Overview

At all times, the total value of your stock should match the total balance of your general ledger stock on hand accounts.

When using SA1493 - Valuation reconciliation (by G/L account, retrospective), however, you notice a discrepancy between your stock valuation and your account balances. In other words, the total Difference between these amounts is not 0.

There are a few reasons these values may not agree:

• You have stock items not linked to stock on hand accounts.
• You have non-stock items linked to stock on hand accounts.
• You have non-inventory transactions that modify the value of a stock on hand account.

This article provides brief information as a summary for why these situations can cause discrepancies. If you would like more information regarding reconciling your inventory, including discrepancies, how to identify them, and how to rectify, please see All about stock valuation and your general ledger.

Stock items not linked to stock on hand accounts

When you receive a stock item, its inventory value and the value of its linked account will both increase.

If you receive a stock item that is configured so that it links to an account that isn't a stock on hand account, your total stock valuation will increase, but the value in your stock on hand accounts will not change.

Non-stock items linked to stock on hand accounts

Unlike stock items, non-stock items don't have their value tracked in the inventory management system.

When you receive a non-stock item, there is no inventory value to change, but the value of its linked account still increases.

If you receive a non-stock item that is configured so that it links to a stock on hand account, your total stock valuation will not change, but the value in your stock on hand accounts will increase.

Non-inventory transactions to a stock on hand account

Any transactions not from the inventory module, such as manual journal entries, that transact values to a stock on hand account will cause the account value to change, but won't change your stock valuation.

While normally this can cause discrepancies, it can also be used to reconcile your account balances with your stock valuation when discrepancies are found.

For more information on this, please see the Correcting your stock valuation reconciliation section of our All about stock valuation and your general ledger article.

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Last edit: 21/09/2026