How Do I Reconcile My Accounts in YNAB?

Introduction

Reconciliation in YNAB ensures your budget matches your actual bank balance, helping you stay on top of your finances. If your YNAB account doesn’t align with your bank statement, it’s time to reconcile. This guide will walk you through the process step by step.

Quick Answer (TL;DR)

To reconcile your accounts in YNAB:

1. Compare your YNAB balance with your bank balance.
2. Mark transactions as cleared if they’ve posted to your bank.
3. Identify any missing or duplicate transactions.
4. Use the “Reconcile” button when everything matches.
5. Adjust your balance if needed to reset your YNAB records.

Step-by-Step Guide

Step 1: Compare Your YNAB Balance with Your Bank Balance

Start by checking your bank’s current balance and comparing it to the one in YNAB. If they match, great! If not, continue with the next steps.

Step 2: Mark Transactions as Cleared

Transactions that have posted to your bank account should be marked as Cleared in YNAB. Pending transactions should remain Uncleared until they officially post.

Step 3: Identify Missing or Duplicate Transactions

• If YNAB shows a higher balance than your bank, you may have forgotten to enter an expense.
• If YNAB shows a lower balance, check for duplicate transactions or incorrect entries.
• Review bank statements or transaction histories to find discrepancies.

Step 4: Use the “Reconcile” Button

Once every cleared transaction matches your bank statement, click Reconcile in YNAB. This locks in your current balance, preventing future confusion.

Step 5: Adjust Your Balance if Needed

If there’s still a mismatch and you can’t find the error, YNAB allows you to adjust the balance. While this should be a last resort, it ensures your budget remains accurate moving forward.

Personal Insight

When I first started reconciling in YNAB, I avoided it because I thought it was too complicated. I recommend new users practice reconciling multiple times a week at first. As you gain confidence, you can reduce frequency to your desired outcome. I personally reconcile at least every two weeks when I’m paid or whenever I’m bored on my phone. Once I made reconciliation a habit, my budget felt much more reliable, and I avoided surprises. Now it only takes a few minutes a week to keep YNAB fully updated and useful…ready to help me spend on things that really matter to me.

Next Steps

Reconciliation keeps your finances accurate and stress-free. If you need help mastering this process, I offer YNAB coaching to guide you step by step. Schedule a free call here.