The Manual Bank Statement Reconciliation process in SAP S/4 HANA is used when the bank cannot provide an electronic statement in the correct format for automatic processing. In such cases, the user manually prepares the bank statement in a suitable format and then uploads it into the SAP system for reconciliation. This process involves verifying the bank transactions against the company’s general ledger (GL), managing discrepancies manually, and clearing open items. Manual reconciliation is typically more time-consuming but essential when electronic formats are unavailable or unsupported by the bank.
The attached flowchart outlines the end-to-end process for Manual Bank Statement Reconciliation in SAP S/4 HANA with the steps specified below:
- Send Bank Statement: The Bank sends a bank statement containing all incoming receipts and outgoing payments for the specified period.
- Receive Bank Statement: The Accounts Receivable Accountant receives the bank statement in the SAP system.
- Check for Acceptable Format The system verifies if the bank statement is in an acceptable format for processing.
Yes: If the format is correct, proceed to process the bank statement.
No: If the format is incorrect, move to the next step. - Can It Be Uploaded? If the statement format is not acceptable, the system checks if it can still be uploaded manually.
Yes: The statement is prepared for manual upload into the system.
No: If it cannot be uploaded, the user manually prepares the bank statement for reconciliation. - Prepare Bank Statement Manually: The Accounts Receivable Accountant prepares the bank statement manually and inputs the data into the SAP system.
- Process Bank Statement: The system processes the bank statement by importing the manually prepared data.
- Clear Bank GL Clearing Account
The system automatically clears the Bank GL Clearing Account by matching the bank transactions with the entries in SAP. - Compare Bank Statement with Bank GL: The Accounts Receivable Accountant compares the bank statement with the company’s GL to ensure all items are recorded accurately.
- Check if Reconciled: The system checks if all items are reconciled.
Yes: If all items are reconciled, the process moves to reconciliation completion.
No: If there are unmatched items, the process continues to manual verification. - Contact AP and Verify Open Items: If reconciliation fails, the Accounts Payable Accountant is contacted to verify and resolve the open items.
- Manage and Clear Open Items: The accountant manually manages and clears the open items by resolving discrepancies between the bank statement and the SAP entries.
- Reconciliation Completed: Once all items are reconciled, the system marks the reconciliation process as complete.
📚Useful resources for Manual Bank Statement (EBS) Reconciliation in SAP S/4 HANA:
