6 Learning About Transaction Matching

Using Transaction Matching, companies can automate preparation of high volume, labor intensive reconciliations and seamlessly integrate those results into the tracking features within Reconciliation Compliance.

This powerful new module will save companies additional time on performance of reconciliations, while improving quality and reducing risk.

Transaction Matching functionality is provided to licensed users of Transaction Matching for Account Reconciliation, and is an optional licensed feature for Account Reconciliation.

At a high level, an Administrator performs these set up tasks for Transaction Matching:

  • Create match types
  • Define data sources
  • Work with transaction types
  • Define the matching process
  • Create formats
  • Define profiles

For details on setting up Transaction Matching, see Setting Up Transaction Matching

Once the set up tasks are done, an Administrator can perform these tasks so that users can perform the matching function:

  • Create reconciliations
  • Import data
  • Run auto match

Key Concepts

Concept Description
Match Type (created by Administrators)

Match Types determine how the transaction matching process will work for the accounts using that match type. They determine the structure of the data to be matched, as well as the rules used for matching.

Companies can have many different match types. For example, Intercompany Accounts, Bank Accounts, Accounts Receivable, Accounts Payable, and various Clearing Accounts can benefit from transaction matching. Since the data structure and matching rules are likely to be different for each of these types of accounts, companies would create a match type for each.

Additionally, you can use match types to be able to export adjustments back to an ERP system as journal entries in a text file.

Data Sources

Depending on your company's needs, you may want to define one or more data sources. For example you might want to:

  • Compare transactions between two data sources to see which transactions are outstanding

  • Netting transactions within a single data source to determine the "net balance" of the account

For each data source, define the attributes (columns) existing in the data source, as well as any calculated attributes used for data enrichment or normalization purposes.

Timing and Frequency Transaction Matching supports a variety of workflow needs:

–Matching and balancing daily

–Matching daily and balancing monthly

–Matching and balancing monthly

Matching Rules Match rules determine how matches are made. Rules can be configured for tolerance ranges on dates and amounts, and adjustments can be automatic when variances exist.

The common matching rule types are supported:

  • one to one

  • one to many
  • many to one
  • many to many
  • adjustment

User Workflow Process Using Transaction Matching

Once the administrator creates the reconciliations, loads data and runs the auto match process, the user performs these tasks:

  • Confirm suggested matches
  • Create manual matches
  • Run balancing reports

graphic of user workflow process

Sample Application Available

To help a Service Administrator learn more about Account Reconciliation, you can create a sample application when you first start your service. See Creating an Application.

Tour of Account Reconciliation Video

Click this link to watch a video:

Tour of Account Reconciliation video link