Search:

Would you like to contribute to this site? Checks Menu Submit an Article Submit a Tip Place your Ad Add URL Checks Questions? Contact Us  Check Printing   Order Checks   Checks By Mail   Custom Checks   Business Checks   Personal Checks   Bank Checks   Travelers Checks   Money Orders   Cashiers Checks   Laser Checks   Check Software   MICR Printing   MICR Toner   Check Cashing   Checking Account   Check Verification   Check Information   Quicken   Quickbooks   Checkbooks   Checkbook Software   Checkbook Covers   Wallets and Billfolds   Specialty Wallets   Coach Wallets   Debit Cards   Types Of Debit Cards   Business Debit Card   Teen Debit Cards   Bank Debit Cards   Prepaid Debit Card   Debit Card Protection   Debit Card Info   Debit Card Basics   Bank Check Cards   Rebate Checks

Return To Checks Article Archive   Search the Article Archives Balance Your Checkbook Regularly By Martin Lukac Do you faithfully balance your checkbook each month? How about once a week? Chances are that you dont. But you should. Balancing your checkbook is the starting point of managing your finances. Millions of Americans dont do it regularly. Some people dont even write down the exact change on the checks they write. Some people enter false amounts into their check register to think they have less money than they really do. Others want to hide things from their spouses. Several only balance their checkbooks once a year when they do taxes. Okay, I skipped two months when my daughter was born. When I finally sat down to get it all balanced, it took hours. It was awful. The most time effective way to balance your account is on a weekly basis. I fully believe that the longer you wait between balancing sessions, the more errors you will find. A checkbook that just wont add up is a nightmare that is often never figured out. Imagine my surprise after being married for a decade to find out that my husband didnt know how to balance a checkbook. Oh- he never overdrew an account or had a problem figuring out how much money he had. He just didnt know how to sit down and add it all up on paper. When he took over the complete management of our finances, it didnt last a month. But he did learn how to balance the checkbook. Balancing your checkbook is simply matching your records with the banks records. You compare your register to your monthly bank statement. You can quickly do this on the computer, but remember that you are entering the numbers on your end, so mistakes can still be made. You can also do this with pen and paper, which is often preferred by a lot of people. I use a large log book that will hold almost a whole month of spending per page. I like being able to look over a long span of time at once. I use post notes to keep track of when I balance and any discrepencies. The first step is to regularly write down all receipts. We have a basket next to where we empty our pockets every evening. It is habit to drop all receipts in the basket. When money is tight, I might balance it every other day. This is easy by checking my account via the internet. You can also call into your bank for the account history by telephone. That doenst mean that we dont miss receipts. Sometimes we dont bring them home. If we dont, by balancing every week, we are able to catch the missing receipts before they add up to a whole lot of money. Balancing your checking account is quite simple. Start by checking off every item in your register that has cleared the bank. Then go back and add in any items that the bank says you spent, but you didnt write down. This may be interest earned or bank fees. Total up all of the checks and debits versus the deposits that you do not checked as cleared. This is the amount of money that you have floating around. It hasnt cleared yet, but it is already spent. Subtract that amount from the ending balance in your register. This amount should equal the balance on your bank statement. If it doesnt check for math errors in your checkbook or the omittance of items. Sometimes, it is impossible to reconcile your checkbook. This often happens when you let a large amount of time go by. Simply start over. Accept what the bank says your balance is and go from there. Balance your account more often, and it probably wont happen again. About the Author: Martin Lukac represents http://www.RateEmpire.com and http://www.1AmericanFinancialcom, a finance web-company specializing in real estate and mortgage rates. We specialize in daily updates, mortgage news, rate predictions, mortgage rates and more. Find low home loan mortgage interest rates from hundreds of mortgage companies! keywords: Checks | Check | Banking

Get your Checks questions answered... Subscribe to our Checks Newsletter FREE! Your First Name: Your Email Address: Enter above security code

Home  |   Checks Blog  |   Ask the Checks Expert  |   Checks Archive  |   Checks RSS Feeds  |   Advertise  |   Sitemap