Bank deposits and reconciling what reached your account
By the end of this article you will be able to make your books match your bank statement line for line — the deposits you made in person and the payouts the card processor sent.
Money reaches your bank two ways, and the app tracks them separately: cash and checks you carry there yourself, and card payouts the processor transfers. Each has its own place.
Record a bank deposit
Every cash or check payment you record sits in your drawer in the books until you say it was banked. Billing › Bank Deposits is where you say so.
- Click Record deposit.
- Set the Deposit date — today by default — and, if you like, the Slip or confirmation number (optional) from the bank.
- Tick the payments you took to the bank. Each row shows the Date, Method (Cash or Check), the Customer and invoice number, and the Amount. A cash refund you handed out appears as a negative amount, because the teller counted what was left in the drawer after it.
- Watch the Deposit total: it is the sum of what you ticked, and it must equal the slip. It has to be positive — a deposit cannot be nothing but refunds.
- Click Record deposit. You see “Bank deposit recorded”, and the books move that money from the drawer to the bank on the deposit date.
Nothing left to tick means the dialog says so: “Nothing is waiting to be banked”.
Undo a deposit
Delete the row with Delete and reverse this deposit. The ledger gets a reversing entry, the original stays on record, and the payments return to the drawer so you can pick them into the right deposit. Deleting is the only way to change one — there is no editing.
Reconcile card payouts
Card payments never pass through the drawer. The processor batches them into a payout and transfers the net amount.
- Open Billing › Payments › Settlements.
- Each Complete row is one transfer: Net Amount is the figure to look for on your bank statement, Fees is what the processor kept, Total is what customers paid.
- Open a row to see the charges it contains and their fees, one line per payment.
A statement line that matches no settlement and no deposit is something else — a bank fee, a transfer — and belongs in Expenses or with your accountant.
Good to know
- Not tied to your plan. Recording deposits works on every plan, because a deposit cannot be reconstructed later. The bookkeeping views that read them are Pro and Business.
- Who. Recording and deleting deposits, and seeing the list, need the chart-of-accounts edit permission — Admin and Accounting.
- Your books. The Bookkeeping report’s trial balance shows the drawer and the bank as separate accounts — Undeposited Funds and Cash — Operating in the default chart. A drawer balance that never goes down is a deposit you forgot to record.
- Closed periods. A deposit dated in a period you have closed is refused; date it in the open period, as the bank statement will.