How To Balance Your Checkbook

What You'll Need:

  • About 30 minutes and a clear workspace
  • Your most recent bank statement
  • Your checkbook register
  • Calculator
  • Pencil
  • Checkbook balancing form

What You Do:

  • These instructions give the basics of checkbook balancing, following the order of the PSECU worksheet. If you're using another worksheet, the order may be slightly different but the concepts are the same.
  • Look for the "Ending Balance" on your statement. Enter that amount on your worksheet.
  • Double check your deposits. Be sure the amounts on the statement match your checkbook. Check each deposit in your register as you make your confirmations. If there are any deposits in your checkbook that don't appear on your statement, add them to the appropriate line on the worksheet.
  • Add the Ending Balance to any outstanding deposits.
  • Check your checks. Look at your statement for checks that have cleared and put a checkmark beside them in your register. Make sure the amounts match. Note any checks that haven't cleared in the appropriate section of the worksheet.
  • Review all other withdrawal transactions. These include ATM withdrawals, debit card purchases, automatic transfers, automatic payments and any other transfers you've made using homebanking. Use the same process for these items as you did for deposits and checks - look for it on your statement, then check it off in your register.
  • Add the outstanding checks and withdrawals together. Subtract this total from the Ending Balance minus deposits.
  • The result should match the total in your checkbook. If it does, congratulations. You've just balanced your checkbook. Pat yourself on the back for a job well done. If it doesn't, you need to do a little digging.

If Your Numbers Don't Match:

  • Recheck your math.
  • Look for errors in your checkbook register. It's easy to transpose numbers!
  • Confirm that you haven't reverse a transaction. That is, subtract a deposit instead of adding or adding a check instead of depositing it.
  • And the big one - forgetting to record automatic payments or automatic deposits.