Working with Group Reconciliations

Overview

Most companies find it useful to track general ledger and subledger balances at a lower level then the level at which the reconciliation is performed. Using sub-segments in group reconciliations in Reconciliation Compliance gives preparers an improved capacity to reconcile at one level but understand the detail at a lower level. This helps them analyze data more thoroughly and identify areas that need attention.

Examples include:

For Account Analysis, preparers can perform a single group reconciliation for many General Ledger (GL) balances but also access which Balance Explained transactions do not add up to which detail balances.

For Balance Comparison, preparers can perform a single group reconciliation for many General Ledger (GL) balances and Subledger balances, and easily see which detail balances do not match.

Balance Inquiry - Gives preparers, reviewers, or auditors of reconciliations a way to determine which group reconciliation a particular detail balance is a part of.

Balance Verification - Gives administrators the ability to check that all balances intended to be loaded have loaded and are valid in the system.

A common example of using sub-segments in group reconciliations might be a three segment configuration for Entity, Account, and Cost Center. You can create Group reconciliations across any combinations of those segments if you designate them as potential sub-segments. For example, Group Reconciliation #1 could be at the Entity - Account level, grouping across all Cost Centers which makes the Cost Center a sub-segment. You could also create Group Reconciliation #2 would be at the Account level, grouping across all entities and cost centers, which makes Entity & Cost Center sub-segments. Essentially, for any segment that you may group across, you would designate it as a sub-segment so when you’re configuring the reconciliation you have the flexibility to group as needed.

Administrator Flow for Setting Up Group Reconciliations

For more information about Administrator set up tasks, see Administrator Set Up Tasks for Group Reconciliations

Preparer Tasks for Group Reconciliations

For more information about Preparer tasks using group reconciliations, see Preparer Tasks for Group Reconciliations

Understanding Data Loading for Group Reconciliations

Data loading to the sub-segment level must be done within Data Management. You are not able to manually edit balances, nor load pre-mapped data to the sub-segment level using Account Reconciliation. Pre-mapped balances import will always be done at the profile segments level.