Why does my bookkeeper need my bank statements?

Hello to my fellow Entrepreneurs and welcome to another fantastic read to help bring your financial goals to reality. It’s your favorite Money Motivator – Growth Instigator, Erica Fields bringing you the keys to your financial house!! I hope you are enjoying this day and are receiving all the fruits of your labor.  

Today’s topic is about the importance of bank statements and why your bookkeeper requests them monthly. Each month, your bookkeeping provider should collect your bank and credit card statements for the company. And you probably question why, especially if you’re using QuickBooks Online for your small business bookkeeping system.

Purpose of Bank Statement

After every month has transpired, your bookkeeping file should contain all the income and expense transactions completed during that time. Transaction items should be categorized with the correct transaction type and income or expense category. And after these items are assigned, there is another important step in the process – bank reconciliations.

Your business ledger is only as good as the data you put in it. And if your cash income or expenses are under- or overstated, you could be operating under a false basis. Each month, after all transactions are settled, a bank reconciliation should be performed to ensure what is reflected in your bookkeeping system matches what the bank has recorded. This process ensures you haven’t missed any deposits, paid expenses twice or had your account unknowingly compromised.  Your bookkeeping professional will not be able to provide you with certified financial reports until this step is completed.


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