So why is bank reconciliation so important in Quickbooks Online? The bank feeds pulls in all the transactions so its all there and accurate, right? Uh, nope!
Without reconciliation, you would never know if a transaction has been duplicated or even skipped.
What accounts need to reconciled each month?
- Checking
- Savings
- Credit Cards
- Paypal Accounts
What does reconciliation ensure each month?
- that there are no missing transactions
- that there are no duplicate transactions
- that date and amounts are correct
- accuracy of reports
- helps detect fraud
- that there are no bank errors- yes, it does happen!
Reconciliations may be boring and time consuming but as you see from above, it is necessary for clean and accurate books. If you don’t have time to do this task each month, consider hiring a bookkeeper who will do it for you!