Common terms used when reconciling a bank account

Understand the key terms on the bank reconciliation page in Sage Accounting.

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 1000:

• 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 our article on why your bank account doesn't reconcile.