When Your QuickBooks Account Won’t Balance - dummies

When Your QuickBooks Account Won’t Balance

By Stephen L. Nelson

If your QuickBooks account won’t reconcile, the problem stems from one of several conditions. None of the conditions is hard to describe, but all of them can be pretty hard to fix. Here’s a quick overview of what may be causing you trouble and what may be preventing you from reconciling your account:

  • Are you working with the right account? That sounds pretty dumb, doesn’t it? But if you have several bank accounts, you may be trying to reconcile the wrong account or using the wrong statement to reconcile your account.

  • Are you missing any transactions? If the bank has recorded transactions that you haven’t, this causes your ending balance to not equal your cleared balance. Look on your statement for any transactions that you’re missing or forgot to record; then record these transactions, and mark them as cleared.

  • Have you recorded transactions correctly? This may also sound silly, but if you recorded the transaction, and you’re a few pennies off or a few dollars off — perhaps you’ve transposed a couple of numbers — you won’t be able to reconcile your account. It’s probably very common when you’re entering dozens and dozens of transactions to occasionally record a transaction wrong. The occasional errors need to be fixed before you can reconcile an account.

Note that it’s quite likely — especially when you’re getting started — that you won’t be able to reconcile an account because of multiple errors. If you do something like record a transaction erroneously and then forget to record a couple of transactions, you’ll need to fix each of these errors in order to reconcile your account.

Reconciling an account is much easier if you’re using online banking.