What Is the Difference Between Adjusted Balance and Total Balance in Your Bank Account?
Learn the key differences between adjusted balance and total balance, and why adjusted balance gives a clearer view of your available funds.
Video transcript
Adjusted balance takes into account any pending transactions, such as deposits or withdrawals, that haven't yet cleared your account. Total balance is the current balance without considering these pending transactions. Always refer to the adjusted balance when managing your finances, as it provides a more accurate picture of available funds.
Questions and answers
What does adjusted balance mean on a bank statement?
Adjusted balance refers to your account balance after accounting for any pending transactions, such as deposits or withdrawals, that haven't cleared yet.
Why is adjusted balance more accurate than total balance?
Because adjusted balance considers pending transactions, it provides a more precise snapshot of your actual available funds compared to the total balance which does not.
How can I check my adjusted balance?
Most banks display adjusted balance online or on statements by factoring in all pending transactions, giving you a clearer idea of available money.
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