Page tree
Skip to end of metadata
Go to start of metadata
This article is for Drake Accounting 2019. To view this article for Drake Accounting 2018, click here

bank reconciliation compares the account balance of a current asset account against the bank balance for that account. The journal does not have to post to the Chart of Accounts before running a bank reconciliation. Once a bank reconciliation using a given Account and Statement Date finishes, that same Account and Statement Date combination cannot be reconciled again. 

Bank Reconciliations only pulls transactions back 13 months from the Statement Date. For a complete Bank Reconciliation, both sides must balance. 

See the Table of Contents below for more information

Loading Transactions for a Bank Reconciliation

  1. Go to Accounting > Bank Reconciliation.
  2. In the Account field, select an account from the drop list. 
    Only postable Current Assets and Current Liability with a subtype of credit card accounts from the Chart of Accounts are listed. See "Account Levels in Drake Accounting" for more information. 
  3. In the Statement Date field, enter the last date to be included in the bank reconciliation.
  4. Enter the Starting Balance, which is the previous month’s Ending Balance.
  5. Enter the Ending Balance
  6. Click Load Trans.
  7. All of the transactions entered in the journal will populate under Book Report (on the left). 
    • To clear a transaction, select Cleared in the Type column. 
    • If the transaction is still in transit, select In Transit
    • If the transaction is outstanding or void, make the appropriate selection.
  8. If you want to add transactions, click Journal Entry on the far right.

    Use manual journal entries to enter bank initiated items such as interest and penalties or to make corrections. All manual entries to the journal must have an offsetting entry.

  9. Once the reconciliation process is complete, click Finish

Importing a Bank Reconciliation

The only file type that can import for the bank reconciliation is a .CSV file.

  1. Click Import Bank on far right. 
  2. Click on the Browse folder to select the appropriate file to import the bank reconciliation. 
    • If necessary, you have the option to adjust the column headers to a different selection within the drop menu for each column.
  3. Once you select Import, the window will populate the information from the bank statement to the Bank Report column.
  4. Match the book transactions with the bank transactions by either clicking the  arrow to bring the book transaction over to the Bank Report side.

    The right arrow moves Book transactions (left) to the Bank side (right) and marks the Book transactions as Cleared.

    If there are transactions that should be on the Bank transaction side, and they are not currently imported into Bank Statement, or you're not utilizing a Bank Statement, moving the transactions using the right arrow allows them to be marked as Cleared. The transactions can be reconciled quickly, to the same effect as matching from a Bank Statement or adding a new row to the Bank side and matching from there.

    Using the right arrow to move the Book transactions to the Bank side tends to be more accurate than merely marking a transaction as Cleared without having a Bank transaction to match because this allows the Reconciliation to behave as it should with a Book/Bank counterbalance.

    The left arrow moves Bank transactions (right) to the Book side (left) and marks this new Book transaction as Cleared, and this transaction is considered a Reversing Entry. These are generally reserved for when there are transactions from the Bank side that otherwise should not be on the Book side from the discretion of the user, but these transactions still need to show up on the Book side to balance out the Reconciliation. See "How to Move and Reconcile Transactions" for more information. 

  5. Once you are done viewing the bank reconciliation information that imported, click Finish.
  6. Once the reconciliation process is complete, a reconciliation report will open that can be saved or printed. 
If you need to exit, you can partially save your work to come back to it at a later time.

If the Adjusted Book Balance does not equal the Calculated Unreconciled Balance at the bottom of the screen, something is either missing or incorrectly entered. Look for a missing or incorrect Starting Balance or Ending Balance. Also, look for bank transactions not entered in Drake Accounting. 

Connect With Us!

  Visit our Drake Accounting website

  Visit the Drake Software website

  • No labels