Pilot: Managing bank reconciliations

Use bank reconciliations to verify that the amounts recorded in Guesty are accurate compared to the amounts in your bank accounts. The cleared transactions in Guesty should match the cleared transactions in the bank accounts. 

Pre-reconciliation setup

The pre-reconciliation setup allows you to select uncleared, past transactions to include in your first reconciliation. A journal entry will be created to adjust the difference between Guesty’s cash balance and your bank’s opening balance.

If you have not grouped transactions, we recommend doing that now to streamline the reconciliation. Make sure the "group date" you enter is when the funds were received in the physical account according to your bank. If you already grouped your deposits, edit the date if needed.

Step by step:

1. Sign in to your Guesty account.
2. In the top navigation bar, click the mode selector and select Accounting mode.
3. Click Cash management (might appear under More) and select Bank reconciliation.
4. In the top-right corner, click Pre-reconciliation setup.
5. Select the transactions to include in your first reconciliation.
6. (Optional) Click Upload file to upload your last bank reconciliation report.
7. In the top-right corner, click Finish setup. 
8. In the pop-up, click Complete setup.

Create a reconciliation

Step by step:

1. Sign in to your Guesty account.
2. In the top navigation bar, click the mode selector and select Accounting mode.
3. Click Cash management (might appear under More) and select Bank reconciliation.
4. In the top-right corner, click New reconciliation.
5. Enter the reconciliation end date.
6. Review the "Guesty opening balance" amount to make sure it aligns with your bank account.
7. Enter the Bank ending balance amount.
8. (Optional) Click Upload file to upload your bank statement. 
9. In the top-right corner, click Continue.
10. Review each transaction and check if it is cleared on your bank statement:
    1. If the disbursement is correct and there is an equivalent in your bank account, check the entry to clear it.
    2. If you do not want to clear the disbursement, click Edit and select Move to next period.
11. When all transactions are reviewed, and the difference between the cleared transactions and the bank ending balance is zero, click Submit reconciliation. Alternatively, click Save as draft to complete later.

To create reconciliations for multiple accounts, simply follow the same steps for a different bank account.

Complete reconciliation draft

To complete a reconciliation that was saved as a draft, to the far right on the draft line click   and select Reconcile. Follow the same steps above to clear transactions and submit the reconciliation.

Edit submitted reconciliation

If you need to edit the transactions included in a reconciliation after it was submitted, 

View reconciliation statement

After you submit the reconciliation, we create a report to show the correlation between the bank balance and the cash balance in Guesty. Navigate to Cash Management > Bank Reconciliation, then click the PDF icon under the "Reconciliation statement" column.

The report will also show transactions that were not cleared. We recommend reviewing those transactions to make sure further action is required.

Bulk resubmit a reconciliation

If you add a journal entry with a past date that falls into a period that was already reconciled, you will need to resubmit the reconciliation to acknowledge the transaction that was added to the past. Bulk resubmitting automatically recreates all affected reconciliation reports to accommodate the new transaction.

For example: In October, you add a journal entry with a recognition date in August. You've already submitted a reconciliation for the period August 1-31. The status for this bank reconciliation plus any other affected periods will change from "Submitted" to "Review required". 

When you bulk resubmit a reconciliation, it updates the selected reconciliation plus all earlier affected periods, adjusts balances, and moves unreconciled entries to the most recent reconciliation which will become a draft.

Step by step:

1. Sign in to your Guesty account.
2. In the top navigation bar, click the mode selector and select Accounting mode.
3. Click Cash management (might appear under More) and select Bank reconciliation.
4. To the far right of the relevant reconciliation, click   and select Bulk re-submit.
5. Review the information in the pop-up advising which reconciliations are included, then click Re-submit reconciliation.