5 Best Bank Reconciliation Software for 2023

We ranked QuickBooks Online as the best small business accounting software, and it excels with its bank reconciliation capabilities. It supports the standard reconciliation process, allowing you to compare your monthly bank account statement to your QuickBooks Online check register to ensure that all your transactions are accurate and complete. You can see an example of the QuickBooks Online reconciliation process by viewing our tutorial.

QuickBooks Online Bank Reconciliation
(Source: Intuit)

• Audit log: The audit log can be useful for finding errors and transaction histories while reconciling. You can track the date of any change to your books, the name of the user who made the change, the type of change, and the original transaction date and amount.
• Accountant access: You can invite your accountant to QuickBooks Online via email, and they’ll have access to all the features of your account—without counting as one of your allowed users.
• QuickBooks ProAdvisor Network: If you decide that you would rather have an accountant handle your reconciliations, find a QuickBooks ProAdvisor or subscribe to QuickBooks Live.

NCH Express Accounting is an easy-to-use desktop accounting application. Because it provides a quick solution to basic accounting tasks like invoicing and producing basic reports, it works best as a monitoring tool to track your transactions and view balances and reports. It allows you to reconcile your transactions manually or by downloading a comma-separated values (CSV) file of your bank statement, comparing your account ledger with the bank statement and matching transactions automatically.

Example of NCH Express Accounting Software Bank Reconciliation (Source: NCH Express)

• Web access: The software has an optional mobile browser access plan that allows for multiple simultaneous users on the cloud.
• Financial reports and analysis: You have access to more than 20 preconfigured reports, including income statement analysis, cash flow statements, and balance sheets. These reports can be saved as PDF or CSV files or emailed directly through the software.
• Integrations: NCH Express Accounts integrates well with other NCH software, such as inventory management, timesheets, employee productivity and management, and project management.
• Multicompany access: With the Plus version, you can run multiple businesses with a single installation, including businesses operating with different currencies.

We selected Xero as the best bank reconciliation software with the ability to scale as your business grows because of features like bulk-reconciliation of transactions, which are available with the Growing and Established plans. Recent updates include smarter matching algorithms, which are powered by artificial intelligence (AI).

When you reconcile, Xero will notify you if your actual bank balance and the balance of the bank reconciliation on the platform don’t match. The bank reconciliation summary makes it easy to check for missing, deleted, or duplicated transactions.

The platform has similar features to QuickBooks and can accommodate unlimited users. We selected it as the best QuickBooks alternative for unlimited users, which is partly because of the ease of bank reconciliation.

Example of Xero Bank Reconciliation
(Source: Xero)

• Bank statement extraction via Hubdoc: New in 2023, Hubdoc now supports data extraction from PDF bank statements generated by Wells Fargo and Chase.
• Auto-import of bank statements: Xero allows you to connect your bank feed so that your transactions will flow into your account daily. You also have the option to import your transactions from a CSV file instead.
• Transaction alerts: You can opt to receive alerts about unreconciled transactions on the Xero dashboard so that you can take action if necessary.
• Suggested matches: Xero will suggest matches for your transactions, categorize them automatically, and apply any rules that you set up.
• Bulk-reconcile transactions: With the Growing or Established plan, you can sort and group bank transactions and then code and reconcile them in bulk. You can also apply a bank rule to a group of transactions.

Originally called Sage One, Sage Business Cloud Accounting is subscription-based accounting software that gives you the flexibility available with a cloud back-end. It includes tools for bank reconciliation that allow you to create and split bank transactions. It also uses artificial intelligence (AI) to learn from your categorizations, and it’ll populate and route transactions to the correct place automatically.

Example of Sage Business Cloud Accounting Bank Reconciliation
(Source: Sage)

• Automated workflows: Sage Business Cloud Accounting allows you to automate your workflows. You can auto-post expenses and payments directly from your connected accounts and automate administrative tasks and invoicing easily.
• Bank rules: You can create and set bank rules that will be applied automatically to your transactions.
• Accountant access: The Accounting plan’s unlimited user capability allows you to share access with your accountant for easy collaboration in real-time.
• Audit trail: The audit trail is a complete record of all transactions entered, which is useful if you need to trace a transaction or if you’re asked to produce this as part of an audit. You can choose to view a summary or a detailed breakdown.

ReconArt provides a reconciliation solution that can accommodate a variety of business scenarios. It’s entirely web-based and can be hosted on-site if desired. ReconArt’s reconciliation software helps businesses with bank and credit card reconciliation, financial close, balance sheet reconciliation, variance analysis, journal entry, and intercompany reconciliation. It distinguishes itself from other software for small and medium-sized businesses (SMBs) by providing a comprehensive workflow around journal entry posting.

Example of ReconArt Bank Reconciliation
(Source: ReconArt)

• Scalability: ReconArt is scalable in terms of user base, data and accounts, and reconciliation volumes. Your company’s users can be distributed across locations, departments, and teams, and packages that support small to larger enterprises are available.
• Journal entries: The solution helps you ensure that all journal entries posting to the general ledger (GL) are correct and that there’s a controlled and audit-proof journal entry posting process.
• Approval workflows: You can configure approval workflows based on amount thresholds or different risk levels.
• Reconciliation types: ReconArt supports all reconciliation types, including balance sheet, trades and positions, intercompany, ledger to subledger, accounts receivable (A/R), accounts payable (A/P), GL/suspense, payments, credit card, and bank accounts.