Bank Reconciliation Services for Small Businesses
Dari & Associates provides bank and credit card reconciliation services for U.S. small businesses that need reliable accounting records. We compare the transactions recorded in your bookkeeping system with the underlying account statements, investigate discrepancies, and help keep account balances accurate and current.
Our practice is led by a Certified Accountant and QuickBooks Online Advanced ProAdvisor with more than 10 years of experience supporting U.S. clients. Reconciliation is a core part of our monthly bookkeeping process and helps ensure the financial reports prepared from your books are supported by organized accounting records.
Your books and your statements should agree.
Recording transactions is only one part of bookkeeping.
Reconciliation compares the activity recorded in the accounting system with the underlying bank or credit card statement for the same period.
When the records do not agree, the difference may come from missing transactions, duplicate entries, incorrect amounts, transfers, outstanding items, timing differences, or activity that has not yet been recorded correctly.
A consistent reconciliation process helps identify those differences before the books are used for month-end reporting.
What our reconciliation services can include
Bank Account Reconciliation
Checking and savings account activity compared with the corresponding statements and accounting records.
Credit Card Reconciliation
Business credit card activity reviewed against statements so recorded transactions and balances can be reconciled.
Transaction Matching
Deposits, withdrawals, payments, transfers, and other activity matched with the corresponding bookkeeping records.
Missing Transaction Review
Statement activity reviewed for transactions that may be missing from the accounting records.
Duplicate Transaction Review
Potential duplicate entries reviewed and corrected when supported by the underlying records.
Reconciliation Discrepancy Review
Differences between the accounting records and account statements investigated to determine the source of the discrepancy.
Outstanding Item Review
Uncleared checks, deposits, payments, and other outstanding items reviewed as part of the reconciliation process.
Reconciliation Reports
Reconciliation reports maintained as supporting records for the completed bookkeeping period.
QuickBooks Online Reconciliation
Bank and credit card accounts reconciled within QuickBooks Online when QuickBooks is the client's accounting platform.
A connected bank feed is not the same as a reconciled account.
Bank feeds can help bring transaction activity into QuickBooks Online and reduce manual data entry.
But importing or matching bank-feed transactions does not by itself confirm that the accounting records agree with the account statement.
Reconciliation uses the statement balance and the transactions for the reporting period to verify the accounting records against the underlying account activity.
That distinction matters because missing transactions, duplicates, timing differences, transfers, or prior-period issues may still exist even when bank-feed activity has been categorized. It is one reason reconciliation sits at the center of our QuickBooks Online bookkeeping.
Bank accounts and credit cards need different attention.
Bank Accounts
Checking, savings, and operating accounts reconciled against their monthly statements. Reconciliation can include:
- Checking accounts
- Savings accounts
- Operating accounts
- Deposits
- Withdrawals
- Checks
- Electronic payments
- Transfers
- Bank fees
- Outstanding items
Credit Cards
Business credit card activity reconciled so the balance on the books agrees with the statement. Reconciliation can include:
- Purchases
- Refunds
- Credits
- Card payments
- Fees
- Multiple cardholder activity where available
- Outstanding transactions
- Statement balances
What can cause an account not to reconcile?
A reconciliation difference does not always come from the current month's activity. Sometimes the issue began in an earlier period or resulted from how a transaction was originally recorded.
The goal is to identify the source of the difference and correct the bookkeeping records when the available documentation supports the correction.
- 01Missing transactions
- 02Duplicate transactions
- 03Transactions entered for the wrong amount
- 04Transfers recorded incorrectly
- 05Credit card payments categorized incorrectly
- 06Bank fees not recorded
- 07Transactions recorded in the wrong account
- 08Prior-period reconciliation differences
- 09Uncleared checks or deposits
- 10Opening balance issues
How bank reconciliation works with us
- 01
1. Review the Accounts
We identify the business bank and credit card accounts included in the bookkeeping scope and review their current reconciliation status.
- 02
2. Gather the Statements
The relevant account statements and available bookkeeping records are collected for the reconciliation period.
- 03
3. Compare the Activity
Recorded transactions are compared with the corresponding statement activity and balances.
- 04
4. Investigate Differences
Missing, duplicated, outstanding, or incorrectly recorded items are reviewed and corrected when supported by the available records.
- 05
5. Complete the Reconciliation
The account reconciliation is completed and incorporated into the bookkeeping and month-end review process.
Reconciliation belongs in the monthly close.
Bank and credit card reconciliation is not an isolated bookkeeping task.
It is one of the core controls used before financial reports are prepared for the month.
Once transactions have been recorded and accounts within scope are reconciled, the remaining bookkeeping records and balance sheet accounts can be reviewed as part of the month-end close. That is how reconciliation fits into our monthly bookkeeping and supports the financial reporting that follows.
Accounts have not been reconciled in months?
When bank or credit card accounts have gone unreconciled for several months, the issue may extend beyond the current statement period.
Historical transactions, opening balances, prior reconciliation adjustments, missing activity, or duplicate entries may need to be reviewed before the account can be brought current.
Depending on the condition of the books, the work may be better handled as catch-up or cleanup bookkeeping before recurring monthly reconciliation begins.
For books that are several months or more behind and need to be brought current.
Catch-up BookkeepingFor books that contain errors, unreconciled accounts, or unreliable balances that need correcting.
QuickBooks CleanupReliable reports start with reconciled accounts.
The profit and loss statement, balance sheet, and other financial reports are generated from the accounting records.
If bank and credit card accounts are not reconciled, missing or duplicated activity can affect the numbers presented in those reports.
Regular reconciliation helps provide a stronger bookkeeping foundation before monthly statements are prepared through our financial reporting process.
Reconciliation across your bookkeeping workflow.
Bank and credit card activity connects with many other parts of the books. Customer payments, vendor payments, payroll withdrawals, transfers, and other transactions eventually reach the accounts being reconciled.
That is why reconciliation works hand in hand with accounts payable and receivable, payroll bookkeeping support, and QuickBooks Online bookkeeping.
Questions about bank reconciliation
- What is bank reconciliation?
- Bank reconciliation compares the transactions and balances recorded in your accounting system with the corresponding bank statement for the same period, so differences can be identified and resolved.
- How often should a small business reconcile its bank accounts?
- Monthly reconciliation is a common bookkeeping practice, typically aligned with the statement period. The appropriate frequency can depend on the business, its transaction volume, and the bookkeeping scope.
- Do you reconcile credit card accounts too?
- Yes. Business credit card accounts can be reconciled against their statements when they are included in the bookkeeping scope.
- Is matching transactions in the QuickBooks bank feed the same as reconciliation?
- No. Matching bank-feed transactions brings activity into the books, but it does not by itself confirm that the recorded activity and balance agree with the statement. Reconciliation uses the statement balance and the period's transactions to verify the records. This is part of our QuickBooks Online bookkeeping work.
- What happens if my QuickBooks balance does not match the bank statement?
- The difference needs to be investigated. It can come from missing transactions, duplicates, timing differences, incorrect amounts, outstanding items, opening-balance issues, or activity from a prior period.
- Can you reconcile accounts that have not been reconciled for several months?
- Yes, depending on the condition of the records. Historical issues may need to be addressed first through catch-up bookkeeping or a QuickBooks cleanup before recurring reconciliation begins.
- What documents do you need for bank reconciliation?
- We typically need the account statements for the period and access to, or records from, your accounting system. Additional documentation may be requested when a discrepancy needs support.
- Is bank reconciliation included with monthly bookkeeping?
- Yes. Reconciliation of the accounts within the agreed scope is a core part of our recurring monthly bookkeeping workflow.
- Why is reconciliation important before financial reports are prepared?
- Reconciliation helps verify account activity and balances before reports are generated from the bookkeeping records, which supports more reliable financial reporting.
Keep your accounts reconciled and your books current.
If your bank or credit card balances do not match the books, or reconciliation has fallen behind, we can review the current records and determine the right path forward.