A bank reconciliation checks that the transactions recorded in Law App agree with your bank statement. The video below walks through the process; the summary underneath lists the same steps.
What is a bank reconciliation?
A bank reconciliation compares the transactions you have recorded in Law App against the transactions on your bank statement, so that the balance in Law App matches the bank. Reconciling regularly confirms your records are complete and accurate, and it is an essential control for both general and trust accounts.
How to complete a bank reconciliation
Reconciling an account follows these stages. Watch the video above for the exact screens; the steps below are the summary.
- Open the bank reconciliation for the account you are reconciling.
- Enter the statement details, including the closing balance and date from your bank statement.
- Match each Law App transaction to the matching entry on the statement.
- Review any unmatched items and resolve them.
- Complete the reconciliation once the balances agree.
Common questions
Why won’t my bank reconciliation balance?
A reconciliation that will not balance usually means a transaction is missing or unmatched — either an entry on the bank statement that has not been recorded in Law App, or a Law App entry that is not on the statement. Finding and resolving that item brings the balances back into agreement.
What is the difference between a general and a trust reconciliation?
Both work the same way, but a trust account reconciliation is a compliance requirement with stricter rules and is generally done monthly. A general (office) account reconciliation is good practice for keeping your own records accurate.
How often should I reconcile?
Reconcile each account regularly so issues are caught early. Trust accounts in particular have regular reconciliation obligations under trust-accounting rules.
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