Skip to end of metadata
Go to start of metadata

Overview


The Bank Reconciliation form is used to reconcile bank and credit card statements received from financial institutions with the transactions entered in JIWA 7 against ledger accounts with the Classification of Bank. 

 

Unreconciled transactions are populated into the grid according to the date of the reconciliation when the form is first loaded. Entries posted subsequently with a posting date on or before the bank reconciliation date can be incorporated into the grid clicking Check for new transactions in the ribbon. Direct entries and opening transactions can also be entered into the form. Transactions are reconciled or cleared as required by ticking the Status box against each transaction. A Grid Box facility is available to allow multiple lines to be reconciled or cleared. 

 

Introduction to the Bank Reconciliation Form


Header

The Bank Reconciliation form has two header tabs: 

  • Main - bank ledger account and reconciliation date information
  • Figures - details financial information from the system perspective and the bank statement perspective


The Transactions tab details all the lines on that form and is where the transactions are reconciled, cleared or left to be reconciled at a later date. The Documents tab is where files, attachments or PDF's to do with a Bank Rec can be attached. 

Main Tab

The Main tab details the bank statement date and ledger account that reconciliation is for. 

 

Bank Rec No

Batch number is automatically created when saving the form. The numbering is controlled by the form System Numbers (field GLReconciliation)

Bank Statement Date

Date that the reconciliation is being performed to. Date can be changed and data refreshed until the form is activated

Reference

Details entered in manually

Account

Selected from the search window. Only displays ledger accounts with the Class of Bank

Created By

Automatically inserted when the form is first created and saved. This field indicates which staff member originally created this bank reconciliation.

Last Modified By

Automatically updated with the user who last edited this bank reconciliation.



Figures Tab

This tab represents the state of the current reconciliation process detailing the situation both from the ledger and the Bank perspective. 

 

Ledger Balance Bought Forward

Is automatically updated with the Current Ledger Balance from the previous Bank Rec for the selected bank account

ADD Receipts

Displays all receipts that have been entered since the last reconciliation for this account INCLUDING transactions dated before the last reconciliation but posted after the reconciliation was activated.

LESS Payments

Displays all payments that have been entered since the last reconciliation for this account INCLUDING transactions dated before the last reconciliation but posted after the reconciliation was activated

Current Ledger Balance

Reflects the ledger balance as at the Bank Reconciliation date.

+/- Direct Entries

Displays reconciled direct transactions entered in the current bank reconciliation.

Cash at Bank

Calculated new General Ledger Cash at Bank figure.

Bank Statement Opening Balance

Closing bank statement balance bought forward from the previous bank reconciliation for this account. The system setting in System Maintenance, Bank Reconciliation, BankStatementOpeningEditable determines if this field can be manually edited.

Bank Statement Closing Balance

Closing bank statement balance from the bank statement entered manually.

Reconciled Difference

Displays the value of any difference between the ledger and the bank statement balances. The system setting in System Maintenance, Bank Reconciliation, CheckBankRecBalOnActivate determines if the form can be activated where this value <> 0.

ADD Outstanding Deposits

Calculated deposit ledger transactions that are yet to be reconciled

LESS Unpresented Cheques

Calculated cheque ledger transactions that are yet to be reconciled.

Cash At Bank

Calculated bank statement balance INCLUDING transactions that are yet to be processed by the bank. This figure should agree with the Ledger Cash At Bank.

Unreconciled Amount

Any difference between the two Cash At Bank values. The system setting in System Maintenance, Bank Reconciliation, CheckBankRecBalOnActivate determines if the form can be activated where this value <> 0.



Transactions

Unreconciled transactions are populated into the grid according to the date of the reconciliation when the form is first loaded. Direct entries and opening transactions can also be entered into the form and transactions are reconciled or cleared as required by ticking the Status box against each transaction. 

Line NoSystem generated transaction line number. Field can be used for sorting. Data is loaded into the grid in date/time order

 

StatusIndicates the status of the transaction. The possible statuses are:

 - The transaction is yet to be reconciled or cleared- The transaction has been reconciled- The transaction is cleared – i.e. does not impact the bank reconciliation. Is used where incorrect transactions have been posted and corrected or for the opening ledger balance.

 

TypeDisplays the transaction type. Options are:

GL Transaction – transactions that have been entered into Jiwa and populated into the grid when the bank reconciliation was created.Direct GL Transaction – a transaction not yet entered into Jiwa and is to be posted directly to a ledger account – e.g. bank fees and charges.Direct Debtor Receipt – monies received from a debtor not yet entered into Jiwa but has been processed through the bank.Direct Debtor Payment – monies paid to a debtor not yet entered into Jiwa but has been processed through the bank.Direct Creditor Receipt - monies received from a creditor not yet entered into Jiwa but has been processed through the bank.Direct Creditor Payment - monies paid to a creditor not yet entered into Jiwa but has been processed through the bank.Opening Balance Transaction – un-presented cheques and outstanding deposits that are included in the Opening Ledger Balance value but yet to appear in the bank statement. Used for reconciling purposes only.

 

Date

Populated with the transaction date or if entered as a Direct defaults to the bank statement date. Field can be edited if transaction is a Direct and all Directs must be within the same General Ledger period.

Reference

Details attached to a GL Transaction or manually entered details for a Direct or Opening transaction.

Debit

Debit value of the transaction.

Credit

Credit value of the transaction.

Amount Reconciled

Reconciled value of the transaction. This value should only be edited if the value in Jiwa does not agree with the value posted through the bank e.g. on transaction posted in Jiwa represented by many cheques.

Remark

Details attached to a GL Transaction or manually entered details for a Direct or Opening transaction.



Documents

The documents tab is where files to do with the bank reconciliation can be attached, for example, scanned/eletronic bank statements used in preparing the bank reconciliation. 

Working with Bank Reconciliations


This section walks through how to create and edit bank reconciliations. 

Creating a New Bank Reconciliation



 

A new bank reconciliation form for a selected bank account can only be created where:

  • There is NOT an un-activated form for that bank account - otherwise a message displays "An unactivated Bank Reconciliation for this GL Account exists - you must activate this before creating another"
  • The new bank date is the same or after the latest bank rec for the selected bank account - otherwise a message displays "A Bank Reconciliation with a bank statement date on or after xx/xx/xxxx exists - you may not perform reconciliations out of bank statement date order"



1. Begin by accessing the bank reconciliation screen from the Jiwa menu (Cash Book -> Bank Reconciliation). 

2. Click the "New" button on the ribbon. 

3. Select bank account from search window, select or enter relevant statement date and click OK. 

4. Reconcile or clear transactions

5. Enter in any direct debtor transactionsdirect creditor transactions, and direct general ledger transactions

6. Click Figures tab and enter in the closing statement balance. 

7. Save and activate the form when balanced. 

Reconciling or Clearing Transactions

  

Transactions are reconciled or cleared by clicking the Status box against the transaction until the relevant action is set. Lines can be reconciled or cleared either one line at a time, or in bulk. To bulk set the status for a group of lines, tick the ribbon menu option "Allow Multi Select" under Settings -> Other Settings: 

 

Now, select multiple rows by left clicking anywhere on the transaction grid, and with the left mouse button still held down, drag down the transactions grid - the rows are highlighted. Release the left mouse button and right click to show a context menu: 

 

Choose the status you would like to have the selected transactions set to.

Note that disparate blocks of cells can be selected by holding down the ctrl key on the keyboard before the initial left click.

Entering Direct Transactions

Direct Debtor Transactions

 

Direct Debtor Receipts

 

Monies received from Debtors can be entered directly into the Bank Rec. Discounts can be entered and the receipt and discount allocated against outstanding invoices if required. 

1. Select Direct Debtor Receipt from the list box in the blank line in the Transactions grid. Date populated into the form is the Bank Rec date. 

2. Select debtor account from search window - ledger account details are automatically populated into the fields. 

3. Enter in the Amount of the deposit and a Discount amount if relevant. 

4. Select Receipt Type from the search window. 

5. Type in Remit No - form cannot be saved without this field being present. 

6. Reference and Remark are optional. 

7. Allocate where required and save. 

Direct Debtor Payments

 

Payments made to customers can be entered as a direct transaction. Activating the Bank Reconciliation creates an invoice / debit adjustment in the Debtor record. 

1. Select Direct Debtor Payment from the list box in the blank line in the Transactions grid. Date populated into the form is the Bank Rec date. 

2. Select debtor account from search window - ledger account detail is automatically populated into the field. 

3. Enter in the Amount of the payment. Note: The tax details are disabled in this form. Tax is not applicable 

4. Select Payment Type from the search window. 

5. Type in Invoice No - form cannot be saved without this field being present. 

6. Reference and Remark are optional. 

7. Save the transaction and the details are populated into the grid and marked as Reconciled

Direct Creditor Transactions

 

Direct Creditor Payments

 

Monies paid to creditors can be entered directly into the Bank Reconciliation form. Discounts can be entered and the payment and discount allocated against outstanding invoices if required. 

1. Select Direct Creditor Payment from the list box in the blank line in the Transactions grid. Date populated into the form is the Bank Rec date. 

2. Select creditor account from search window - ledger account details are automatically populated into the fields. 

3. Enter in the Amount of the payment and a Discount amount if relevant. 

4. Select Payment Type from the search window. Note: Payment types are defined in Debtors->Configuration->Payment Types. 

5. Reference and Remark are optional 

6. Allocate where required and save

Direct Creditor Receipts

 

Money received from suppliers can be entered as a direct transaction. Activating the Bank Reconciliation creates an invoice / debit adjustment in the Creditor record. 

1. Select Direct Creditor Receipt from the list box in the blank line in the Transactions grid. Date populated into the form is the Bank Rec date. 

2. Select creditor account from search window - ledger account detail is automatically populated into the field. 

3. Enter in the Amount of the receipt. Note: The tax details are disabled in this form. Tax is not applicable 

4. Select Receipt Type from the search window. Note: Receipt types are defined in Debtors->Configuration->Payment Types. 

5. Type in Remit No - the form cannot be saved without this field being present. 

6. Reference and Remark are optional. 

7. Save the transaction and the details are populated into the grid and marked as Reconciled

Direct General Ledger Transactions

  

Direct entries are automatically set to Jiwa 7 Bank Reconciliation - Status Tick.png (Reconciled) when added to the Bank Rec form. The Transaction Type is from the Bank Account perspective, not the Ledger Account perspective - i.e. payments are credit, receipts are debits. To adjust details you can either:

Double-click the text Direct GL Transaction to load the input form and make adjustments; orDelete the entry and start again.


1. Select Direct GL Transaction from the list box in the blank line in the Transactions grid. Date populated into the form is the Bank Rec date. 

2. Select ledger account from the search window. 

3. Enter in dollar amount (Inc Tax) and change Transaction Type if required. 

4. Change the tax code if required (prompts to the default rate for Acquisitions if credit and Supplies if a debit). 

5. Select Payment Type from the search window. Note: Payment types are defined in Debtors->Configuration->Payment Types. 

6. Reference and Remark are optional. 

7. Click save

Opening Balance Transactions

  

Opening Balance Transactions represent outstanding deposits and unpresented cheques that are included in the opening General Ledger bank balance and are entered so they can be reconciled as they appear in the bank statement. 

1. Select Opening Balance Transaction from the list box in the blank line in the Transactions grid. Date populated into the form is the Bank Rec date. 

2. Enter in Reference details. 

3. Enter in the Amount of the transaction - debit or credit. Note: The transaction is from the General Ledger bank perspective - i.e. outstanding payments are Credit, outstanding deposits are debit. 

4. Set the Status as required. Note: The transactions will continue to appear in each new bank reconciliation until reconciled. 

Getting New Transactions

 

Where transactions are entered against the bank account after a bank reconciliation form has been created, the new transactions can be fetched into the bank reconciliation. A message displays with the number of transactions that have been added. They are added into the form in date order. 

1. Click Check for New Transactions in the ribbon. 

2. A message displays with the number of new transactions added to the form. Click OK

3. Save changes. 

4. Reconcile or clear transactions as required. 

5. Save changes and complete as required. 

Finalising a Bank Reconciliation

 

The Figures tab must be completed before the Bank Reconciliation can be finalised. System settings determine if the form must be reconciled before activation - CheckBankRecBalOnActivate

1. Type in the Bank Statement Closing Balance from the bank statement. 

2. Reconciled Difference and Unreconciled Difference should be 0.00. 

3. Save and Activate the form. Any Direct Transactions will create a journal entry. 

Troubleshooting

Where to look, and what actions to take when the Bank Reconciliation doesn't balance.

  • Check Bank Statement Opening and Closing are correct. If you need to change the Bank Statement Opening Balance, then the system setting under Bank Reconciliation - BankStatementOpeningEditable needs to be ticked.
  • Ensure all transactions are correctly reconciled and/or cleared.
  • Confirm Directs have been correctly entered - correct sign and amount.
  • Contact your Jiwa Solution Provider if all other steps have been taken and the form is still unreconciled.



System Settings


Below is a list of the system settings pertaining to the bank reconciliation module. Note: When creating the first bank reconciliation for the system it may be necessary to enable the setting BankStatementOpeningEditable for you to enter in the first statement balance for the system. 

CheckBankRecBalOnActivateDefault = Ticked. Determines whether the Bank Transaction Total must agree with the totals on the Bank Statement before the form will activate.AllowGSTAmountOverrideForDirectsDefault = Un-ticked. Determines if users can type in the GST amount for direct transactions. Use with caution as this could imnpact your BAS report if ticked and users change GST amounts.AllowDocumentManipulationOnActivatedBankRecDefault = Un-ticked. Determines if documents can be added, removed, or modified on an activated bank reconciliation.DirectTransactionDuplicateReferenceWarnDefault = Un-ticked. Warn if a direct transaction with a Reference that already exists on this bank reconciliation is entered.BankStatementOpeningEditableDefault = Un-ticked. Allow editing of the Bank Reconciliation Bank Statement Opening Balance.IndependentPostingDefault = Un-ticked. Grouping or individual postings of Bank Reconciliation entries posted to General Ledger.

 

Reports


There are two reports currently that detail the bank reconciliation - one in detailed mode, listing reconciled and unreconciled transactions and the other only listing outstanding deposits and unpresented cheques. There is also a report that details the direct transactions entered via the bank reconciliation.

MNT53001 - Bank ReconciliationMNT53101 - Bank Reconciliation DetailedGLTRN020 - Cashbook Direct Listing

 

  • No labels