Our Account Reconciliation Policy provides organizations with a structured framework to ensure financial accuracy, accountability and compliance through regular and standardized account reconciliations. By clearly defining procedures, responsibilities, and documentation requirements, this tool empowers finance teams to identify and resolve discrepancies swiftly, strengthen internal controls, and maintain the integrity of balance sheet accounts. Its adaptable templates and practical guidelines foster efficient workflows and promote transparency across financial operations, making it an essential resource for any organization committed to reliable financial reporting and risk mitigation. Downloading the full tool will equip your team with proven strategies to optimize reconciliation processes and safeguard your financial statements.

This tool includes three sample account reconciliation policies. Each sample addresses distinct aspects of and best practices for the reconciliation process. Sample 1 establishes foundational standards for regular balance sheet reconciliations, emphasizing ownership, timely completion, and clear documentation of differences between general ledger and subledger balances. Sample 2 expands on these principles by detailing the responsibilities of account owners, the need for consolidating secondary accounts, and the importance of reconciling each component thoroughly. Sample 3 provides step-by-step procedures for monthly reconciliations, including transaction-level reviews, documentation requirements, signoff protocols, and specific guidance for accounts requiring aging analysis or bank reconciliations. Together, these samples offer comprehensive, actionable models that can be tailored to fit various organizational needs.

Sample procedures include:

• Each account should be reconciled monthly unless an exception is approved by Corporate Finance and the VP controller.
• The accounting manager or the finance director will monitor the completion of reconciliations by communicating with assigned owners regularly.
• When a new general ledger account is created or becomes inactive, the accounting manager will be responsible for updating the reconciliation matrix.
• A copy of each reconciliation should be turned in as a hard copy or scanned and sent via email.