Accounts Receivable Reconciliation Template

Accounts Receivable Reconciliation Template Overview

Who is it for:

• Accounting and finance teams responsible for managing and reconciling accounts receivable.
• Finance professionals seeking to streamline the reconciliation process and ensure accurate tracking and reporting of receivables.

How do you use it:

• Procedures: Follow the documented steps each month to maintain a consistent and thorough reconciliation process.
• Rollforward: Adjust the date as needed and input accounts receivable data to monitor changes over time.
• Aging Report: Enter details related to outstanding invoices, customer names, and due dates to keep track of receivables.
• Journal Entry: Record the necessary journal entries for accounts receivable, including date, amount, and relevant descriptions.
• Trial Balance: Review monthly balances in the accounts receivable account to confirm accuracy and consistency.

Why should teams use it:

• _Efficiency: Streamline the reconciliation process, reduce manual work, and ensure accounts receivable are accurately recorded and reported.
• Accuracy: Minimize discrepancies and errors by adopting a structured reconciliation approach.
• Transparency: Gain clear insight into accounts receivable, enhancing financial decision-making.
• Audit Trail: Maintain a comprehensive record of all accounts receivable activities, which is essential for audits and reviews.

Why teams should use a close management solution:

• Efficiency: Close management software optimizes workflow by calculating due dates, adjusting for holidays, automating reminders, and managing complex financial tasks, resulting in faster closing times, quicker reporting, and improved team morale.
• Visibility: Ensure all team members understand their roles and deadlines, with tools for easy information sharing and task coordination. Real-time dashboards and reporting features provide managers with an instant overview, highlighting bottlenecks and pending tasks for quicker decisions.
• Collaboration: Track comments, review notes, and assessments seamlessly, reducing the need for prolonged email exchanges and fostering a culture of collaboration.
• Accuracy: By centralizing the close process, reduce human error and enhance the accuracy of financial data, allowing for quicker issue identification and resolution.
• Control: Leverage close management software to improve compliance with financial reporting standards, with an audit trail that logs all activities, proving invaluable during audits and regulatory checks.

How Numeric Helps with AR Reconciliation

Numeric helps accounting teams manage fast, audit-ready month-end closes with AI and automation. For AP Reconciliation, Numeric helps teams:

• Manage balance sheet reconciliations in a single place: For month-end A/R recs, teams upload their A/R aging report or other sales ledger balance to tie out with the trial balance automatically pulled from their GL. With a deep ERP integration, Numeric users can click into underlying A/R transactions to investigate. Prior period balance monitoring also catches any changes since accounts were reconciled.
• Remain organized and audit-ready with clear controls and documentation: Assign reviewers and preparers of A/R reconciliation tasks and capture all comments, changes, and task submissions. Auditors then directly log-into Numeric with a clear activity trail, no need for your team to spend hours resurfacing required documentation.
• Report easily on A/R transactions and enable FP&A: Pivoting transactions by customer? Grouping by class? Numeric integrates every transaction line from your ERP to enable quick reporting as a part of the month-end close process. With view-only access roles included in all accounts, FP&A teams can check actuals directly in Numeric to monitor how much was spent and monitor cash flow without needing to contact the accounting team prematurely.
• Set-up ongoing transaction monitoring: With Monitors, you can flexibly set-up ongoing alerts. Catch any transactions tied to particular customers or, for Controllers doing a quality check of the full month-end process, surface all journal entries booked to A/R to scan through.