Glossary

Accounting

Bank reconciliation

Reconciliation is checking that the balance recorded in your system matches the actual balance of the account at the bank.

It's the quality control of any personal accounting system: if both balances match on a given date, every prior transaction has been recorded.

Reconciling once a month, at close, is enough to keep the data reliable without spending time on it daily.

Related terms

  • Double-entry bookkeeping — Double-entry bookkeeping is the accounting principle where every transaction is recorded in at least two accounts, so total debits always equal total credits.
  • Liquidity — Liquidity is how easily an asset can be converted into available cash without losing value.

Bring it to your own numbers

netclariq applies these concepts to your real accounts, debts and investments, with simplified double-entry bookkeeping and without asking for your bank credentials.

Educational content. netclariq does not provide financial, investment, tax or legal advice.