FINSYNC helps you track all of your transactions, even those that have not reached your bank account yet.
FINSYNC uses four categories to help you track all of your money:
1. Current Balance - This is what your bank says you have and this number is accurate as of the end of the prior day. These balances are calculated based on transactions that have been cleared by your bank.
2. Pending Deposits - Pending deposits have been recorded in FINSYNC, but have not been marked as having cleared your bank account.
3. Pending Balance - The amount shown here is the sum of all of your money that is in the process of being moved from you to a vendor or from a customer to you. In other words this reflects an amount that has not cleared to/from your bank account.
Example: A vendor comes by your office to collect on a bill, and you hand them a check for $1000.00 You should update that bill as Paid and choose to update banking. FINSYNC will then show $1000.00 going out in your pending total.
Note: Money leaving your company is shown as a negative, so it would be represented -$1,000.00. Money coming into your company is shown as a positive. The sum of all of your money both incoming and outgoing that has not cleared your bank is totaled in the Pending category.
4. Available Balance - Your Available Balance recognizes both your Current Balance and your Pending transactions (both income and expenses). It represents in real time how much money you have available.
Looking at the example above, this company has recorded a number of outflows/expenses (likely bill payments) that have not cleared the bank yet (have not been withdrawn yet). This is represented in the Pending block shown above.
Note: In the example above, the bank account has $61,852.20 but once those payments are withdrawn from the account, $57,201.20 will be available. This last figure represent your available cash to use for purposes besides those pending items.
Example: In the image above, you have paid all of your bills/expenses except for payroll for this current pay period. Thus your Available Balance informs you of the cash you have on hand to process payroll. Once the payroll process has taken place you will see that amount reflected under Pending. As funds move into/from your account, the 3 categories are updating in order to properly reflect your banking balance(s).