For new/first time Connect Now Accounting clients, you may have prior month/year uncleared checks on your bank statement that you need to account for when processing your first bank reconciliation.
In your old software, find the last month’s bank reconciliation report and list any transactions that had not cleared the bank from a prior month/year. You can create a “pseudo check” in Connect Now Accounting that will be available to clear on your Connect Now Accounting bank reconciliation, but won’t affect your bank account balance. Note: a pseudo check must never be voided!
How to create a Pseudo Check:
- From Connect Now Accounting Ledger & Payables, click on Bills.
- Start entering the information for the bill. If you have more than one bank account, make sure to choose the correct bank account. If you use Accrual, make sure the bill date and the check date match.
- Create a bill for the vendor, using the first day of the current fiscal year.
- Under Item #1 (see image below), enter the SAME SHORTCUT NUMBER AS YOUR BANK ASSET ACCOUNT. Enter the amount of the check and a description (we recommend putting the expense account(s) from the original bill/check entry in the description).
- Click on the Assign Check Number link to manually assign a check number to this bill. Enter the check number then click Submit to save the bill and apply the assigned check number.
- Now the prior month/year uncleared check should show up on your Connect Now Accounting bank reconciliation and be available for you to mark it as cleared when shown as cleared on the Bank Statement.
- Once you have assigned a check number to a Pseudo Bill (one which uses the Bank Account as the line item), you should never void this Pseudo Check. If you need to void it because the actual check from which you created this Pseudo entry was lost, instead of voiding it, you would simply create a journal entry which reverses the original check (Debit's the Bank and Credit's the Expense). If you want to remove it because it was entered in error (entered twice, for example) the best course of action to remove a Pseudo check from your Ledger is to delete it. If you do not have permissions to do so (the delete button is not there), you must contact your System Administrator to take care of this issue.