PayTraq Blog

The Use of Matching Rules for Bank Reconciliation

Tags: updates, bank feeds, accounting, PayTraq features

Recently, we announced a new Automatic Bank Reconciliation feature available in PayTraq.

With Auto Reconciliation, you can easily match most of your statement lines from your uploaded bank statements just in one click.

Auto Reconciliation is available both for the manually uploaded bank transactions and automatic bank feeds. It saves users a lot of time, while making the process quick, reducing the manual effort and improving accuracy.

As of now you can create your own custom bank reconciliation rules to match even more transactions automatically. These are additional rules that can be set up for automatic reconciliation of those bank transactions for which no matching primary documents or journals have been found. Such transactions include bank fees, money transfers, tax payments, transfers from a merchant account, loan payments, etc.

The bank statement line description may contain certain values that help you identify the transaction. You can use part of this information to setup the rule to enable automatic processing.

If the rule meets specified criteria, all banking transactions corresponding to this rule will be reconciled automatically.

To set up automatic reconciliation matching rules, the following fields can be used:

  1. Business partner name
  2. Contra-account/IBAN (partner’s bank account)
  3. Payment Details (or part of)
  4. Amount (+/-)

To create a matching rule, at least one of the fields needs to be filled out. Fill out several fields to improve accuracy.

Custom Rule Example

Let’s set up a matching rule for the automatic reconciliation of bank fees.

  1. Under Money -> Bank Accounts, select the tab "Reconciliation Rules". Create a new matching rule and choose a name for it, for example, "Bank Commissions", and select transaction type "Enter a bank charge"

  2. Fill out the transaction details with the line given by the bank for this particular transaction (for example, "Bank fee") and enter the amount with a minus (e.g. "-0.50")

  3. Enable "Activate" checkbox and save your changes by clicking on the "Change" button