Undo Reconciliation in QuickBooks Online/QBOA/Desktop with Simple Steps and Tips

Undo Reconciliation in QuickBooks Online/QBOA/Desktop with Simple Steps and Tips

Bank reconciliation in QuickBooks can be undone when the recording date of your payments hasn’t been correctly noted. This isn’t the only situation that can persuade you to do so. Sometimes, forced reconciliations in the software may also need to be reversed. The Banking menu of QB gives you the best way to undo bank reconciliation. In software versions like QuickBooks Desktop, the same menu can be opened to find the Undo Last Reconciliation option. Focussing more on this method and other ways for the purpose, we have explained how to undo reconciliation in QuickBooks Online, QuickBooks Online Accountant, and QB Desktop.

We have incorporated 5 sections in this blog. These sections discuss the following:

When can You Undo Reconciliation in QuickBooks?

The users of QuickBooks can undo reconciliation when one of the following situations is faced:

  • You may have forced the reconciliation in QuickBooks.
  • The date of recording your payments may not be accurate.
  • You may have checked off one transaction. However, it may not have been cleared.
  • The date of a particular statement may not be right. Or, the day written on it may not be correct.

How Do You Undo a Reconciliation in QuickBooks?

In the QuickBooks program, bank reconciliation can be undone with the help of the Banking menu. This menu is particularly helpful in doing so by changing the bank transaction’s status to Blank=Unreconciled. To opt for the manual approach for changing the reconciliation status, you can run COA or Chart of Accounts. COA opens Account History through which an account can be picked. This account’s reconciliation status can be manually changed. Thus, you will be able to undo it.

To gather more information on how, in QuickBooks, you can undo bank reconciliation, please read the following methods.

Method 1: Undo Reconciliation in QuickBooks via Banking Menu

For undoing reconciliation in the QB program, you can make use of the Banking menu to find the desired Account. Now, open Register/Account History available in the Action option. You can pick a transaction and determine that reconciliation needs to be reversed for it. Following this, you can change the status of the bank transaction. When the status gets switched to C=Cleared, this method will come to an end.

This series of steps can reflect more on how to undo a bank reconciliation in QuickBooks:

  • Open “Banking” after opening the software.
  • From “Banking”, head to “Account”.
  • In “Action”, choose the option of “Register/Account History”.
  • Look for your bank transaction which doesn’t need to be reconciled.

Note: You may want to pick multiple bank transactions to undo reconciliation for them. You can pick them one by one.

  • Press the tab for “Highlight”.
  • Look for “R” in the line available at the top in your transaction.

Note: In this step, “R” can be more easily located by looking between “Deposit” and “Amount”. Alternatively, you may see between the amount of the payment and the charge to find the same.

  • Your transaction’s status will be “Blank=Unreconciled”. Make changes and set it to “C=Cleared”.
  • Push “Save”.
  • Wait till you see the image shown as follows:
  • When you see “Yes”, select it to undo the reconciliation.

You may prefer exiting the QuickBooks software after ensuring that the reconciliation for your bank has been undone or reversed.

Method 2: Manually Undo Bank Reconciliation in QuickBooks via Chart of Accounts

Finding out how to undo bank reconciliation in QuickBooks via a manual approach is also suggested. We believe that based on the convenience of the readers, this method can also be picked.

To manually undo bank reconciliation in the software, you can switch to Chart of Accounts/COA. You need to find the account row and go through it. After it has been checked, either Account History or View Register can be preferred. Now, from the various accounts visible, one can be considered for changing the reconciliation status.

  • Tap on “Gear” while “QB” is in use.
  • Use “Chart of Accounts” to proceed.
  • Find out an account row and view it.
  • Now, move to “View Register” or “Account History”.
  • You may come across multiple accounts. Select any one of them.
  • Finding “Reconcile” status is the next step.

Note: See to it that next to the “Reconcile” status, a checkmark is evident.

  • The mark at the top needs to be selected for making the changes.

Note: Users often find “C”, “R”, and “Blank” while executing the last instruction of this method. For your information, “C” represents “Cleared” and “R” indicates “Reconcile”. As you may understand, “Blank” expresses that the selection has neither been reconciled nor has it been cleared.

How Do I Undo Reconciliation in QuickBooks Online?

When you have access to QBO, you can use its Banking menu for undoing bank reconciliation. This menu assists you in opening Registers. Further, this option guides you in deciding on one account. The transaction of this account will show R. You need to look for the same and remove R to undo the reconciliation. In case you use QuickBooks Online Accountant, you undo the same by visiting the Report Period.

Let us read more about the methods and steps to undo bank reconciliation in QuickBooks Online and QBOA.

Method 1: Undoing Reconciliation in QuickBooks Online

QuickBooks Online gives its users the option to undo reconciliation via its Banking menu. This menu comes with the Registers option. You can utilize it to opt for Register Name and then form your selection for an account. From the available transactions, one can be picked. Reconciliation for this transaction can be undone.

Keep scrolling to find clarity to undo reconciliation in QuickBooks Online:

  • See to it that you are able to launch “QuickBooks Online”.
  • Head to the menu in the software that says “Banking”.
  • Go to “Registers”.
  • Move to the option of “Register Name”.

Note: You may find the option mentioned in this step in the form of a dropdown.

  • Now, an account needs to be selected.
  • You will see certain transactions. Choose one of them.

Note: The transaction that you are required to open in this step should be the one that need not be reconciled.

  • Find “R” and delete it.

Note: In the final step of this method, when “R” gets deleted, the status of your selected transaction will become unreconciled. 

Tip: For those readers who wish to know how to undo reconciliation in QuickBooks Online 2018, 2017, and 2019, this method will be of help. Its steps can be applied for the purpose.

Method 2: Undo Reconciliation in QuickBooks Online Accountant

In QuickBooks Online Accountant, to undo reconciliation, you can, first, decide the client for which the same needs to be done. Then you can move to Reconcile via the QuickBooks Gear icon. Use the Reconcile an Account option to visit History by Account. You will have to input a few details after which you can tap on Undo to continue this procedure.

  • When the “QBOA” software runs, tap the dropdown on “Toolbelt”.
  • Pick one client from the dropdown for accessing his/her company file.
  • Press “Gear”.
  • Click on “Reconcile” below “Tools”.
  • Tap on “Reconcile an Account”.
  • Now, choose the “History by Account” option.
  • Next, choose “Account” from the new page.
  • Then select “Report Period”.
  • You will find a dropdown for “Action”. Press it.
  • Opt for “Undo”.
  • Click on the “Yes” tab to continue.
  • Now, a window will appear. It will require you to confirm your decision. Press “Undo” to confirm.
  • After this, choose “Ok”.
  • Then press “Ok” one more time.

These directions discussed how to undo reconciliation in QuickBooks Online Accountant. You can successfully undo it when these directions are followed by you in the mentioned sequence.

How Do I Undo Reconciliation in QuickBooks Desktop?

To initiate reconciliation in QuickBooks Desktop, you need to use the software as the administrator. With the administrative rights obtained, you can start selecting one company file of QuickBooks. Proceeding further, you can move to Banking and opt for Reconcile Now. After choosing this, you will find the option of Undo Last Reconciliation. On selecting the same, this process will come to an end.

  • Use “QuickBooks Desktop” as its administrator.
  • Choosing your QuickBooks company file is the second step.
  • Launch the menu labeled “Banking”.
  • Find the “Reconcile Now” option. Then select it.
  • At last, tap on “Undo Last Reconciliation”.

These 5 steps elaborated on how to undo reconciliation in QuickBooks Desktop. In the process, you may receive or find a few prompts. Be careful while following them to undo the last reconciliation.

Tips to Undo QuickBooks Reconciliation

To reverse previous or undo last reconciliation in QuickBooks, or any other type, these tips can make the task easier:

  • You may prefer to create a backup of your QuickBooks files prior to undoing the reconciliation for them.
  • Avoid manually changing the reconciliation status of your bank transactions while you undo a reconciliation. Doing so can cause errors in your files or the accounting software.
  • You may have made an adjustment entry in the software. Removing it before you undo the reconciliation for your transactions will be suggested.
  • Fix any existing discrepancy in your account before you do this process.

Undoing reconciliation in QB should not seem challenging after reading this post. The users of different versions of this software were provided with help through the methods included here. Most importantly, we included several tips in this blog to make the whole process simpler and devoid of any mistakes.

Which method worked the best for you to undo bank reconciliation in QuickBooks? Let us know by posting a comment.

Have a look at the other blogs written by us. Know how to reconcile in QuickBooks in simple steps. Additionally, check what are recurring journal entries in QuickBooks and what purpose do they serve.

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Jaylen Parrish
1 year ago

I just like the helpful information you provide in your articles