## Reconciling Bank Account Transactions

This chapter provides overviews of bank account reconciliation and voided payment and receipt reconciliation and discusses how to:

- Reconcile voided payments and receipts.

- Refresh account reconciliation information.

- Reconcile bank account transactions manually.

- Change a reconciled transaction to unreconciled.

### Understanding Bank Account Reconciliation

As part of your period-end processes, you might need to reconcile the balances in your bank accounts with your bank statements.

After you perform the initial setup tasks, you can easily reconcile bank accounts on a monthly basis using the Manual Reconciliation program (P09131).

See Also

Setting Up Account Reconciliation

### Reconciling Voided Payments and Receipts

This section provides an overview of the auto reconciliation void programs and discusses how to:

- Reconcile voided payments.

- Reconcile voided receipts.

#### Understanding the Auto Reconciliation Void Programs

Instead of manually reconciling voided payments and receipts, you can save time during account reconciliation by running these programs:

- Automatic Reconcile Void Payment (R09551)

- Automatic Reconcile Void Receipt (R09552)

These programs automatically reconcile voided payments and receipts (and those with zero amounts) by updating the GLRCND field with the default reconciliation code R on the transactions in the F0911 table. When reconciling payments, the Automatic Reconcile Void Payment program selects payments that were voided manually and those voided during automatic payment processing.

You should run these programs before you run the Refresh Reconciliation File program (R09130) so that voided and zero amount payments and receipts are not included in the F0911R workfile.

The Automatic Reconcile Void Payments and Automatic Reconcile Void Receipts programs do not have processing options.

#### Reconciling Voided Payments

Select Bank Tape Reconciliation (G09213), Automatic Reconcile Void Payment.

#### Reconciling Voided Receipts

Select Bank Tape Reconciliation (G09213), Automatic Reconcile Void Receipt.

### Refreshing Account Reconciliation Information

This section provides an overview of the Refresh Reconciliation File program and discusses how to:

- Run the Refresh Reconciliation File program.

- Set data selection for Refresh Reconciliation File.

- Set processing options for Refresh Reconciliation File (R09130).

#### Understanding the Refresh Reconciliation File Program

Before you reconcile your accounts, you must run the Refresh Reconciliation File program (R09130). Typically, you run this program at the end of each period to reconcile transactions for the period. The Refresh Reconciliation File program copies the unreconciled transaction detail for all reconcilable accounts from the F0911 table into the F0911R reconciliation workfile.

Each time that you refresh the F0911R workfile, the system removes all previously reconciled transactions in the table and replaces them with new transactions that meet the processing option and data selection criteria for the Refresh Reconciliation File program. For example, if you run this program for the month of January and reconcile all transactions for that month, and then run the program again for February, the program removes all the reconciled transactions for January from the F0911R workfile and replaces them with the unreconciled transactions for February.

Transactions must meet these criteria for the Refresh Reconciliation File program to select records:

- The account that you are trying to reconcile must be within the AAI range for GLRCxx.

- The general ledger date for the transaction must be within the date range specified in the Beginning Date and Ending Date processing options.

- The GLRCND field for the transaction must be blank (unreconciled).

When you run the Refresh Reconciliation File program, you can refresh the information for all accounts in the AAI ranges for GLRCxx at one time, or you can use data selection to refresh a specific account.

The Refresh Reconciliation File program is designed to build only one F0911R workfile. However, you can allow separate workfiles for specific accounts by using the Configured Network Computing function to point to the F0911R workfile locally.

#### Prerequisite

Before you complete the tasks in this section:

- Set up the AAI ranges for GLRCxx AAIs to identify account ranges that must be reconciled.

- Set up a reconciliation code in UDC table 09/RC if you do not want to use the default reconciliation code R.

#### Running the Refresh Reconciliation File Program

Select Manual Reconciliation (G09209), Refresh Reconciliation File.

#### Setting Data Selection for Refresh Reconciliation File

For faster processing, use data selection to specify the accounts to reconcile.

To create a F0911R workfile for only one account, enter the short account ID number in the data selection. If you run the Refresh Reconciliation File program for a specific account and then run the program again for a different account, the system does not remove the previously reconciled transactions for the first account. Instead, it adds the records for the second account to the previously reconciled transactions of the first account. The Refresh Reconciliation File program only removes all previously reconciled transactions in the F0911R workfile when you run the program subsequently for the same account.

#### Setting Processing Options for Refresh Reconciliation File (R09130)

Use these processing options to select dates, reconciliation status, ledger type, transactions with an AE document type, and messages to print.

Select

1. Beginning Date and 2. Ending Date | Specify the dates that you want the system to use as the beginning and ending dates when selecting records from the F0911 table.
3. Reconciled Status | Values are: Blank: Select only unreconciled records. 1: Select both reconciled and unreconciled records. The F0911R can become unmanageable if you select both reconciled and unreconciled transactions on a regular basis. This can impact processing time. Include reconciled items only when it is necessary to correct a previous reconciliation.

Default

1. Ledger Type | Specify the ledger type (UDC table 09/LT) for the system to use when selecting records from the F0911 table. If you leave this processing option blank, the system selects all ledger types.

Display

1. Document Type Filter | Specify whether the system includes AE document type transactions when it selects records from the F0911 table. Values are: Blank: Do not include AE transactions. 1: Include AE transactions.

Print

1. Messages | Specify which messages to print on the Refresh Reconciliation File report (R09130). Values are: Blank: Print messages only for accounts that are refreshed. 1: Print messages for all accounts.

### Reconciling Bank Account Transactions Manually

This section provides overviews of manual bank account reconciliation and the reconciliation report and discusses how to:

- Set processing options for Manual Reconciliation (P09131).

- Reconcile bank account transactions manually.

#### Understanding Manual Bank Account Reconciliation

When you reconcile your accounts on the Bank Account Reconciliation form, the system marks the transactions on the form with the default reconciliation code R or the code that you selected. As you reconcile transactions, the system updates the amounts in the Outstanding Debits and Outstanding Credits fields. The system also updates the Amt to Reconcile field using this formula:

(Bank Balance + Outstanding Debits + Outstanding Credits)–Book Balance = Amount to Reconcile

- Bank Balance = the amount on your bank statement.

- Outstanding Debits and Credits = the records in the F0911 workfile that have not been marked as reconciled.

- Book Balance = the account balance in the F0902 table. The system includes balance forward amounts for balance sheet accounts.

#### Understanding the Reconciliation Report

After you reconcile your bank account transactions, run the Print Reconciliation Report (R09132P) for a list of any outstanding items that are unreconciled.

The date range used for the report is the same as the range entered in the processing options for the Refresh Reconciliation File program. To run the Print Reconciliation Report over a different date range, you must change the date range in the processing options and run the Refresh Reconciliation File program again.

#### Forms Used to Reconcile Bank Account Transactions Manually

Form Name | FormID | Navigation | Usage
Reconciliations | W09131D | Manual Reconciliation (G09209), Manual Reconciliation | Use this form to select the type of reconciliation.
Bank Account Reconciliation | W09131A | Select Bank Account Reconciliation on the Reconciliations form. | Manually reconcile or unreconcile bank account transactions.

#### Setting Processing Options for Manual Reconciliation (P09131)

Use these processing options to select default values.

Defaults

1. Ledger Type | Specify a ledger type from the UDC table 09/LT for processing. If you leave this processing option blank, the system uses the default ledger type AA.
2. Reference 3 | Specify whether the system updates the Reference 3 field on the record in the F0911 table with a reconciliation number. The system uses the Next Number Revisions program (P0002) to assign the reconciliation number. This reconciliation number can be overridden at the time of reconciliation. If you leave this processing option blank, the system will not update the Reference 3 field.

Debit/Credit Edits

The processing options on this tab are used only by the Debit/Credit Match program.

See Setting Up Account Reconciliation.

#### Reconciling Bank Account Transactions Manually

Access the Bank Account Reconciliation form.

1. Enter the bank account number for which you ran the Refresh Reconciliation File program (R09130).

2. To view both unreconciled and reconciled items, do not select the Unreconciled Only option.

   You can review both unreconciled and reconciled items if you entered 1 for the Reconciled Status processing option of the Refresh Reconciliation File program.

3. To limit the transactions that you view for the account, enter a general ledger date in the From Date field.

   You must enter a date that is within the date range that you entered in the processing options for the Refresh Reconciliation File program. To view transactions from a date prior to the beginning date in the processing option, you must run the Refresh Reconciliation File program again with different dates.

4. Click Find.

5. Enter the balance that appears on your bank statement in the Bank Balance field and click Find.

6. To further limit the transactions that you view for an account, select Options from the Form menu and continue to the next step. Otherwise, continue to step 8.

7. On the Options form, enter a value in any of the fields.

   - Document Number

     Enter a number to view only the documents associated with the number. This is helpful if you are trying to search for a particular transaction.

   - Reference 1

     For receipts, enter the batch number of the receipt.

     For payments, enter the payment number.

   - Reference 2

     For receipts, enter the document number of the receipt.

     For payments, enter the supplier number of the payment.

8. On the Bank Account Reconciliation form, click Find.

   The Options option is now selected. This is a reminder that you are viewing only transactions that meet the criteria that you specified on the Options form.

9. To mark a transaction as reconciled, select the row that corresponds to the transaction and then select Reconcile Toggle from the Row menu.

10. To mark more than one transaction (or all transactions) as reconciled, select the rows for the transactions and then select Reconcile Toggle from the Row menu.

    When you mark transactions as reconciled:

    - If the Reference 3 processing option for the Manual Reconciliation program is set to 1, the Reference 3 Selection form appears and displays the next available number from next numbers. If you do not want all transactions to have the same reconciliation number, select Update Single from the form menu on the Reference 3 Selection form. The system displays this form each time you reconcile a transaction so that you can enter a new number for each transaction.

    - The system enters R (or the reconciliation code that you selected) in the R ND field on the Bank Account Reconciliation form.

11. To unreconcile a reconciled transaction, select the transaction and then select Reconcile Toggle from the Row menu.

12. To complete the reconciliation process, select Update F0911 from the Form menu for the system to:

    - Update the GLR3 field in the F0911R workfile with the reconciliation number.

    - Update the GLRCND field in the F0911 table with the information in the F0911R workfile for all reconciled transactions.

    - Update the GLR3 field in the F0911 table with the reconciliation number from the F0911R workfile if the Reference 3 processing option for the Manual Reconciliation program is set to 1.

13. To print a report, select Reconciliation Print (R09132P) from the Report menu.

### Changing a Reconciled Transaction to Unreconciled

After you finish the reconciliation process, you might need to change a reconciled transaction to unreconciled. When you change a transaction to unreconciled, the system removes the R (or the reconciliation code that you selected) from F0911R workfile. If you set the Reference 3 processing option to 1 for the Manual Reconciliation program, the system also deletes the assigned reconciliation number from the transaction. After you change a reconciled transaction to unreconciled, remember to update the F0911 table to remove the reconciliation code from the transaction.

If you ran the Refresh Reconciliation File program since you reconciled the transaction, you must run the program again and set the Reconciled Status processing option to 1 to include reconciled transactions.

If you need to change a reconciled transaction to unreconciled for a period that is different from the current period, you must run the Refresh Reconciliation File program again:

- Set the Reconciled Status processing option to 1 to include reconciled transactions.

- Change the Beginning Date and Ending Date processing options to include the general ledger date of the transaction that you want to change.