Automatically populate your bank reconciliation Excel template from any bank statement PDF — no manual data entry, no errors. Works with any bank worldwide.
Bank reconciliation is the process of comparing your internal accounting records (cash book or ledger) against your bank statement to ensure they match. When you write a cheque or record a receipt, it may not appear in the bank statement immediately — reconciliation identifies these timing differences and ensures your books accurately reflect your real cash position.
For businesses, monthly bank reconciliation is a fundamental accounting control that prevents fraud, catches errors early, and ensures your financial statements are accurate. It is required for statutory audits under all major accounting standards (IFRS, GAAP, and Indian AS).
| Section | Description | Effect |
|---|---|---|
| Bank Statement Balance | Closing balance per bank statement at reconciliation date | Starting point |
| Add: Deposits in Transit | Receipts recorded in books but not yet cleared by bank | + (increases bank balance) |
| Less: Outstanding Cheques | Cheques issued but not yet presented to bank | − (reduces bank balance) |
| Adjusted Bank Balance | Bank balance after reconciling items — must match adjusted book balance | Calculated total |
| Book Balance (Cash Book) | Closing balance per accounting records | Starting point |
| Add: Bank Credits Not in Books | Interest income, direct deposits not yet recorded | + (increases book balance) |
| Less: Bank Charges Not in Books | Bank fees deducted by bank but not yet recorded | − (reduces book balance) |
| Adjusted Book Balance | Should equal adjusted bank balance | Final check |
The most time-consuming part of bank reconciliation is manually entering every transaction from the PDF into your Excel template. Our converter eliminates this step entirely:
Get your bank statement PDF from internet banking for the reconciliation period
Upload to bankstatementengine.com and download the Excel file with all transactions
Paste the bank transactions into the 'Bank Statement Transactions' section of your reconciliation template
Match each bank transaction against your cash book. Investigate unmatched items.
You need: (1) the bank statement for the period, and (2) the cash book or bank ledger from your accounting software for the same period. Both must cover the same date range — typically the last calendar month.
Enter the closing balance from your bank statement as "Balance as per Bank Statement" — this is the starting point for the bank side of the reconciliation.
Find receipts you recorded in your books that do not appear in the bank statement yet. These are "deposits in transit" — cheques deposited that the bank has not yet cleared. List each one and add to the bank balance.
Find all cheques you have written (recorded in books as payments) that have not yet been presented to the bank. List each outstanding cheque and subtract from the bank balance.
Start with your cash book closing balance. Add bank credits not yet in books (interest, direct deposits). Subtract bank charges not yet recorded. The result should equal the adjusted bank balance. If they match — reconciliation is complete. If not — there is an error or unrecorded transaction to investigate.
Banks deduct maintenance fees, NEFT/RTGS fees, SMS charges, and other service fees directly from your account. These appear on the bank statement but are often not immediately recorded in the books. Our converter pulls these charges into Excel exactly as they appear, making it easy to record the corresponding journal entries.
Savings account interest credited by the bank must be added to your book balance. The clean Excel output from your converted bank statement makes it easy to identify and total all interest credits for the period.
If a deposited cheque is returned (NSF), the bank debits your account. This shows in the bank statement as a debit. If not already reversed in your books, it needs to be listed as a reconciling item and then journalised.
Monthly reconciliation in Excel is sufficient for businesses with 50–200 monthly transactions. Convert your bank statement PDF at the end of each month and reconcile within the first week of the following month.
Chartered accountants handling multiple client accounts benefit enormously. Each client's bank statement PDF can be converted to clean Excel in seconds, ready to paste into the reconciliation template — eliminating manual data entry across all clients.