A variance means a subledger doesn’t match the general ledger. This article explains what that means and how to track down the cause — no accounting background required.
What a variance means
Every account has two balances that should agree:
- The subledger — what your documents add up to (open invoices for AR, open bills for AP).
- The general ledger — what the ledger’s control account says.
The variance is the gap between them. If it isn’t zero, one side has something the other doesn’t.
Troubleshoot it on the page
- On a card that shows a variance, open Troubleshoot this difference.
- Read the plain-language summary of what the difference is.
- Review the list of entries posted directly to the control account — that is, not through a normal invoice, payment, or bill. Entries marked Manual (in red) are the usual cause.
- Select an entry to open it and check whether it belongs. Reversing or correcting a wrong entry should clear the difference.
If there are no manual entries
The difference is most likely a document that wasn’t posted to the ledger, or one posted to the wrong account. Use the View activity link next to the control account to open the General Ledger for that account and review everything that hit it.
Common causes
- A journal entry posted straight to a control account — the most common cause. AR and AP should only move through invoices, bills, and their payments.
- An invoice or bill that was created but never posted to the general ledger.
- A posting made with the wrong amount, or a timing difference that clears the following period.
Tip: If a variance is expected — for example, a timing difference that clears next period — you can note the explanation when you sign off, so it’s documented rather than lost.