Reconciling YEARS of Transactions

[chandrespickett]

As I mentioned in another thread, I've just become our church treasurer. Our church has been using PC since 2003, and the account has never been reconciled. Contributions and transactions are posted every month, but that's as far as it has ever gone.

I would love to begin the new year with doing reconciliations on a regular basis. The issue is that, at some point in the past, our accounting has gone off balance by a little under $3,000. It's in our bank account's favor, at least. Our previous treasurer kept only three months open at a time, so I'm limited to working with September 2015 to now. What happens if I reconcile out of balance? Will PC+ (v. 11) create an adjustment so months going forward will balance? (I work with QuickBooks on a regular basis for a family business, and that's how it would handle the same issue.)

Thank you again for any suggestions.
Chandres

(edited to change date we began using PC)

[NeilZ]

As I mentioned in another thread, I've just become our church treasurer. Our church has been using PC since 2003, and the account has never been reconciled. Contributions and transactions are posted every month, but that's as far as it has ever gone.

I would love to begin the new year with doing reconciliations on a regular basis. The issue is that, at some point in the past, our accounting has gone off balance by a little under $3,000. It's in our bank account's favor, at least. Our previous treasurer kept only three months open at a time, so I'm limited to working with September 2015 to now. What happens if I reconcile out of balance? Will PC+ (v. 11) create an adjustment so months going forward will balance? (I work with QuickBooks on a regular basis for a family business, and that's how it would handle the same issue.)

Thank you again for any suggestions.
Chandres

(edited to change date we began using PC)

Well ... first off, make sure PCPlus is setup to have 18 months open, that will save you a lot of grief. Then do a backup of the Accounting database using the build-in PCPlus backup utility, this is to allow you to restore the system from where you began just in case something is amiss.

As far as reconciling, I'd start with the end of September's bank statement, and select DATE SEQUENCE on the Reconcile screen, on the next page make sure the checkbox is checked by the Only Show Items Dated Before the Statement Date so you don't get anything newer.

Then clear everything you can up to and including whatever is listed on that September statement, I'd also look at the October statement to see if anything turned up there from August so you don't accidentally clear that out too. When finished, and you're sure that you've cleared everything that came before the September, click done, and print the report. What you're telling me is that you're doing to have a balance in your favor at the end of this. OK lets go with that.

Then do a another backup, and then do the same reconcile/print/backup process for the rest of the statements through the end of Novemeber. Again, you want to backup to be able to restore if necessary.

From what you've told me, you're going to see that amount in the church's favor after each reconcile. So, at the end of the December reconcile, and if you're POSITIVELY SURE that the bank statement is showing money in the church's favor, you can then enter a correction. However, DO NOT finish your reconcile by clicking DONE for the December statement, you need to do the correction first. Powerchurch will not do this for you, it allows you to make your own mistakes.

By entering the correction, then restarting the Decmeber reconciliation, you can clear the correction, and end with a zero balance. Again do a backup before you enter the correction. Here's a thread (the last two posts cover your issue) that can assist:

viewtopic.php?f=3&t=3370&p=11405&hilit= ... ent#p11405

[chandrespickett]

I've just changed the settings to 18 months. That'll be helpful going forward.

When I run the report for the check register for Dec. 2015, the balance shows an amount lower than our bank statement for the month. That's where my assumption comes in that we're off in the church's favor. I've done the first one, and spit out a tiny 150-page report. Backup done, and moving on to the next one. I'll update when I get to December. Thank you!

[chandrespickett]

Okay, I've gotten through December, and I have the same difference that I had with each of the other reconciliations. The 'Check Register' report for December is $x and the bank statement is $x + $2,338.73.

Can you walk me through the correction? I assumed I'd just create a deposit that doesn't exist, but your description has me thinking there's a different/better way to do it.

Thank you for the invaluable assistance in getting our accounting in shape!

[chandrespickett]

Okay, I followed the suggestion in this link:

viewtopic.php?f=3&t=3981&p=13706&hilit= ... ent#p13706

I entered in the amount, saved it, posted it, then went back into the reconciliation. It zeroed out! I've got backups of everything, so if the elders want me to revert back to the previous unbalanced account, I can. (Let's hope they're excited to find out we have more money in the bank!)

Thanks again, who knows what questions I'll have next!

[NeilZ]

Okay, I followed the suggestion in this link:

viewtopic.php?f=3&t=3981&p=13706&hilit= ... ent#p13706

I entered in the amount, saved it, posted it, then went back into the reconciliation. It zeroed out! I've got backups of everything, so if the elders want me to revert back to the previous unbalanced account, I can. (Let's hope they're excited to find out we have more money in the bank!)

Thanks again, who knows what questions I'll have next!

Excellent ... glad to hear its all zeroed out.