Identify the origin of the discrepancy

Check this article for more information about discrepancies and bank reconciliation.

In this article we will cover the following potential reasons for discrepancies:

• First usage checks
• Check remittances and cash deposits
• Time shifts
• Accounting entry missing

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First usage checks 

When a deviation is detected, the first reflex is to identify:

• If the discrepancy comes from the accounting or banking side
• What is the earliest reconciliation statement on which a discrepancy is present

If the discrepancy comes from the bank balance, then it is advisable to check that the various bank balances indicated in the statement configuration do not contain any errors.

To find the first statement with a discrepancy, consult your previous reconciliation statements one by one starting from the current statement.

The aim is to go back as far as necessary in order to verify all the reconciliations made. It is also possible that the discrepancy comes from an incorrect entry in the initial balance.

Check remittances and cash deposits

Another source of error relates to payments made that have not been deposited in the bank. These can be payments:

• By check, not having been the subject of a check delivery
• In cash, not having been the subject of a cash deposit

As only entries impacting a 512 account are displayed in the reconciliation, these payments are not listed and therefore cannot be cleared, thus generating a potential discrepancy.

To check if you are in this case, simply display the balance of the category concerned (511200, 531001, 531002, etc.) in General Ledger on the date of the reconciliation.

If the accounting category shows a positive balance (debit for a class 5 account), this means that a cash deposit or check deposit has not been made.

Time shifts

A deviation can also come from a time lag. For example, your accounting entry is recorded, but the bank transaction is not effective (bank delays, check not cashed, etc.) or concerns the next statement.

Unchecked entries in the current statement are carried over to subsequent statements. So you can point them there when the time comes. If necessary, you can also modify the date of the entry.

Accounting entry missing

You have checked all the banking transactions and accounting entries and found that one entry is missing. There can be several scenarios:

• The writing does not exist in the software (check via the Search module) and needs to be created
• The entry exists, but there is an entry error (amount or method of payment)
• The entry has already been posted on a previous statement
• The entry exists but is not displayed on any statement

Make sure a statement has been created for the current period. The unpointed entries are listed on the following statements, so you can display everything in this way.