QuickBooks Bank Reconciliation — Cheque issued but not yet presented

Software: QuickBooks #accounting software

Bank reconciliation is a process of comparing the Cash Book against the Bank Statement. The objective of the bank reconciliation is to confirm the withdrawals and deposits presented in the Bank Statement have recorded in the ledger correctly.

Bank Reconciliation

Although you can record the opening balance of the bank account in QuickBooks with the ledger balance, we prefer to use the bank statement closing balance instead. As the later can show the deposit in transit and the cheque, which issued but not yet presented at the bank reconciliation.

However, if the bank’s ledger balance has used as an opening balance and you realised a cheque issued in last financial year but has not yet presented in the following month, then a journal is needed to adjust the opening balance of the bank ledger.

You need to debit the bank account to increase the ledger balance and credit back the amount as a form of separating the cheque that has not yet presented from the bank opening balance.

You need to select both the original opening balance and the debit entry of the journal during the bank reconciliation and leave the credited amount of the journal as not presented.