Account reconciliation

Account reconciliation is the process when you compare your current balance calculated in Personal Finances and what your bank statement shows to make sure there is a match. Some of these items may have been created and entered in Personal Finances but have not yet been recorded by the bank. Or, the bank may have made adjustments to your account which you have not yet entered to the program.

To reconcile an account, the user simply opens the Reconciliation dialog, selects the account and date and enters the balance that the bank statement shows and the program compares it with its calculated balance and tells you whether they are equal, or there is a difference. If you see there is a match, click Reconcile and you are done. If you see there is a difference, then you need to check or uncheck transactions until the difference gets to zero.

After reconciliation, the period is closed. When you add a new transaction before the date of reconciliation, Personal Finances displays the warning message and reconciliation date shifts to the date of the new transaction. If the user attempts to edit reconciled transactions, the program shows the warning, the transactions ceases to be reconciled and the reconciliation date shifts again.