Balancing Your Checkbook
Four Reasons to Balance Your Checkbook:
- Verify account activity: do you recognize the transactions and are they accurate according to your records?
- Discover errors: It may be your math or a bank error. Either way you may have more money than you thought or more often… less.
- Avoid overdraft and NSF fees: when you know exactly how much you have in your account, accidental overdrafts or NSFs are less likely.
- Problems are easier to find and fix: you don't have to wade through months and months of statements trying to find a problem.
Easy How-To Steps to Balance Your Checkbook:
- Gather your bank statement, check register, calculator, pencil and any outstanding deposit slips and receipts from purchases or the ATM.
- Compare check register transactions to the transactions on your bank statement. Check off items in your check register that also appear on your statement.
- Verify that deposits on the statement are also in your check register. If they are not, add them in and recalculate your balance.
- Make sure withdrawals, bank fees, checks and ATM transactions on your bank statement are also in your check register. If they are not, write them in and recalculate your balance.
- Using the worksheet on the back of your statement, list any checks/withdrawals that are in your checkbook but haven't yet appeared on your bank statement.
- Write in any deposits that are in your checkbook but haven't yet appeared on your statement.
- Following the instructions on the back of the statement, add any deposits to the ending balance shown on your statement. Then, subtract the amount of total withdrawals. This should be your current account balance. If it does not match the balance that you have in your check register, go back and check your math.
- If you think there has been an error on the bank's part, call us or write us as soon as you can.