Bank Reconciliation
==================

The Bank Reconciliation feature allows you to reconcile bank statements with your PropMan records. This is an important step in maintaining accurate financial records and identifying potential issues early. It also ensures that the Management Report and other reports are accurate.

Overview
--------

Bank Reconciliation helps you:

- Match bank transactions with PropMan records
- Identify discrepancies between bank and book balances
- Track outstanding checks and deposits
- Maintain accurate financial records

Auto-Reconciliation
-------------------

If you have setup `Plaid <https://plaid.com/>`_ integration or `BAI files <https://www.moderntreasury.com/learn/bai2>`_,
PropMan will automatically synchronize bank balances and your Buildings' capital accounts periodically. PropMan will also pull
transaction data from both of these sources and use *Machine Learning* to match transactions to PropMan records and Gl Accounts.

    You train the Machine Learning model by manually matching transactions to PropMan records and Gl Accounts. It gets smarter with each match.

.. image:: ../images/reconciliation/auto_reconciliation_screen.png
   :alt: Auto-Recon Screen
   :align: center
   :width: 600

:smaller:`The Auto-Reconciliation screen with some open transactions and suggestions`

The Auto-Reconciliation screen will show you:

- Month-End ledger breaks
- Daily closing ledger breaks
- Open credit/debit transactions that have not been matched to a PropMan record
- Suggestions for skipping transactions that are identified as possible Resident payments
- Checks requiring clearing

Hovinging over the **✓** and **X** icons will open a tooltop explaining the action, and clicking it will perform the action.

PropMan will *auto-clear* checks to Vendors as long at the check information from the bank matches the check information in PropMan. If it can not be auto-cleared, the check will appear on this screen and require manual review.

    See the *Clear Checks* screen and :doc:`../trace` for more information about cleared and clearing Checks.

.. image:: ../images/reconciliation/make_journal_entry.png
   :alt: Auto-Recon Screen
   :align: center
   :width: 500

:smaller:`A Journal Entry screen launched from the Auto-Reconciliation screen`

The most common action is to *journal* the transaction, and in doing so, you will provide a *GL Account* which trains the Machine Learning model.


Reconciliation Process
----------------------

A red badge will appear over the dropdown menu of the Building card with a count of the number of fiscal months requiring reconciliation.
When this badge is present, the Bank Reconciliation menu will show the previous month's workbook without a lock icon.

.. image:: ../images/reconciliation/recon_workbook_menu.png
   :alt: Recon Workbook Menu
   :align: center
   :width: 500

:smaller:`The open menu showing the Bank Reconciliation options`

1. Access the Bank Reconciliation screen
2. Select the bank account and statement period
3. Review and match transactions
4. Resolve any discrepancies
5. Complete the reconciliation

.. note:: Regular bank reconciliation is essential for maintaining accurate financial records and identifying potential issues early.

.. _Recon Report Package:

Recon Report Package
--------------------

The *Recon Report Package* is a set of PropMan reports that are considered important to completing the reconciliation process.

The reports will be merged into a single PDF and opened in a new tab.
If a bank statement is uploaded, it will be opened in another tab.

- :ref:`Bank Reconciliation` - A summary of the reconciliation process
- :ref:`Outstanding Checks` - A list of checks that have not been cleared
- :ref:`Cleared Checks` - A list of checks that have been cleared this month
- :ref:`Statement of Disbursements` - The list of disbursements for the fiscal month
- :ref:`General Ledger` - The general ledger for the fiscal month

    See :doc:`Reports <reports>` for more information about these reports and more.

Recon Workbook
--------------

.. image:: ../images/reconciliation/recon_workbook_complete.png
   :alt: Recon Workbook
   :align: center
   :width: 500

:smaller:`Complete Recon Workbook with the fiscal month closed`

The Recon Workbook is a tool that allows you to reconcile your bank statements with your PropMan records.

- Clicking **Outstanding Checks** will open the *Clear Checks* screen.

  - It is suggested that you review the cleared and outstanding checks against the bank statement.
  
- Clicking **Balance as per Bank Statement** will open the *Bank Statements* screen with appropriate bank statement if it's been uploaded, or the option to upload a new bank statement if not.

Once the *Adjusted Book Balance* and *Balance as per Bank Statement* are equal, you can click **Close Fiscal Month** button to save and close the fiscal month. After closing, PropMan will block any new transactions from being posted to the fiscal month.