Posted on 25th June 2019 at 14:49
Bank reconciliation means you have checked that the balance on your bank statement matches the balance you have in your business records.
When the figures match, you can say your bank account is reconciled.
If the figures don't match, your bank account is unreconciled. This means that some of your day-to-day business spending hasn’t been accounted for.
You might have too little or too much in your bank account, but it’s important to know why