Sage 50 Bank Reconciliation

Sage Bank Reconciliation

Bank reconciliation that does not react to the accounts within Sage may be a difficult task to navigate. The majority of users handle bank accounts, but anytime someone reconciles the accounts in Sage, they should make sure that the transactions in your business file match the activities in the bank statements of the financial institution being reconciled.

You can easily connect your Sage solution to your bank account for efficient financial management. This automatically reconciles transactions and reduces the risk of errors and saves valuable time. Sage offers various features including bank feeds, file import options and easy bank rules to handle your transactions. Users can use various file import formats and bank rules to facilitate the reconciliation process. It’s necessary to reconcile your account each time you receive a bank statement when you’ve already recorded all transactions up to the statement’s end date.

The methods outlined here are about reconciling the bank account in Sage, as well as the credit card account, once it has been completed at least once. If you have not already done so, you first must set up the bank reconciliation for the first time, and after the bank reconciliation has indeed been reset, if it has not already been done. It is quite simple to complete the reconciliation with Sage if you follow the procedures outlined below.

What is Bank Reconciliation?

The bank reconciliation window seems to be blank, i.e. no information is shown on the screen, or the page opens slowly at times, as described above. This problem is primarily caused by a corrupted Sage.ini file?️, but it may also occur for a variety of other causes. If your Sage Bank Reconciliation software crashes or freezes, this article will teach you how to resolve the problem.

Sage Bank Account Reconciliation is a feature of the software. Opening reports and verifying records are two activities that often result in crashes. When it is discovered while monitoring reports, it serves as a reminder that you must correct the corporate data file. If you have tried multiple times to resolve this problem without success, you might attempt restoring backup data since occasionally a missing file or damaged data may be at the root of the software’s delay. However, you may repair corrupted data issues by installing the most recent updates, which will rectify the problem.

Key Features of Sage Bank Reconciliation

  • Enhanced Accuracy: Sage’s automatic reconciliation process significantly reduces the risk of errors and ensures that your financial data is accurate and reliable. 
  • Time Saving: Say goodbye to manual transaction entries for reconciling bank statements. Sage saves your valuable time by automating this process. 
  • User-Friendly: Using the Sage’s bank reconciliation is very easy and it continues to be user-friendly as you automate the reconciliation process.
  • Streamlined Workflow: Sage puts you in control of your financial management by eliminating manual tasks. You can operate with confidence because you have a clear overview of your cash flow.

Preparing a Bank Reconciliation

Performing a bank reconciliation is an important financial step that helps ensure the accuracy of your cash records. It means comparing the cash balance in your company’s general ledger with the balance indicated in the bank statement. Discrepancies between these two balances are common due to differences in transaction timing and occasional errors. A bank reconciliation is a detective tool which is useful in identifying errors in both your company’s books and the bank’s records.

Reconcile Bank Account in Sage 50

In-order to ensure the accuracy of your transactions and bank balances in Sage 50 Accounts it’s necessary to reconcile your bank account each time you receive a statement from your bank. Before you begin the reconciliation process, make sure you’ve entered all your transactions up to the end date of your bank statement.

Step 1 – Enter Your Statement Summary

  • Navigate to “Bank accounts” and select the relevant bank account.
  • Click on “Reconcile.”
  • Enter the Ending Balance from your bank statement.
  • Input the Statement Date means the end date of your statement.
  • Enter any details for Interest Earned along with the Date.
  • Include information about Account Charges and their respective Date.
  • Click “OK.”
  • If needed, you can edit the statement summary by clicking “Edit” or the pencil icon.

Step 2 – Check Your Last Reconciled Balance

  • Review the “Last reconciled balance” in the “Matched transactions” panel.

Step 3 – Match Your Transactions

In the “Un-matched transactions” pane:

  • Select the first transaction that appears on your bank statement.
  • Click “Match >>” to move the transaction from the “Un-matched transactions” panel to the “Matched transactions” panel.
  • Repeat Steps 1 and 2 until all transactions matches your bank statement.
  • You can select multiple transactions by holding down the Ctrl key or adjust your settings to allow multiple selections.

If a transaction on your bank statement isn’t in Sage 50 Accounts, but it should be, you can post an adjustment. You can save your reconciliation progress and complete it later by clicking “Save progress.” To access the saved reconciliation click on “Use Saved.”

Step 4 – Reconcile Your Bank Statement

Once all relevant transactions are matched:

  • Check whether the “Matched Balance” and the “Statement Balance” are the same.
  • The “Difference” should be zero. If it’s not zero, try to understand the reason.
  • If necessary, click “Save progress.” To reopen a saved reconciliation click on “Use Saved.”

Step 5 – View Reconciled Report (Optional)

  • Navigate to “Bank accounts” and select the relevant bank account.
  • Click “Reconcile” and then click on “OK.”
  • Click on “View history.”

A PDF file for each reconciliation will appear, with the file name showing the bank account and reconciliation date. You can double-click the required PDF file for further details.

Read moreReconcile Vat on Sage

Reconcile Credit Card Statements in Sage 50

To reconcile your credit card statements and ensure the accuracy of your records in preparation for monthly payments, follow these steps:

  • Go to the Tasks menu and select “Account Reconciliation.” Sage 50 will open the Account Reconciliation window.
  • Choose or enter the credit card liability account as the Account to Reconcile.
  • All credit card purchases that haven’t been previously cleared will be displayed. This reduces the importance of maintaining a well-organized reference number system and providing proper descriptions when entering credit card purchases. 
  • As understood that the balance account is a liability. So, input a negative statement amount.
  • Begin by clearing each purchase that is listed on your credit card statement. Take note of any items that are not present.
  • If there are transactions like finance charges or other items on your statement that do not appear in your Sage 50 records then select the “Add New” button. Choose “General Journal Entry” to create a journal entry for these items. After entering the journal entry details save it and close the window to return to the Account Reconciliation.
  • Once you’ve completed the reconciliation of your statement select “OK.”

Undo a Bank Reconciliation or Unreconcile a Transaction in Sage 50

To undo a bank reconciliation or unreconcile a transaction in case of an error during the reconciliation process, you have several methods:

Unflag the transactions

You can manually remove the bank reconciliation flag from individual transactions If you don’t have a backup or restoring the data isn’t possible. Follow these steps: 

  • On the navigation bar, click “Transactions,” then select the transaction you need to modify and click on “Edit.”
  • Clear the “Bank rec” checkbox, click “Save,” and confirm by clicking “Yes.”
Tip: To avoid any confusion, it's advised to also remove any .pdf files linked to the bank reconciliation you're undoing. 

Delete the bank statement

Secondly, you can also remove the entire bank statement that contains the transactions you want to unreconcile.

  • Click on “Bank accounts” on the navigation bar. 
  • Double-click the relevant bank account then click on “Memo.” 
  • Double-click on “Statements.”
  • Right-click on the statement you wish to remove and select “Delete.”
  • Click “Save” then click on “Close.”

What to do if a transaction is missing from bank reconciliation

The Bank Reconciliation page in Sage always displays only unreconciled transactions dated on or before the statement end date for the specified bank. If a transaction is missing, consider the following steps:

  • Ensure that you’ve entered the correct statement date. Transactions up to and including this date are available for reconciliation. If the date is incorrect, correct it, select Apply, and check if the transaction appears.
  • Save your current reconciliation progress by clicking “Save for Later” on the Finish menu. On the Activity tab, use Filters to check if the date range covers the transaction date and if the transaction appears. A tick in the Reconciled column indicates prior reconciliation.
  • Confirm that the from and to date in your activity settings are correct. It’s possible the transaction was entered with a date outside the range. Test by setting a broader date range. If you find an incorrect date then save your reconciliation and change the date then save again.
  • Ensure the transaction is not mistakenly entered in a different bank account. Review the activity of your other bank accounts and if necessary, delete and re-enter the transaction details with the correct account.
  • If the transaction still doesn’t appear in any account then it might not have been entered at all. Prior to reconciling make sure you’ve recorded all transactions up to your statement end date.

How Frequently Should You Perform Bank Reconciliation?

It’s best to reconcile your bank account whenever you receive a statement from your bank. For most businesses, this occurs at the end of each month. But some businesses with high transaction volumes might choose to reconcile weekly or even daily. The businesses which are using online banking services can streamline the process by downloading electronic statements instead of manual entry. 

What’s the Purpose of Bank Reconciliation?

Bank reconciliation serves many essential purposes such as: 

  • Detecting Errors: Revealing discrepancies like duplicate payments, missed transactions or calculation errors.
  • Managing Bank Fees: Tracking and incorporating bank charges and penalties into financial records.
  • Fraud Prevention: Identifying potentially fraud activities and instances of theft.
  • Managing Accounts: Efficiently monitoring both accounts payable and receivable. 

Using accounting software simplifies and enhances the bank reconciliation process. Automated imports of bank transactions allow  quick matching and categorization. It also improves efficiency and accuracy in the financial tasks.

What are the Ways to Fix Sage Bank Reconciliation Problems

Solutions to the problem such as Sage bank reconciliation not responding, bank reconciliation crashes, bank reconciliation not working, Sage bank reconciliation being out of balance, bank reconciliation discrepancy, and bank reconciliation an unresolved amount.

Ways I: Renaming the Userpref.dat File in Reconciliations

  • Choose Maintain Company Information from the drop-down menu.
  • Make your way to the Directory.
  • Now Sage50 software should be closed.
  • Check to ensure that all applications are closed on all workstations.
  • Make a right-click on the Start button and then choose Explore.
  • In the previous stage, you picked an area that you wanted to search for. 
  • Choose Rename from the Userpref.dat menu. 
  • Now that after changing the document, users may see that alternative shortcuts have been removed or that fields on entries have been reset to their default values.
  • Now change the extension of the.dat file to .old and press the enter key on your computer to save your changes.
  • Re-open the company’s doors.

Ways II: Check the Corrupted File

  • First Go to File.
  • Then click on Maintenance.
  • Next, tap on the Re-index
  • Discover the list; choose the indexes that need to be recreated from the list.
  • To re-index the whole set of data files, you must first choose All.
  • Then choose yes from the drop-down menu
  • If you really need to reduce the amount of data, choose Compress Now from the drop-down menu.
  • Select OK.
  • Then press the Close button.
  • If there is a mistake, you may either re-index it or utilize a restore backup to fix the problem.

Ways III: Sage should be Renamed .INI File (initialization file)

  • Select Tools then Folder options.
  • Next click on View.
  • Now, Show hidden files, drives, or folders, Blank, from the location
  • Now locate to C:ProgramDataSageAccounts.
  • Next is to Navigate to Tools.
  • Now choose Folder options.
  • Next tap on View.
  • Then choose Show hidden files, drives, or folder Blank Hide extenders for the familiar file types.
  • Hide all system folders that are protected by a password.
  • After that, click Apply and then OK.
  • If you want to see the Tools menu, press the Alt key on your keyboard.
  • Make a right-click on the Sage.ini file.
  • Now select Rename from the context menu.
  • Check the Sage .old should be the new name for it.

Ways IV- Determine whether or Not there is a Compatibility Problem

  • Locate the Sage program.
  • Then select Properties from the drop-down menu.
  • Learn about the Compatibility feature.
  • Select the field found in the Compatibility mode portion of the menu.
  • Select the chosen Windows from the drop-down menu that appears.
  • Click on the OK button.
  • Now, launch Sage in administrator mode to complete the process.
  • Check to see if the High DPI scaling overrides the default settings.
  • If this is the case, you must make adjustments to the machine that is connected to the server.
  • After modifying the desktop icon using the procedures above, you can re-pin it by finding and dragging it from the Quick Launch toolbar to the desktop.

You should have found the information you were looking for in the previous article about Sage bank reconciliation not responding, hopefully.


In conclusion Sage Bank Reconciliation is a necessary tool in the world of financial management. It is a reliable tool for a company’s accounting records and bank statements. Sage offers a streamlined solution for maintaining accurate financial records. It automates the reconciliation process and minimizes manual input. Is is an asset for financial professionals and organizations of all sizes. If you’re still facing any upcoming doubts, feel free to reach out to our Experts who are available 24×7 to help and assist you.


What is Sage Bank Reconciliation and how does it work?

Sage Bank Reconciliation is a feature within Sage accounting software that helps to reconcile a company’s financial records with its bank statements. It compares the transactions recorded in the accounting system with the ones the bank statement to ensure accuracy and consistency.

Why is bank reconciliation important for businesses?

Bank reconciliation is necessary because it helps businesses to detect errors or discrepancies in their financial records. It ensures that the bank balance is matching with the accounting records. This provides an accurate view of the company’s financial health.

How often should I perform bank reconciliation with Sage?

It’s advisable to reconcile your bank accounts regularly. The ideal time is on a monthly basis or as soon as you receive your bank statement. This ensures that all the discrepancies are identified and rectified immediately. 

Can I save a bank reconciliation and return to it later?

Yes, Sage Bank Reconciliation allows you to save your progress and return to it later. This is useful if you face difficulties reconciling to zero and need more time to navigate for discrepancies. 

What should I do if the reconciled balance doesn’t match the target balance?

If the reconciled balance doesn’t match the target balance you should follow Sage’s troubleshooting steps to identify and resolve the issue. It could be due to missing or incorrectly entered transactions.

Can I print a report of the bank reconciliation for record-keeping purposes?

Yes, you can print a report of the bank reconciliation in Sage. This report can help as documentation for your financial records and can be accessed and printed later if needed.  

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