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This reconciliation form will also let you track any outstanding checks and deposits so that you can figure them into the balance in your checkbook and not end up thinking you have more money than you really do. Tracking every transaction can help you keep a closer watch on your spending habits. It can also make it easier to establish and maintain a budget. People often find that if their bank accounts are not reconciled every month, they end-up overdrafting. This can lead them to paying high fees for overdraft fees, and even bad check costs.
You should also use a template to reconcile your bank account monthly. This will enable you to spot any accounting errors (both yours and those of the banks) much earlier. In turn, it could help save you overdraft fees as well embarrassment such as a check bounce and a debit card declined. This form allows you to list every transaction you have recorded in your checkbook alongside of the ones that the bank has a record of. Once you have matched all transactions, reconciliation occurs. Only those transactions that you do not show the bank will be left. The bank should show the correct balance by subtracting these.
If you are looking for a bank reconciliation template to make this task a lot easier every month you will find that there are several sites online that provide templates for you to download. You should ensure that the template chosen is simple and does not make it more complicated. Most importantly you need to make sure you reconcile your account every month so that you can spot any problems that occur in their tracks before they end up costing you a lot of money