Reconciliation

Reconciliation is the process of confirming that your books match your actual bank statement. It's the most important habit in bookkeeping — it catches missing transactions, data entry errors, and duplicate entries before they compound.

What Reconciliation Does

At the end of each statement period (usually monthly), you:

1. Get your bank statement ending balance
2. Mark each transaction in your register as "cleared" (it appears on the statement)
3. Confirm that your cleared balance equals the statement balance

Once they match, you record the reconciliation. Geekonomics locks those cleared transactions so future entries don't disturb the math.

Before You Start

• Have your bank statement open (PDF from your bank or online banking)
• Note the statement ending date and ending balance
• Make sure all transactions up to that date have been entered in Geekonomics

Running a Reconciliation

1. Go to Accounts and open the account you want to reconcile
2. Click Reconcile in the top right corner
3. Enter:
   • Statement Date — the ending date on your bank statement
   • Statement Balance — the closing balance shown on the statement
4. You'll see a list of all uncleared transactions for this account
5. Check each transaction that appears on your statement
6. Watch the Cleared Balance counter at the bottom — it updates in real time as you check items
7. When Cleared Balance = Statement Balance, the Finish Reconciliation button becomes active
8. Click Finish Reconciliation to lock in the cleared transactions

Reading the Reconciliation Screen

Item	Meaning
Already Cleared Balance	Opening balance + all previously reconciled transactions
Cleared Balance	Already Cleared Balance + the transactions you've checked in this session
Statement Balance	What you entered from your bank statement
Difference	Statement Balance minus Cleared Balance — must reach $0.00 to finish

If the Difference Won't Reach Zero

Common causes:

• Missing transaction — a charge or deposit on the statement isn't in your books. Add it as a new transaction.
• Wrong amount — an amount in your books doesn't match the statement. Find and edit the mismatched entry.
• Duplicate transaction — the same transaction appears twice. Delete the duplicate.
• Wrong opening balance — if this is your first reconciliation, double-check the opening balance you set when creating the account.

Work through the statement line by line comparing it to your register. It's easier to find discrepancies by starting from the top of the statement and checking off each line rather than scanning randomly.

After Reconciliation

Cleared transactions are marked with a checkmark in the register. They still appear in the register but are excluded from future reconciliations — they won't clutter the next session.

You can view past reconciliations from the account detail page, including the statement date, statement balance, and who performed it.

How Often to Reconcile

Reconcile every account every month, ideally within a few days of receiving your bank statement. The longer you wait, the harder it is to track down discrepancies.

For credit cards: reconcile when your statement closes each month, and set the statement balance to your statement balance (not payoff amount — you record the payment as a transfer separately).