Payment Settlement Bridge

Method and interpretation

USD only, one declared entity scope. Each row is a distinct processor/account period. Expected net payout = opening clearing balance + gross processed payments − refunds − chargebacks − fees + other signed net clearing movements − closing clearing balance. Variance = actual net bank payout − expected payout. Absolute unresolved variance = sum of each row’s absolute difference. A net zero across periods cannot explain offsetting exceptions.

Closing components are optional evidence: unsettled balance + held reserve + other closing balance. Their sum is compared with the entered closing balance; they never alter the payout formula or create a second reserve deduction. A zero component difference is an arithmetic tie, not proof of ownership or availability. Unresolved components stay explicitly unresolved.

Positive clearing balances are amounts due from the processor; negative balances are amounts owed. Negative net bank payouts are supported. Refunds may concern older payments and can exceed current gross. Same-account periods cannot overlap; consecutive periods expose a closing-to-opening difference, and missing intervals stay flagged. Only matching account references are compared; references and entity scope are user assertions.

Independent worked example

$20,000 opening + $100,000 gross − $5,000 refunds − $2,000 chargebacks − $3,000 fees − $19,000 closing = $91,000 expected payout. Closing consists of $15,000 unsettled plus $4,000 reserve. Actual $90,000 gives −$1,000 variance. The next example period has +$1,000: net variance is zero but absolute unresolved variance is $2,000. The graphic displays one selected period; the exact table covers all entered rows.

Validation and limits

One to 200 uniquely referenced periods, valid dates from 1900–2200 and finite amounts up to $1 trillion. Gross payments, refunds, chargebacks, fees and reserve are nonnegative. Opening/closing clearing balances, other movements, unsettled/other closing components and actual net bank payout are signed. Invalid or overlapping periods, missing required fields and duplicate references are rejected. A component mismatch and consecutive opening difference remain visible rather than silently corrected.

This is a defined processor reconciliation, not full bank reconciliation, revenue recognition, a fraud finding, tax calculation or an audit. Complete scope is your assertion. IRS gross-payment guidance and Publication 583 provide recordkeeping context. No bank connection or payment initiation occurs.

Primary references

This numerical framework is explained in the companion guide. Contract, accounting and transfer conclusions require the actual evidence and appropriate review.