Unapplied cash
A payment sits in the bank with no clear customer. The engine searches open invoices by amount, reference and fuzzy customer name and suggests the most likely match with a confidence score.
Accounts receivable reconciliation software for a clean AR balance
Accounts receivable reconciliation software proves that your open receivables are real. Reconciles matches customer payments from the bank and processors to open invoices, compares the aged receivables report with the AR control account in your general ledger, and explains every difference, so the balance you report is one you can defend.
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What AR reconciliation covers
Receivables are reconciled at two levels, and Reconciles does both in the same workspace.
- Cash to invoices: each customer payment from the bank statement or a payout export matched to the invoices it settles.
- Subledger to ledger: the total of your aged receivables report compared with the AR control account balance.
- Credit notes and write offs matched to the invoices they reduce.
- Customer prepayments and unapplied cash listed separately from true open invoices.
- Processor payouts broken down so card payments are applied to the right customers.
Cash application problems that distort AR
Most AR differences start when a payment is applied to the wrong invoice or not applied at all. These are the cases Reconciles is built to catch.
Remittance that does not match the payment
A customer pays four invoices and deducts a credit note. Reconciles finds the combination that adds up to the payment and shows the deduction as its own line. Read more on cash application software.
Subledger and ledger out of step
Manual journal entries to the AR control account, or invoices posted to the wrong period, open a gap between the aged report and the ledger. The engine lists the entries that explain the gap.
Duplicate invoices and double applied payments
An invoice raised twice, or a payment applied to two invoices, is flagged as a duplicate before it inflates or hides a balance.
How accounts receivable reconciliation works
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01 Parse
Upload your open invoices or aged receivables export, your bank statement or payout file, and optionally a ledger export of the AR control account.
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02 Normalize
Customer names, invoice numbers, currencies and signs are cleaned, so the same customer written three ways is recognized as one.
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03 Match
Payments are matched to invoices exactly, then by combinations, partial payments and fuzzy names. The subledger total is compared to the control account, and AI suggestions cover unclear pairs with a reason each.
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04 Exceptions
Everything left goes to the queue. Nothing posts to your ledger without review.
AR exceptions sorted by type
- Unmatched a payment with no invoice, or an invoice with a payment that never arrived.
- Partial an invoice paid in part, with the open balance shown.
- Duplicate an invoice raised twice or a payment applied twice.
- Amount difference a short payment, an unauthorized deduction or an overpayment.
- Date difference a payment received long after the due date, worth a check before it is applied.
On Growth each exception can be assigned to the person who owns the customer and discussed in comments. On Scale resolutions go through approvals and the audit log shows who cleared what and when.
AR reconciliation report and entries
Export the AR reconciliation report in XLSX or PDF with the aged receivables total, the control account balance, reconciling items and the explained difference. Export applied payments as CSV. On Growth, journal entries for write offs, bank charges and corrections go out as CSV for QuickBooks and Xero, and on Scale for NetSuite. The report is ready to attach to your balance sheet reconciliation for receivables and to your month end close software checklist.
Which plan fits your receivables team
Starter suits one company that invoices customers and collects by bank transfer and one processor. Growth adds all processors and marketplaces, assignment and comments, and journal entries for QuickBooks and Xero, which suits teams collecting through several channels. Scale adds approvals, the audit log and 25 entities for groups that reconcile AR per company.
Accounts receivable reconciliation questions
Your open invoices or aged receivables export in CSV or XLSX and the bank statement or payout export for the period. Add a ledger export of the AR control account to reconcile the subledger to the general ledger.
Yes. Payments without a clear invoice are matched by amount, reference and customer name, and the most likely invoice is suggested with a confidence score for your team to confirm.
Yes. Upload the receivables reports from QuickBooks Online or Xero, and journal entries go back as CSV files on Growth and Scale. See the QuickBooks and Xero pages.
No. Reconciles gives you the matches and the entries to import. Your accounting system stays the system of record.
Reconcile your receivables
Upload your open invoices and a bank statement and see which payments apply to which invoices in minutes.