Understanding Your Netcash Statement
Understanding Your Netcash Statement
This guide explains how to reconcile your Netcash statement and understand the difference between your Current Balance and Available Balance, including how retentions, service fees, and transactions affect each.
Reconciling to the Netcash Current Balance
Always reconcile your books to the Current Balance shown on their Netcash statement.
What the Current Balance Represents.
The current balance:
- Includes all incoming payments.
- Includes all outgoing payments.
- Includes fees, charges, and adjustments.
- Represents the total amount of money in the account.
This is the true and final total. Once reconciliation is complete, the current balance shows exactly what is happening with your money.
Retentions and Service Fees
When reconciling your statement:
- Do not count retentions or service fees again.
- These amounts are already included in the current balance.
How Retentions Work:
Retentions do not remove money from your account. They temporarily place a hold on part of the current balance in case Netcash needs to recover:
- Unpaid transactions
- Bank disputes
Because of this:
- The current balance stays the same.
- The available balance may be lower, as some funds are on hold.
When a Retention Is Released
After the 22‑working‑day retention period, and if unpaid transactions and disputes are within expected limits, the retention is released.
This means:
- Your current balance does not increase.
- You can now use money that was already yours.
Your available balance increases, not your current balance.
Current Balance vs Available Balance
- Current Balance
The fully reconciled total of all funds in your account. - Available Balance
The current balance minus any funds being held (retentions and service fees).
The available balance is calculated at the time of a bank release (Release funds), based on incoming and outgoing transaction activity. We do not break down the available balance further at this stage, as this work is already completed during the monthly reconciliation of your current balance.
Transactions Reflected on Your Statement
Debit Batches
- Same‑day debit batches: Posted midday on the action date.
- Two‑day debit batches: Posted on the morning of the action date.
Unpaid Transactions
Unpaid transactions may be returned for up to 5 days, depending on the banks.
- Daily unpaid files: Early morning the day after the action date.
- Bank disputes: Throughout the day as received from the bank.
Bank Transfers (Release funds)
- Available balances are calculated at 14:30 each working day.
- The final amount released is adjusted if any unpaids are received that day.
- “Pay all and release with debit batch” also recalculates at 14:30.
Service Fees Explained
Service fees accumulate throughout the month as transactions are processed.
- Fees are held in retention.
- They are not yet deducted from the current balance.
- They reduce the available balance while being held.
When Are Service Fees Deducted?
- Service fees are officially deducted on the 1st of every month.
- On the 1st, the fee appears on the statement and is deducted from the current balance.
- Your Netcash invoice is available on the 1st of the month.
- Until then, the fee is held and cannot be withdrawn.
- This ensures Netcash can recover service fees owed.
View you Netcash statement and invoice on the 1st of each month and ensure sufficient funds are available on the 1st.
If there are enough funds in your Netcash account:
- Fees are deducted successfully.
- No impact on transactions or batches.
If there are not enough funds:
The current balance may go into a negative, and this may impact the processing of your salary or creditor batches.
If a salary/creditor batch is uploaded while the current balance is negative:
- Incoming funds first settle the negative current balance.
- The batch remains negative.
