
- Delete & restore transactions (2 mins)
Below is a list of key help guides relating to bank reconciliations on the Xero Central support portal. A more comprehensive list is available in Xero Central portal
- Understanding how bank reconciliation works
- Reconcile your bank account
- View bank reconciliation details
- Process a client or supplier refund
Add spend or receive money transaction while reconciling - Create a bank rule
- Edit or delete bank rules
- Reconcile statement lines in bulk
ISSUES WITH RECONCILING
- Why are the statement balance and balance in Xero different
- Fix problems with bank rules
- Fix an incorrectly reconciled bank statement line
- Unable to reconcile an overpayment created while reconciling bank transactions
VIDEO: