Personal Accounting
Written by admin on September 13th, 2009If you have a checking account, of course you balance it periodically to account for any differences between what’s in your statement and what you wrote down for checks and deposits.
Many people do it once a month when their statement is mailed to them, but with the advent of online banking, you can do it daily if you’re the sort whose banking tends to get away from them.
You balance your checkbook to note any charges in your checking account that you haven’t recorded in your checkbook. Some of these can include ATM fees, overdraft fees, special transaction fees or low balance fees, if you’re required to keep a minimum balance in your account.
You also balance your checkbook to record any credits that you haven’t noted previously. They might include automatic deposits, or refunds or other electronic deposits. Your checking account might be an interest-bearing account and you want to record any interest that it’s earned.
You also need to discover if you’ve made any errors in your recordkeeping or if the bank has made any errors.
