When the checkbook/bank statement/computer program don't balance

#1 07/13/10, 05:25 PM

I'm usually very tedious when it comes to balancing the checkbook. Every week I balance it and check it online with my bank. If it doesn't balance out, I re-check math, recheck all the correct amounts, etc until I find the mistake and fix it. I also add all my spendings into a computer program. It's ALWAYS dead-on with my checkbook.

Things have been crazy around here for the past few months. I haven't balanced the checkbook properly for months. I write down all the expenses weekly, but I've KNOWN the balance is different than the bank for months now (just a couple dollars), and I've never sat down to find the mistake. I looked today, and I haven't updated the program on the computer since the end of March!!!! So I entered in all the info and came up with 3 different balances now!

So now what do I do? Where do I start? My checkbook balances out to a certain number. The bank statement is "allowing" me $110 more and the program is "allowing" me $9 less than the amount I came up with.

My dad says when his checkbook balance is off by just a little (cents or just a few bucks) he just adds or subtracts that amount at the beginning of each month to make it even. He says it's not worth the time or headache to find the mistake for a measly $2.

Anyone know of a gameplan for me?

Patt · #2 07/13/10, 06:00 PM

If it were me I would just look the list of checks and see if one hasn't come in yet. If they have all cleared then don't spend a penny for the next week, take out cash at the ATM if you have to and then download from your bank to your money program again. So long as the bank and the money program match up and either they will or you should be able to see what is in your program but never came through your bank then I would go with the bank balance.

Harry Chickpea · #3 07/13/10, 06:45 PM

I have balanced accounts and done cash reporting for millions of dollars in business (and $5.27 in personal accounts

) In all those years, I've found banks to be in accounting error less than a half-dozen times. Go with the bank balance.

TheMartianChick · #4 07/13/10, 08:11 PM

Quote:

Originally Posted by Harry Chickpea

I have balanced accounts and done cash reporting for millions of dollars in business (and $5.27 in personal accounts

) In all those years, I've found banks to be in accounting error less than a half-dozen times. Go with the bank balance.

That is interesting... My mom is always catching errors that her banks make. They usually offer her a job when she points out their mistakes! She is 77 now and still does a monthly trial balance for all of their personal accounts.

Kazahleenah · #5 07/13/10, 08:21 PM

..... errrmm.... you mean they are supposed to balance???

Alice In TX/MO · #6 07/13/10, 08:27 PM

It might help to know which software you are using.

I use Microsoft Money for some accounts and Quickbooks for some.

How did you update the software? from your checkbook? from the bank statements? from downloaded info from the bank's website?

Did you update and check each month's worth of checks and deposits from March on, or did you put ALL of it in and then try to reconcile?

#7 07/13/10, 09:03 PM

I'd be looking for a past check that wasn't cashed yet..or two checks adding up to that $110..In 40+ years of doing business with banks, I've only had one instance where the bank was wrong..and several where I was wrong

fordy · #8 07/13/10, 11:01 PM

Quote:

Originally Posted by Lyndseyrk

I'm usually very tedious when it comes to balancing the checkbook. Every week I balance it and check it online with my bank. If it doesn't balance out, I re-check math, recheck all the correct amounts, etc until I find the mistake and fix it. I also add all my spendings into a computer program. It's ALWAYS dead-on with my checkbook.

Things have been crazy around here for the past few months. I haven't balanced the checkbook properly for months. I write down all the expenses weekly, but I've KNOWN the balance is different than the bank for months now (just a couple dollars), and I've never sat down to find the mistake. I looked today, and I haven't updated the program on the computer since the end of March!!!! So I entered in all the info and came up with 3 different balances now!

So now what do I do? Where do I start? My checkbook balances out to a certain number. The bank statement is "allowing" me $110 more and the program is "allowing" me $9 less than the amount I came up with.

My dad says when his checkbook balance is off by just a little (cents or just a few bucks) he just adds or subtracts that amount at the beginning of each month to make it even. He says it's not worth the time or headache to find the mistake for a measly $2.

Anyone know of a gameplan for me?

..................One factor you can depend Upon.......The bank's balace will ALways be greater than your checkbook balance, because You've already subtracted off the checks you've written ! Also , when you record a deposit in your checkbook you're assuming the check will clear , Banks , aren't that trusting , so they won't add the deposit too your "Available balance" until the check has cleared . , fordy

mekasmom · #9 07/14/10, 06:54 AM

Quote:

Originally Posted by Lyndseyrk

My dad says when his checkbook balance is off by just a little (cents or just a few bucks) he just adds or subtracts that amount at the beginning of each month to make it even. He says it's not worth the time or headache to find the mistake for a measly $2.

Anyone know of a gameplan for me?

I do exactly what your dad does. If your bank has $110 difference, then I would leave it for a few months before spending it though. But if you meant $1.10, that would be different. I don't worry about discrepancies of less than $10. I just change my acct numbers to match the bank.

mekasmom · #10 07/14/10, 06:56 AM

Quote:

Originally Posted by Kazahleenah

..... errrmm.... you mean they are supposed to balance???

Now you are a lady after my own heart! I just list the checks and amounts then balance every once in a while, usually with rounding. I've never been too picky about those things. As long as the bank and I are close in our figures, I just believe them.

Lada · #11 07/14/10, 10:43 AM

I too will "reconcile" the balance if it's just a few dollars and I can't figure out where it came from. We use our debit cards excessively, even for small purchases, so usually it's just a receipt that didn't get entered into the register.

Now, $100, would make my eyebrows rise. Is it $110 exactly? Exact numbers are almost always a math error. If not that, have you looked at the list of checks to make sure that none are still out there? It's possible you just had enough small errors to add up to that amount over the last few months. But, I would leave it "out there" for a while just to make sure something doesn't clear.

Deacon Mike · #12 07/14/10, 11:42 AM

Start by checking your math in your check register.

CherieOH · #13 07/14/10, 12:01 PM

If you are off by $110, check for amounts that are half that much or twice that much ($55 or $220). You may have added when you should have subtracted, or vice versa. Also check to see if you added any interest your account may have made in the past few months since you weren't balancing your accounts for awhile.

viggie · #14 07/14/10, 12:05 PM

I'm with Dad too. If you haven't updated in that long just adjust to what the bank says and start keeping things up to date from there rather than drive yourself insane with all of those back entries.

Navotifarm · #15 07/14/10, 12:21 PM

I had that happen. It was a difference of about $89. I tediously matched each bank amount with my checkbook register and was horrified to discover that on one date Giant Foods had deposited (electronically) one check in the amount that was in my register and a second withdrawal for $89! I went to my credit union, showed them my register and signed a paper that I had not written a check for the $89 that day. The credit union redeposited the $89 and now whenever I write a check anywhere that does electronic withdrawals, instead of returning my paper check to me, they keep it! I have no clue how that $89 got taken out of my account by Giant but I am sure glad I found that discrepancy in my "bank" (credit union) on line statement by reviewing my quicken connected account. Quicken credit union balances never seem to match what I have in my register which who cares if it is a couple of dollars but anything over $10 is a red flag!!!

Txsteader · #16 07/14/10, 12:53 PM

I've found that it's much easier to withdraw cash for those everyday expenses and leave enough to just cover things I have to pay by check.

But re: what to do, I usually start by doing what bostonlesley said and working from there. If I just cannot get it to balance and it's just a couple of dollars, I go with the bank's balance. If it's a significant amount, I call the bank. The couple of times I've had to do that, I was always the one who was in error.

longshadowfarms · #17 07/14/10, 06:09 PM

Quote:

Originally Posted by Deacon Mike

Start by checking your math in your check register.

Depending on how long it has been, how much it is off, how much effort I'm willing to put in, etc, this is what I resort to when all else fails. I start by checking the bank statement against my checkbook to see if all those #s match. If that doesn't turn up the problem, I start doing the math (again) on the calculator.