Balancing the Books

Gambling Checking Account Reconciliation

Reconciliation of the monthly gambling bank statements is a part of the profit carryover reconciliation. The following procedures are recommended for reconciling monthly bank statements.

1. Record the closing or ending balance from the bank statement.
   
   
2. Record the deposits made since the ending date on the bank statement. Identify all deposits recorded in the checkbook register that are not on the bank statement or deposits on the bank statement that are not in the check register. Reconcile the deposits to game and bank records.
   
   
3. Subtotal the closing balance and the deposits made since the ending date on the statement.
   
   
4. List the check numbers, dates issued, and amounts that have not cleared the account on this statement or any prior statements. Include electronic transactions.
   • Compare the list of checks and electronic transactions that have cleared the bank with the checkbook register.
   • List the outstanding checks issued and electronic transactions made but not yet listed on the bank statement. Record the check number and the dollar amount of the checks and electronic transaction information.
   • Record any bank debit or credit memos not recorded in the checkbook register, such as bank service charges.
     
     
5. Add the total amount of all checks not returned or electronic transactions not on the statement.
   
   
6. From the subtotal in item 3 above subtract the total checks not returned and electronic transactions not on the statement. This is the balance.

The month-end balance shown on the gambling bank statement should match the checkbook register balance. This process is much easier and faster if you have the bank cut the monthly bank statement at the close of business on the last day of the month.

Reconciling the Profit Carryover

Profit carryover is a cumulative figure showing the total net gambling receipts minus gambling expenditures.

• Reconciliation of the profit carryover with the ending monthly balance in all gambling bank accounts is required.
  
• Use the LG100F to reconcile the gambling fund to the profit carryover each month. The LG100F is emailed each month with the LG100A and LG100C in an electronic format to the Gambling Control Board.
  
• Each line of the LG100F must be reported accurately. A variance between an organization’s profit carryover and reconciled bank balance indicates that a mistake has been made in the current month or previous months.
  

Steps Needed to Reconcile Profit Carryover

1. Reconcile the monthly bank statement for each gambling account. Include a list of outstanding checks and deposits in transit (see above).
2. Reconcile the gambling fund using the LG100F and all month-end bank reconciliations to get a total gambling fund balance.
3. Determine the profit carryover on LG100F using the amounts from the LG100A and LG100C.
4. Compare the gambling fund balance with the profit carryover on LG100F and investigate any discrepancies.

If a variance remains after it has been thoroughly investigated, contact your Compliance Specialist at the Gambling Control Board.