Reconcile the balance sheet

Import the trial balance into a close and back every balance with open items.

ForStaffStaff managerAdmin and super administrator

Balance sheet reconciliation is optional for each close. Nothing is added until someone imports the close’s trial balance. Then each balance sheet account gets its own reconciliation sub-task, all under one task on the close board. That board task can only be signed off once every account is approved.

1. Bring in the trial balance

  1. Open Balance sheet and pick the close.
  2. With the Tally connector: press Get balances from Tally, wait for the connector, then Review and import.
  3. Or press Import a file instead and choose the closing trial balance as at the period end: Excel, CSV or Tally XML, or a Zoho Books export (see Zoho Books). Press Read rows.
  4. Pick a category for any new accounts, choose the functional area for the reconciliations, and press Create … reconciliations.

Last month’s open items are carried forward, so you start from what was open before.

2. Reconcile each account

  1. Open an account. Its balance comes from the trial balance and can’t be typed over.
  2. List the open items that make up the balance: Add line one at a time, or paste rows from Excel under Paste rows from Excel. Choose Customise line columns to capture your own columns.
  3. Use Reconciling item lines for differences you can explain. The Unexplained total should reach zero, or stay within the account’s threshold with a note.
  4. Press Attach backup on each line that needs it. Lines over the backup limit show Backup needed.
  5. For payables and receivables, set Check against invoice register to catch open invoices missing from the list.
  6. Send it for review and approval like any task.

3. Follow progress

The Balance sheet page shows the percentage approved, each account with who it is with, lines without backup and lines over 90 days. Refresh from Tally fetches every balance again, as at the last day of the close month.

Not needed this month?

A staff manager or admin can press Remove balance sheet reconciliation from this close. It deletes that close’s account sub-tasks, their lines and backup, and the imported balances. Approved accounts must be reopened first. Other closes keep theirs.