The adjusted balance on my Bank Reconciliation Report does NOT equal what my Balance Sheet report says my balance is.
The auditor's don't like this! - Go Figure!
I have ALL transactions accounted for.
I've been told to make a journal entry to write off the difference - however, if I do that, then my Bank RCon won't balance.
1. When was the reconciliation done?
2. When was the balance sheet done, and did you include unposted transactions?
The Balance Sheet amount gives the assets as of the end of the month selected (or the month to date if the month selected is September for example).
The Reconciliation Report has the amount as of the date of the statement.
So, if your bank sends you a statement ending on a date other than the end of the month, you will see a difference.
For example, the Reconciliation Report will reflect the balance as of the 20th of August, if that's the date from the Bank Statement entered in the Reconciliation Report options that come up when you start the reconcile.
However, the Balance Report does not have any date entered, it goes by month only. Which is why the Balance Report option screen starts out with Through accounting month (select month)(select year). Again using August 20th as the date of Reconciliation from the bank statement, you would have two weeks of contributions, along with two weeks of checks written against that bank balance.
However, to be sure, we would need to know the answers to the two questions above.
That said, I am going to guess that the amounts on the Balance Sheet for Total Assets, and Total Liabilities and Fund Balance are equal. That's the bottom line, any auditor who uses the bank balance of a reconciliation as proof that something 'is off' and it needs a correction, doesn't know what they are talking about.
