How to reconcile a PTA bank statement

What goes on a PTA monthly reconciliation form?

A bank match (accountants call it a reconciliation) checks that your records and the bank agree. It's the habit that catches mistakes while they're still small. Plan on about 45 minutes the first time, then 20 minutes a month.

First, tick off each deposit, check and electronic payment on the statement against your records. Check that this statement's starting balance equals last month's ending balance. Then work through the two sides:

A rule of thumb: things the bank hasn't caught up on yet adjust the bank side. Fees, interest and your own mistakes adjust your records. Once both sides are adjusted, they should match.

What to do when it doesn't match

Look for the usual suspects:

• A deposit entered twice
• A bank fee you didn't record
• A check that cleared for a different amount
• Two swapped digits. If the difference divides evenly by 9, it's probably swapped digits.

If you still can't find it, write down the difference and where it might come from. Don't force it to zero. An honest note is more useful to the next review than a plug number.

Who reviews the bank statement (Texas PTA and others)

The reconciliation is only half of it. Ask an officer who doesn't sign checks to look over each statement before you reconcile it, and sign or initial it. This is the check that catches what two signatures miss. The easiest way is to give them view-only online access, or have paper statements mailed to the school.

State PTAs build this into their guidance. California State PTA has a non-signer open, review, sign and date the statement each month. The Texas PTA treasurer quick start guide lists a monthly non-signer statement review and asks treasurers to reconcile PayPal and Square as well as the bank.

A five-minute review asks a few plain questions:

• Does every check have the signatures your rules require?
• Did deposits go in soon after each event?
• Any cash withdrawals or ATM use?
• Does every payment look like group business?
• Do payment app payouts show up as deposits?

The reviewer also signs the finished match. With paperless statements, they sign a printout or the PDF.

The PTA monthly reconciliation routine

A little each month beats a lost weekend in June. When the statement arrives:

1. 1 Save the statement to that month's folder.
2. 2 Give it to someone who can't sign checks for a five-minute look. They sign and date it.
3. 3 File that month's receipts, reimbursement forms and cash count sheets.
4. 4 Do the bank match. Match each payment app the same way: its payouts should show up as deposits.
5. 5 Fill in the treasurer's report. After the meeting, the secretary attaches a copy to the minutes.

That's the whole job most months. For how long to keep statements and matches, see records retention.

The guide includes Sheet O, a five-minute statement review your non-signer can sign each month, alongside Sheet G.

PTA, PTO and booster club differences

• PTA units follow their state PTA's form if it has one. Utah PTA's reconciliation form is one example. The year-end review will check that every month was matched and reviewed.
• A school PTO or booster club has no state form to follow, so the routine above is the standard to set. Agree at the start of the year which non-signer does the review.
• Groups with payment apps match each app every month too. Move money from the apps into the bank at least monthly, and record each transfer.

Common mistakes

• Waiting until year-end. Twelve months at once is how small mistakes become big ones.
• Forcing it to zero with a made-up adjustment.
• The treasurer reviewing their own statement. A non-signer looks first.
• Forgetting payment apps. PayPal, Square and Venmo need the same match.
• Starting from the wrong balance. Your first month must start where the bank does.