Bank Reconciliation Guide
Reconciliation is the simplest proof your books are correct. Here's a workflow that makes month-end close calmer and more audit-ready.
Why reconciliation matters
Reconciliation answers one question: do your books match the bank? If the answer is yes, you can trust the numbers on your P&L and Balance Sheet. If the answer is no, reconciliation gives you a focused list of what to fix.
Reconciliation is also a key ingredient of audit-ready bookkeeping. Learn more.
Get your statement balance
Pick a statement end date and note the ending balance. Reconciliation is matching your books to that number.
Import transactions
Use bank sync or CSV import so all statement-period transactions are in Prosper.
Review exceptions
Resolve ambiguous items, duplicates, and uncategorized transactions so the ledger is clean.
Match and confirm
Confirm that transactions for the period match the statement activity and that balances reconcile.
Export reconciliation proof
Keep a reconciliation summary so you can explain how balances were confirmed at month-end.
Common mismatches
- Missing transactions (import/sync gaps)
- Duplicate transactions
- Timing differences (pending vs posted)
- Incorrect account mapping
- Uncategorized or miscategorized items
Prosper's exceptions inbox is designed to surface these issues quickly so you don't hunt through the ledger.
Reconciliation + migration
If you're migrating from another system, reconciliation helps validate correctness around the cut-off date. After you verify balances, lock the opening balance to protect the boundary.
Want reconciliation to take minutes?
Start free and use a workflow built for calm month-end close.