Free License - Bank Account Reconciliation

Bank Account reconciliations use AI-powered automatic matching to reconcile GL transactions against bank statement data. The system automatically parses uploaded statements and matches transactions, eliminating 80 to 90 percent of manual work.

Bank Account reconciliations display the bank account number in the Support Source column of the reconciliation list (for example, 125-111080-001 - INR).

Bank Account Reconciliation Details Page

The Bank Account Reconciliation Details page contains the following sections:

• Header Bar - Displays the reconciliation name, period, status badge, and page-level action icons.

• Summary Cards - Displays the Accounts card and KPI cards showing balances and match totals.

• Transaction Matching - Performs transaction matching between GL entries and bank statement lines. Contains Unmatched and Matched tabs.

Header Bar

The header bar displays the reconciliation identifier and provides page-level action icons:

Summary Cards

The summary cards below the header display the accounts and key balances for the reconciliation.

Transaction Matching

The Transaction Matching section performs transaction matching between GL entries and bank statement lines. It contains two tabs: Unmatched and Matched.

To perform transaction matching for a bank account reconciliation:

• Upload Bank Statements.

• Manage Transactions in the Unmatched tab:

  • Open Unmatched Items on GL Account and Support Source sides (for the first active period) [v26.1] 

  • Set Support Balance.

  • Match Transactions Manually.

  • Comment on and Categorize Unmatched Transactions.

• Manage Transactions in the Matched tab:

  • Review Matched Transactions.

• Submit the Reconciliation for Review.

Upload Bank Statements

Bank statements must be uploaded before automatic transaction matching can begin.

To upload bank statements:

1. Click the Upload button on the Reconciliation Details page.

2. In the upload dialog, click Browse Files or drop files into the upload area.

3. Select the bank statement file:

   1. Select your bank statement file (Excel, CSV, PDF, or image formats).

   2. Verify that the file contains account number, period, amounts, and descriptions.

   3. Ensure that the transactions match the selected accounting period.

   4. Click Open to select the file.

4. Click Upload to upload the file.

   Note: [v26.1]  File uploads are limited to a maximum of 20 files per upload batch. If more than 20 files are selected, the system displays an error message. Upload additional files in subsequent batches. This limit applies to all file upload areas, including bank statement uploads, GL line uploads, and checklist attachments.

5. Monitor file processing in the Files module:

   • Processing (green spinner) - File is being parsed.

   • Attached (green checkmark) - File was processed successfully.

   • Error (red icon) - Processing failed due to one of the following:

     • Wrong period data.

     • Corrupted file format.

     • Missing required field.

   The system automatically parses the file. The AI engine performs automatic matching:

   • The Matched tab is populated with matched transaction pairs.

   • The Unmatched tab displays the remaining transactions.

   • Summary cards are updated with the current totals.

Note: [v26.3]  When bank statements are parsed (Excel, CSV, or PDF), the system also extracts additional transaction and reference information for both GL and Support Source transactions.

• GL-side fields: Doc #, Ref #, Entry Type, Payment Method.

• Support-side fields: Check #, Ref #, Transaction Type, Payment Method.

When available, these fields are imported automatically from connected ERP systems, bank integrations, and supported bank statement formats. Transactions that do not contain these values continue to be imported successfully.

If these fields are not present in the statement, they are left blank.

Note: For details on how bank statement files are parsed, supported file types, parsing rules, and best practices for PDF files, see Bank Statement Parsing.

Manage Transactions in Unmatched Tab

The Unmatched tab displays transactions requiring manual matching or documentation. It shows GL entries and support source (bank) transactions in side-by-side tables: GL Account side on the left and Support Source side on the right, for easy comparison.

The Unmatched tab provides the following controls:

The Unmatched tab shows GL entries (left) and support source (bank) transactions (right) in side-by-side tables. The following columns appear on each side:

Note: When there are no unmatched items, the tables display "No unmatched transactions". When items are present, each side displays a line count and total amount at the bottom (for example, "3 lines" - "-$160,780.98").

Opening Carryover Lines

Customers who begin using Account Reconciliation mid-year can load historical unmatched items from prior periods into their first active reconciliation period, ensuring the reconciliation equation balances from day one.

Add Opening Carryover Line (+) and Import Opening Carryover Lines (↑) are available on both sides in the first active period only, during the Preparation stage (Not Started and In Progress states). Once the reconciliation moves to Review or beyond, these options are no longer available.

Open unmatched items are supported on both sides of a bank account reconciliation:

• GL Account Side (Book Side) - Items recorded in the GL but not yet reflected in the bank statement.

• Support Source Side (Statement Side) - Items appearing in the bank statement but not yet recorded in the GL.

Prerequisite: Load open unmatched items before starting the reconciliation process for your first active period.

Two options are available for loading opening carryover lines on each side:

• Add Opening Carryover Line - Adds lines one at a time using a dialog. Manually added lines can be edited or deleted.

• Import Opening Carryover Lines - Imports multiple lines at once using a CSV template. Imported lines cannot be edited or deleted.

Note: For field details, refer to the GL Account Side (Left) or Support Source Side (Right) column tables in Manage Transactions in Unmatched Tab.

Add Opening Carryover Lines

To add a single opening carryover line manually on either side:

1. Click Add Opening Carryover [GL/Support] Line on the respective side.

2. In the Add [GL/Statement] Line dialog, enter the required fields and any optional reference information.

   • GL-side fields: Doc #, Ref #, Entry Type, Payment Method.

   • Support-side fields: Check #, Ref #, Transaction Type, Payment Method.

   All reference fields are optional and can be used to provide additional transaction details for matching and investigation purposes.

3. Click Add Line.

   The item appears immediately on the respective side. The system automatically triggers the matching engine to evaluate the new item.

Import Opening Carryover Lines

To import multiple opening carryover lines via CSV on either side:

1. Click Import Opening Carryover [GL/Support] Lines on the respective side.

2. Click Download Template.

3. Populate the CSV template with the historical unmatched items for that side.

   In addition to the existing opening-line fields, the import template supports:

   • GL-side fields: Doc #, Ref #, Entry Type, Payment Method.

   • Support-side fields: Check #, Ref #, Transaction Type, Payment Method.

4. Click Upload and select the completed CSV file.

   Successfully uploaded items appear on the respective side of the Unmatched tab.

If any row fails validation, the entire file is rejected and an error message displays.

Imported CSV files are saved as attachments. The system detects duplicate files based on file content and displays a message if an identical file already exists.

Deleting an imported file removes all associated items, including both matched and unmatched items.

Edit Manually Added Lines

To edit a manually added item:

1. Click Edit (pencil icon) on the item row.

2. Update the fields as needed, including any reference information such as Doc #, Ref #, Entry Type, Transaction Type, or Payment Method.

3. Click Add Line.

Delete Manually Added Lines

To delete a manually added item, click Delete (trash icon) on the item row and confirm the deletion.

Edit and Delete icons appear only for manually added opening carryover lines (added via +).

All other line sources, including imported opening carryover lines (via ↑), ERP-sourced GL lines, and bank statement-sourced Support lines, do not display Edit or Delete icons.

If an edit or delete breaks an existing match, the counterpart item returns to the Unmatched list.

Edit and Delete are not available in future periods.

Set Support Balance

The Set Balance feature is available only for Bank Account reconciliations. If the closing balance is not provided in the bank statement, you can use Set Balance to enter the balance manually so that the reconciliation can be completed.

To set the support balance:

1. Click Set Balance.

2. Enter the balance that should reconcile to the GL Balance. The system automatically calculates and displays the Difference.

   Reconciliation Scenarios:

   Scenario	GL vs Support Balance	Required Action
   Balanced	GL Balance = Support Balance	Submit for review with no unmatched items.
   Variance Exists	GL Balance ≠ Support Balance	Add unmatched line items to explain the difference.

3. Click Set Balance. The system automatically calculates and displays the Difference.

Note: The Set Balance button is disabled once the reconciliation moves beyond the Preparation stage.

Match Transactions Manually

To match transactions:

1. Find a GL entry and a bank transaction with the same amount.

2. Select the checkboxes next to the GL entry and the matching bank transaction.

3. Verify that the selection bar displays matching totals at the bottom of the page.

4. Click Match to link the transactions together.

5. Add a comment, if required, to explain anything unusual about the match.

The matched pair moves to the Matched tab, and the summary cards update automatically.

For details on supported matching types (one-to-one, one-to-many, and many-to-one) and their transaction limits, see Transaction Matching Capabilities.

Comment and Categorize Unmatched Transactions

For bank transactions that cannot be matched in the current period (different periods, outstanding checks, and similar situations), document them using the Add Comment dialog. Starting in v26.2, the dialog also lets you assign a Category that classifies the nature of the unmatched transaction and contributes to risk scoring on the Unmatched Risk Dashboard. Documented items carry forward to future periods.

Prerequisite:[v26.2] 

Categories must be configured in Administration > Categories before they are available for assignment. See Categories.

To add a comment and category to a single item:

1. Select the unmatched transaction from either the GL Account side or Support Source side.

2. Click the Comment icon on the item row. The Add Comment dialog opens.

3. In the Comment field, enter a clear explanation that includes:

   • Reason for the variance.

   • Expected resolution date.

   • Any reference numbers or supporting details.

4. Click the Category dropdown and select the appropriate category [v26.2]. Each category displays a risk-level badge (High, Medium, or Low).

5. Click Save.

To add a bulk comment and category to multiple items:[v26.2] 

1. Select the checkbox for each unmatched line item to update. The action button displays the number of selected rows.

2. Click Update [N] Rows. The bulk update dialog opens.

3. Enter a comment, select a category, or both.

4. Click Update. The comment and category are applied to all selected lines.

To change a category, reopen the Add Comment dialog on the item row, select a different category, and click Save.

Category Assignment Rules [v26.2] 

• Available for Enterprise License and Professional License users only. Not available for Free License users.

• Only Preparers can assign or change categories. Other user roles (Admin, Designer, Power User, and Viewer) can view categories.

• Category assignment is available only during the Preparation stage (In Progress status). Once the reconciliation is submitted for review, category assignments are locked unless the reconciliation is rejected back to Preparation.

• Category assignments carry forward with items to subsequent periods and remain editable during the Preparation stage.

• Items with no category assigned are treated as High risk by default.

Note: When re-selecting the same rows that already share a comment, the bulk dialog opens pre-filled with the existing comment so that you can amend it. If the selection includes rows with different comments or no comment, the dialog opens empty.

Note: Individual line-level commenting and categorization remain available alongside the bulk option.

Note: Unlike Standard reconciliations, Bank Account reconciliations track unmatched items directly from bank statement and GL transactions rather than creating separate unmatched line items.

Manage Transactions in Matched Tab

The Matched tab displays all successfully matched transaction pairs, including one-to-one, one-to-many, and many-to-one matches. The section header displays Match Results with a consolidated view of GL Account and Support Source (Bank Account) matches.

Review Matched Transactions

To review and manage matched transactions:

1. Go to the Matched tab.

2. Use the following controls to search, filter, or sort matched transactions:

   Control	Description
   Search	Searches matched transactions by description, amount, or trading partner.
   Filter by Confidence Level [v26.1]	Filters matched transactions by AI confidence level.
   Sort by Confidence Level [v26.1]	Sorts matched transactions by confidence level. Select Highest to display the highest confidence matches first, or Lowest to display the lowest confidence matches first. Sorting by lowest helps identify matches that may require manual verification.
   Clear Search & Filters	Removes all applied search and filter criteria.
   Bulk Unmatch [v26.1]	Unmatches multiple transactions at once.

3. Review each matched pair and verify the accuracy of the following information:

   • Match ID - Verify the unique identifier and color coding.

   • Date - Compare the GL date and Bank date.

   • Amount - Verify that the GL amount equals the Bank amount.

   • Description - Verify that the GL description relates to the Bank description.

   • Trading Partner - Compare the GL and Bank trading partners.

   Column	Description
   Match Indicator	Match ID and match type indicator (1:1, 1:M, M:1).
   Date	Transaction date.
   Amount	Matched amount. Color-coded: green for positive amounts and red for negative amounts.
   Account # [v26.3]	GL account number or bank account number, with an icon indicating the source.
   Description	Transaction description.
   Trading Partner	Name of the trading partner.
   Ref # [v26.3]	Reference number.
   Payment Method [v26.3]	Payment method.

4. To unmatch an individual match, click the Unmatch icon on the right side of the line item. Both transactions move to the Unmatched tab.

5. To unmatch multiple transactions at once, click the Bulk Unmatch dropdown [v26.1] and select one of the following options:

   Option	Function
   Unmatch All	Unmatches all matched transactions in the current reconciliation.
   Unmatch AI	Unmatches only automatically matched (AI-matched) transactions.
   Unmatch Manual	Unmatches only manually matched transactions.

6. Confirm the action. The selected transactions move back to the Unmatched tab.

Note: Many-to-one matches display as grouped transactions with a grouping indicator. Expand the group to view all individual transactions included in the match. Clicking Unmatch on a many-to-one match returns all grouped transactions to the Unmatched tab.

Note: Unmatch actions are available only during the Preparation stage (In Progress status). Once submitted for review, transactions are locked.

Submit Reconciliation for Review

Once all transactions are addressed:

1. Verify reconciliation completeness:

   • All possible matches have been made.

   • Remaining variances have been documented.

   • Summary cards show acceptable balances.

2. Click Submit for Review. The Submit Reconciliation for Review dialog pops up.

   

3. Optionally, add comments about the reconciliation.

4. Click Submit.

The reconciliation moves to the Review stage and the status indicator updates.

Out-of-Balance Warning [v26.1] 

If the reconciliation is out of balance, the Submit for Review button is disabled and a red warning icon is displayed next to it. Hover over the icon to view a tooltip explaining the imbalance. Resolve the imbalance before submitting the reconciliation.

Download Reconciliation Statement

For Bank Account reconciliations, the export action opens the Export Reconciliation Statement dialog, where you can choose how the statement workbook is rendered before exporting.

To download the reconciliation statement:

1. Click the Export to Excel icon in the header bar or the row action on the Reconciliation List page. The Export Reconciliation Statement dialog opens.

2. Configure the following options:

   Option	Description
   Sections	Selects which lines to export: Full Statement, Unmatched Only, or Matched Only.
   Detail Level	Selects the level of detail: Summary Only or Summary + Detail.
   Include Statement First-Page Image	When enabled, includes the first page image of the bank statement in the export.
   Description Max Length	The maximum number of characters allowed for line descriptions. The default value is 100.

3. Click Export. The statement downloads to your default downloads folder.

The exported Excel file includes reconciliation summary information, matched and unmatched transactions, opening carry-over lines, workflow history, comments, categories, and additional transaction details when available.

Additional transaction details include:

• GL Side: Doc #, Ref #, Entry Type, and Payment Method.

• Support Side: Check #, Ref #, Transaction Type, and Payment Method.

Carry-over Lines

Carry-over behavior follows the accounts participating in a reconciliation rather than the reconciliation template itself.

When a GL account or support source continues participating in a reconciliation, carry-over lines move forward normally.

When accounts are moved between templates or removed from a reconciliation:

• Existing carry-over lines are not transferred automatically.

• Opening carry-over lines can be uploaded manually to continue tracking those items.

• The system preserves historical reconciliation activity in the original reconciliation instance.

Reopen Reconciliation

If a GL balance is restated in a past period, the affected reconciliation is reopened and moved back to Preparation. Because a reconciliation balance is the sum across all its member accounts, but a GL restatement belongs to a specific Legal Entity GL account, the reopen logic follows the Legal Entity GL account, not the template.

• All historical reconciliations that contained the restated account are reopened, across template boundaries, following that account through whichever template it belonged to in each period.

• The walk-back stops when the account's contribution to the balance stops changing.

• A template that no longer contains the restated account is not reopened because its balance is summed only over its current members and does not depend on the account that moved away.

Note: Reopen processing supports grouped reconciliations. When a GL balance change affects an account participating in a grouped reconciliation, the system identifies the appropriate reconciliation instance and follows the account across periods and template changes to determine which reconciliations must be reopened.

For information on enabling accounts for reconciliation, see Managing GL Accounts.