Dormant Accounts Still Need Reconciliation Evidence
An account with no activity can look harmless, but from an accounting and audit perspective it still requires attention. In MIP®, dormant bank accounts should be reconciled on a quarterly basis even when nothing has moved.
The correct approach is to run a zero-activity reconciliation, print or save it, and lock it. That record becomes your evidence that the account was reviewed and confirmed inactive for the period. Without it, there is no proof that the balance was checked rather than simply ignored.
This matters most during audit or oversight reviews, where the question is not whether activity occurred, but whether controls were applied consistently. A locked, zero-activity reconciliation answers that question clearly and without explanation.
This video is for accounting teams that want their controls to hold up under scrutiny, including accounts that rarely change. It is not intended for organizations that assume inactivity eliminates the need for documentation.
McGovern Consulting Group provides MIP Accounting® Training and Implementation Services. We focus on reconciliation discipline because consistency matters just as much when nothing happens as when everything does.
If you want your reconciliation process to be defensible across all accounts, active or not, schedule time with us to review your setup and cadence.
https://mcgoverncg.com/schedule/
If you want to reinforce your MIP fundamentals first, free MIP® fund accounting training is available here.
https://www.freemipfundaccountingtraining.com/
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