Should I balance my checkbook each month?

Should I balance my checkbook each month?

Mitchell Freedman, CPA/PFS (CEO, MFAC Financial Advisors) gives expert video advice on: What kinds of bank accounts should I have?; How do I open a bank account?; How can I compare banks and the services they offer? and more...

Many people ask, "Should I balance my checkbook every month?" The CPA in me says absolutely. The reason I say that you should balance your checkbook monthly is that, first of all, it's good discipline because you always know where you stand in terms of the balance in your account. If that's not a good enough reason, balancing the account and reconciling it to the bank statement each month, in my opinion, is an essential exercise because banks and computers are imperfect. They do make mistakes. If you reconcile the account, balance your checkbook and compare it to the statement, you will be able to intercept any errors and get the bank to correct them.