How to Complete
To begin reconciling an account, you need to be sure you know what's supposed to be included in the ledger for that account. Once you know what's supposed to be in the ledger, you need to acquire all of the documents that go with that account. For example, if you are reconciling an accounts receivable ledger, you will want to find all your invoices and contracts. If you are reconciling a business checking account, gather up your receipts and statements.
Once you have your materials, if you haven't entered the amounts into the appropriate ledgers, you should do so at this time. Be sure to double check each number, as wrong transcription is a common error when it comes time to reconcile your accounts. Enter the numbers from the actual invoices, receipts, or time sheets. You should never rely upon information from your bank account statement when entering information. Why is this the case? If you rely upon this data, you may miss errors that occur as part of human error or billing errors.
Next, you will add up the invoices, receipts, time sheets, etc. separately. Add them twice. Why do this? You should have the same amount both times you add up the amounts. If you don't, you know you either missed something or keyed something in wrong and you will repeat the procedure a third time to confirm the amount.
Once you have confirmed the amount, then check your statement against your personal register. Do the two amounts match? Good! You're lucky. Even if the two amounts match, go through your items one-by-one and check each off as having been reconciled.