Closed periods — reconciliation & true-up
Each closed month, side by side: what Freight Close would have accrued at the close (calibrated only from prior months — the honest leave-one-out estimate) vs the actual invoiced once the carriers billed, the variance against materiality thresholds, and the balanced journal entry that trues the accrual up to actual. This is the close loop a trailing average can't run: every dollar ties to a shipment and self-corrects against actuals.
How reconciliation works
The loop once the carriers' invoices land: compare actual vs estimate, score it against the materiality traffic-light, book a balanced true-up, and feed the variance into next month's calibration.
March 2026 — estimate vs actual by carrier
Variance = actual − engine estimate (positive = under-accrued). Materiality: green ≤5% / amber ≤10% / escalate >10%.
| Carrier | Engine estimate | Actual invoiced | Variance $ | Variance % |
|---|---|---|---|---|
| Peak Logistics | $40,337.19 | $34,216.86 | -$6,120.33 | -17.9% |
| Heartland Freight | $37,350.89 | $33,200.00 | -$4,150.89 | -12.5% |
| Coastal Express | $25,587.42 | $26,300.00 | $712.58 | +2.7% |
| Total | $103,275.50 | $93,716.86 | -$9,558.64 | -10.2% |
The engine estimate is the leave-one-out figure: calibrated only from months before this one, so it reflects what Freight Close would have booked at the close, before these invoices existed. The invoice register reconciles to the recorded actuals control: tie-out passed.
True-up journal entry — March 2026
Accrued liability — expense recognition (matching principle) · entry date 2026-03-31
True-up of the March 2026 freight accrual to actual invoiced (records the estimate-to-actual variance per carrier; net adjusts Accrued Freight Liability).
| Account | Memo | Debit | Credit |
|---|---|---|---|
6200 Freight & Delivery Expense Peak Logistics | March 2026 freight true-up — Peak Logistics actual vs accrued estimate (over-accrued $6120.33) | $6,120.33 | |
6200 Freight & Delivery Expense Heartland Freight | March 2026 freight true-up — Heartland Freight actual vs accrued estimate (over-accrued $4150.89) | $4,150.89 | |
6200 Freight & Delivery Expense Coastal Express | March 2026 freight true-up — Coastal Express actual vs accrued estimate (under-accrued $712.58) | $712.58 | |
21500 Accrued Freight Liability | March 2026 freight accrual true-up to actual invoiced (net over-accrual $9558.64) | $9,558.64 | |
| Totals | $10,271.22 | $10,271.22 |