Reconciliation means proving the statement's math. Start with the opening balance, add every credit, subtract every debit, and confirm you land on the printed closing balance. If the chain breaks, a row is missing, duplicated, or mistyped.
How to reconcile a bank statement by hand: list opening balance; enter each transaction in date order with signed amounts; keep a running total; compare to the statement's closing balance and to your own book balance if you keep one. Tick off cleared items; note outstanding cheques or deposits in transit for a formal reconciliation statement.
How to make a bank reconciliation statement: put book balance on one side, bank statement balance on the other, then list reconciling items — outstanding payments, deposits not yet cleared, bank charges, and interest — until both sides agree. Accountants expect that layout for month-end close.
Spreadsheets make this faster. Convert the PDF with the free Bank Statement Converter so every row is already dated and signed. The converter itself reconciles opening to closing before you download; a BALANCE_MISMATCH means the source file failed the check.
After conversion, filter the Excel for fees, interest, and transfers, mark outstanding items in a Status column, and save the file with the original PDF. That pack is your reconciliation evidence for audits and Self Assessment.
For cash-flow or income review beyond reconciliation, run the same PDF through the free Bank Statement Analyser.