Sometimes, when reconciling your bank transaction in Holded, you may come across cash inflows or outflows that are not related to any invoice or ticket. For example, a loan, a transfer between accounts, a cash inflow, or a bank commission.
In these cases, the reconciliation process is different from that of a sales or purchase invoice. Here is how to proceed depending on the type of transaction.
1. Reconciling a loan received or repaid
When a company receives a loan, it must correctly record the origin of that money. The same applies when part or all of the amount is repaid.
To reconcile the installment of a loan:
Go to Treasury > Accounts and enter the bank account where the loan was received or from which the loan was repaid.
Click Reconcile at the top right.
Filter by “Pending”, and mark the transaction, e.g. Loan of -240€.
On the right hand side (documents), click Transfer.
At the top of the pop-up panel, choose “Journal Entry”, as you will need more than one accounting line.
Add a first line:
Under “Account”, select 52000000 - Short-term loans from credit institutions.
Enter 225 € on the debit side.
Add a second line to reflect the interest:
Under “Account”, select 62600000 - Bank fees.
Enter 15 € in the debit.
If everything is squared, click on Create and reconcile.
☝🏼 If the loan is repaid in several payments, you will have to repeat this process for each transaction.
2. Reconciling a transaction between accounts (transfer)
When you make a balance transfer between accounts, as in the case of a credit card settlement, you can also reconcile it by means of an accounting transfer.
☝🏼 Before you start, make sure you have created in Holded the corresponding account (for example, the card account) and have assigned the correct accounting account (such as 52000001 - Visa Caixabank) from its configuration.
To reconcile the transfer:
Go to Treasury > Accounts.
Access the account from which the transfer was made.
Click Reconcile at the top right.
Filter by “Pending” and locate the transaction of type Settlement (for example, -1000 €).
Check the box of the transaction.
In the right panel, click Transfer. This will allow you to transfer the amount from the bank account to the accounting account you have assigned to the credit card.
Select the relevant bookkeeping account (e.g. 52000001 - Caixabank Visa) and click Transfer and reconcile.
Now complete the reconciliation on the receiving account:
Go to Treasury > Accounts and access the target account (in this case, the credit card).
Click on Reconcile.
In the list of transactions, you will find the reverse operation, a transaction of type “Settlement” with a positive amount (+1000 €) for the settlement of the monthly statement.
Check the box for this transaction.
In the list of documents (on the right), filter by “Receivables” and select the “Collection Settlement” (+1000 €).
Reconcile both transactions by clicking on Reconcile.
Both transactions will be correctly related.
3. Reconcile an unbilled cash receipt.
Sometimes you may receive money in your bank account that is not linked to an invoice, such as a one-time income, a refund, or an informal collection.
To reconcile this type of income:
Go to Treasury > Accounts and access the account where you received the money.
Click Reconcile.
Select the incoming transaction.
In the right panel, click Transfer.
Under “Accounting account”, choose:
55500000 - To-be-applied items if you do not yet know what the entry corresponds to.
a more specific accounting account if you know its origin.
Click Transfer and reconcile.
☝🏼 You can reclassify this transaction later from the transaction list, once you are clear about its origin.
4. Reconcile a cash receipt
If what you are recording is an inflow of cash to your bank account (for example, a deposit made at the teller window or a cashier's deposit), the process is also carried out by means of an accounting transfer, but in this case it must be reflected as a transfer from the cash account.
To do this:
Go to Treasury > Accounts.
Access the account where the income has been received.
Click on Reconcile in the upper right corner.
Mark the corresponding incoming transaction.
In the right panel, click Transfer.
Under “Accounting account”, select 57000000 - Cash, euros (or other equivalent cash account).
☝🏼The reconciliation will use the accounting account you have set up for that bank account. You can change it if you need to. Learn how here.
Click Transfer and reconcile.
This will generate the corresponding accounting entry, transferring the amount from the cash account (570) to the bank account (572). You can review the entry in Accounting > Ledger.
5. Reconcile a bank commission
When the bank charges you a commission, this transaction is not linked to an invoice either. Even so, you must record it correctly so that your accounting is up to date.
See how to do this here.