Bank Reconciliation

Bank reconciliation in Measure allows you to match payments made directly to your bank account with invoices in your system. When customers pay invoices through bank deposits, you can easily track and reconcile these transactions with the corresponding invoices, ensuring your financial records are accurate and up to date.

To get started, you'll need to connect your bank account using the Plaid integration.

Navigate to the Integrations page in your settings. Find the Plaid integration and click Install, then confirm by clicking Install Application in the modal. Once installed, click Add Institution to begin connecting your bank account.

In the Plaid connection window, search for and select your financial institution (e.g., Chase), then click Continue to login. Enter your banking credentials to sign in.

Once authenticated, you'll see a list of all available accounts at your institution. Select the account(s) you want to connect for reconciliation and click Continue. You can choose checking accounts, savings accounts, or credit card accounts depending on what you need to reconcile.

Review the terms and conditions, accept them, and click Connect account information to authorize the connection. Finally, click Finish without saving to complete the setup. Your bank account is now connected and ready for reconciliation.

Once you've installed Plaid and connected your bank account, navigate to Payments in your main menu. You'll find a Reconciliation tab that displays a list of all bank deposits retrieved from your connected bank account through Plaid. These are the transactions waiting to be matched with your invoices. Payments can be marked and receive the follow status:

• Matched - The bank payment has been successfully linked to its corresponding payment in Measure.

• Unmatched - The bank payment has not been linked to any payment in Measure.

• Not Relevant to Measure - The bank payment does not correspond to any invoice or payment recorded in Measure, so no action is required.

To match a bank deposit with an invoice, click the Match icon next to any deposit in the Reconciliation tab. This opens a Details view with two tabs:

Recommended: This tab shows potential invoice matches based on the payment's description. Measure analyzes the transaction details to identify the customer's name, invoice number, and other meaningful information to suggest likely matches. If Measure finds potential matches, they'll appear here for easy selection.

Search: If no recommendations are available, or if you want to manually find an invoice, use the Search tab. Enter an invoice number or other search criteria to locate the correct invoice, select it, and mark it as reconciled.

You can also reconcile payments directly from the invoice side. Select the invoice you want to reconcile, click the three dots menu, and choose Mark as Paid. Then select Plaid as the payment method.

You'll see a list of all available bank transactions from your connected account. Search for and select the transaction that corresponds to this invoice payment to complete the reconciliation. This links the invoice with the actual bank deposit, keeping your records synchronized.

If you have bank deposits in your Reconciliation tab that aren't related to Measure invoices (such as personal deposits or other business transactions), you can click the three dots menu next to the transaction and select Mark as Not Relevant to Measure. This removes the transaction from your reconciliation queue without deleting it from your bank records.