This article is part of a larger series on Accounting Software.
The best bank reconciliation software should allow you to compare your bank statement with your bookkeeping records for the same time period easily and provide an accurate method for tracking cash flow. To help you find the right solution for your business, we’ve selected the five best bank reconciliation applications:
- QuickBooks Online: Best overall bank reconciliation software
- NCH Express Accounting Software: Best free bank reconciliation software
- Xero: Best for scalable bank reconciliation software
- Sage Business Cloud Accounting: Best bank reconciliation software with an automated bank feed
- ReconArt: Best for small and medium-sized businesses (SMBs) with a large volume of transactions
Comparison of the Best Bank Reconciliation Software
Number of Users
Auto Import of Bank Transactions
Live Customer Support
$30 to $200
1 to 25
$13 to $70
$10 or $25
1 or unlimited
$1,700 to $2,800 or custom
5 to 20
*NCH Express Accounting charges a one-time fee of $129 for companies with more than five employees.
QuickBooks Online: Best Overall Bank Reconciliation Software
- Limited users with each plan
- Monthly plans are expensive compared to alternatives
- Each company requires a separate subscription
Plans & Pricing
QuickBooks Online has four plans to choose from, all of which offer the bank reconciliation feature:
- Simple Start: $30 per month for one user
- Essentials: $60 per month for up to three users
- Plus: $90 per month for up to five users
- Advanced: $200 per month for up to 25 users
Why We Chose QuickBooks Online
We selected QuickBooks Online as the overall best bank reconciliation software because of its simple and intuitive user-friendly interface and bank integration capabilities, which allows for automatic updates of transactions and balances. It also automatically categorizes transactions, making it easier to reconcile your bank account, and the audit log gives you insight into any changes that have been made to your books.
QuickBooks Online Overview
NCH Express Accounting Software: Best Free Bank Reconciliation Software
- Unable to import bank transactions with a live connection to your bank
- No mobile app
- Unable to capture and store receipt images
- Very limited customer support
Plans & Pricing
NCH Express Accounting Software offers a free desktop program for small businesses with five or fewer employees. Software licenses can also be purchased for a one-time fee directly through the NCH Software online store:
- Express Accounts Basic: $139 for the standard edition
- Express Accounts Plus: $195 for a fully featured, single-installation license
- Express Accounts Plus Quarterly Plan: $7.72 per month for unlimited ongoing use of all professional version features and all upgrades, billed at $23.16 quarterly
Why We Chose NCH Express Accounting
NCH Express Accounting can perform basic accounting tasks and integrate with other NCH software. However, it is free only to companies with five or fewer employees; its paid versions can be purchased for a one-time fee or paid on a quarterly basis.
Both the free and paid options allow you to track payments, deposit transactions, and view balances and reports. It is also the only multicompany accounting platform on this list, making it a great option if that is important for your business.
NCH Express Accounting Overview
Xero: Best Bank Reconciliation Software With the Ability to Scale as Your Business Grows
- Bank statements must be imported via a live connection or comma-separated values (CSV) file to perform a reconciliation
- Doesn't support multicompany accounting
- Limited tracking categories
- Lowest priced plan is limited to five bills and 20 invoices
- Lacks phone and chat support
Plans & Pricing
- Early: $13 per month for up to 20 invoices and five bills
- Growing: $37 per month for unlimited invoices and bills
- Established: $70 per month includes project tracking and multiple currencies
A 30-day free trial is also available.
Why We Chose Xero
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. More recent updates include smarter matching algorithms, which are powered by artificial intelligence.
Wells Fargo and Chase clients can also use its data extraction feature using Hubdoc, which can extract data from PDF bank statements. You can also opt to be alerted if there are any unreconciled transactions in your account.
Sage Business Cloud Accounting: Best Bank Reconciliation Software With an Automatic Bank Feed
- Can’t view outstanding transactions after reconciling
- Requires an additional fee to use multiple currencies
- Starter plan only allows for one bank connection
- User interface is dated and not visually appealing
Plans & Pricing
Sage Business Cloud Accounting offers two affordable plans that differ in the features that are available and the number of users that it can accommodate:
- Accounting Start: $10 per month for one user
- Accounting: $25 per month for unlimited users
Why We Chose Sage Business Cloud Accounting
We selected Sage Business Cloud Accounting as the best bank reconciliation software with an automatic bank feed. It has strong artificial intelligence (AI) capabilities, which will learn from how you categorize transactions so that they will be property categorized in the future. You can also automate workflows and set bank rules that will automatically be applied to your transactions. The platform’s audit trail features are also helpful in case of an audit.
Sage Business Cloud Accounting Overview
ReconArt: Best for SMBs With a Large Volume of Transactions
- Too expensive for many small businesses
- Not intuitive for end users
- No mobile app
- Limited customer support
Plans & Pricing
All ReconArt plans are web-based and work with any ERP solution, accounting system, and external data sources.
- Essentials: $1,700 per month for five users
- Certify: $1,700 per month for 10 users
- Plus: $3,400 per month for 10 users, includes the Essentials and Certify modules
- Close: $2,800 per month for 20 users, includes your choice of two or more of ReconArt’s financial close management modules: Certification, Task Management, Variance Analysis, and Journal Entries
- Enterprise: Custom pricing
Why We Chose ReconArt
ReconArt is our pick for the best reconciliation software for SMBs with a large volume of transactions. This is given its ability to support all reconciliation types, including bank accounts, credit cards, accounts receivable (A/R), accounts payable (A/P), balance sheet, and general ledger (GL)/suspense accounts.
Its powerful automation capabilities let you set up approval workflows, and you can also ensure that journal entries posted to the GL are correct. The software is especially ideal for NetSuite users because it provides a comprehensive solution for larger small businesses.
How We Evaluated Bank Reconciliation Software
There are many things to consider when determining which bank reconciliation software is the best option for your business. Depending on how sophisticated your needs are, it would ideally include the following capabilities, which we considered during our evaluation:
- Transfer transactions from your bank automatically
- Allow you to select transactions in your check register that appear on your bank statement
- Show you the difference between the cleared transactions in your check register and the statement balance continually
- Let you add, delete, or edit transactions in your register without leaving the reconciliation feature
- Print a reconciliation report showing all deposits in transit and outstanding checks
- Carry over all deposits in transit and outstanding checks automatically to the next month’s reconciliation
What Bank Reconciliation Software Is
A bank reconciliation is generally done once a month and ties the balance on your bank statement to the balance in your check register or general ledger account. The difference between your bank statement balance and your check register should be:
- Deposits in transit: Deposits recorded in your check register that aren’t yet on your bank statement
- Outstanding checks: Checks or electronic payments that are recorded in your check register but aren’t yet on your bank statement
If you require guidance, check out our article on how to do a bank reconciliation. It includes a video walkthrough of the process.
Frequently Asked Questions (FAQs)
Some important features to look for include automatic transaction matching, the ability to import bank statements, user-defined rules for matching transactions, and the ability to generate reports and export data.
Bank account reconciliation software can save your business time and reduce errors by automating the process of reconciling bank statements with internal accounting records. It can also help identify and correct errors more quickly and provide an accurate picture of your company’s financial health.
Bank reconciliation software typically connects to a company’s bank accounts and imports transactions into the software. It then matches these transactions with the company’s internal accounting records, such as invoices and receipts, to identify any discrepancies. It can also typically flag transactions that need further investigation or review.
Depending on the size and needs of your business, you may decide to use an accounting program with basic reconciliation features or one of the best bank account reconciliation software that automates the reconciliation process.
While we chose QuickBooks Online as the best bank reconciliation software, NCH Express is a good free option and Xero is an excellent scalable solution. If you’re looking for accounting software with an automated bank feed, Sage Business Cloud Accounting is a good choice while ReconArt is ideal for businesses with a large number of transactions.