Subsidiary Reconciliation

A customer or supplier almost always keeps their own account of your dealings — and it rarely lines up with yours to the penny: an invoice they haven't booked, a payment in transit, a credit note one side recorded and the other didn't. Subsidiary Reconciliation is the systematic way to lay your books for a party next to their external statement, match what matches, and surface the differences. It's the customer/supplier twin of bank reconciliation, using the very same workflow.

Required license

Subsidiary reconciliation is part of the core accounting license. Its screen is under Accounting > Reconciliations.

Reconciliation doesn't post by itself

The subsidiary reconciliation document produces no accounting effect; it's a comparison and difference-detection process only. Any genuine differences it surfaces are corrected with the appropriate document (a credit/debit note, a voucher…) afterwards. "Reconciliation" is comparison, not an entry.

The three-step workflow

The document moves through a reconciliation step in three stages — exactly as bank reconciliation does:

1. Collect Data — you specify the account and subsidiary (the customer/supplier) and an import date range, and the system gathers your transactions (system lines) and the party's statement (subsidiary lines).
2. Reconciliation — you match the subsidiary lines against your system lines, within the allowed value tolerance and date-difference tolerance, optionally driven by a narration match sequence or matching from the subsidiary side. What doesn't match lands in the unmatched system lines and unmatched subsidiary lines grids, where the real discrepancies become visible.
3. Finished — the document is closed once matching is complete.

Each document links to the previous reconciliation for the same party, so it continues where the last one ended and locks the period behind it — a settled period isn't re-reconciled.

For Support

• "The reconciliation didn't change the party's balance" — correct; it doesn't post. Record any true difference with the appropriate document (note/voucher) afterwards.
• "Lines that clearly match aren't matching" — review the value tolerance, the date-difference tolerance, and the narration match sequence.
• "I can't edit an old reconciliation" — it's chained to a later document that locks it, preserving the reconciliation sequence; this is expected.
• "Which side is which?" — system lines are your books; subsidiary lines are the party's external statement.