In my last blog post, I wrote about what to do if your Cash Account and Checkbook Balance do not tie. I described a process that you could use to find the discrepancies in GP 2010.
In GP 2013, they have added to the Reconcile to GL functionality. Previously this tool only worked for reconciling Payables and Receivables to the GL. Now they have added Bank Reconciliation.
However, before you use this tool, you will first want to verify that everything has been posted through Series Post. You will also want to make sure that there are no outstanding deposits. These are two things you will want to check when your Cash Account and Checkbook do not tie, before you use the Reconcile to GL tool.
You can find this tool in Financial > Routines > Reconcile to GL.
How it Works
The Reconciliation Date will default as the user date. Enter the Date range that you need to reconcile between your Checkbook and your cash Account. The From date should be the last time you know the Checkbook and Cash Account tied.
In the Module Dropdown, select Bank Reconciliation. Once you select that it will ask for the Checkbook ID. When you select the Checkbook ID, it will auto fill the Output file and the Account. If it does not, you will need to select the path for the output file or enter the correct account.
When all the information is entered, click Process.
This will open an Excel spreadsheet that will list the Unmatched Transactions, the Potentially Matched Transactions, and the Matched Transactions.
To find the entries that are responsible for the discrepancies, review the Unmatched Transactions.
Some or all of these transactions are the transactions that are causing the difference between your Cash Account and Checkbook balance. The Reconcile to GL functionality allows you to locate the transactions that are causing the discrepancies, rather than a manual method that would take more time.
Once you find the transactions that are causing the difference, you will need to enter correcting entries. If it is something that was entered in the GL but not in the checkbook, you will need to reverse the GL entry, and enter it correctly in Purchasing, Sales, or Checkbook.
If it was in the checkbook and not the GL, you will need to void or revers the entry that has the incorrect distribution, and re-enter the transaction with the correct distribution. After all the corrections have been made, verify that the checkbook and Cash Account now balance.