Bank Reconciliation Step-by-Step: Stop Losing Money to Unmatched Transactions
Why Bank Reconciliation Matters
Bank reconciliation is the process of matching your accounting records against your actual bank statement. When they match perfectly, the difference equals zero — meaning your books are clean and accurate.
Many African SMEs skip reconciliation entirely, leading to: overstated cash balances, missed bank charges, duplicate payments, and inaccurate financial statements that fail OHADA audits.
The 5-Step Reconciliation Process
Step 1 — Get Your Bank Statement
Download or print your bank statement for the period (usually a calendar month). Note the closing balance.
Step 2 — Open Your Accounting System
In Solafide, go to Money & Banking → Bank Reconciliation. Select the bank account and the statement period.
Step 3 — Enter the Statement Ending Balance
Type in the closing balance from your bank statement. This is your target — your reconciliation is complete when the difference reaches zero.
Step 4 — Match Transactions
Check off each transaction in your accounting system that also appears on the bank statement. Solafide shows you:
- Cleared Balance (what you've matched so far)
- Statement Ending Balance (your target)
- Difference (should reach 0.00 when complete)
Step 5 — Handle Differences
Common differences include bank charges not yet recorded and interest income. Add these directly from the reconciliation screen. Once Difference = 0.00, lock the period.
The Solafide Advantage
Solafide's reconciliation screen is designed to mirror exactly how OHADA-trained accountants work. The cleared balance vs. statement ending balance format is intuitive and prevents errors. Bank charges and interest can be posted directly without leaving the screen.
Once reconciled, the period is locked — preserving a complete audit trail for your ONECCA auditor or tax authority.