Bank Reconciliation Process

After bank and cash transaction, next we’ll see how to do the bank reconciliation. Now here first we’ll see the manual bank reconciliation process. So here the transaction code which we’ll use is FF67. Now here first, we’ll check the integration process for the bank reconciliation.

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Now here the graphical representation gives an overview of the process for entering bank statements manually. So here we’ll enter a bank statement manually. Then after that we’ll get an intermediate data set which consists of general ledger document, that is GL document and sub ledger documents. So this is how we do the process of entering bank statements manually.

 

Now next we’ll see the procedure of the bank statement. Now to process with the bank statement, the first step is going by transaction code or via an SAP menu path.

So the transaction code for the bank statement is FF67 or the SAP menu path would be Financial Accounting, Banks, Incomings and we’ll go to Bank Statement where we’ll find the transaction code FF67. Here after clicking on this, on the next screen, we’ll have to provide some basic information, like company code, house bank, account ID, statement number and statement date, then beginning balance and ending balance and a posting date. Let us see how do we provide this information.

So this is the screen of the process manual bank statement. Here we’ll provide the company code, the house bank details, the account ID. Then we have to provide a statement number, a statement date. Then we’ll have to provide the opening balance and closing balance and a posting date to it. So this all the details are maintained by a bank. And here we’ll provide these details manually. Now after providing these details, we’ll click on the enter button. Now once we click on the enter button, we’ll get a next screen called Specifications.

Now here we’ll fill the screen variant. So if you want to see the above screen again, we’ll select the menu settings and then specifications. So now here, we’ll have to provide the variant. So here our variant start variant is ZG001. And then we’ll click on the continue button. Now after that we’ll confirm the entries. So on the next screen we can process the bank statement data. So once you click on the continue button, the next screen will be bank statement data screen.

Now here we have to provide the bank statement items in this particular screen. Now here we have used a transaction type as C001, that is Collection And Clearing type. So here we’ll provide the bank statement items detail. Now first we’ll have to select the transaction type, the value date and the amount, profit center and customer. Then after the amount entered and the bank statement amount at the bottom should match, then only the system will allow us to save.

So we’ll choose the bank statement and save. So this is how we provide the details. We’ll select the transaction as P001. Then we’ll provide the value date, the amount, customer name and the bank reference detail. Now after providing these details, we’ll have to check the amount entered in the bank statement. Now if both these values are same, then the system will allow us to save these details. So after these details are same, we’ll click on the save button and we’ll get a message stating that statement saved. So this is how we do the manual bank statement process.

 

After this, the system will display the screen with the basic data again, and will again click on the save button. Now after that, the system will generate this below screen.

This is called the Update Account Statement. Now here, it will give the account details statement along with the bank keys. This is also a Check Deposit Transaction slip.

 

Now after this, we’ll have to verify and rectify if there are any errors in the bank statement or not. So we’ll use a transaction code FEBAN, under which we have to provide the company code and the house bank details, and we’ll click on the execute button to check whether there are any errors or not.

So after that we’ll get a screen where it will show if the system has generated any error. So it will show in the red color mark.

So here we have the error under this particular bank statement. So once we double click on this we’ll get a screen which will display the error log under that particular errors that is under the particular bank statement. This is how we rectify the errors.

Now when we have the error statement, that is the error under which that red indicator is posted. So for posting that transaction, we’ll select that respective line item. And in the statements menu bar, we’ll select their statement items and we’ll click on the post item.

So by clicking on that post item, that particular transaction will be posted, which was under error.

 

Now here we’ll post with clearing selected open items.

Now we’ll have to provide the company code and the account details. And the above screen will give the clearing amount. So that after providing all these details, we’ll click on the process open items icon.

Now here after clicking on the process open items, it will give the details of all the open items, which are there under that particular company code or under that document.

So after this, we’ll click on the simulate button and then we’ll click on the post item. So once we click on the post button, the document will be created and will be posted under that company code.

 

Now next is uploading that manual bank statement through an Excel sheet. Now here as this is an customized application, we’ll go through via transaction code ZFF67. Now here there is no navigation menu. There is only a transaction code via which we can do this manual uploading of the bank statement.

Now here we’ll have to provide the file name. So we’ll select the excel sheet where we have saved the bank statement. Then we’ll give the range from begin of row to end of row, and we’ll click on the execute button. And the system will process the excel file and upload in the system.

So this is the excel file which we have saved in our “.xsl” format. So this is the template for the bank reconciliation file upload.

 

And last we’ll see how to do the automatic bank reconciliation, we’ll use the transaction code FF5.

Now here if the bank gives us the electronic statement in MT 940 or Multi-Cash format. Then in the above screen we’ll select the program for the upload. So here we’ll select the second program, that is bank statement in various formats for uploading that bank statement. So once we click on that we’ll get a screen where we have to fill the data like import data for that particular multi-cash format along with that file where we have saved that under our drive.

And then we’ll click on the execute button. So once we click on that execute button, that multi-cash format file will be uploaded into the system. So this is how we do the bank reconciliation process.