How to reconcile bank deposits with invoices: three worked cases

Keep the bank transaction ID, posted date, amount, currency, payer description and full reference. Export open invoices with current balances and stable invoice IDs. A reused invoice export can propose a match to an invoice that has already been settled.

For a processor payout, also obtain the settlement report. A bank description identifying the processor does not identify the individual customers. Keep the bank deposit separate from the customer receipts so that the same cash movement is not counted twice.

An ACH for $1,250 includes INV-410 in its memo. That invoice has $1,250 open for the same customer and currency. Check the payment date and duplicate status, then confirm the application with its source reference. The invoice has $0 remaining after this reviewed application.

If another customer also owes $1,250, matching the first equal amount would be unsafe. If the invoice has only $1,000 open, the extra $250 needs separate review rather than an over-application.

A $4,725 deposit comes from a customer with open invoices for $1,500, $1,225, $2,000, $750 and $6,200. The first three sum to $4,725. The free lump-sum matcher below can test this exact example; customer remittance is still needed to confirm that these are the intended invoices.

If multiple combinations produce the same total, ask for remittance or check invoice references and customer identity. If none fit, investigate missing invoices, prior credits, partial payments or a stale balance before changing the source amounts.

Suppose a settlement report lists $5,000 of gross customer receipts and $150 of documented fees, with no other adjustments. The expected net deposit is $4,850. Match the gross customer receipts to their invoices and separately explain how that settlement reached the bank. Do not record a $150 customer shortfall merely because the bank received the net amount.

Stripe's payout reconciliation report links automatic payouts to their underlying transaction batches and exposes gross, fee and net amounts. Other payout types and processors may require different reports. A matching percentage is not evidence of a fee: use the report for that specific settlement.

If the customer cannot be identified, retain the payment as unmatched with an owner and next action. If a settlement crosses month-end, document the timing rather than moving dates to make the totals agree. Review refunds, disputes and withheld amounts using their original records.

For repeat work, import invoice and payment exports into InvoiceReconcile, inspect the suggested matches, review exceptions and export results. The app does not connect directly to your bank or automatically post the accounting entries. Verify the ledger and complete your broader bank reconciliation separately.