Clearing a Transaction

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Clearing a Range of Transactions

These instructions assume you are in the process of reconciling a bank account, and you have entered all the required information on the Summary tab of the Reconcile Statements screen. For more information, see Reconciling a Bank Account.

To clear a transaction during bank reconciliation:

  1. On the Reconciliation tab, select a deposit or withdrawal.

    Note: You cannot reconcile transactions that have a status of Not Posted.

  2. Depending on whether the transaction amount shown on the bank statement matches the amount in the Deposits or Withdrawals field, do one of the following:

    • If the amounts match, make the according changes in the Reconciled field to mark the transaction as cleared.
    • If the amounts do not match, enter the transaction amount shown on the bank statement in the Cleared Amount field.

      Note: The Difference field displays the difference between the amount that cleared the bank and the amount in the Deposits or Withdrawals field.

  3. In the Reconciliation Status field, specify a status. More...

    • Cleared With Write Off. You can specify this status if the difference is less than the error spread allowed in the bank record.
    • Cleared With Bank Error. Specify this status if the difference is more than the error spread allowed in the bank record. When you post the reconciliation, the error is carried forward as an outstanding transaction for the next reconciliation.
    • Cleared With Credit Card Charges. Specify this status for a deposit if it included a receipt with a credit card payment type, and the difference is the result of credit card charges that were applied to the deposit.

      Note: This status can be specified only for deposits.

    • Cleared with Exchange Rate Difference. You can specify this status if the bank account is multicurrency, the bank's statement currency is the same as your functional currency, and the transaction uses a different currency. (For a deposit, you can select this status if a receipt in the deposit batch uses a different currency.)
    • Reversed. Specify this status if the transaction is a withdrawal that is not part of a bank transfer, and you need to reverse it.

      If the withdrawal was a miscellaneous payment to an Accounts Payable vendor and you want to reverse the associated invoice when you post the reconciliation, double-click the Reverse Invoice field to change the entry to Yes.

  4. Change the date in the Reconciliation Date field, if necessary.

    Note: If Error is specified in the Check for Reconciled in Future Periods field (on the Processing tab of the Bank Options screen), you cannot enter a date later than the reconciliation date.

  5. Click Save.