Common terms used when reconciling a bank account

Key terms on the bank reconciliation page in Sage Accounting. Use this guide to understand balances, differences, and what makes a reconciliation successful.

When you reconcile a bank account, Sage Accounting shows several balances to help you match transactions to your bank statement.

Understanding these terms helps you spot issues quickly and complete reconciliations with confidence.

Reconciliation terms explained

Statement date
The statement date is the final date covered by the bank statement you’re reconciling.

Statement end balance
The closing balance shown on your bank statement for the selected statement date.

Total received and paid
Shows the total value of reconciled receipts and payments. These totals update as you select transactions.

Starting balance
The total of all transactions reconciled before the statement date.
This balance should match the opening balance on your bank statement.

The starting balance can differ from your previous reconciliation if you reconciled late entries or corrections.

Target balance
The balance you need to reach to complete the reconciliation. This matches the statement end balance.

Reconciled balance
The starting balance plus all selected transactions. This updates as you reconcile items.

The reconciliation finishes when this balance matches the target balance.

Difference
Shows the difference between the reconciled balance and the target balance.
The reconciliation completes successfully when the difference is zero.

For example, if the starting balance is 1,000:

• You reconcile two payments worth 500 and 300
• The target balance becomes 200
• The difference reduces as you reconcile each transaction

When the difference reaches zero, the reconciliation is complete.

For more support, read Why your bank account doesn't reconcile.