When your QuickBooks balance doesn't match your bank balance, it's usually a recording problem. Small differences are normal, but large discrepancies need immediate attention.
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WHEN IT'S NORMAL
Small differences under $200 are usually fine if you can account for them - outstanding checks that haven't cleared, pending deposits, or bank fees you haven't entered yet.

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WHEN IT'S A PROBLEM
You've got bigger issues if your QuickBooks shows negative money while your bank account is positive, the difference is hundreds or thousands of dollars, or the gap keeps getting bigger each month.

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WHAT'S CAUSING IT
→ Wrong transfer recording - Moving money between accounts gets recorded as an expense and income instead of using QuickBooks' transfer function. This makes your books think you earned money when you just moved your own cash around.

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→ Double counted income - A payment comes in through bank feeds AND gets manually entered, so it shows up twice in QuickBooks but only once in your actual bank account.

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→ Wrong opening balance - Whoever set up the account entered the wrong starting balance, throwing off every reconciliation after that.

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HOW TO FIX IT
Stop entering new transactions until you figure out where the problem started. Find your last successful reconciliation, check for duplicates, and make sure transfers are recorded properly instead of as separate income and expenses.

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If the mess is too big to untangle yourself, get professional help - these problems get worse and more expensive to fix the longer you wait.

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PREVENTION
Reconcile your accounts monthly, use QuickBooks' transfer function when moving money between accounts, and actually review bank feed transactions before accepting them.