Balancing the checkbook

[Jenn]

For a math whiz I suck at this. My plan is to never go below a minimum likely to be greater than my margins of error.

Finally tackled the fact that my checkbook said we had 15% more than the bank said we had. Went through all the items about that amount, none unaccounted for. Unsure how to do it methodically and right. Finally started at the beginning of this check register 7 months ago and reviewed my math with a calculator. FOUR errors so with the pluses and minuses thank goodness the bank is not doing me wrong... but now instead of thinking we should have 15% more than the bank says it comes out to 20% LESS than the bank thinks we have. Well at least I can do a few big math errors before bouncing a check.

[Kathy in MD]

I love balancing check books…I make sure I do it every month…even if it’s one penny off I have to find it…I balance mine and my MIL’s both …surprisingly the bank never makes a mistake…

[mary,tx]

Jenn, every time you write a check and do the subtraction, do it twice. And, like Kathy says, balance your book every month.

I'd say the bank rarely ever makes a mistake. One time in all my years of banking, I had a check that two numbers were flipped on when they ran it through. It was not a big amount, and as I recall, it did get fixed.

I'm cocky enough to check the bank's numbers if there is an error. ; )

[Lada]

Originally Posted by Kathy in MD

I love balancing check books…I make sure I do it every month…even if it’s one penny off I have to find it…I balance mine and my MIL’s both …surprisingly the bank never makes a mistake…

Me too! Although now that we do online baking, I do it much more often - at least once a week.

If you're getting a round number error - like 50 or 100 or 10, that's almost always just math, not that you missed something.

[unregistered29228]

I worked in banking for 8 years so I'm a fanatic for balancing my checkbook. But, I started downloading all our daily transactions into registers in Quicken about 15 years ago, and it gives me a day to day account of problems or discrepancies. Banks do make mistakes, and finding out right away is best.

Jenn, if you can use a different account and let this one sit idle for a month that will allow you to find out what your balance REALLY is, in case there's a check outstanding, and then you can make an adjustment in your register to reflect the real balance and start over fresh. I pay so many things online that I only write about 5 checks a month, but still it's important to know how much you have.

Good luck with it!

[mistletoad]

Also, if the amount is divisible by 9 you transposed numbers somewhere.

[ErinP]

Once a month?
I keep a running balance and check it regularly against what's stated online...

[heather]

I balance ours & my MILs once a month, when I get the statements

I also check our acct online throughout the month to make sure there are no discrepancies

I'm also managing my brother's checking acct, while he's in Afghanistan

So, I have a lot to keep track of! BUT, I balance everything to the penny every month - if I am off at all, I can't rest until I find the reason :0 EEK - that would drive me NUTS! ha

[fordy]

..................Just remember , the bank balance will always be More than Your balance . They are playing catchup with your spending , with the exception , that , You have to remember to subtract all automatic withdrawals from your account . Start each month by subtracting all withdrawals from your balance , regardless of when they will actually occur . From that adjusted balance you can work your balance forward as you either write checks or use your debit cards . , fordy

[Jenn]

Well I won't put it off for three months like I did this time!

[heather]

Originally Posted by fordy

You have to remember to subtract all automatic withdrawals from your account . Start each month by subtracting all withdrawals from your balance , regardless of when they will actually occur . From that adjusted balance you can work your balance forward

why not just follow the sheet on the back of your statement? it tells you exactly what to do

[fordy]

Originally Posted by heather

why not just follow the sheet on the back of your statement? it tells you exactly what to do

..............Well , for me all the info is on the Front ; but I usually just printout the first page of my online bank statement and perform all the calculations , there . , fordy

[Lizza]

Originally Posted by ErinP

Once a month?
I keep a running balance and check it regularly against what's stated online...

Me too Erin, I always have a running total and make sure mine and the banks match, I log into online banking pretty much every single day.

[salmonslayer]

I always round up when I log a check in the register and I always have a few hundred more in the account than my register shows (i.e., if I write a check for $16.80 I log it as $20.00). It drives my wife nuts but it helps me save money, I have had a checking account since 1975 and never bounced a check, and I never actually balance the account other than to keep a running balance on the register. I do watch the statement to make sure no numbers are missing and the amounts look about right but I dont worry too much.

Keep in mind though that we have a household account my wife runs where the automatic payments come from and she keeps on that religiously. I dont get to use that check book much!!!

[EDDIE BUCK]

Originally Posted by Kathy in MD

I love balancing check books…

I do tooo, when theres more in the bank than what I thought. When it ain't,I gets worried. I start to thinking horrible thoughts like, Did Peter say he was vacationing this week or next?If this week,,Who can I borrow enough money from, to cover them checks I wrote, and forgot to write down? Can't be Paul,already owe him for the last time this happened..Eddie Buck

[Ohio dreamer]

We always kept $200 in our checking account that we didn't "see" in our register. Before DH and I married he NEVER balanced his checkbook. It was set up to pull out of his savings anything that was over his balance, and if his savings was empty it pulled from his parents savings. But that worked for them, then.

When my parents first got married they both wrote a check for the rent one month. They caught it before the checks got mailed, but they decided to not bother "returning the money" for the extra check - a buffer. So, I decided to do the same, just in case - and know DH's habit. It came in handy a few time when we had personal SHTF months. The next month I was sure that the $200 buffer was re-established (re-paid) so we were ready for the next one.

I'll do it again when we take back over our finances, my Dad's doing it now since we are out of the country. He doesn't do the buffer thing with other people accounts, just so everything balances perfect with the banks papers. With current times, though...I may make that a $500 buffer. So once you find that math error...you just might want to leave it there, just in case the SHTF.

[nancy237]

Back in my college days I kept just a few hundred dollars in my account,
but I kept very close track of it, so I knew what I had.
The bank actually debited a $100 by mistake making me bounce checks.

The bank wrote letters to those places to accept responsibility..who would believe a college student that the bank caused the bounced check.

I keep an eye every few days on my online account and have overdraft
but I don't double check the bank's math..probably should.

[Grandmotherbear]

Salmonslayer- I did that as a single woman and rounded deposits down; it made a nice buffer. I verified balnaces in early Nov and Dec for Xmas spending and early may and June for vacation spending- usually had 300-400$ in there as a buffer to play with. Absolutely drove GFB nuts when we married so I stopped that system.

[cfabe]

Well me, I've never balanced a check book in my life, though I do understand how to. I just keep an eye on the online balance, and I only write a paper check to pay an odd bill, any regular bills are set up for online bill pay and I use debit card at the store rather than write a check. So unless I happen to write a large check and forget about it (has happened once) I'm always aware of what I've got in the account.

[TRAILRIDER]

As a bank teller I help alot of people balance their check books. If you write down every check and debit and deposit at the time you make it, its not very hard. Just double check your math, alot. Then if you have a friendly bank employee he/she may help you balance. I know here at my bank we will gladly help someone who needs help balancing, just don't ask on a Monday or Friday. Its amazing what you see....There are young and old people who cannot seem to write down their checks, there are young and old who are very organized and write down every penny. Some people make buckets of money and are still overdrawn or behind on their morgage, some who make very little and manage to pay their bills on time. Go figure? I do notice though, routinely, the people who are overdrawn and have no clue where all their money went, are always the people who use their debit card many times a day. Usually for fast food, cigs and gas. Well just my thoughts here. Get to know your bank employees, they will be happy to help you if you're nice. If they won't, get another bank. Mary.