Bank Reconciliation

Bank Reconciliation is where you confirm that what your books say happened to a bank account actually matches what the bank itself recorded. It pulls together every transaction that touches a bank account — Manual Journal postings, customer payment receipts from Sales, and supplier payment disbursements from Logistics — and sits them alongside the bank’s own statement so you can match them one against another.

This matters because discrepancies between books and bank hide real problems: unrecorded bank charges, interest you haven’t booked, duplicate postings, or outright errors. Reconciliation is only considered complete once the difference between your books and the bank statement is exactly zero.

Access is permission-controlled. If you can’t see this screen, your administrator can grant you access.

Choosing an account

Go to Bank & Cash Management › Bank Reconciliation. The landing page shows every Active Bank Account Master record as a card, each showing the bank name, branch name, and account number.

Click a card to open the Reconciliation Workspace for that account. If no active bank accounts exist, a message directs you to set one up in Bank Account Master first.

The workspace

Account details

Click 🔍 Account Details to see the account’s metadata: account number (masked by default, shown as XXXX-XXX-{last 4 digits}), account holder, linked Bank GL, IFSC code, and account type. Click the 👁 toggle to reveal or re-mask the full account number.

The summary bar

Two figures sit at the top:

• Amount in Books — the running closing balance of every book transaction for this account
• Bank Balance — the balance from the last bank statement entry, shown in green with “All entries matched” once everything’s reconciled, or in purple with a count of what’s still unmatched

Setting the period

Choose Current Month, Last Month, Current Quarter, Current Year, or Custom, which reveals From Date and To Date pickers. Both panels — Book Transactions and Bank Statement — scope to whatever period you select.

Click ↻ Reset to return the period to Current Month and clear your search, entity filter, and any row selections.

The Book Transactions panel

This panel populates itself automatically — you don’t add anything here manually. It draws from three sources:

• Manual Journals — any posted row that debits or credits this account’s Bank GL
• Sales — customer payment receipts
• Logistics — supplier payment disbursements

When the Bank GL is debited, the amount shows under Money In; when credited, it shows under Money Out. Each row also shows date, the contra account, running balance, and a status of Unreconciled, Reconciled, or Partially Matched.

Click a row to open its detail popup — transaction number, status, date, type, account, description, counterparty, amount, currency, business entity, and the linked bank statement entry if one exists, along with its audit trail.

Exporting

Click Export in this panel’s header and choose PDF, MS Excel (.xlsx), or Google Sheets. The export reflects your current period, filters, and tab selection.

The Bank Statement panel

Unlike book transactions, nothing appears here automatically — you need to bring the bank’s own statement in yourself, either by creating entries manually or importing a file.

Creating an entry manually

Click + Create Transaction. For each row, fill in:

• Date — required
• Transaction ID — required, uppercase letters, numbers, and “/” only, auto-uppercased
• Description — optional
• Transaction Type — Deposits or Withdrawals, required
• Currency — INR, USD, EUR, GBP, or AED
• Amount — required, must be greater than zero

Click + Add to Statement. Valid rows are added with a status of Unreconciled, and the running balance is calculated from the last existing entry — or from the opening balance if there isn’t one yet.

This is the right tool for one-off items that appear on the physical statement but haven’t been captured anywhere else — bank charges, interest credits, dishonoured cheque returns.

Importing a statement file

Click 📥 Import and upload a CSV, XLS, or XLSX file. Required columns, matched case-insensitively, are Date, Reference, Description, Deposits, Withdrawals, and Balance — extra columns are ignored.

The system previews up to 8 rows and flags any whose reference already exists in this account’s statement as a duplicate. Duplicates are skipped automatically; only new rows get imported. If every row turns out to be a duplicate, nothing is imported and you’re told so.

This is the better route when you’re reconciling an account with a high volume of transactions.

Matching

Guided matching

Click an Unreconciled bank statement row to activate it as your match target. The Guided Matching Action Bar appears, showing the transaction ID, date, a direction hint (Deposit → match Money In, Withdrawal → match Money Out), and the bank amount.

Select one or more book transaction rows in the left panel. The action bar updates live as you select:

• ✅ Amounts Match — an exact match
• ⚡ Partial — your selected book total is less than the bank amount
• ⚠ Book exceeds Bank — your selected book total is more than the bank amount

Click 🔗 Match Selected — this stays disabled until you’ve selected at least one book row. Once confirmed, both sides update to Reconciled, or to Partially Matched if the book total came in under the bank amount, with the remaining unmatched portion shown against the bank entry. The action is logged to the audit trail.

Click ✕ Cancel at any point to release the active bank row and clear your book selections without matching anything.

Auto-match suggestions

Below the two panels, up to three suggested matches appear automatically, based on exact amount equality between unreconciled entries on both sides. Click Apply on any suggestion to match it immediately — this is often the fastest way to clear the straightforward cases before working through anything trickier by hand.

Unmatching

Open a Reconciled book transaction’s detail popup and click ↩ Unmatch. After confirming, both the book transaction and its linked bank statement entry revert to Unreconciled, and the reversal is logged to the audit trail.

The audit trail

Below the matching panels, the last five reconciliation actions appear in reverse chronological order — who performed each match or unmatch, which book transaction numbers and bank references were involved, and when.

Finishing a reconciliation

Previewing the report

Click 📄 Preview Report to see the bank name, masked account number, transaction and matched counts on both sides, the number of reconciliation actions taken, and who generated the preview and when. A download button lets you save it as a PDF from here.

Completing

Click ✅ Complete Reconciliation. This only becomes available once the difference between Amount in Books and Bank Balance is exactly zero — while anything remains unmatched, the button stays disabled, and clicking it anyway tells you to resolve the remaining differences first.

Once confirmed, the reconciliation batch is saved and the report is generated.

Leaving the workspace

Click ← Back to return to the landing page. This clears everything from your current session — selections, filters, the active bank account, and the in-session audit log — so you’re starting fresh next time you open a reconciliation.