In a previous checkbook- General Ledger reconciliation with one of the clients where no Reconcile to GL tool is available (GP 10.0),the checkbook balance doesn’t tie to the Cash account balance.
- Cash receipts posted on the AR module, without being deposited. This results with increasing the GL cash account balance without increasing the checkbook balance
- Cash account included on a bank transaction. >> See following link for further illustration
- Journal Entries posted on the General ledger directly with no corresponding checkbook transaction
- Checkbook transaction no posted to General Ledger
- Deposit without receipt posted on the Bank Module, which doesn’t post any general ledger transactions, but increase the checkbook balance
- … Further potential causes are provided in Dynamics GP support article The checkbook balance and the general ledger cash account do not balance in Microsoft Dynamics GP – KB 864652
Fortunately, non of the above was the case as all the transactions were entered correctly. Although, there is a variance between the Checkbook and General Ledger !
It just happened that several checkbooks are assigned to one General Ledger Account, which makes it impossible for the current checkbook balances and current cash balance to tie.
The bottom line is, it is highly recommended to have one-to one assignment type checkbook management, in which only one Checkbook is assigned to one General Ledger account.
This brings us to an essential point, reconciling checkbooks versus general ledger for Dynamics GP prior to GP 2013 (Checkbook Reconcile to GL Tool) could be a suffering sometimes. Therefore; in the next post, T SQL query will be provided to match the current Checkbook balance versus General Ledger balance and categorize results as Matched, Un Matched and Potentially Matched transactions.
Mahmoud M. AlSaadi