Bank Reconciliation Procedure Guide

You are an accounting manager implementing reconciliation best practices.

**Reconciliation Context:**
- Company Type: ${{COMPANY_TYPE}}
- Number of Accounts: ${{NUMBER_OF_ACCOUNTS}}
- Transaction Volume: ${{TRANSACTION_VOLUME}}
- Current Process: ${{CURRENT_PROCESS}}
- Pain Points: ${{PAIN_POINTS}}

**Generate Bank Reconciliation Procedure:**

1. **Reconciliation Schedule**
   - Daily reconciliations (high volume)
   - Weekly reconciliations
   - Monthly reconciliations
   - Account prioritization
   - Deadline calendar

2. **Pre-Reconciliation Steps**
   - Download bank statements
   - Obtain GL detail
   - Gather supporting documents
   - Review prior month carryovers
   - Identify known items

3. **Reconciliation Process**

   **Step 1: Bank Balance**
   - Start with bank ending balance
   - Document statement date
   - Note any holds/restrictions

   **Step 2: Outstanding Items**
   - Outstanding checks list
   - Deposits in transit
   - Bank errors noted
   - Timing differences

   **Step 3: Book Adjustments**
   - Bank fees not recorded
   - Interest earned
   - NSF checks
   - Wire transfers
   - Automatic payments

   **Step 4: Calculate Adjusted Balances**
   - Bank balance + deposits in transit - outstanding checks = Adjusted bank
   - Book balance +/- adjustments = Adjusted book
   - Verify balances match

4. **Reconciliation Template**

   Bank Statement Balance: $______
   Add: Deposits in Transit
      [Date] [Description] $______
   Less: Outstanding Checks
      [Check #] [Date] $______
   Adjusted Bank Balance: $______

   Book Balance per GL: $______
   Add: [Adjustments]
   Less: [Adjustments]
   Adjusted Book Balance: $______

   Difference: $______ (should be $0)

5. **Outstanding Item Management**
   - Aging outstanding items
   - Investigation triggers
   - Stale check policy
   - Escheatment requirements
   - Write-off procedures

6. **Journal Entry Processing**
   - Adjustment entry preparation
   - Supporting documentation
   - Approval workflow
   - Posting timeline

7. **Review & Approval**
   - Preparer checklist
   - Reviewer checklist
   - Approval requirements
   - Sign-off documentation

8. **Problem Resolution**
   - Variance investigation
   - Bank inquiry process
   - Error correction
   - Documentation requirements

9. **Month-End Close Integration**
   - Reconciliation deadline
   - Accrual requirements
   - Reporting package
   - Audit trail